Bill Text: IL HB5561 | 2019-2020 | 101st General Assembly | Introduced


Bill Title: Amends various Acts to eliminate the changes made by Public Acts 101-30, 101-31, and 101-32. Makes other changes. Effective immediately.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2020-02-18 - Referred to Rules Committee [HB5561 Detail]

Download: Illinois-2019-HB5561-Introduced.html


101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB5561

Introduced , by Rep. Allen Skillicorn

SYNOPSIS AS INTRODUCED:
See Index

Amends various Acts to eliminate the changes made by Public Acts 101-30, 101-31, and 101-32. Makes other changes. Effective immediately.
LRB101 17547 JWD 66965 b

A BILL FOR

HB5561LRB101 17547 JWD 66965 b
1 AN ACT concerning government.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4
Article 5.
5 Section 5-1. "An Act concerning finance", approved June 28,
62019, Public Act 101-30, is amended by repealing Section 1.
7 (30 ILCS 105/5.891 rep.)
8 (30 ILCS 105/5.893 rep.)
9 (30 ILCS 105/5.894 rep.)
10 (30 ILCS 105/5.895 rep.)
11 (30 ILCS 105/5.896 rep.)
12 (30 ILCS 105/6z-108 rep.)
13 (30 ILCS 105/6z-109 rep.)
14 (30 ILCS 105/6z-110 rep.)
15 (30 ILCS 105/6z-111 rep.)
16 Section 5-2. The State Finance Act is amended by repealing
17Sections 5.891, 5.893, 5.894, 5.895, 5.896, 6z-108, 6z-109,
186z-110, and 6z-111, all as added by Public Act 101-30.
19 Section 5-5. The State Finance Act is amended by changing
20Section 6z-78 as follows:

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1 (30 ILCS 105/6z-78)
2 Sec. 6z-78. Capital Projects Fund; bonded indebtedness;
3transfers. Money in the Capital Projects Fund shall, if and
4when the State of Illinois incurs any bonded indebtedness using
5the bond authorizations for capital projects enacted in Public
6Act 96-36, Public Act 96-1554, Public Act 97-771, Public Act
798-94, and using the general obligation bond authorizations for
8capital projects enacted in Public Act 101-30, be set aside and
9used for the purpose of paying and discharging annually the
10principal and interest on that bonded indebtedness then due and
11payable.
12 In addition to other transfers to the General Obligation
13Bond Retirement and Interest Fund made pursuant to Section 15
14of the General Obligation Bond Act, upon each delivery of
15general obligation bonds for capital projects using bond
16authorizations enacted in Public Act 96-36, Public Act 96-1554,
17Public Act 97-771, Public Act 98-94, and Public Act 101-30
18(except for amounts in Public Act 101-30 that increase bond
19authorization under paragraph (1) of subsection (a) of Section
204 and subsection (e) of Section 4 of the General Obligation
21Bond Act), the State Comptroller shall compute and certify to
22the State Treasurer the total amount of principal of, interest
23on, and premium, if any, on such bonds during the then current
24and each succeeding fiscal year. With respect to the interest
25payable on variable rate bonds, such certifications shall be
26calculated at the maximum rate of interest that may be payable

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1during the fiscal year, after taking into account any credits
2permitted in the related indenture or other instrument against
3the amount of such interest required to be appropriated for the
4period.
5 (a) Except as provided for in subsection (b), on or before
6the last day of each month, the State Treasurer and State
7Comptroller shall transfer from the Capital Projects Fund to
8the General Obligation Bond Retirement and Interest Fund an
9amount sufficient to pay the aggregate of the principal of,
10interest on, and premium, if any, on the bonds payable on their
11next payment date, divided by the number of monthly transfers
12occurring between the last previous payment date (or the
13delivery date if no payment date has yet occurred) and the next
14succeeding payment date. Interest payable on variable rate
15bonds shall be calculated at the maximum rate of interest that
16may be payable for the relevant period, after taking into
17account any credits permitted in the related indenture or other
18instrument against the amount of such interest required to be
19appropriated for that period. Interest for which moneys have
20already been deposited into the capitalized interest account
21within the General Obligation Bond Retirement and Interest Fund
22shall not be included in the calculation of the amounts to be
23transferred under this subsection.
24 (b) On or before the last day of each month, the State
25Treasurer and State Comptroller shall transfer from the Capital
26Projects Fund to the General Obligation Bond Retirement and

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1Interest Fund an amount sufficient to pay the aggregate of the
2principal of, interest on, and premium, if any, on the bonds
3issued prior to January 1, 2012 pursuant to Section 4(d) of the
4General Obligation Bond Act payable on their next payment date,
5divided by the number of monthly transfers occurring between
6the last previous payment date (or the delivery date if no
7payment date has yet occurred) and the next succeeding payment
8date. If the available balance in the Capital Projects Fund is
9not sufficient for the transfer required in this subsection,
10the State Treasurer and State Comptroller shall transfer the
11difference from the Road Fund to the General Obligation Bond
12Retirement and Interest Fund; except that such Road Fund
13transfers shall constitute a debt of the Capital Projects Fund
14which shall be repaid according to subsection (c). Interest
15payable on variable rate bonds shall be calculated at the
16maximum rate of interest that may be payable for the relevant
17period, after taking into account any credits permitted in the
18related indenture or other instrument against the amount of
19such interest required to be appropriated for that period.
20Interest for which moneys have already been deposited into the
21capitalized interest account within the General Obligation
22Bond Retirement and Interest Fund shall not be included in the
23calculation of the amounts to be transferred under this
24subsection.
25 (c) On the first day of any month when the Capital Projects
26Fund is carrying a debt to the Road Fund due to the provisions

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1of subsection (b), the State Treasurer and State Comptroller
2shall transfer from the Capital Projects Fund to the Road Fund
3an amount sufficient to discharge that debt. These transfers to
4the Road Fund shall continue until the Capital Projects Fund
5has repaid to the Road Fund all transfers made from the Road
6Fund pursuant to subsection (b). Notwithstanding any other law
7to the contrary, transfers to the Road Fund from the Capital
8Projects Fund shall be made prior to any other expenditures or
9transfers out of the Capital Projects Fund.
10(Source: P.A. 101-30, eff. 6-28-19; 101-604, eff. 12-13-19.)
11 Section 5-10. The General Obligation Bond Act is amended by
12changing Sections 2, 2.5, 3, 4, 5, 6, 7.6, 9, 11, 12, 15, and 19
13as follows:
14 (30 ILCS 330/2) (from Ch. 127, par. 652)
15 Sec. 2. Authorization for Bonds. The State of Illinois is
16authorized to issue, sell and provide for the retirement of
17General Obligation Bonds of the State of Illinois for the
18categories and specific purposes expressed in Sections 2
19through 8 of this Act, in the total amount of $78,256,839,969
20$57,717,925,743.
21 The bonds authorized in this Section 2 and in Section 16 of
22this Act are herein called "Bonds".
23 Of the total amount of Bonds authorized in this Act, up to
24$2,200,000,000 in aggregate original principal amount may be

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1issued and sold in accordance with the Baccalaureate Savings
2Act in the form of General Obligation College Savings Bonds.
3 Of the total amount of Bonds authorized in this Act, up to
4$300,000,000 in aggregate original principal amount may be
5issued and sold in accordance with the Retirement Savings Act
6in the form of General Obligation Retirement Savings Bonds.
7 Of the total amount of Bonds authorized in this Act, the
8additional $10,000,000,000 authorized by Public Act 93-2, the
9$3,466,000,000 authorized by Public Act 96-43, and the
10$4,096,348,300 authorized by Public Act 96-1497 shall be used
11solely as provided in Section 7.2.
12 Of the total amount of Bonds authorized in this Act, the
13additional $6,000,000,000 authorized by Public Act 100-23 this
14amendatory Act of the 100th General Assembly shall be used
15solely as provided in Section 7.6 and shall be issued by
16December 31, 2017.
17 Of the total amount of Bonds authorized in this Act,
18$1,000,000,000 of the additional amount authorized by Public
19Act 100-587 this amendatory Act of the 100th General Assembly
20shall be used solely as provided in Section 7.7.
21 The issuance and sale of Bonds pursuant to the General
22Obligation Bond Act is an economical and efficient method of
23financing the long-term capital needs of the State. This Act
24will permit the issuance of a multi-purpose General Obligation
25Bond with uniform terms and features. This will not only lower
26the cost of registration but also reduce the overall cost of

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1issuing debt by improving the marketability of Illinois General
2Obligation Bonds.
3(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
4101-30, eff. 6-28-19.)
5 (30 ILCS 330/2.5)
6 Sec. 2.5. Limitation on issuance of Bonds.
7 (a) Except as provided in subsection (b), no Bonds may be
8issued if, after the issuance, in the next State fiscal year
9after the issuance of the Bonds, the amount of debt service
10(including principal, whether payable at maturity or pursuant
11to mandatory sinking fund installments, and interest) on all
12then-outstanding Bonds, other than (i) Bonds authorized by
13Public Act 100-23, (ii) Bonds issued by Public Act 96-43, (iii)
14Bonds authorized by Public Act 96-1497, and (iv) Bonds
15authorized by Public Act 100-587 this amendatory Act of the
16100th General Assembly, would exceed 7% of the aggregate
17appropriations from the general funds, the State Construction
18Account Fund, (which consist of the General Revenue Fund, the
19Common School Fund, the General Revenue Common School Special
20Account Fund, and the Education Assistance Fund) and the Road
21Fund for the fiscal year immediately prior to the fiscal year
22of the issuance. For the purposes of this subsection (a),
23"general funds" has the same meaning as ascribed to that term
24under Section 50-40 of the State Budget Law of the Civil
25Administrative Code of Illinois.

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1 (b) If the Comptroller and Treasurer each consent in
2writing, Bonds may be issued even if the issuance does not
3comply with subsection (a). In addition, $2,000,000,000 in
4Bonds for the purposes set forth in Sections 3, 4, 5, 6, and 7,
5and $2,000,000,000 in Refunding Bonds under Section 16, may be
6issued during State fiscal year 2017 without complying with
7subsection (a). In addition, $2,000,000,000 in Bonds for the
8purposes set forth in Sections 3, 4, 5, 6, and 7, and
9$2,000,000,000 in Refunding Bonds under Section 16, may be
10issued during State fiscal year 2018 without complying with
11subsection (a).
12(Source: P.A. 99-523, eff. 6-30-16; 100-23, Article 25, Section
1325-5, eff. 7-6-17; 100-23, Article 75, Section 75-10, eff.
147-6-17; 100-587, eff. 6-4-18; 100-863, eff. 8-14-18; 101-30,
15eff. 6-28-19.)
16 (30 ILCS 330/3) (from Ch. 127, par. 653)
17 Sec. 3. Capital facilities. The amount of $18,580,011,269
18$10,538,963,443 is authorized to be used for the acquisition,
19development, construction, reconstruction, improvement,
20financing, architectural planning and installation of capital
21facilities within the State, consisting of buildings,
22structures, durable equipment, land, interests in land, and the
23costs associated with the purchase and implementation of
24information technology, including but not limited to the
25purchase of hardware and software, for the following specific

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1purposes:
2 (a) $6,268,676,500 $3,433,228,000 for educational
3 purposes by State universities and public community
4 colleges, the Illinois Community College Board created by
5 the Public Community College Act and for grants to public
6 community colleges as authorized by Sections 5-11 and 5-12
7 of the Public Community College Act;
8 (b) $1,690,506,300 $1,648,420,000 for correctional
9 purposes at State prison and correctional centers;
10 (c) $688,492,300 $599,183,000 for open spaces,
11 recreational and conservation purposes and the protection
12 of land, including expenditures and grants for the Illinois
13 Conservation Reserve Enhancement Program and for ecosystem
14 restoration and for plugging of abandoned wells;
15 (d) $1,078,503,900 $764,317,000 for State child care
16 facilities, mental and public health facilities, and
17 facilities for the care of veterans with disabilities and
18 their spouses, and for grants to public and private
19 community health centers, hospitals, and other health care
20 providers for capital facilities;
21 (e) $7,518,753,300 $2,884,790,000 for use by the
22 State, its departments, authorities, public corporations,
23 commissions and agencies, including renewable energy
24 upgrades at State facilities;
25 (f) $818,100 for cargo handling facilities at port
26 districts and for breakwaters, including harbor entrances,

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1 at port districts in conjunction with facilities for small
2 boats and pleasure crafts;
3 (g) $375,457,000 $297,177,074 for water resource
4 management projects, including flood mitigation and State
5 dam and waterway projects;
6 (h) $16,940,269 for the provision of facilities for
7 food production research and related instructional and
8 public service activities at the State universities and
9 public community colleges;
10 (i) $75,134,700 $36,000,000 for grants by the
11 Secretary of State, as State Librarian, for central library
12 facilities authorized by Section 8 of the Illinois Library
13 System Act and for grants by the Capital Development Board
14 to units of local government for public library facilities;
15 (j) $25,000,000 for the acquisition, development,
16 construction, reconstruction, improvement, financing,
17 architectural planning and installation of capital
18 facilities consisting of buildings, structures, durable
19 equipment and land for grants to counties, municipalities
20 or public building commissions with correctional
21 facilities that do not comply with the minimum standards of
22 the Department of Corrections under Section 3-15-2 of the
23 Unified Code of Corrections;
24 (k) $5,011,600 $5,000,000 for grants in fiscal year
25 1988 by the Department of Conservation for improvement or
26 expansion of aquarium facilities located on property owned

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1 by a park district;
2 (l) $599,590,000 to State agencies for grants to local
3 governments for the acquisition, financing, architectural
4 planning, development, alteration, installation, and
5 construction of capital facilities consisting of
6 buildings, structures, durable equipment, and land; and
7 (m) $237,127,300 $228,500,000 for the Illinois Open
8 Land Trust Program as defined by the Illinois Open Land
9 Trust Act.
10 The amounts authorized above for capital facilities may be
11used for the acquisition, installation, alteration,
12construction, or reconstruction of capital facilities and for
13the purchase of equipment for the purpose of major capital
14improvements which will reduce energy consumption in State
15buildings or facilities.
16(Source: P.A. 99-143, eff. 7-27-15; 100-587, eff. 6-4-18;
17101-30, eff. 6-28-19.)
18 (30 ILCS 330/4) (from Ch. 127, par. 654)
19 Sec. 4. Transportation. The amount of $27,048,062,400
20$15,948,199,000 is authorized for use by the Department of
21Transportation for the specific purpose of promoting and
22assuring rapid, efficient, and safe highway, air and mass
23transportation for the inhabitants of the State by providing
24monies, including the making of grants and loans, for the
25acquisition, construction, reconstruction, extension and

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1improvement of the following transportation facilities and
2equipment, and for the acquisition of real property and
3interests in real property required or expected to be required
4in connection therewith as follows:
5 (a) $11,921,354,200 $5,432,129,000 for State highways,
6arterial highways, freeways, roads, bridges, structures
7separating highways and railroads and roads, and bridges on
8roads maintained by counties, municipalities, townships, or
9road districts, and grants to counties, municipalities,
10townships, or road districts for planning, engineering,
11acquisition, construction, reconstruction, development,
12improvement, extension, and all construction-related expenses
13of the public infrastructure and other transportation
14improvement projects for the following specific purposes:
15 (1) $9,819,221,200 $3,330,000,000 for use statewide,
16 (2) $3,677,000 for use outside the Chicago urbanized
17 area,
18 (3) $7,543,000 for use within the Chicago urbanized
19 area,
20 (4) $13,060,600 for use within the City of Chicago,
21 (5) $58,991,500 $58,987,500 for use within the
22 counties of Cook, DuPage, Kane, Lake, McHenry and Will,
23 (6) $18,860,900 for use outside the counties of Cook,
24 DuPage, Kane, Lake, McHenry and Will, and
25 (7) $2,000,000,000 for use on projects included in
26 either (i) the FY09-14 Proposed Highway Improvement

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1 Program as published by the Illinois Department of
2 Transportation in May 2008 or (ii) the FY10-15 Proposed
3 Highway Improvement Program to be published by the Illinois
4 Department of Transportation in the spring of 2009; except
5 that all projects must be maintenance projects for the
6 existing State system with the goal of reaching 90%
7 acceptable condition in the system statewide and further
8 except that all projects must reflect the generally
9 accepted historical distribution of projects throughout
10 the State.
11 (b) $5,966,379,900 $5,379,670,000 for rail facilities and
12for mass transit facilities, as defined in Section 2705-305 of
13the Department of Transportation Law (20 ILCS 2705/2705-305),
14including rapid transit, rail, bus and other equipment used in
15connection therewith by the State or any unit of local
16government, special transportation district, municipal
17corporation or other corporation or public authority
18authorized to provide and promote public transportation within
19the State or two or more of the foregoing jointly, for the
20following specific purposes:
21 (1) $4,387,063,600 $4,283,870,000 statewide,
22 (2) $83,350,000 for use within the counties of Cook,
23 DuPage, Kane, Lake, McHenry and Will,
24 (3) $12,450,000 for use outside the counties of Cook,
25 DuPage, Kane, Lake, McHenry and Will, and
26 (4) $1,000,916,300 $1,000,000,000 for use on projects

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1 that shall reflect the generally accepted historical
2 distribution of projects throughout the State.
3 (c) $482,600,000 for airport or aviation facilities and any
4equipment used in connection therewith, including engineering
5and land acquisition costs, by the State or any unit of local
6government, special transportation district, municipal
7corporation or other corporation or public authority
8authorized to provide public transportation within the State,
9or two or more of the foregoing acting jointly, and for the
10making of deposits into the Airport Land Loan Revolving Fund
11for loans to public airport owners pursuant to the Illinois
12Aeronautics Act.
13 (d) $4,660,328,300 $4,653,800,000 for use statewide for
14State or local highways, arterial highways, freeways, roads,
15bridges, and structures separating highways and railroads and
16roads, and for grants to counties, municipalities, townships,
17or road districts for planning, engineering, acquisition,
18construction, reconstruction, development, improvement,
19extension, and all construction-related expenses of the public
20infrastructure and other transportation improvement projects
21which are related to economic development in the State of
22Illinois.
23 (e) $4,500,000,000 for use statewide for grade crossings,
24port facilities, airport facilities, rail facilities, and mass
25transit facilities, as defined in Section 2705-305 of the
26Department of Transportation Law of the Civil Administrative

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1Code of Illinois, including rapid transit, rail, bus and other
2equipment used in connection therewith by the State or any unit
3of local government, special transportation district,
4municipal corporation or other corporation or public authority
5authorized to provide and promote public transportation within
6the State or two or more of the foregoing jointly.
7(Source: P.A. 97-771, eff. 7-10-12; 98-94, eff. 7-17-13;
898-781, eff. 7-22-14; 101-30, eff. 6-28-19.)
9 (30 ILCS 330/5) (from Ch. 127, par. 655)
10 Sec. 5. School construction.
11 (a) The amount of $58,450,000 is authorized to make grants
12to local school districts for the acquisition, development,
13construction, reconstruction, rehabilitation, improvement,
14financing, architectural planning and installation of capital
15facilities, including but not limited to those required for
16special education building projects provided for in Article 14
17of The School Code, consisting of buildings, structures, and
18durable equipment, and for the acquisition and improvement of
19real property and interests in real property required, or
20expected to be required, in connection therewith.
21 (b) $22,550,000, or so much thereof as may be necessary,
22for grants to school districts for the making of principal and
23interest payments, required to be made, on bonds issued by such
24school districts after January 1, 1969, pursuant to any
25indenture, ordinance, resolution, agreement or contract to

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1provide funds for the acquisition, development, construction,
2reconstruction, rehabilitation, improvement, architectural
3planning and installation of capital facilities consisting of
4buildings, structures, durable equipment and land for
5educational purposes or for lease payments required to be made
6by a school district for principal and interest payments on
7bonds issued by a Public Building Commission after January 1,
81969.
9 (c) $10,000,000 for grants to school districts for the
10acquisition, development, construction, reconstruction,
11rehabilitation, improvement, architectural planning and
12installation of capital facilities consisting of buildings
13structures, durable equipment and land for special education
14building projects.
15 (d) $9,000,000 for grants to school districts for the
16reconstruction, rehabilitation, improvement, financing and
17architectural planning of capital facilities, including
18construction at another location to replace such capital
19facilities, consisting of those public school buildings and
20temporary school facilities which, prior to January 1, 1984,
21were condemned by the regional superintendent under Section
223-14.22 of The School Code or by any State official having
23jurisdiction over building safety.
24 (e) $3,109,403,700 $3,050,000,000 for grants to school
25districts for school improvement projects authorized by the
26School Construction Law. The bonds shall be sold in amounts not

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1to exceed the following schedule, except any bonds not sold
2during one year shall be added to the bonds to be sold during
3the remainder of the schedule:
4 First year...................................$200,000,000
5 Second year..................................$450,000,000
6 Third year...................................$500,000,000
7 Fourth year..................................$500,000,000
8 Fifth year...................................$800,000,000
9 Sixth year and thereafter........$659,403,700 $600,000,000
10 (f) $1,615,000,000 grants to school districts for school
11implemented projects authorized by the School Construction
12Law.
13(Source: P.A. 100-587, eff. 6-4-18; 101-30, eff. 6-28-19.)
14 (30 ILCS 330/6) (from Ch. 127, par. 656)
15 Sec. 6. Anti-Pollution.
16 (a) The amount of $581,814,300 $443,215,000 is authorized
17for allocation by the Environmental Protection Agency for
18grants or loans to units of local government, including grants
19to disadvantaged communities without modern sewage systems, in
20such amounts, at such times and for such purpose as the Agency
21deems necessary or desirable for the planning, financing, and
22construction of municipal sewage treatment works and solid
23waste disposal facilities and for making of deposits into the
24Water Revolving Fund and the U.S. Environmental Protection Fund
25to provide assistance in accordance with the provisions of

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1Title IV-A of the Environmental Protection Act.
2 (b) The amount of $236,500,000 is authorized for allocation
3by the Environmental Protection Agency for payment of claims
4submitted to the State and approved for payment under the
5Leaking Underground Storage Tank Program established in Title
6XVI of the Environmental Protection Act.
7(Source: P.A. 98-94, eff. 7-17-13; 101-30, eff. 6-28-19.)
8 (30 ILCS 330/7.6)
9 Sec. 7.6. Income Tax Proceed Bonds.
10 (a) As used in this Act, "Income Tax Proceed Bonds" means
11Bonds (i) authorized by this amendatory Act of the 100th
12General Assembly or any other Public Act of the 100th General
13Assembly authorizing the issuance of Income Tax Proceed Bonds
14and (ii) used for the payment of unpaid obligations of the
15State as incurred from time to time and as authorized by the
16General Assembly.
17 (b) Income Tax Proceed Bonds in the amount of
18$6,000,000,000 are hereby authorized to be used for the purpose
19of paying vouchers incurred by the State prior to July 1, 2017.
20Additional Income Tax Proceed Bonds in the amount of
21$1,200,000,000 are hereby authorized to be used for the purpose
22of paying vouchers incurred by the State and accruing interest
23payable by the State prior to the date on which the Income Tax
24Proceed Bonds are issued.
25 (c) The Income Tax Bond Fund is hereby created as a special

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1fund in the State treasury. All moneys from the proceeds of the
2sale of the Income Tax Proceed Bonds, less the amounts
3authorized in the Bond Sale Order to be directly paid out for
4bond sale expenses under Section 8, shall be deposited into the
5Income Tax Bond Fund. All moneys in the Income Tax Bond Fund
6shall be used for the purpose of paying vouchers incurred by
7the State prior to July 1, 2017 or for paying vouchers incurred
8by the State more than 90 days prior to the date on which the
9Income Tax Proceed Bonds are issued. For the purpose of paying
10such vouchers, the Comptroller has the authority to transfer
11moneys from the Income Tax Bond Fund to general funds and the
12Health Insurance Reserve Fund. "General funds" has the meaning
13provided in Section 50-40 of the State Budget Law.
14(Source: P.A. 100-23, eff. 7-6-17; 101-30, eff. 6-28-19;
15101-604, eff. 12-13-19.)
16 (30 ILCS 330/9) (from Ch. 127, par. 659)
17 Sec. 9. Conditions for issuance and sale of Bonds;
18requirements for Bonds.
19 (a) Except as otherwise provided in this subsection,
20subsection (h), and subsection (i), Bonds shall be issued and
21sold from time to time, in one or more series, in such amounts
22and at such prices as may be directed by the Governor, upon
23recommendation by the Director of the Governor's Office of
24Management and Budget. Bonds shall be in such form (either
25coupon, registered or book entry), in such denominations,

HB5561- 20 -LRB101 17547 JWD 66965 b
1payable within 25 years from their date, subject to such terms
2of redemption with or without premium, bear interest payable at
3such times and at such fixed or variable rate or rates, and be
4dated as shall be fixed and determined by the Director of the
5Governor's Office of Management and Budget in the order
6authorizing the issuance and sale of any series of Bonds, which
7order shall be approved by the Governor and is herein called a
8"Bond Sale Order"; provided however, that interest payable at
9fixed or variable rates shall not exceed that permitted in the
10Bond Authorization Act, as now or hereafter amended. Bonds
11shall be payable at such place or places, within or without the
12State of Illinois, and may be made registrable as to either
13principal or as to both principal and interest, as shall be
14specified in the Bond Sale Order. Bonds may be callable or
15subject to purchase and retirement or tender and remarketing as
16fixed and determined in the Bond Sale Order. Bonds, other than
17Bonds issued under Section 3 of this Act for the costs
18associated with the purchase and implementation of information
19technology, (i) except for refunding Bonds satisfying the
20requirements of Section 16 of this Act and sold during fiscal
21year 2009, 2010, 2011, 2017, 2018, or 2019 must be issued with
22principal or mandatory redemption amounts in equal amounts,
23with the first maturity issued occurring within the fiscal year
24in which the Bonds are issued or within the next succeeding
25fiscal year and (ii) must mature or be subject to mandatory
26redemption each fiscal year thereafter up to 25 years, except

HB5561- 21 -LRB101 17547 JWD 66965 b
1for refunding Bonds satisfying the requirements of Section 16
2of this Act and sold during fiscal year 2009, 2010, or 2011
3which must mature or be subject to mandatory redemption each
4fiscal year thereafter up to 16 years. Bonds issued under
5Section 3 of this Act for the costs associated with the
6purchase and implementation of information technology must be
7issued with principal or mandatory redemption amounts in equal
8amounts, with the first maturity issued occurring with the
9fiscal year in which the respective bonds are issued or with
10the next succeeding fiscal year, with the respective bonds
11issued maturing or subject to mandatory redemption each fiscal
12year thereafter up to 10 years. Notwithstanding any provision
13of this Act to the contrary, the Bonds authorized by Public Act
1496-43 shall be payable within 5 years from their date and must
15be issued with principal or mandatory redemption amounts in
16equal amounts, with payment of principal or mandatory
17redemption beginning in the first fiscal year following the
18fiscal year in which the Bonds are issued.
19 Notwithstanding any provision of this Act to the contrary,
20the Bonds authorized by Public Act 96-1497 shall be payable
21within 8 years from their date and shall be issued with payment
22of maturing principal or scheduled mandatory redemptions in
23accordance with the following schedule, except the following
24amounts shall be prorated if less than the total additional
25amount of Bonds authorized by Public Act 96-1497 are issued:
26 Fiscal Year After Issuance Amount

HB5561- 22 -LRB101 17547 JWD 66965 b
1 1-2 $0
2 3 $110,712,120
3 4 $332,136,360
4 5 $664,272,720
5 6-8 $996,409,080
6 Notwithstanding any provision of this Act to the contrary,
7Income Tax Proceed Bonds issued under Section 7.6 shall be
8payable 12 years from the date of sale and shall be issued with
9payment of principal or mandatory redemption.
10 In the case of any series of Bonds bearing interest at a
11variable interest rate ("Variable Rate Bonds"), in lieu of
12determining the rate or rates at which such series of Variable
13Rate Bonds shall bear interest and the price or prices at which
14such Variable Rate Bonds shall be initially sold or remarketed
15(in the event of purchase and subsequent resale), the Bond Sale
16Order may provide that such interest rates and prices may vary
17from time to time depending on criteria established in such
18Bond Sale Order, which criteria may include, without
19limitation, references to indices or variations in interest
20rates as may, in the judgment of a remarketing agent, be
21necessary to cause Variable Rate Bonds of such series to be
22remarketable from time to time at a price equal to their
23principal amount, and may provide for appointment of a bank,
24trust company, investment bank, or other financial institution
25to serve as remarketing agent in that connection. The Bond Sale
26Order may provide that alternative interest rates or provisions

HB5561- 23 -LRB101 17547 JWD 66965 b
1for establishing alternative interest rates, different
2security or claim priorities, or different call or amortization
3provisions will apply during such times as Variable Rate Bonds
4of any series are held by a person providing credit or
5liquidity enhancement arrangements for such Bonds as
6authorized in subsection (b) of this Section. The Bond Sale
7Order may also provide for such variable interest rates to be
8established pursuant to a process generally known as an auction
9rate process and may provide for appointment of one or more
10financial institutions to serve as auction agents and
11broker-dealers in connection with the establishment of such
12interest rates and the sale and remarketing of such Bonds.
13 (b) In connection with the issuance of any series of Bonds,
14the State may enter into arrangements to provide additional
15security and liquidity for such Bonds, including, without
16limitation, bond or interest rate insurance or letters of
17credit, lines of credit, bond purchase contracts, or other
18arrangements whereby funds are made available to retire or
19purchase Bonds, thereby assuring the ability of owners of the
20Bonds to sell or redeem their Bonds. The State may enter into
21contracts and may agree to pay fees to persons providing such
22arrangements, but only under circumstances where the Director
23of the Governor's Office of Management and Budget certifies
24that he or she reasonably expects the total interest paid or to
25be paid on the Bonds, together with the fees for the
26arrangements (being treated as if interest), would not, taken

HB5561- 24 -LRB101 17547 JWD 66965 b
1together, cause the Bonds to bear interest, calculated to their
2stated maturity, at a rate in excess of the rate that the Bonds
3would bear in the absence of such arrangements.
4 The State may, with respect to Bonds issued or anticipated
5to be issued, participate in and enter into arrangements with
6respect to interest rate protection or exchange agreements,
7guarantees, or financial futures contracts for the purpose of
8limiting, reducing, or managing interest rate exposure. The
9authority granted under this paragraph, however, shall not
10increase the principal amount of Bonds authorized to be issued
11by law. The arrangements may be executed and delivered by the
12Director of the Governor's Office of Management and Budget on
13behalf of the State. Net payments for such arrangements shall
14constitute interest on the Bonds and shall be paid from the
15General Obligation Bond Retirement and Interest Fund. The
16Director of the Governor's Office of Management and Budget
17shall at least annually certify to the Governor and the State
18Comptroller his or her estimate of the amounts of such net
19payments to be included in the calculation of interest required
20to be paid by the State.
21 (c) Prior to the issuance of any Variable Rate Bonds
22pursuant to subsection (a), the Director of the Governor's
23Office of Management and Budget shall adopt an interest rate
24risk management policy providing that the amount of the State's
25variable rate exposure with respect to Bonds shall not exceed
2620%. This policy shall remain in effect while any Bonds are

HB5561- 25 -LRB101 17547 JWD 66965 b
1outstanding and the issuance of Bonds shall be subject to the
2terms of such policy. The terms of this policy may be amended
3from time to time by the Director of the Governor's Office of
4Management and Budget but in no event shall any amendment cause
5the permitted level of the State's variable rate exposure with
6respect to Bonds to exceed 20%.
7 (d) "Build America Bonds" in this Section means Bonds
8authorized by Section 54AA of the Internal Revenue Code of
91986, as amended ("Internal Revenue Code"), and bonds issued
10from time to time to refund or continue to refund "Build
11America Bonds".
12 (e) Notwithstanding any other provision of this Section,
13Qualified School Construction Bonds shall be issued and sold
14from time to time, in one or more series, in such amounts and
15at such prices as may be directed by the Governor, upon
16recommendation by the Director of the Governor's Office of
17Management and Budget. Qualified School Construction Bonds
18shall be in such form (either coupon, registered or book
19entry), in such denominations, payable within 25 years from
20their date, subject to such terms of redemption with or without
21premium, and if the Qualified School Construction Bonds are
22issued with a supplemental coupon, bear interest payable at
23such times and at such fixed or variable rate or rates, and be
24dated as shall be fixed and determined by the Director of the
25Governor's Office of Management and Budget in the order
26authorizing the issuance and sale of any series of Qualified

HB5561- 26 -LRB101 17547 JWD 66965 b
1School Construction Bonds, which order shall be approved by the
2Governor and is herein called a "Bond Sale Order"; except that
3interest payable at fixed or variable rates, if any, shall not
4exceed that permitted in the Bond Authorization Act, as now or
5hereafter amended. Qualified School Construction Bonds shall
6be payable at such place or places, within or without the State
7of Illinois, and may be made registrable as to either principal
8or as to both principal and interest, as shall be specified in
9the Bond Sale Order. Qualified School Construction Bonds may be
10callable or subject to purchase and retirement or tender and
11remarketing as fixed and determined in the Bond Sale Order.
12Qualified School Construction Bonds must be issued with
13principal or mandatory redemption amounts or sinking fund
14payments into the General Obligation Bond Retirement and
15Interest Fund (or subaccount therefor) in equal amounts, with
16the first maturity issued, mandatory redemption payment or
17sinking fund payment occurring within the fiscal year in which
18the Qualified School Construction Bonds are issued or within
19the next succeeding fiscal year, with Qualified School
20Construction Bonds issued maturing or subject to mandatory
21redemption or with sinking fund payments thereof deposited each
22fiscal year thereafter up to 25 years. Sinking fund payments
23set forth in this subsection shall be permitted only to the
24extent authorized in Section 54F of the Internal Revenue Code
25or as otherwise determined by the Director of the Governor's
26Office of Management and Budget. "Qualified School

HB5561- 27 -LRB101 17547 JWD 66965 b
1Construction Bonds" in this subsection means Bonds authorized
2by Section 54F of the Internal Revenue Code and for bonds
3issued from time to time to refund or continue to refund such
4"Qualified School Construction Bonds".
5 (f) Beginning with the next issuance by the Governor's
6Office of Management and Budget to the Procurement Policy Board
7of a request for quotation for the purpose of formulating a new
8pool of qualified underwriting banks list, all entities
9responding to such a request for quotation for inclusion on
10that list shall provide a written report to the Governor's
11Office of Management and Budget and the Illinois Comptroller.
12The written report submitted to the Comptroller shall (i) be
13published on the Comptroller's Internet website and (ii) be
14used by the Governor's Office of Management and Budget for the
15purposes of scoring such a request for quotation. The written
16report, at a minimum, shall:
17 (1) disclose whether, within the past 3 months,
18 pursuant to its credit default swap market-making
19 activities, the firm has entered into any State of Illinois
20 credit default swaps ("CDS");
21 (2) include, in the event of State of Illinois CDS
22 activity, disclosure of the firm's cumulative notional
23 volume of State of Illinois CDS trades and the firm's
24 outstanding gross and net notional amount of State of
25 Illinois CDS, as of the end of the current 3-month period;
26 (3) indicate, pursuant to the firm's proprietary

HB5561- 28 -LRB101 17547 JWD 66965 b
1 trading activities, disclosure of whether the firm, within
2 the past 3 months, has entered into any proprietary trades
3 for its own account in State of Illinois CDS;
4 (4) include, in the event of State of Illinois
5 proprietary trades, disclosure of the firm's outstanding
6 gross and net notional amount of proprietary State of
7 Illinois CDS and whether the net position is short or long
8 credit protection, as of the end of the current 3-month
9 period;
10 (5) list all time periods during the past 3 months
11 during which the firm held net long or net short State of
12 Illinois CDS proprietary credit protection positions, the
13 amount of such positions, and whether those positions were
14 net long or net short credit protection positions; and
15 (6) indicate whether, within the previous 3 months, the
16 firm released any publicly available research or marketing
17 reports that reference State of Illinois CDS and include
18 those research or marketing reports as attachments.
19 (g) All entities included on a Governor's Office of
20Management and Budget's pool of qualified underwriting banks
21list shall, as soon as possible after March 18, 2011 (the
22effective date of Public Act 96-1554), but not later than
23January 21, 2011, and on a quarterly fiscal basis thereafter,
24provide a written report to the Governor's Office of Management
25and Budget and the Illinois Comptroller. The written reports
26submitted to the Comptroller shall be published on the

HB5561- 29 -LRB101 17547 JWD 66965 b
1Comptroller's Internet website. The written reports, at a
2minimum, shall:
3 (1) disclose whether, within the past 3 months,
4 pursuant to its credit default swap market-making
5 activities, the firm has entered into any State of Illinois
6 credit default swaps ("CDS");
7 (2) include, in the event of State of Illinois CDS
8 activity, disclosure of the firm's cumulative notional
9 volume of State of Illinois CDS trades and the firm's
10 outstanding gross and net notional amount of State of
11 Illinois CDS, as of the end of the current 3-month period;
12 (3) indicate, pursuant to the firm's proprietary
13 trading activities, disclosure of whether the firm, within
14 the past 3 months, has entered into any proprietary trades
15 for its own account in State of Illinois CDS;
16 (4) include, in the event of State of Illinois
17 proprietary trades, disclosure of the firm's outstanding
18 gross and net notional amount of proprietary State of
19 Illinois CDS and whether the net position is short or long
20 credit protection, as of the end of the current 3-month
21 period;
22 (5) list all time periods during the past 3 months
23 during which the firm held net long or net short State of
24 Illinois CDS proprietary credit protection positions, the
25 amount of such positions, and whether those positions were
26 net long or net short credit protection positions; and

HB5561- 30 -LRB101 17547 JWD 66965 b
1 (6) indicate whether, within the previous 3 months, the
2 firm released any publicly available research or marketing
3 reports that reference State of Illinois CDS and include
4 those research or marketing reports as attachments.
5 (h) Notwithstanding any other provision of this Section,
6for purposes of maximizing market efficiencies and cost
7savings, Income Tax Proceed Bonds may be issued and sold from
8time to time, in one or more series, in such amounts and at
9such prices as may be directed by the Governor, upon
10recommendation by the Director of the Governor's Office of
11Management and Budget. Income Tax Proceed Bonds shall be in
12such form, either coupon, registered, or book entry, in such
13denominations, shall bear interest payable at such times and at
14such fixed or variable rate or rates, and be dated as shall be
15fixed and determined by the Director of the Governor's Office
16of Management and Budget in the order authorizing the issuance
17and sale of any series of Income Tax Proceed Bonds, which order
18shall be approved by the Governor and is herein called a "Bond
19Sale Order"; provided, however, that interest payable at fixed
20or variable rates shall not exceed that permitted in the Bond
21Authorization Act. Income Tax Proceed Bonds shall be payable at
22such place or places, within or without the State of Illinois,
23and may be made registrable as to either principal or as to
24both principal and interest, as shall be specified in the Bond
25Sale Order. Income Tax Proceed Bonds may be callable or subject
26to purchase and retirement or tender and remarketing as fixed

HB5561- 31 -LRB101 17547 JWD 66965 b
1and determined in the Bond Sale Order.
2 (i) Notwithstanding any other provision of this Section,
3for purposes of maximizing market efficiencies and cost
4savings, State Pension Obligation Acceleration Bonds may be
5issued and sold from time to time, in one or more series, in
6such amounts and at such prices as may be directed by the
7Governor, upon recommendation by the Director of the Governor's
8Office of Management and Budget. State Pension Obligation
9Acceleration Bonds shall be in such form, either coupon,
10registered, or book entry, in such denominations, shall bear
11interest payable at such times and at such fixed or variable
12rate or rates, and be dated as shall be fixed and determined by
13the Director of the Governor's Office of Management and Budget
14in the order authorizing the issuance and sale of any series of
15State Pension Obligation Acceleration Bonds, which order shall
16be approved by the Governor and is herein called a "Bond Sale
17Order"; provided, however, that interest payable at fixed or
18variable rates shall not exceed that permitted in the Bond
19Authorization Act. State Pension Obligation Acceleration Bonds
20shall be payable at such place or places, within or without the
21State of Illinois, and may be made registrable as to either
22principal or as to both principal and interest, as shall be
23specified in the Bond Sale Order. State Pension Obligation
24Acceleration Bonds may be callable or subject to purchase and
25retirement or tender and remarketing as fixed and determined in
26the Bond Sale Order.

HB5561- 32 -LRB101 17547 JWD 66965 b
1(Source: P.A. 100-23, Article 25, Section 25-5, eff. 7-6-17;
2100-23, Article 75, Section 75-10, eff. 7-6-17; 100-587,
3Article 60, Section 60-5, eff. 6-4-18; 100-587, Article 110,
4Section 110-15, eff. 6-4-18; 100-863, eff. 8-14-18; 101-30,
5eff. 6-28-19; 101-81, eff. 7-12-19.)
6 (30 ILCS 330/11) (from Ch. 127, par. 661)
7 Sec. 11. Sale of Bonds. Except as otherwise provided in
8this Section, Bonds shall be sold from time to time pursuant to
9notice of sale and public bid or by negotiated sale in such
10amounts and at such times as is directed by the Governor, upon
11recommendation by the Director of the Governor's Office of
12Management and Budget. At least 25%, based on total principal
13amount, of all Bonds issued each fiscal year shall be sold
14pursuant to notice of sale and public bid. At all times during
15each fiscal year, no more than 75%, based on total principal
16amount, of the Bonds issued each fiscal year, shall have been
17sold by negotiated sale. Failure to satisfy the requirements in
18the preceding 2 sentences shall not affect the validity of any
19previously issued Bonds; provided that all Bonds authorized by
20Public Act 96-43 and Public Act 96-1497 shall not be included
21in determining compliance for any fiscal year with the
22requirements of the preceding 2 sentences; and further provided
23that refunding Bonds satisfying the requirements of Section 16
24of this Act and sold during fiscal year 2009, 2010, 2011, 2017,
252018, or 2019 shall not be subject to the requirements in the

HB5561- 33 -LRB101 17547 JWD 66965 b
1preceding 2 sentences.
2 If any Bonds, including refunding Bonds, are to be sold by
3negotiated sale, the Director of the Governor's Office of
4Management and Budget shall comply with the competitive request
5for proposal process set forth in the Illinois Procurement Code
6and all other applicable requirements of that Code.
7 If Bonds are to be sold pursuant to notice of sale and
8public bid, the Director of the Governor's Office of Management
9and Budget may, from time to time, as Bonds are to be sold,
10advertise the sale of the Bonds in at least 2 daily newspapers,
11one of which is published in the City of Springfield and one in
12the City of Chicago. The sale of the Bonds shall also be
13advertised in the volume of the Illinois Procurement Bulletin
14that is published by the Department of Central Management
15Services, and shall be published once at least 10 days prior to
16the date fixed for the opening of the bids. The Director of the
17Governor's Office of Management and Budget may reschedule the
18date of sale upon the giving of such additional notice as the
19Director deems adequate to inform prospective bidders of such
20change; provided, however, that all other conditions of the
21sale shall continue as originally advertised.
22 Executed Bonds shall, upon payment therefor, be delivered
23to the purchaser, and the proceeds of Bonds shall be paid into
24the State Treasury as directed by Section 12 of this Act.
25 All Income Tax Proceed Bonds shall comply with this
26Section. Notwithstanding anything to the contrary, however,

HB5561- 34 -LRB101 17547 JWD 66965 b
1for purposes of complying with this Section, Income Tax Proceed
2Bonds, regardless of the number of series or issuances sold
3thereunder, shall be considered a single issue or series.
4Furthermore, for purposes of complying with the competitive
5bidding requirements of this Section, the words "at all times"
6shall not apply to any such sale of the Income Tax Proceed
7Bonds. The Director of the Governor's Office of Management and
8Budget shall determine the time and manner of any competitive
9sale of the Income Tax Proceed Bonds; however, that sale shall
10under no circumstances take place later than 60 days after the
11State closes the sale of 75% of the Income Tax Proceed Bonds by
12negotiated sale.
13 All State Pension Obligation Acceleration Bonds shall
14comply with this Section. Notwithstanding anything to the
15contrary, however, for purposes of complying with this Section,
16State Pension Obligation Acceleration Bonds, regardless of the
17number of series or issuances sold thereunder, shall be
18considered a single issue or series. Furthermore, for purposes
19of complying with the competitive bidding requirements of this
20Section, the words "at all times" shall not apply to any such
21sale of the State Pension Obligation Acceleration Bonds. The
22Director of the Governor's Office of Management and Budget
23shall determine the time and manner of any competitive sale of
24the State Pension Obligation Acceleration Bonds; however, that
25sale shall under no circumstances take place later than 60 days
26after the State closes the sale of 75% of the State Pension

HB5561- 35 -LRB101 17547 JWD 66965 b
1Obligation Acceleration Bonds by negotiated sale.
2(Source: P.A. 100-23, Article 25, Section 25-5, eff. 7-6-17;
3100-23, Article 75, Section 75-10, eff. 7-6-17; 100-587,
4Article 60, Section 60-5, eff. 6-4-18; 100-587, Article 110,
5Section 110-15, eff. 6-4-18; 100-863, eff. 8-4-18; 101-30, eff.
66-28-19; 101-81, eff. 7-12-19.)
7 (30 ILCS 330/12) (from Ch. 127, par. 662)
8 Sec. 12. Allocation of proceeds from sale of Bonds.
9 (a) Proceeds from the sale of Bonds, authorized by Section
103 of this Act, shall be deposited in the separate fund known as
11the Capital Development Fund.
12 (b) Proceeds from the sale of Bonds, authorized by
13paragraph (a) of Section 4 of this Act, shall be deposited in
14the separate fund known as the Transportation Bond, Series A
15Fund.
16 (c) Proceeds from the sale of Bonds, authorized by
17paragraphs (b) and (c) of Section 4 of this Act, shall be
18deposited in the separate fund known as the Transportation
19Bond, Series B Fund.
20 (c-1) Proceeds from the sale of Bonds, authorized by
21paragraph (d) of Section 4 of this Act, shall be deposited into
22the Transportation Bond Series D Fund, which is hereby created.
23 (c-2) Proceeds from the sale of Bonds, authorized by
24paragraph (e) of Section 4 of this Act, shall be deposited into
25the Multi-modal Transportation Bond Fund, which is hereby

HB5561- 36 -LRB101 17547 JWD 66965 b
1created.
2 (d) Proceeds from the sale of Bonds, authorized by Section
35 of this Act, shall be deposited in the separate fund known as
4the School Construction Fund.
5 (e) Proceeds from the sale of Bonds, authorized by Section
66 of this Act, shall be deposited in the separate fund known as
7the Anti-Pollution Fund.
8 (f) Proceeds from the sale of Bonds, authorized by Section
97 of this Act, shall be deposited in the separate fund known as
10the Coal Development Fund.
11 (f-2) Proceeds from the sale of Bonds, authorized by
12Section 7.2 of this Act, shall be deposited as set forth in
13Section 7.2.
14 (f-5) Proceeds from the sale of Bonds, authorized by
15Section 7.5 of this Act, shall be deposited as set forth in
16Section 7.5.
17 (f-7) Proceeds from the sale of Bonds, authorized by
18Section 7.6 of this Act, shall be deposited as set forth in
19Section 7.6.
20 (f-8) Proceeds from the sale of Bonds, authorized by
21Section 7.7 of this Act, shall be deposited as set forth in
22Section 7.7.
23 (g) Proceeds from the sale of Bonds, authorized by Section
248 of this Act, shall be deposited in the Capital Development
25Fund.
26 (h) Subsequent to the issuance of any Bonds for the

HB5561- 37 -LRB101 17547 JWD 66965 b
1purposes described in Sections 2 through 8 of this Act, the
2Governor and the Director of the Governor's Office of
3Management and Budget may provide for the reallocation of
4unspent proceeds of such Bonds to any other purposes authorized
5under said Sections of this Act, subject to the limitations on
6aggregate principal amounts contained therein. Upon any such
7reallocation, such unspent proceeds shall be transferred to the
8appropriate funds as determined by reference to paragraphs (a)
9through (g) of this Section.
10(Source: P.A. 100-23, eff. 7-6-17; 100-587, eff. 6-4-18;
11101-30, eff. 6-28-19.)
12 (30 ILCS 330/15) (from Ch. 127, par. 665)
13 Sec. 15. Computation of principal and interest; transfers.
14 (a) Upon each delivery of Bonds authorized to be issued
15under this Act, the Comptroller shall compute and certify to
16the Treasurer the total amount of principal of, interest on,
17and premium, if any, on Bonds issued that will be payable in
18order to retire such Bonds, the amount of principal of,
19interest on and premium, if any, on such Bonds that will be
20payable on each payment date according to the tenor of such
21Bonds during the then current and each succeeding fiscal year,
22and the amount of sinking fund payments needed to be deposited
23in connection with Qualified School Construction Bonds
24authorized by subsection (e) of Section 9. With respect to the
25interest payable on variable rate bonds, such certifications

HB5561- 38 -LRB101 17547 JWD 66965 b
1shall be calculated at the maximum rate of interest that may be
2payable during the fiscal year, after taking into account any
3credits permitted in the related indenture or other instrument
4against the amount of such interest required to be appropriated
5for such period pursuant to subsection (c) of Section 14 of
6this Act. With respect to the interest payable, such
7certifications shall include the amounts certified by the
8Director of the Governor's Office of Management and Budget
9under subsection (b) of Section 9 of this Act.
10 On or before the last day of each month the State Treasurer
11and Comptroller shall transfer from (1) the Road Fund with
12respect to Bonds issued under paragraphs paragraph (a) and (e)
13of Section 4 of this Act, or Bonds issued under authorization
14in Public Act 98-781, or Bonds issued for the purpose of
15refunding such bonds, and from (2) the General Revenue Fund,
16with respect to all other Bonds issued under this Act, to the
17General Obligation Bond Retirement and Interest Fund an amount
18sufficient to pay the aggregate of the principal of, interest
19on, and premium, if any, on Bonds payable, by their terms on
20the next payment date divided by the number of full calendar
21months between the date of such Bonds and the first such
22payment date, and thereafter, divided by the number of months
23between each succeeding payment date after the first. Such
24computations and transfers shall be made for each series of
25Bonds issued and delivered. Interest payable on variable rate
26bonds shall be calculated at the maximum rate of interest that

HB5561- 39 -LRB101 17547 JWD 66965 b
1may be payable for the relevant period, after taking into
2account any credits permitted in the related indenture or other
3instrument against the amount of such interest required to be
4appropriated for such period pursuant to subsection (c) of
5Section 14 of this Act. Computations of interest shall include
6the amounts certified by the Director of the Governor's Office
7of Management and Budget under subsection (b) of Section 9 of
8this Act. Interest for which moneys have already been deposited
9into the capitalized interest account within the General
10Obligation Bond Retirement and Interest Fund shall not be
11included in the calculation of the amounts to be transferred
12under this subsection. Notwithstanding any other provision in
13this Section, the transfer provisions provided in this
14paragraph shall not apply to transfers made in fiscal year 2010
15or fiscal year 2011 with respect to Bonds issued in fiscal year
162010 or fiscal year 2011 pursuant to Section 7.2 of this Act.
17In the case of transfers made in fiscal year 2010 or fiscal
18year 2011 with respect to the Bonds issued in fiscal year 2010
19or fiscal year 2011 pursuant to Section 7.2 of this Act, on or
20before the 15th day of the month prior to the required debt
21service payment, the State Treasurer and Comptroller shall
22transfer from the General Revenue Fund to the General
23Obligation Bond Retirement and Interest Fund an amount
24sufficient to pay the aggregate of the principal of, interest
25on, and premium, if any, on the Bonds payable in that next
26month.

HB5561- 40 -LRB101 17547 JWD 66965 b
1 The transfer of monies herein and above directed is not
2required if monies in the General Obligation Bond Retirement
3and Interest Fund are more than the amount otherwise to be
4transferred as herein above provided, and if the Governor or
5his authorized representative notifies the State Treasurer and
6Comptroller of such fact in writing.
7 (b) After the effective date of this Act, the balance of,
8and monies directed to be included in the Capital Development
9Bond Retirement and Interest Fund, Anti-Pollution Bond
10Retirement and Interest Fund, Transportation Bond, Series A
11Retirement and Interest Fund, Transportation Bond, Series B
12Retirement and Interest Fund, and Coal Development Bond
13Retirement and Interest Fund shall be transferred to and
14deposited in the General Obligation Bond Retirement and
15Interest Fund. This Fund shall be used to make debt service
16payments on the State's general obligation Bonds heretofore
17issued which are now outstanding and payable from the Funds
18herein listed as well as on Bonds issued under this Act.
19 (c) The unused portion of federal funds received for or as
20reimbursement for a capital facilities project, as authorized
21by Section 3 of this Act, for which monies from the Capital
22Development Fund have been expended shall remain in the Capital
23Development Board Contributory Trust Fund and shall be used for
24capital projects and for no other purpose, subject to
25appropriation and as directed by the Capital Development Board.
26Any federal funds received as reimbursement for the completed

HB5561- 41 -LRB101 17547 JWD 66965 b
1construction of a capital facilities project, as authorized by
2Section 3 of this Act, for which monies from the Capital
3Development Fund have been expended may be used for any expense
4or project necessary for implementation of the Quincy Veterans'
5Home Rehabilitation and Rebuilding Act for a period of 5 years
6from the effective date of this amendatory Act of the 100th
7General Assembly, and any remaining funds shall be deposited in
8the General Obligation Bond Retirement and Interest Fund.
9(Source: P.A. 100-23, eff. 7-6-17; 100-610, eff. 7-17-18;
10101-30, eff. 6-28-19.)
11 (30 ILCS 330/19) (from Ch. 127, par. 669)
12 Sec. 19. Investment of Money Not Needed for Current
13Expenditures - Application of Earnings. (a) The State Treasurer
14may, with the Governor's approval, invest and reinvest any
15money from the Capital Development Fund, the Transportation
16Bond, Series A Fund, the Transportation Bond, Series B Fund,
17the Multi-modal Transportation Bond Fund, the School
18Construction Fund, the Anti-Pollution Fund, the Coal
19Development Fund and the General Obligation Bond Retirement and
20Interest Fund, in the State Treasury, which is not needed for
21current expenditures due or about to become due from these
22funds.
23 (b) Monies received from the sale or redemption of
24investments from the Transportation Bond, Series A Fund and the
25Multi-modal Transportation Bond Fund shall be deposited by the

HB5561- 42 -LRB101 17547 JWD 66965 b
1State Treasurer in the Road Fund.
2 Monies received from the sale or redemption of investments
3from the Capital Development Fund, the Transportation Bond,
4Series B Fund, the School Construction Fund, the Anti-Pollution
5Fund, and the Coal Development Fund shall be deposited by the
6State Treasurer in the General Revenue Fund.
7 Monies from the sale or redemption of investments from the
8General Obligation Bond Retirement and Interest Fund shall be
9deposited in the General Obligation Bond Retirement and
10Interest Fund.
11 (c) Monies from the Capital Development Fund, the
12Transportation Bond, Series A Fund, the Transportation Bond,
13Series B Fund, the Multi-modal Transportation Bond Fund, the
14School Construction Fund, the Anti-Pollution Fund, and the Coal
15Development Fund may be invested as permitted in "AN ACT in
16relation to State moneys", approved June 28, 1919, as amended
17and in "AN ACT relating to certain investments of public funds
18by public agencies", approved July 23, 1943, as amended. Monies
19from the General Obligation Bond Retirement and Interest Fund
20may be invested in securities constituting direct obligations
21of the United States Government, or obligations, the principal
22of and interest on which are guaranteed by the United States
23Government, or certificates of deposit of any state or national
24bank or savings and loan association. For amounts not insured
25by the Federal Deposit Insurance Corporation or the Federal
26Savings and Loan Insurance Corporation, as security the State

HB5561- 43 -LRB101 17547 JWD 66965 b
1Treasurer shall accept securities constituting direct
2obligations of the United States Government, or obligations,
3the principal of and interest on which are guaranteed by the
4United States Government.
5 (d) Accrued interest paid to the State at the time of the
6delivery of the Bonds shall be deposited into the General
7Obligation Bond Retirement and Interest Fund in the State
8Treasury.
9(Source: P.A. 84-1248; 84-1474; 101-30, eff. 6-28-19.)
10 Section 5-15. The Build Illinois Bond Act is amended by
11changing Sections 2, 4, 6, and 8 as follows:
12 (30 ILCS 425/2) (from Ch. 127, par. 2802)
13 Sec. 2. Authorization for Bonds. The State of Illinois is
14authorized to issue, sell and provide for the retirement of
15limited obligation bonds, notes and other evidences of
16indebtedness of the State of Illinois in the total principal
17amount of $9,484,681,100 $6,246,009,000 herein called "Bonds".
18Such authorized amount of Bonds shall be reduced from time to
19time by amounts, if any, which are equal to the moneys received
20by the Department of Revenue in any fiscal year pursuant to
21Section 3-1001 of the "Illinois Vehicle Code", as amended, in
22excess of the Annual Specified Amount (as defined in Section 3
23of the "Retailers' Occupation Tax Act", as amended) and
24transferred at the end of such fiscal year from the General

HB5561- 44 -LRB101 17547 JWD 66965 b
1Revenue Fund to the Build Illinois Purposes Fund (now
2abolished) as provided in Section 3-1001 of said Code;
3provided, however, that no such reduction shall affect the
4validity or enforceability of any Bonds issued prior to such
5reduction. Such amount of authorized Bonds shall be exclusive
6of any refunding Bonds issued pursuant to Section 15 of this
7Act and exclusive of any Bonds issued pursuant to this Section
8which are redeemed, purchased, advance refunded, or defeased in
9accordance with paragraph (f) of Section 4 of this Act. Bonds
10shall be issued for the categories and specific purposes
11expressed in Section 4 of this Act.
12(Source: P.A. 98-94, eff. 7-17-13; 101-30, eff. 6-28-19.)
13 (30 ILCS 425/4) (from Ch. 127, par. 2804)
14 Sec. 4. Purposes of Bonds. Bonds shall be issued for the
15following purposes and in the approximate amounts as set forth
16below:
17 (a) $4,372,761,200 $3,222,800,000 for the expenses of
18issuance and sale of Bonds, including bond discounts, and for
19planning, engineering, acquisition, construction,
20reconstruction, development, improvement and extension of the
21public infrastructure in the State of Illinois, including: the
22making of loans or grants to local governments for waste
23disposal systems, water and sewer line extensions and water
24distribution and purification facilities, rail or air or water
25port improvements, gas and electric utility extensions,

HB5561- 45 -LRB101 17547 JWD 66965 b
1publicly owned industrial and commercial sites, buildings used
2for public administration purposes and other public
3infrastructure capital improvements; the making of loans or
4grants to units of local government for financing and
5construction of wastewater facilities, including grants to
6serve unincorporated areas; refinancing or retiring bonds
7issued between January 1, 1987 and January 1, 1990 by home rule
8municipalities, debt service on which is provided from a tax
9imposed by home rule municipalities prior to January 1, 1990 on
10the sale of food and drugs pursuant to Section 8-11-1 of the
11Home Rule Municipal Retailers' Occupation Tax Act or Section
128-11-5 of the Home Rule Municipal Service Occupation Tax Act;
13the making of deposits not to exceed $70,000,000 in the
14aggregate into the Water Pollution Control Revolving Fund to
15provide assistance in accordance with the provisions of Title
16IV-A of the Environmental Protection Act; the planning,
17engineering, acquisition, construction, reconstruction,
18alteration, expansion, extension and improvement of highways,
19bridges, structures separating highways and railroads, rest
20areas, interchanges, access roads to and from any State or
21local highway and other transportation improvement projects
22which are related to economic development activities; the
23making of loans or grants for planning, engineering,
24rehabilitation, improvement or construction of rail and
25transit facilities; the planning, engineering, acquisition,
26construction, reconstruction and improvement of watershed,

HB5561- 46 -LRB101 17547 JWD 66965 b
1drainage, flood control, recreation and related improvements
2and facilities, including expenses related to land and easement
3acquisition, relocation, control structures, channel work and
4clearing and appurtenant work; the planning, engineering,
5acquisition, construction, reconstruction and improvement of
6State facilities and related infrastructure; the making of Park
7and Recreational Facilities Construction (PARC) grants; the
8making of grants to units of local government for community
9development capital projects; the making of grants for
10improvement and development of zoos and park district field
11houses and related structures; and the making of grants for
12improvement and development of Navy Pier and related
13structures.
14 (b) $2,122,970,300 $849,000,000 for fostering economic
15development and increased employment and fostering the well
16being of the citizens of Illinois through community
17development, including: the making of grants for improvement
18and development of McCormick Place and related structures; the
19planning and construction of a microelectronics research
20center, including the planning, engineering, construction,
21improvement, renovation and acquisition of buildings,
22equipment and related utility support systems; the making of
23loans to businesses and investments in small businesses;
24acquiring real properties for industrial or commercial site
25development; acquiring, rehabilitating and reconveying
26industrial and commercial properties for the purpose of

HB5561- 47 -LRB101 17547 JWD 66965 b
1expanding employment and encouraging private and other public
2sector investment in the economy of Illinois; the payment of
3expenses associated with siting the Superconducting Super
4Collider Particle Accelerator in Illinois and with its
5acquisition, construction, maintenance, operation, promotion
6and support; the making of loans for the planning, engineering,
7acquisition, construction, improvement and conversion of
8facilities and equipment which will foster the use of Illinois
9coal; the payment of expenses associated with the promotion,
10establishment, acquisition and operation of small business
11incubator facilities and agribusiness research facilities,
12including the lease, purchase, renovation, planning,
13engineering, construction and maintenance of buildings,
14utility support systems and equipment designated for such
15purposes and the establishment and maintenance of centralized
16support services within such facilities; the making of grants
17for transportation electrification infrastructure projects
18that promote use of clean and renewable energy; the making of
19capital expenditures and grants for broadband development and
20for a statewide broadband deployment grant program; the making
21of grants to public entities and private persons and entities
22for community development capital projects; the making of
23grants to public entities and private persons and entities for
24capital projects in the context of grant programs focused on
25assisting economically depressed areas, expanding affordable
26housing, supporting the provision of human services,

HB5561- 48 -LRB101 17547 JWD 66965 b
1supporting emerging technology enterprises, and supporting
2minority owned businesses; and the making of grants or loans to
3units of local government for Urban Development Action Grant
4and Housing Partnership programs.
5 (c) $2,711,076,600 $1,944,058,100 for the development and
6improvement of educational, scientific, technical and
7vocational programs and facilities and the expansion of health
8and human services for all citizens of Illinois, including: the
9making of grants to school districts and not-for-profit
10organizations for early childhood construction projects
11pursuant to Section 5-300 of the School Construction Law; the
12making of grants to educational institutions for educational,
13scientific, technical and vocational program equipment and
14facilities; the making of grants to museums for equipment and
15facilities; the making of construction and improvement grants
16and loans to public libraries and library systems; the making
17of grants and loans for planning, engineering, acquisition and
18construction of a new State central library in Springfield; the
19planning, engineering, acquisition and construction of an
20animal and dairy sciences facility; the planning, engineering,
21acquisition and construction of a campus and all related
22buildings, facilities, equipment and materials for Richland
23Community College; the acquisition, rehabilitation and
24installation of equipment and materials for scientific and
25historical surveys; the making of grants or loans for
26distribution to eligible vocational education instructional

HB5561- 49 -LRB101 17547 JWD 66965 b
1programs for the upgrading of vocational education programs,
2school shops and laboratories, including the acquisition,
3rehabilitation and installation of technical equipment and
4materials; the making of grants or loans for distribution to
5eligible local educational agencies for the upgrading of math
6and science instructional programs, including the acquisition
7of instructional equipment and materials; miscellaneous
8capital improvements for universities and community colleges
9including the planning, engineering, construction,
10reconstruction, remodeling, improvement, repair and
11installation of capital facilities and costs of planning,
12supplies, equipment, materials, services, and all other
13required expenses; the making of grants or loans for repair,
14renovation and miscellaneous capital improvements for
15privately operated colleges and universities and community
16colleges, including the planning, engineering, acquisition,
17construction, reconstruction, remodeling, improvement, repair
18and installation of capital facilities and costs of planning,
19supplies, equipment, materials, services, and all other
20required expenses; and the making of grants or loans for
21distribution to local governments for hospital and other health
22care facilities including the planning, engineering,
23acquisition, construction, reconstruction, remodeling,
24improvement, repair and installation of capital facilities and
25costs of planning, supplies, equipment, materials, services
26and all other required expenses.

HB5561- 50 -LRB101 17547 JWD 66965 b
1 (d) $277,873,000 $230,150,900 for protection,
2preservation, restoration and conservation of environmental
3and natural resources, including: the making of grants to soil
4and water conservation districts for the planning and
5implementation of conservation practices and for funding
6contracts with the Soil Conservation Service for watershed
7planning; the making of grants to units of local government for
8the capital development and improvement of recreation areas,
9including planning and engineering costs, sewer projects,
10including planning and engineering costs and water projects,
11including planning and engineering costs, and for the
12acquisition of open space lands, including the acquisition of
13easements and other property interests of less than fee simple
14ownership; the making of grants to units of local government
15through the Illinois Green Infrastructure Grant Program to
16protect water quality and mitigate flooding; the acquisition
17and related costs and development and management of natural
18heritage lands, including natural areas and areas providing
19habitat for endangered species and nongame wildlife, and buffer
20area lands; the acquisition and related costs and development
21and management of habitat lands, including forest, wildlife
22habitat and wetlands; and the removal and disposition of
23hazardous substances, including the cost of project
24management, equipment, laboratory analysis, and contractual
25services necessary for preventative and corrective actions
26related to the preservation, restoration and conservation of

HB5561- 51 -LRB101 17547 JWD 66965 b
1the environment, including deposits not to exceed $60,000,000
2in the aggregate into the Hazardous Waste Fund and the
3Brownfields Redevelopment Fund for improvements in accordance
4with the provisions of Titles V and XVII of the Environmental
5Protection Act.
6 (e) The amount specified in paragraph (a) above shall
7include an amount necessary to pay reasonable expenses of each
8issuance and sale of the Bonds, as specified in the related
9Bond Sale Order (hereinafter defined).
10 (f) Any unexpended proceeds from any sale of Bonds which
11are held in the Build Illinois Bond Fund may be used to redeem,
12purchase, advance refund, or defease any Bonds outstanding.
13(Source: P.A. 98-94, eff. 7-17-13; 101-30, eff. 6-28-19.)
14 (30 ILCS 425/6) (from Ch. 127, par. 2806)
15 Sec. 6. Conditions for issuance and sale of Bonds -
16requirements for Bonds - master and supplemental indentures -
17credit and liquidity enhancement.
18 (a) Bonds shall be issued and sold from time to time, in
19one or more series, in such amounts and at such prices as
20directed by the Governor, upon recommendation by the Director
21of the Governor's Office of Management and Budget. Bonds shall
22be payable only from the specific sources and secured in the
23manner provided in this Act. Bonds shall be in such form, in
24such denominations, mature on such dates within 25 years from
25their date of issuance, be subject to optional or mandatory

HB5561- 52 -LRB101 17547 JWD 66965 b
1redemption, bear interest payable at such times and at such
2rate or rates, fixed or variable, and be dated as shall be
3fixed and determined by the Director of the Governor's Office
4of Management and Budget in an order authorizing the issuance
5and sale of any series of Bonds, which order shall be approved
6by the Governor and is herein called a "Bond Sale Order";
7provided, however, that interest payable at fixed rates shall
8not exceed that permitted in "An Act to authorize public
9corporations to issue bonds, other evidences of indebtedness
10and tax anticipation warrants subject to interest rate
11limitations set forth therein", approved May 26, 1970, as now
12or hereafter amended, and interest payable at variable rates
13shall not exceed the maximum rate permitted in the Bond Sale
14Order. Said Bonds shall be payable at such place or places,
15within or without the State of Illinois, and may be made
16registrable as to either principal only or as to both principal
17and interest, as shall be specified in the Bond Sale Order.
18Bonds may be callable or subject to purchase and retirement or
19remarketing as fixed and determined in the Bond Sale Order.
20Bonds (i) except for refunding Bonds satisfying the
21requirements of Section 15 of this Act and sold during fiscal
22year 2009, 2010, 2011, 2017, 2018, or 2019, must be issued with
23principal or mandatory redemption amounts in equal amounts,
24with the first maturity issued occurring within the fiscal year
25in which the Bonds are issued or within the next succeeding
26fiscal year and (ii) must mature or be subject to mandatory

HB5561- 53 -LRB101 17547 JWD 66965 b
1redemption each fiscal year thereafter up to 25 years, except
2for refunding Bonds satisfying the requirements of Section 15
3of this Act and sold during fiscal year 2009, 2010, or 2011
4which must mature or be subject to mandatory redemption each
5fiscal year thereafter up to 16 years.
6 All Bonds authorized under this Act shall be issued
7pursuant to a master trust indenture ("Master Indenture")
8executed and delivered on behalf of the State by the Director
9of the Governor's Office of Management and Budget, such Master
10Indenture to be in substantially the form approved in the Bond
11Sale Order authorizing the issuance and sale of the initial
12series of Bonds issued under this Act. Such initial series of
13Bonds may, and each subsequent series of Bonds shall, also be
14issued pursuant to a supplemental trust indenture
15("Supplemental Indenture") executed and delivered on behalf of
16the State by the Director of the Governor's Office of
17Management and Budget, each such Supplemental Indenture to be
18in substantially the form approved in the Bond Sale Order
19relating to such series. The Master Indenture and any
20Supplemental Indenture shall be entered into with a bank or
21trust company in the State of Illinois having trust powers and
22possessing capital and surplus of not less than $100,000,000.
23Such indentures shall set forth the terms and conditions of the
24Bonds and provide for payment of and security for the Bonds,
25including the establishment and maintenance of debt service and
26reserve funds, and for other protections for holders of the

HB5561- 54 -LRB101 17547 JWD 66965 b
1Bonds. The term "reserve funds" as used in this Act shall
2include funds and accounts established under indentures to
3provide for the payment of principal of and premium and
4interest on Bonds, to provide for the purchase, retirement or
5defeasance of Bonds, to provide for fees of trustees,
6registrars, paying agents and other fiduciaries and to provide
7for payment of costs of and debt service payable in respect of
8credit or liquidity enhancement arrangements, interest rate
9swaps or guarantees or financial futures contracts and indexing
10and remarketing agents' services.
11 In the case of any series of Bonds bearing interest at a
12variable interest rate ("Variable Rate Bonds"), in lieu of
13determining the rate or rates at which such series of Variable
14Rate Bonds shall bear interest and the price or prices at which
15such Variable Rate Bonds shall be initially sold or remarketed
16(in the event of purchase and subsequent resale), the Bond Sale
17Order may provide that such interest rates and prices may vary
18from time to time depending on criteria established in such
19Bond Sale Order, which criteria may include, without
20limitation, references to indices or variations in interest
21rates as may, in the judgment of a remarketing agent, be
22necessary to cause Bonds of such series to be remarketable from
23time to time at a price equal to their principal amount (or
24compound accreted value in the case of original issue discount
25Bonds), and may provide for appointment of indexing agents and
26a bank, trust company, investment bank or other financial

HB5561- 55 -LRB101 17547 JWD 66965 b
1institution to serve as remarketing agent in that connection.
2The Bond Sale Order may provide that alternative interest rates
3or provisions for establishing alternative interest rates,
4different security or claim priorities or different call or
5amortization provisions will apply during such times as Bonds
6of any series are held by a person providing credit or
7liquidity enhancement arrangements for such Bonds as
8authorized in subsection (b) of Section 6 of this Act.
9 (b) In connection with the issuance of any series of Bonds,
10the State may enter into arrangements to provide additional
11security and liquidity for such Bonds, including, without
12limitation, bond or interest rate insurance or letters of
13credit, lines of credit, bond purchase contracts or other
14arrangements whereby funds are made available to retire or
15purchase Bonds, thereby assuring the ability of owners of the
16Bonds to sell or redeem their Bonds. The State may enter into
17contracts and may agree to pay fees to persons providing such
18arrangements, but only under circumstances where the Director
19of the Bureau of the Budget (now Governor's Office of
20Management and Budget) certifies that he reasonably expects the
21total interest paid or to be paid on the Bonds, together with
22the fees for the arrangements (being treated as if interest),
23would not, taken together, cause the Bonds to bear interest,
24calculated to their stated maturity, at a rate in excess of the
25rate which the Bonds would bear in the absence of such
26arrangements. Any bonds, notes or other evidences of

HB5561- 56 -LRB101 17547 JWD 66965 b
1indebtedness issued pursuant to any such arrangements for the
2purpose of retiring and discharging outstanding Bonds shall
3constitute refunding Bonds under Section 15 of this Act. The
4State may participate in and enter into arrangements with
5respect to interest rate swaps or guarantees or financial
6futures contracts for the purpose of limiting or restricting
7interest rate risk; provided that such arrangements shall be
8made with or executed through banks having capital and surplus
9of not less than $100,000,000 or insurance companies holding
10the highest policyholder rating accorded insurers by A.M. Best &
11 Co. or any comparable rating service or government bond
12dealers reporting to, trading with, and recognized as primary
13dealers by a Federal Reserve Bank and having capital and
14surplus of not less than $100,000,000, or other persons whose
15debt securities are rated in the highest long-term categories
16by both Moody's Investors' Services, Inc. and Standard & Poor's
17Corporation. Agreements incorporating any of the foregoing
18arrangements may be executed and delivered by the Director of
19the Governor's Office of Management and Budget on behalf of the
20State in substantially the form approved in the Bond Sale Order
21relating to such Bonds.
22 (c) "Build America Bonds" in this Section means Bonds
23authorized by Section 54AA of the Internal Revenue Code of
241986, as amended ("Internal Revenue Code"), and bonds issued
25from time to time to refund or continue to refund "Build
26America Bonds".

HB5561- 57 -LRB101 17547 JWD 66965 b
1(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17;
2100-587, eff. 6-4-18; 101-30, eff. 6-28-19.)
3 (30 ILCS 425/8) (from Ch. 127, par. 2808)
4 Sec. 8. Sale of Bonds. Bonds, except as otherwise provided
5in this Section, shall be sold from time to time pursuant to
6notice of sale and public bid or by negotiated sale in such
7amounts and at such times as are directed by the Governor, upon
8recommendation by the Director of the Governor's Office of
9Management and Budget. At least 25%, based on total principal
10amount, of all Bonds issued each fiscal year shall be sold
11pursuant to notice of sale and public bid. At all times during
12each fiscal year, no more than 75%, based on total principal
13amount, of the Bonds issued each fiscal year shall have been
14sold by negotiated sale. Failure to satisfy the requirements in
15the preceding 2 sentences shall not affect the validity of any
16previously issued Bonds; and further provided that refunding
17Bonds satisfying the requirements of Section 15 of this Act and
18sold during fiscal year 2009, 2010, 2011, 2017, 2018, or 2019
19shall not be subject to the requirements in the preceding 2
20sentences.
21 If any Bonds are to be sold pursuant to notice of sale and
22public bid, the Director of the Governor's Office of Management
23and Budget shall comply with the competitive request for
24proposal process set forth in the Illinois Procurement Code and
25all other applicable requirements of that Code.

HB5561- 58 -LRB101 17547 JWD 66965 b
1 If Bonds are to be sold pursuant to notice of sale and
2public bid, the Director of the Governor's Office of Management
3and Budget may, from time to time, as Bonds are to be sold,
4advertise the sale of the Bonds in at least 2 daily newspapers,
5one of which is published in the City of Springfield and one in
6the City of Chicago. The sale of the Bonds shall also be
7advertised in the volume of the Illinois Procurement Bulletin
8that is published by the Department of Central Management
9Services, and shall be published once at least 10 days prior to
10the date fixed for the opening of the bids. The Director of the
11Governor's Office of Management and Budget may reschedule the
12date of sale upon the giving of such additional notice as the
13Director deems adequate to inform prospective bidders of the
14change; provided, however, that all other conditions of the
15sale shall continue as originally advertised. Executed Bonds
16shall, upon payment therefor, be delivered to the purchaser,
17and the proceeds of Bonds shall be paid into the State Treasury
18as directed by Section 9 of this Act. The Governor or the
19Director of the Governor's Office of Management and Budget is
20hereby authorized and directed to execute and deliver contracts
21of sale with underwriters and to execute and deliver such
22certificates, indentures, agreements and documents, including
23any supplements or amendments thereto, and to take such actions
24and do such things as shall be necessary or desirable to carry
25out the purposes of this Act. Any action authorized or
26permitted to be taken by the Director of the Governor's Office

HB5561- 59 -LRB101 17547 JWD 66965 b
1of Management and Budget pursuant to this Act is hereby
2authorized to be taken by any person specifically designated by
3the Governor to take such action in a certificate signed by the
4Governor and filed with the Secretary of State.
5(Source: P.A. 99-523, eff. 6-30-16; 100-23, eff. 7-6-17;
6100-587, eff. 6-4-18; 101-30, eff. 6-28-19.)
7 Section 5-20. The Regional Transportation Authority Act is
8amended by changing Section 2.32 as follows:
9 (70 ILCS 3615/2.32)
10 Sec. 2.32. Clean/green vehicles. Any vehicles purchased
11from funds made available to the Authority from the
12Transportation Bond, Series B Fund or the Multi-modal
13Transportation Bond Fund must incorporate clean/green
14technologies and alternative fuel technologies, to the extent
15practical.
16(Source: P.A. 96-8, eff. 4-28-09; 101-30, eff. 6-28-19.)
17
Article 10.
18 (35 ILCS 185/Act rep.)
19 Section 10-1. The Leveling the Playing Field for Illinois
20Retail Act is repealed.
21 (35 ILCS 525/Act rep.)

HB5561- 60 -LRB101 17547 JWD 66965 b
1 Section 10-2. The Parking Excise Tax Act is repealed.
2 Section 10-5. The Illinois Administrative Procedure Act is
3amended by changing Section 5-45 as follows:
4 (5 ILCS 100/5-45) (from Ch. 127, par. 1005-45)
5 Sec. 5-45. Emergency rulemaking.
6 (a) "Emergency" means the existence of any situation that
7any agency finds reasonably constitutes a threat to the public
8interest, safety, or welfare.
9 (b) If any agency finds that an emergency exists that
10requires adoption of a rule upon fewer days than is required by
11Section 5-40 and states in writing its reasons for that
12finding, the agency may adopt an emergency rule without prior
13notice or hearing upon filing a notice of emergency rulemaking
14with the Secretary of State under Section 5-70. The notice
15shall include the text of the emergency rule and shall be
16published in the Illinois Register. Consent orders or other
17court orders adopting settlements negotiated by an agency may
18be adopted under this Section. Subject to applicable
19constitutional or statutory provisions, an emergency rule
20becomes effective immediately upon filing under Section 5-65 or
21at a stated date less than 10 days thereafter. The agency's
22finding and a statement of the specific reasons for the finding
23shall be filed with the rule. The agency shall take reasonable
24and appropriate measures to make emergency rules known to the

HB5561- 61 -LRB101 17547 JWD 66965 b
1persons who may be affected by them.
2 (c) An emergency rule may be effective for a period of not
3longer than 150 days, but the agency's authority to adopt an
4identical rule under Section 5-40 is not precluded. No
5emergency rule may be adopted more than once in any 24-month
6period, except that this limitation on the number of emergency
7rules that may be adopted in a 24-month period does not apply
8to (i) emergency rules that make additions to and deletions
9from the Drug Manual under Section 5-5.16 of the Illinois
10Public Aid Code or the generic drug formulary under Section
113.14 of the Illinois Food, Drug and Cosmetic Act, (ii)
12emergency rules adopted by the Pollution Control Board before
13July 1, 1997 to implement portions of the Livestock Management
14Facilities Act, (iii) emergency rules adopted by the Illinois
15Department of Public Health under subsections (a) through (i)
16of Section 2 of the Department of Public Health Act when
17necessary to protect the public's health, (iv) emergency rules
18adopted pursuant to subsection (n) of this Section, (v)
19emergency rules adopted pursuant to subsection (o) of this
20Section, or (vi) emergency rules adopted pursuant to subsection
21(c-5) of this Section. Two or more emergency rules having
22substantially the same purpose and effect shall be deemed to be
23a single rule for purposes of this Section.
24 (c-5) To facilitate the maintenance of the program of group
25health benefits provided to annuitants, survivors, and retired
26employees under the State Employees Group Insurance Act of

HB5561- 62 -LRB101 17547 JWD 66965 b
11971, rules to alter the contributions to be paid by the State,
2annuitants, survivors, retired employees, or any combination
3of those entities, for that program of group health benefits,
4shall be adopted as emergency rules. The adoption of those
5rules shall be considered an emergency and necessary for the
6public interest, safety, and welfare.
7 (d) In order to provide for the expeditious and timely
8implementation of the State's fiscal year 1999 budget,
9emergency rules to implement any provision of Public Act 90-587
10or 90-588 or any other budget initiative for fiscal year 1999
11may be adopted in accordance with this Section by the agency
12charged with administering that provision or initiative,
13except that the 24-month limitation on the adoption of
14emergency rules and the provisions of Sections 5-115 and 5-125
15do not apply to rules adopted under this subsection (d). The
16adoption of emergency rules authorized by this subsection (d)
17shall be deemed to be necessary for the public interest,
18safety, and welfare.
19 (e) In order to provide for the expeditious and timely
20implementation of the State's fiscal year 2000 budget,
21emergency rules to implement any provision of Public Act 91-24
22or any other budget initiative for fiscal year 2000 may be
23adopted in accordance with this Section by the agency charged
24with administering that provision or initiative, except that
25the 24-month limitation on the adoption of emergency rules and
26the provisions of Sections 5-115 and 5-125 do not apply to

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1rules adopted under this subsection (e). The adoption of
2emergency rules authorized by this subsection (e) shall be
3deemed to be necessary for the public interest, safety, and
4welfare.
5 (f) In order to provide for the expeditious and timely
6implementation of the State's fiscal year 2001 budget,
7emergency rules to implement any provision of Public Act 91-712
8or any other budget initiative for fiscal year 2001 may be
9adopted in accordance with this Section by the agency charged
10with administering that provision or initiative, except that
11the 24-month limitation on the adoption of emergency rules and
12the provisions of Sections 5-115 and 5-125 do not apply to
13rules adopted under this subsection (f). The adoption of
14emergency rules authorized by this subsection (f) shall be
15deemed to be necessary for the public interest, safety, and
16welfare.
17 (g) In order to provide for the expeditious and timely
18implementation of the State's fiscal year 2002 budget,
19emergency rules to implement any provision of Public Act 92-10
20or any other budget initiative for fiscal year 2002 may be
21adopted in accordance with this Section by the agency charged
22with administering that provision or initiative, except that
23the 24-month limitation on the adoption of emergency rules and
24the provisions of Sections 5-115 and 5-125 do not apply to
25rules adopted under this subsection (g). The adoption of
26emergency rules authorized by this subsection (g) shall be

HB5561- 64 -LRB101 17547 JWD 66965 b
1deemed to be necessary for the public interest, safety, and
2welfare.
3 (h) In order to provide for the expeditious and timely
4implementation of the State's fiscal year 2003 budget,
5emergency rules to implement any provision of Public Act 92-597
6or any other budget initiative for fiscal year 2003 may be
7adopted in accordance with this Section by the agency charged
8with administering that provision or initiative, except that
9the 24-month limitation on the adoption of emergency rules and
10the provisions of Sections 5-115 and 5-125 do not apply to
11rules adopted under this subsection (h). The adoption of
12emergency rules authorized by this subsection (h) shall be
13deemed to be necessary for the public interest, safety, and
14welfare.
15 (i) In order to provide for the expeditious and timely
16implementation of the State's fiscal year 2004 budget,
17emergency rules to implement any provision of Public Act 93-20
18or any other budget initiative for fiscal year 2004 may be
19adopted in accordance with this Section by the agency charged
20with administering that provision or initiative, except that
21the 24-month limitation on the adoption of emergency rules and
22the provisions of Sections 5-115 and 5-125 do not apply to
23rules adopted under this subsection (i). The adoption of
24emergency rules authorized by this subsection (i) shall be
25deemed to be necessary for the public interest, safety, and
26welfare.

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1 (j) In order to provide for the expeditious and timely
2implementation of the provisions of the State's fiscal year
32005 budget as provided under the Fiscal Year 2005 Budget
4Implementation (Human Services) Act, emergency rules to
5implement any provision of the Fiscal Year 2005 Budget
6Implementation (Human Services) Act may be adopted in
7accordance with this Section by the agency charged with
8administering that provision, except that the 24-month
9limitation on the adoption of emergency rules and the
10provisions of Sections 5-115 and 5-125 do not apply to rules
11adopted under this subsection (j). The Department of Public Aid
12may also adopt rules under this subsection (j) necessary to
13administer the Illinois Public Aid Code and the Children's
14Health Insurance Program Act. The adoption of emergency rules
15authorized by this subsection (j) shall be deemed to be
16necessary for the public interest, safety, and welfare.
17 (k) In order to provide for the expeditious and timely
18implementation of the provisions of the State's fiscal year
192006 budget, emergency rules to implement any provision of
20Public Act 94-48 or any other budget initiative for fiscal year
212006 may be adopted in accordance with this Section by the
22agency charged with administering that provision or
23initiative, except that the 24-month limitation on the adoption
24of emergency rules and the provisions of Sections 5-115 and
255-125 do not apply to rules adopted under this subsection (k).
26The Department of Healthcare and Family Services may also adopt

HB5561- 66 -LRB101 17547 JWD 66965 b
1rules under this subsection (k) necessary to administer the
2Illinois Public Aid Code, the Senior Citizens and Persons with
3Disabilities Property Tax Relief Act, the Senior Citizens and
4Disabled Persons Prescription Drug Discount Program Act (now
5the Illinois Prescription Drug Discount Program Act), and the
6Children's Health Insurance Program Act. The adoption of
7emergency rules authorized by this subsection (k) shall be
8deemed to be necessary for the public interest, safety, and
9welfare.
10 (l) In order to provide for the expeditious and timely
11implementation of the provisions of the State's fiscal year
122007 budget, the Department of Healthcare and Family Services
13may adopt emergency rules during fiscal year 2007, including
14rules effective July 1, 2007, in accordance with this
15subsection to the extent necessary to administer the
16Department's responsibilities with respect to amendments to
17the State plans and Illinois waivers approved by the federal
18Centers for Medicare and Medicaid Services necessitated by the
19requirements of Title XIX and Title XXI of the federal Social
20Security Act. The adoption of emergency rules authorized by
21this subsection (l) shall be deemed to be necessary for the
22public interest, safety, and welfare.
23 (m) In order to provide for the expeditious and timely
24implementation of the provisions of the State's fiscal year
252008 budget, the Department of Healthcare and Family Services
26may adopt emergency rules during fiscal year 2008, including

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1rules effective July 1, 2008, in accordance with this
2subsection to the extent necessary to administer the
3Department's responsibilities with respect to amendments to
4the State plans and Illinois waivers approved by the federal
5Centers for Medicare and Medicaid Services necessitated by the
6requirements of Title XIX and Title XXI of the federal Social
7Security Act. The adoption of emergency rules authorized by
8this subsection (m) shall be deemed to be necessary for the
9public interest, safety, and welfare.
10 (n) In order to provide for the expeditious and timely
11implementation of the provisions of the State's fiscal year
122010 budget, emergency rules to implement any provision of
13Public Act 96-45 or any other budget initiative authorized by
14the 96th General Assembly for fiscal year 2010 may be adopted
15in accordance with this Section by the agency charged with
16administering that provision or initiative. The adoption of
17emergency rules authorized by this subsection (n) shall be
18deemed to be necessary for the public interest, safety, and
19welfare. The rulemaking authority granted in this subsection
20(n) shall apply only to rules promulgated during Fiscal Year
212010.
22 (o) In order to provide for the expeditious and timely
23implementation of the provisions of the State's fiscal year
242011 budget, emergency rules to implement any provision of
25Public Act 96-958 or any other budget initiative authorized by
26the 96th General Assembly for fiscal year 2011 may be adopted

HB5561- 68 -LRB101 17547 JWD 66965 b
1in accordance with this Section by the agency charged with
2administering that provision or initiative. The adoption of
3emergency rules authorized by this subsection (o) is deemed to
4be necessary for the public interest, safety, and welfare. The
5rulemaking authority granted in this subsection (o) applies
6only to rules promulgated on or after July 1, 2010 (the
7effective date of Public Act 96-958) through June 30, 2011.
8 (p) In order to provide for the expeditious and timely
9implementation of the provisions of Public Act 97-689,
10emergency rules to implement any provision of Public Act 97-689
11may be adopted in accordance with this subsection (p) by the
12agency charged with administering that provision or
13initiative. The 150-day limitation of the effective period of
14emergency rules does not apply to rules adopted under this
15subsection (p), and the effective period may continue through
16June 30, 2013. The 24-month limitation on the adoption of
17emergency rules does not apply to rules adopted under this
18subsection (p). The adoption of emergency rules authorized by
19this subsection (p) is deemed to be necessary for the public
20interest, safety, and welfare.
21 (q) In order to provide for the expeditious and timely
22implementation of the provisions of Articles 7, 8, 9, 11, and
2312 of Public Act 98-104, emergency rules to implement any
24provision of Articles 7, 8, 9, 11, and 12 of Public Act 98-104
25may be adopted in accordance with this subsection (q) by the
26agency charged with administering that provision or

HB5561- 69 -LRB101 17547 JWD 66965 b
1initiative. The 24-month limitation on the adoption of
2emergency rules does not apply to rules adopted under this
3subsection (q). The adoption of emergency rules authorized by
4this subsection (q) is deemed to be necessary for the public
5interest, safety, and welfare.
6 (r) In order to provide for the expeditious and timely
7implementation of the provisions of Public Act 98-651,
8emergency rules to implement Public Act 98-651 may be adopted
9in accordance with this subsection (r) by the Department of
10Healthcare and Family Services. The 24-month limitation on the
11adoption of emergency rules does not apply to rules adopted
12under this subsection (r). The adoption of emergency rules
13authorized by this subsection (r) is deemed to be necessary for
14the public interest, safety, and welfare.
15 (s) In order to provide for the expeditious and timely
16implementation of the provisions of Sections 5-5b.1 and 5A-2 of
17the Illinois Public Aid Code, emergency rules to implement any
18provision of Section 5-5b.1 or Section 5A-2 of the Illinois
19Public Aid Code may be adopted in accordance with this
20subsection (s) by the Department of Healthcare and Family
21Services. The rulemaking authority granted in this subsection
22(s) shall apply only to those rules adopted prior to July 1,
232015. Notwithstanding any other provision of this Section, any
24emergency rule adopted under this subsection (s) shall only
25apply to payments made for State fiscal year 2015. The adoption
26of emergency rules authorized by this subsection (s) is deemed

HB5561- 70 -LRB101 17547 JWD 66965 b
1to be necessary for the public interest, safety, and welfare.
2 (t) In order to provide for the expeditious and timely
3implementation of the provisions of Article II of Public Act
499-6, emergency rules to implement the changes made by Article
5II of Public Act 99-6 to the Emergency Telephone System Act may
6be adopted in accordance with this subsection (t) by the
7Department of State Police. The rulemaking authority granted in
8this subsection (t) shall apply only to those rules adopted
9prior to July 1, 2016. The 24-month limitation on the adoption
10of emergency rules does not apply to rules adopted under this
11subsection (t). The adoption of emergency rules authorized by
12this subsection (t) is deemed to be necessary for the public
13interest, safety, and welfare.
14 (u) In order to provide for the expeditious and timely
15implementation of the provisions of the Burn Victims Relief
16Act, emergency rules to implement any provision of the Act may
17be adopted in accordance with this subsection (u) by the
18Department of Insurance. The rulemaking authority granted in
19this subsection (u) shall apply only to those rules adopted
20prior to December 31, 2015. The adoption of emergency rules
21authorized by this subsection (u) is deemed to be necessary for
22the public interest, safety, and welfare.
23 (v) In order to provide for the expeditious and timely
24implementation of the provisions of Public Act 99-516,
25emergency rules to implement Public Act 99-516 may be adopted
26in accordance with this subsection (v) by the Department of

HB5561- 71 -LRB101 17547 JWD 66965 b
1Healthcare and Family Services. The 24-month limitation on the
2adoption of emergency rules does not apply to rules adopted
3under this subsection (v). The adoption of emergency rules
4authorized by this subsection (v) is deemed to be necessary for
5the public interest, safety, and welfare.
6 (w) In order to provide for the expeditious and timely
7implementation of the provisions of Public Act 99-796,
8emergency rules to implement the changes made by Public Act
999-796 may be adopted in accordance with this subsection (w) by
10the Adjutant General. The adoption of emergency rules
11authorized by this subsection (w) is deemed to be necessary for
12the public interest, safety, and welfare.
13 (x) In order to provide for the expeditious and timely
14implementation of the provisions of Public Act 99-906,
15emergency rules to implement subsection (i) of Section 16-115D,
16subsection (g) of Section 16-128A, and subsection (a) of
17Section 16-128B of the Public Utilities Act may be adopted in
18accordance with this subsection (x) by the Illinois Commerce
19Commission. The rulemaking authority granted in this
20subsection (x) shall apply only to those rules adopted within
21180 days after June 1, 2017 (the effective date of Public Act
2299-906). The adoption of emergency rules authorized by this
23subsection (x) is deemed to be necessary for the public
24interest, safety, and welfare.
25 (y) In order to provide for the expeditious and timely
26implementation of the provisions of Public Act 100-23,

HB5561- 72 -LRB101 17547 JWD 66965 b
1emergency rules to implement the changes made by Public Act
2100-23 to Section 4.02 of the Illinois Act on the Aging,
3Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
4Section 55-30 of the Alcoholism and Other Drug Abuse and
5Dependency Act, and Sections 74 and 75 of the Mental Health and
6Developmental Disabilities Administrative Act may be adopted
7in accordance with this subsection (y) by the respective
8Department. The adoption of emergency rules authorized by this
9subsection (y) is deemed to be necessary for the public
10interest, safety, and welfare.
11 (z) In order to provide for the expeditious and timely
12implementation of the provisions of Public Act 100-554,
13emergency rules to implement the changes made by Public Act
14100-554 to Section 4.7 of the Lobbyist Registration Act may be
15adopted in accordance with this subsection (z) by the Secretary
16of State. The adoption of emergency rules authorized by this
17subsection (z) is deemed to be necessary for the public
18interest, safety, and welfare.
19 (aa) In order to provide for the expeditious and timely
20initial implementation of the changes made to Articles 5, 5A,
2112, and 14 of the Illinois Public Aid Code under the provisions
22of Public Act 100-581, the Department of Healthcare and Family
23Services may adopt emergency rules in accordance with this
24subsection (aa). The 24-month limitation on the adoption of
25emergency rules does not apply to rules to initially implement
26the changes made to Articles 5, 5A, 12, and 14 of the Illinois

HB5561- 73 -LRB101 17547 JWD 66965 b
1Public Aid Code adopted under this subsection (aa). The
2adoption of emergency rules authorized by this subsection (aa)
3is deemed to be necessary for the public interest, safety, and
4welfare.
5 (bb) In order to provide for the expeditious and timely
6implementation of the provisions of Public Act 100-587,
7emergency rules to implement the changes made by Public Act
8100-587 to Section 4.02 of the Illinois Act on the Aging,
9Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code,
10subsection (b) of Section 55-30 of the Alcoholism and Other
11Drug Abuse and Dependency Act, Section 5-104 of the Specialized
12Mental Health Rehabilitation Act of 2013, and Section 75 and
13subsection (b) of Section 74 of the Mental Health and
14Developmental Disabilities Administrative Act may be adopted
15in accordance with this subsection (bb) by the respective
16Department. The adoption of emergency rules authorized by this
17subsection (bb) is deemed to be necessary for the public
18interest, safety, and welfare.
19 (cc) In order to provide for the expeditious and timely
20implementation of the provisions of Public Act 100-587,
21emergency rules may be adopted in accordance with this
22subsection (cc) to implement the changes made by Public Act
23100-587 to: Sections 14-147.5 and 14-147.6 of the Illinois
24Pension Code by the Board created under Article 14 of the Code;
25Sections 15-185.5 and 15-185.6 of the Illinois Pension Code by
26the Board created under Article 15 of the Code; and Sections

HB5561- 74 -LRB101 17547 JWD 66965 b
116-190.5 and 16-190.6 of the Illinois Pension Code by the Board
2created under Article 16 of the Code. The adoption of emergency
3rules authorized by this subsection (cc) is deemed to be
4necessary for the public interest, safety, and welfare.
5 (dd) In order to provide for the expeditious and timely
6implementation of the provisions of Public Act 100-864,
7emergency rules to implement the changes made by Public Act
8100-864 to Section 3.35 of the Newborn Metabolic Screening Act
9may be adopted in accordance with this subsection (dd) by the
10Secretary of State. The adoption of emergency rules authorized
11by this subsection (dd) is deemed to be necessary for the
12public interest, safety, and welfare.
13 (ee) In order to provide for the expeditious and timely
14implementation of the provisions of Public Act 100-1172,
15emergency rules implementing the Illinois Underground Natural
16Gas Storage Safety Act may be adopted in accordance with this
17subsection by the Department of Natural Resources. The adoption
18of emergency rules authorized by this subsection is deemed to
19be necessary for the public interest, safety, and welfare.
20 (ff) In order to provide for the expeditious and timely
21initial implementation of the changes made to Articles 5A and
2214 of the Illinois Public Aid Code under the provisions of
23Public Act 100-1181, the Department of Healthcare and Family
24Services may on a one-time-only basis adopt emergency rules in
25accordance with this subsection (ff). The 24-month limitation
26on the adoption of emergency rules does not apply to rules to

HB5561- 75 -LRB101 17547 JWD 66965 b
1initially implement the changes made to Articles 5A and 14 of
2the Illinois Public Aid Code adopted under this subsection
3(ff). The adoption of emergency rules authorized by this
4subsection (ff) is deemed to be necessary for the public
5interest, safety, and welfare.
6 (gg) In order to provide for the expeditious and timely
7implementation of the provisions of Public Act 101-1, emergency
8rules may be adopted by the Department of Labor in accordance
9with this subsection (gg) to implement the changes made by
10Public Act 101-1 to the Minimum Wage Law. The adoption of
11emergency rules authorized by this subsection (gg) is deemed to
12be necessary for the public interest, safety, and welfare.
13 (hh) In order to provide for the expeditious and timely
14implementation of the provisions of Public Act 101-10,
15emergency rules may be adopted in accordance with this
16subsection (hh) to implement the changes made by Public Act
17101-10 to subsection (j) of Section 5-5.2 of the Illinois
18Public Aid Code. The adoption of emergency rules authorized by
19this subsection (hh) is deemed to be necessary for the public
20interest, safety, and welfare.
21 (ii) In order to provide for the expeditious and timely
22implementation of the provisions of Public Act 101-10,
23emergency rules to implement the changes made by Public Act
24101-10 to Sections 5-5.4 and 5-5.4i of the Illinois Public Aid
25Code may be adopted in accordance with this subsection (ii) by
26the Department of Public Health. The adoption of emergency

HB5561- 76 -LRB101 17547 JWD 66965 b
1rules authorized by this subsection (ii) is deemed to be
2necessary for the public interest, safety, and welfare.
3 (jj) In order to provide for the expeditious and timely
4implementation of the provisions of Public Act 101-10,
5emergency rules to implement the changes made by Public Act
6101-10 to Section 74 of the Mental Health and Developmental
7Disabilities Administrative Act may be adopted in accordance
8with this subsection (jj) by the Department of Human Services.
9The adoption of emergency rules authorized by this subsection
10(jj) is deemed to be necessary for the public interest, safety,
11and welfare.
12 (kk) In order to provide for the expeditious and timely
13implementation of the Cannabis Regulation and Tax Act and
14Public Act 101-27, the Department of Revenue, the Department of
15Public Health, the Department of Agriculture, the Department of
16State Police, and the Department of Financial and Professional
17Regulation may adopt emergency rules in accordance with this
18subsection (kk). The rulemaking authority granted in this
19subsection (kk) shall apply only to rules adopted before
20December 31, 2021. Notwithstanding the provisions of
21subsection (c), emergency rules adopted under this subsection
22(kk) shall be effective for 180 days. The adoption of emergency
23rules authorized by this subsection (kk) is deemed to be
24necessary for the public interest, safety, and welfare.
25 (ll) (Blank). In order to provide for the expeditious and
26timely implementation of the provisions of the Leveling the

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1Playing Field for Illinois Retail Act, emergency rules may be
2adopted in accordance with this subsection (ll) to implement
3the changes made by the Leveling the Playing Field for Illinois
4Retail Act. The adoption of emergency rules authorized by this
5subsection (ll) is deemed to be necessary for the public
6interest, safety, and welfare.
7 (mm) (Blank). In order to provide for the expeditious and
8timely implementation of the provisions of Section 25-70 of the
9Sports Wagering Act, emergency rules to implement Section 25-70
10of the Sports Wagering Act may be adopted in accordance with
11this subsection (mm) by the Department of the Lottery as
12provided in the Sports Wagering Act. The adoption of emergency
13rules authorized by this subsection (mm) is deemed to be
14necessary for the public interest, safety, and welfare.
15 (nn) (Blank). In order to provide for the expeditious and
16timely implementation of the Sports Wagering Act, emergency
17rules to implement the Sports Wagering Act may be adopted in
18accordance with this subsection (nn) by the Illinois Gaming
19Board. The adoption of emergency rules authorized by this
20subsection (nn) is deemed to be necessary for the public
21interest, safety, and welfare.
22 (oo) (Blank). In order to provide for the expeditious and
23timely implementation of the provisions of subsection (c) of
24Section 20 of the Video Gaming Act, emergency rules to
25implement the provisions of subsection (c) of Section 20 of the
26Video Gaming Act may be adopted in accordance with this

HB5561- 78 -LRB101 17547 JWD 66965 b
1subsection (oo) by the Illinois Gaming Board. The adoption of
2emergency rules authorized by this subsection (oo) is deemed to
3be necessary for the public interest, safety, and welfare.
4 (pp) In order to provide for the expeditious and timely
5implementation of the provisions of Section 50 of the Sexual
6Assault Evidence Submission Act, emergency rules to implement
7Section 50 of the Sexual Assault Evidence Submission Act may be
8adopted in accordance with this subsection (pp) by the
9Department of State Police. The adoption of emergency rules
10authorized by this subsection (pp) is deemed to be necessary
11for the public interest, safety, and welfare.
12 (qq) In order to provide for the expeditious and timely
13implementation of the provisions of the Illinois Works Jobs
14Program Act, emergency rules may be adopted in accordance with
15this subsection (qq) to implement the Illinois Works Jobs
16Program Act. The adoption of emergency rules authorized by this
17subsection (qq) is deemed to be necessary for the public
18interest, safety, and welfare.
19(Source: P.A. 100-23, eff. 7-6-17; 100-554, eff. 11-16-17;
20100-581, eff. 3-12-18; 100-587, Article 95, Section 95-5, eff.
216-4-18; 100-587, Article 110, Section 110-5, eff. 6-4-18;
22100-864, eff. 8-14-18; 100-1172, eff. 1-4-19; 100-1181, eff.
233-8-19; 101-1, eff. 2-19-19; 101-10, Article 20, Section 20-5,
24eff. 6-5-19; 101-10, Article 35, Section 35-5, eff. 6-5-19;
25101-27, eff. 6-25-19; 101-31, Article 15, Section 15-5, eff.
266-28-19; 101-31, Article 25, Section 25-900, eff. 6-28-19;

HB5561- 79 -LRB101 17547 JWD 66965 b
1101-31, Article 35, Section 35-3, eff. 6-28-19; 101-377, eff.
28-16-19; 101-601, eff. 12-10-19.)
3 (20 ILCS 605/605-1025 rep.)
4 Section 10-10. The Department of Commerce and Economic
5Opportunity Law of the Civil Administrative Code of Illinois is
6amended by repealing Section 605-1025, as added by Public Act
7101-31.
8 (30 ILCS 105/5.891 rep.)
9 (30 ILCS 105/5.893 rep.)
10 (30 ILCS 105/5.894 rep.)
11 Section 10-20. The State Finance Act is amended by
12repealing Sections 5.891, 5.893, and 5.894, all as added by
13Public Act 101-31.
14 (35 ILCS 5/229 rep.)
15 Section 10-25. The Illinois Income Tax Act is amended by
16repealing Section 229, as added by Public Act 101-31.
17 Section 10-30. The Use Tax Act is amended by changing
18Sections 2 and 3-5 as follows:
19 (35 ILCS 105/2) (from Ch. 120, par. 439.2)
20 Sec. 2. Definitions.
21 "Use" means the exercise by any person of any right or

HB5561- 80 -LRB101 17547 JWD 66965 b
1power over tangible personal property incident to the ownership
2of that property, except that it does not include the sale of
3such property in any form as tangible personal property in the
4regular course of business to the extent that such property is
5not first subjected to a use for which it was purchased, and
6does not include the use of such property by its owner for
7demonstration purposes: Provided that the property purchased
8is deemed to be purchased for the purpose of resale, despite
9first being used, to the extent to which it is resold as an
10ingredient of an intentionally produced product or by-product
11of manufacturing. "Use" does not mean the demonstration use or
12interim use of tangible personal property by a retailer before
13he sells that tangible personal property. For watercraft or
14aircraft, if the period of demonstration use or interim use by
15the retailer exceeds 18 months, the retailer shall pay on the
16retailers' original cost price the tax imposed by this Act, and
17no credit for that tax is permitted if the watercraft or
18aircraft is subsequently sold by the retailer. "Use" does not
19mean the physical incorporation of tangible personal property,
20to the extent not first subjected to a use for which it was
21purchased, as an ingredient or constituent, into other tangible
22personal property (a) which is sold in the regular course of
23business or (b) which the person incorporating such ingredient
24or constituent therein has undertaken at the time of such
25purchase to cause to be transported in interstate commerce to
26destinations outside the State of Illinois: Provided that the

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1property purchased is deemed to be purchased for the purpose of
2resale, despite first being used, to the extent to which it is
3resold as an ingredient of an intentionally produced product or
4by-product of manufacturing.
5 "Watercraft" means a Class 2, Class 3, or Class 4
6watercraft as defined in Section 3-2 of the Boat Registration
7and Safety Act, a personal watercraft, or any boat equipped
8with an inboard motor.
9 "Purchase at retail" means the acquisition of the ownership
10of or title to tangible personal property through a sale at
11retail.
12 "Purchaser" means anyone who, through a sale at retail,
13acquires the ownership of tangible personal property for a
14valuable consideration.
15 "Sale at retail" means any transfer of the ownership of or
16title to tangible personal property to a purchaser, for the
17purpose of use, and not for the purpose of resale in any form
18as tangible personal property to the extent not first subjected
19to a use for which it was purchased, for a valuable
20consideration: Provided that the property purchased is deemed
21to be purchased for the purpose of resale, despite first being
22used, to the extent to which it is resold as an ingredient of
23an intentionally produced product or by-product of
24manufacturing. For this purpose, slag produced as an incident
25to manufacturing pig iron or steel and sold is considered to be
26an intentionally produced by-product of manufacturing. "Sale

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1at retail" includes any such transfer made for resale unless
2made in compliance with Section 2c of the Retailers' Occupation
3Tax Act, as incorporated by reference into Section 12 of this
4Act. Transactions whereby the possession of the property is
5transferred but the seller retains the title as security for
6payment of the selling price are sales.
7 "Sale at retail" shall also be construed to include any
8Illinois florist's sales transaction in which the purchase
9order is received in Illinois by a florist and the sale is for
10use or consumption, but the Illinois florist has a florist in
11another state deliver the property to the purchaser or the
12purchaser's donee in such other state.
13 Nonreusable tangible personal property that is used by
14persons engaged in the business of operating a restaurant,
15cafeteria, or drive-in is a sale for resale when it is
16transferred to customers in the ordinary course of business as
17part of the sale of food or beverages and is used to deliver,
18package, or consume food or beverages, regardless of where
19consumption of the food or beverages occurs. Examples of those
20items include, but are not limited to nonreusable, paper and
21plastic cups, plates, baskets, boxes, sleeves, buckets or other
22containers, utensils, straws, placemats, napkins, doggie bags,
23and wrapping or packaging materials that are transferred to
24customers as part of the sale of food or beverages in the
25ordinary course of business.
26 The purchase, employment and transfer of such tangible

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1personal property as newsprint and ink for the primary purpose
2of conveying news (with or without other information) is not a
3purchase, use or sale of tangible personal property.
4 "Selling price" means the consideration for a sale valued
5in money whether received in money or otherwise, including
6cash, credits, property other than as hereinafter provided, and
7services, but, prior to January 1, 2020, not including the
8value of or credit given for traded-in tangible personal
9property where the item that is traded-in is of like kind and
10character as that which is being sold; beginning January 1,
112020, "selling price" includes the portion of the value of or
12credit given for traded-in motor vehicles of the First Division
13as defined in Section 1-146 of the Illinois Vehicle Code of
14like kind and character as that which is being sold that
15exceeds $10,000. "Selling price" , and shall be determined
16without any deduction on account of the cost of the property
17sold, the cost of materials used, labor or service cost or any
18other expense whatsoever, but does not include interest or
19finance charges which appear as separate items on the bill of
20sale or sales contract nor charges that are added to prices by
21sellers on account of the seller's tax liability under the
22"Retailers' Occupation Tax Act", or on account of the seller's
23duty to collect, from the purchaser, the tax that is imposed by
24this Act, or, except as otherwise provided with respect to any
25cigarette tax imposed by a home rule unit, on account of the
26seller's tax liability under any local occupation tax

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1administered by the Department, or, except as otherwise
2provided with respect to any cigarette tax imposed by a home
3rule unit on account of the seller's duty to collect, from the
4purchasers, the tax that is imposed under any local use tax
5administered by the Department. Effective December 1, 1985,
6"selling price" shall include charges that are added to prices
7by sellers on account of the seller's tax liability under the
8Cigarette Tax Act, on account of the seller's duty to collect,
9from the purchaser, the tax imposed under the Cigarette Use Tax
10Act, and on account of the seller's duty to collect, from the
11purchaser, any cigarette tax imposed by a home rule unit.
12 Notwithstanding any law to the contrary, for any motor
13vehicle, as defined in Section 1-146 of the Vehicle Code, that
14is sold on or after January 1, 2015 for the purpose of leasing
15the vehicle for a defined period that is longer than one year
16and (1) is a motor vehicle of the second division that: (A) is
17a self-contained motor vehicle designed or permanently
18converted to provide living quarters for recreational,
19camping, or travel use, with direct walk through access to the
20living quarters from the driver's seat; (B) is of the van
21configuration designed for the transportation of not less than
227 nor more than 16 passengers; or (C) has a gross vehicle
23weight rating of 8,000 pounds or less or (2) is a motor vehicle
24of the first division, "selling price" or "amount of sale"
25means the consideration received by the lessor pursuant to the
26lease contract, including amounts due at lease signing and all

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1monthly or other regular payments charged over the term of the
2lease. Also included in the selling price is any amount
3received by the lessor from the lessee for the leased vehicle
4that is not calculated at the time the lease is executed,
5including, but not limited to, excess mileage charges and
6charges for excess wear and tear. For sales that occur in
7Illinois, with respect to any amount received by the lessor
8from the lessee for the leased vehicle that is not calculated
9at the time the lease is executed, the lessor who purchased the
10motor vehicle does not incur the tax imposed by the Use Tax Act
11on those amounts, and the retailer who makes the retail sale of
12the motor vehicle to the lessor is not required to collect the
13tax imposed by this Act or to pay the tax imposed by the
14Retailers' Occupation Tax Act on those amounts. However, the
15lessor who purchased the motor vehicle assumes the liability
16for reporting and paying the tax on those amounts directly to
17the Department in the same form (Illinois Retailers' Occupation
18Tax, and local retailers' occupation taxes, if applicable) in
19which the retailer would have reported and paid such tax if the
20retailer had accounted for the tax to the Department. For
21amounts received by the lessor from the lessee that are not
22calculated at the time the lease is executed, the lessor must
23file the return and pay the tax to the Department by the due
24date otherwise required by this Act for returns other than
25transaction returns. If the retailer is entitled under this Act
26to a discount for collecting and remitting the tax imposed

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1under this Act to the Department with respect to the sale of
2the motor vehicle to the lessor, then the right to the discount
3provided in this Act shall be transferred to the lessor with
4respect to the tax paid by the lessor for any amount received
5by the lessor from the lessee for the leased vehicle that is
6not calculated at the time the lease is executed; provided that
7the discount is only allowed if the return is timely filed and
8for amounts timely paid. The "selling price" of a motor vehicle
9that is sold on or after January 1, 2015 for the purpose of
10leasing for a defined period of longer than one year shall not
11be reduced by the value of or credit given for traded-in
12tangible personal property owned by the lessor, nor shall it be
13reduced by the value of or credit given for traded-in tangible
14personal property owned by the lessee, regardless of whether
15the trade-in value thereof is assigned by the lessee to the
16lessor. In the case of a motor vehicle that is sold for the
17purpose of leasing for a defined period of longer than one
18year, the sale occurs at the time of the delivery of the
19vehicle, regardless of the due date of any lease payments. A
20lessor who incurs a Retailers' Occupation Tax liability on the
21sale of a motor vehicle coming off lease may not take a credit
22against that liability for the Use Tax the lessor paid upon the
23purchase of the motor vehicle (or for any tax the lessor paid
24with respect to any amount received by the lessor from the
25lessee for the leased vehicle that was not calculated at the
26time the lease was executed) if the selling price of the motor

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1vehicle at the time of purchase was calculated using the
2definition of "selling price" as defined in this paragraph.
3Notwithstanding any other provision of this Act to the
4contrary, lessors shall file all returns and make all payments
5required under this paragraph to the Department by electronic
6means in the manner and form as required by the Department.
7This paragraph does not apply to leases of motor vehicles for
8which, at the time the lease is entered into, the term of the
9lease is not a defined period, including leases with a defined
10initial period with the option to continue the lease on a
11month-to-month or other basis beyond the initial defined
12period.
13 The phrase "like kind and character" shall be liberally
14construed (including but not limited to any form of motor
15vehicle for any form of motor vehicle, or any kind of farm or
16agricultural implement for any other kind of farm or
17agricultural implement), while not including a kind of item
18which, if sold at retail by that retailer, would be exempt from
19retailers' occupation tax and use tax as an isolated or
20occasional sale.
21 "Department" means the Department of Revenue.
22 "Person" means any natural individual, firm, partnership,
23association, joint stock company, joint adventure, public or
24private corporation, limited liability company, or a receiver,
25executor, trustee, guardian or other representative appointed
26by order of any court.

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1 "Retailer" means and includes every person engaged in the
2business of making sales at retail as defined in this Section.
3 A person who holds himself or herself out as being engaged
4(or who habitually engages) in selling tangible personal
5property at retail is a retailer hereunder with respect to such
6sales (and not primarily in a service occupation)
7notwithstanding the fact that such person designs and produces
8such tangible personal property on special order for the
9purchaser and in such a way as to render the property of value
10only to such purchaser, if such tangible personal property so
11produced on special order serves substantially the same
12function as stock or standard items of tangible personal
13property that are sold at retail.
14 A person whose activities are organized and conducted
15primarily as a not-for-profit service enterprise, and who
16engages in selling tangible personal property at retail
17(whether to the public or merely to members and their guests)
18is a retailer with respect to such transactions, excepting only
19a person organized and operated exclusively for charitable,
20religious or educational purposes either (1), to the extent of
21sales by such person to its members, students, patients or
22inmates of tangible personal property to be used primarily for
23the purposes of such person, or (2), to the extent of sales by
24such person of tangible personal property which is not sold or
25offered for sale by persons organized for profit. The selling
26of school books and school supplies by schools at retail to

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1students is not "primarily for the purposes of" the school
2which does such selling. This paragraph does not apply to nor
3subject to taxation occasional dinners, social or similar
4activities of a person organized and operated exclusively for
5charitable, religious or educational purposes, whether or not
6such activities are open to the public.
7 A person who is the recipient of a grant or contract under
8Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
9serves meals to participants in the federal Nutrition Program
10for the Elderly in return for contributions established in
11amount by the individual participant pursuant to a schedule of
12suggested fees as provided for in the federal Act is not a
13retailer under this Act with respect to such transactions.
14 Persons who engage in the business of transferring tangible
15personal property upon the redemption of trading stamps are
16retailers hereunder when engaged in such business.
17 The isolated or occasional sale of tangible personal
18property at retail by a person who does not hold himself out as
19being engaged (or who does not habitually engage) in selling
20such tangible personal property at retail or a sale through a
21bulk vending machine does not make such person a retailer
22hereunder. However, any person who is engaged in a business
23which is not subject to the tax imposed by the Retailers'
24Occupation Tax Act because of involving the sale of or a
25contract to sell real estate or a construction contract to
26improve real estate, but who, in the course of conducting such

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1business, transfers tangible personal property to users or
2consumers in the finished form in which it was purchased, and
3which does not become real estate, under any provision of a
4construction contract or real estate sale or real estate sales
5agreement entered into with some other person arising out of or
6because of such nontaxable business, is a retailer to the
7extent of the value of the tangible personal property so
8transferred. If, in such transaction, a separate charge is made
9for the tangible personal property so transferred, the value of
10such property, for the purposes of this Act, is the amount so
11separately charged, but not less than the cost of such property
12to the transferor; if no separate charge is made, the value of
13such property, for the purposes of this Act, is the cost to the
14transferor of such tangible personal property.
15 "Retailer maintaining a place of business in this State",
16or any like term, means and includes any of the following
17retailers:
18 (1) A retailer having or maintaining within this State,
19 directly or by a subsidiary, an office, distribution house,
20 sales house, warehouse or other place of business, or any
21 agent or other representative operating within this State
22 under the authority of the retailer or its subsidiary,
23 irrespective of whether such place of business or agent or
24 other representative is located here permanently or
25 temporarily, or whether such retailer or subsidiary is
26 licensed to do business in this State. However, the

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1 ownership of property that is located at the premises of a
2 printer with which the retailer has contracted for printing
3 and that consists of the final printed product, property
4 that becomes a part of the final printed product, or copy
5 from which the printed product is produced shall not result
6 in the retailer being deemed to have or maintain an office,
7 distribution house, sales house, warehouse, or other place
8 of business within this State.
9 (1.1) A retailer having a contract with a person
10 located in this State under which the person, for a
11 commission or other consideration based upon the sale of
12 tangible personal property by the retailer, directly or
13 indirectly refers potential customers to the retailer by
14 providing to the potential customers a promotional code or
15 other mechanism that allows the retailer to track purchases
16 referred by such persons. Examples of mechanisms that allow
17 the retailer to track purchases referred by such persons
18 include but are not limited to the use of a link on the
19 person's Internet website, promotional codes distributed
20 through the person's hand-delivered or mailed material,
21 and promotional codes distributed by the person through
22 radio or other broadcast media. The provisions of this
23 paragraph (1.1) shall apply only if the cumulative gross
24 receipts from sales of tangible personal property by the
25 retailer to customers who are referred to the retailer by
26 all persons in this State under such contracts exceed

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1 $10,000 during the preceding 4 quarterly periods ending on
2 the last day of March, June, September, and December. A
3 retailer meeting the requirements of this paragraph (1.1)
4 shall be presumed to be maintaining a place of business in
5 this State but may rebut this presumption by submitting
6 proof that the referrals or other activities pursued within
7 this State by such persons were not sufficient to meet the
8 nexus standards of the United States Constitution during
9 the preceding 4 quarterly periods.
10 (1.2) Beginning July 1, 2011, a retailer having a
11 contract with a person located in this State under which:
12 (A) the retailer sells the same or substantially
13 similar line of products as the person located in this
14 State and does so using an identical or substantially
15 similar name, trade name, or trademark as the person
16 located in this State; and
17 (B) the retailer provides a commission or other
18 consideration to the person located in this State based
19 upon the sale of tangible personal property by the
20 retailer.
21 The provisions of this paragraph (1.2) shall apply only
22 if the cumulative gross receipts from sales of tangible
23 personal property by the retailer to customers in this
24 State under all such contracts exceed $10,000 during the
25 preceding 4 quarterly periods ending on the last day of
26 March, June, September, and December.

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1 (2) (Blank). A retailer soliciting orders for tangible
2 personal property by means of a telecommunication or
3 television shopping system (which utilizes toll free
4 numbers) which is intended by the retailer to be broadcast
5 by cable television or other means of broadcasting, to
6 consumers located in this State.
7 (3) (Blank). A retailer, pursuant to a contract with a
8 broadcaster or publisher located in this State, soliciting
9 orders for tangible personal property by means of
10 advertising which is disseminated primarily to consumers
11 located in this State and only secondarily to bordering
12 jurisdictions.
13 (4) (Blank). A retailer soliciting orders for tangible
14 personal property by mail if the solicitations are
15 substantial and recurring and if the retailer benefits from
16 any banking, financing, debt collection,
17 telecommunication, or marketing activities occurring in
18 this State or benefits from the location in this State of
19 authorized installation, servicing, or repair facilities.
20 (5) (Blank). A retailer that is owned or controlled by
21 the same interests that own or control any retailer
22 engaging in business in the same or similar line of
23 business in this State.
24 (6) (Blank). A retailer having a franchisee or licensee
25 operating under its trade name if the franchisee or
26 licensee is required to collect the tax under this Section.

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1 (7) (Blank). A retailer, pursuant to a contract with a
2 cable television operator located in this State,
3 soliciting orders for tangible personal property by means
4 of advertising which is transmitted or distributed over a
5 cable television system in this State.
6 (8) (Blank). A retailer engaging in activities in
7 Illinois, which activities in the state in which the retail
8 business engaging in such activities is located would
9 constitute maintaining a place of business in that state.
10 (9) Beginning October 1, 2018, a retailer making sales
11 of tangible personal property to purchasers in Illinois
12 from outside of Illinois if:
13 (A) the cumulative gross receipts from sales of
14 tangible personal property to purchasers in Illinois
15 are $100,000 or more; or
16 (B) the retailer enters into 200 or more separate
17 transactions for the sale of tangible personal
18 property to purchasers in Illinois.
19 The retailer shall determine on a quarterly basis,
20 ending on the last day of March, June, September, and
21 December, whether he or she meets the criteria of either
22 subparagraph (A) or (B) of this paragraph (9) for the
23 preceding 12-month period. If the retailer meets the
24 threshold of either subparagraph (A) or (B) for a 12-month
25 period, he or she is considered a retailer maintaining a
26 place of business in this State and is required to collect

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1 and remit the tax imposed under this Act and file returns
2 for one year. At the end of that one-year period, the
3 retailer shall determine whether he or she met the
4 threshold of either subparagraph (A) or (B) during the
5 preceding 12-month period. If the retailer met the criteria
6 in either subparagraph (A) or (B) for the preceding
7 12-month period, he or she is considered a retailer
8 maintaining a place of business in this State and is
9 required to collect and remit the tax imposed under this
10 Act and file returns for the subsequent year. If at the end
11 of a one-year period a retailer that was required to
12 collect and remit the tax imposed under this Act determines
13 that he or she did not meet the threshold in either
14 subparagraph (A) or (B) during the preceding 12-month
15 period, the retailer shall subsequently determine on a
16 quarterly basis, ending on the last day of March, June,
17 September, and December, whether he or she meets the
18 threshold of either subparagraph (A) or (B) for the
19 preceding 12-month period.
20 Beginning January 1, 2020, neither the gross receipts
21 from nor the number of separate transactions for sales of
22 tangible personal property to purchasers in Illinois that a
23 retailer makes through a marketplace facilitator and for
24 which the retailer has received a certification from the
25 marketplace facilitator pursuant to Section 2d of this Act
26 shall be included for purposes of determining whether he or

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1 she has met the thresholds of this paragraph (9).
2 (10) Beginning January 1, 2020, a marketplace
3 facilitator that meets a threshold set forth in subsection
4 (b) of Section 2d of this Act.
5 "Bulk vending machine" means a vending machine, containing
6unsorted confections, nuts, toys, or other items designed
7primarily to be used or played with by children which, when a
8coin or coins of a denomination not larger than $0.50 are
9inserted, are dispensed in equal portions, at random and
10without selection by the customer.
11(Source: P.A. 100-587, eff. 6-4-18; 101-9, eff. 6-5-19; 101-31,
12eff. 1-1-20; 101-604, eff. 1-1-20.)
13 (35 ILCS 105/3-5)
14 Sec. 3-5. Exemptions. Use of the following tangible
15personal property is exempt from the tax imposed by this Act:
16 (1) Personal property purchased from a corporation,
17society, association, foundation, institution, or
18organization, other than a limited liability company, that is
19organized and operated as a not-for-profit service enterprise
20for the benefit of persons 65 years of age or older if the
21personal property was not purchased by the enterprise for the
22purpose of resale by the enterprise.
23 (2) Personal property purchased by a not-for-profit
24Illinois county fair association for use in conducting,
25operating, or promoting the county fair.

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1 (3) Personal property purchased by a not-for-profit arts or
2cultural organization that establishes, by proof required by
3the Department by rule, that it has received an exemption under
4Section 501(c)(3) of the Internal Revenue Code and that is
5organized and operated primarily for the presentation or
6support of arts or cultural programming, activities, or
7services. These organizations include, but are not limited to,
8music and dramatic arts organizations such as symphony
9orchestras and theatrical groups, arts and cultural service
10organizations, local arts councils, visual arts organizations,
11and media arts organizations. On and after July 1, 2001 (the
12effective date of Public Act 92-35), however, an entity
13otherwise eligible for this exemption shall not make tax-free
14purchases unless it has an active identification number issued
15by the Department.
16 (4) Personal property purchased by a governmental body, by
17a corporation, society, association, foundation, or
18institution organized and operated exclusively for charitable,
19religious, or educational purposes, or by a not-for-profit
20corporation, society, association, foundation, institution, or
21organization that has no compensated officers or employees and
22that is organized and operated primarily for the recreation of
23persons 55 years of age or older. A limited liability company
24may qualify for the exemption under this paragraph only if the
25limited liability company is organized and operated
26exclusively for educational purposes. On and after July 1,

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11987, however, no entity otherwise eligible for this exemption
2shall make tax-free purchases unless it has an active exemption
3identification number issued by the Department.
4 (5) Until July 1, 2003, a passenger car that is a
5replacement vehicle to the extent that the purchase price of
6the car is subject to the Replacement Vehicle Tax.
7 (6) Until July 1, 2003 and beginning again on September 1,
82004 through August 30, 2014, graphic arts machinery and
9equipment, including repair and replacement parts, both new and
10used, and including that manufactured on special order,
11certified by the purchaser to be used primarily for graphic
12arts production, and including machinery and equipment
13purchased for lease. Equipment includes chemicals or chemicals
14acting as catalysts but only if the chemicals or chemicals
15acting as catalysts effect a direct and immediate change upon a
16graphic arts product. Beginning on July 1, 2017, graphic arts
17machinery and equipment is included in the manufacturing and
18assembling machinery and equipment exemption under paragraph
19(18).
20 (7) Farm chemicals.
21 (8) Legal tender, currency, medallions, or gold or silver
22coinage issued by the State of Illinois, the government of the
23United States of America, or the government of any foreign
24country, and bullion.
25 (9) Personal property purchased from a teacher-sponsored
26student organization affiliated with an elementary or

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1secondary school located in Illinois.
2 (10) A motor vehicle that is used for automobile renting,
3as defined in the Automobile Renting Occupation and Use Tax
4Act.
5 (11) Farm machinery and equipment, both new and used,
6including that manufactured on special order, certified by the
7purchaser to be used primarily for production agriculture or
8State or federal agricultural programs, including individual
9replacement parts for the machinery and equipment, including
10machinery and equipment purchased for lease, and including
11implements of husbandry defined in Section 1-130 of the
12Illinois Vehicle Code, farm machinery and agricultural
13chemical and fertilizer spreaders, and nurse wagons required to
14be registered under Section 3-809 of the Illinois Vehicle Code,
15but excluding other motor vehicles required to be registered
16under the Illinois Vehicle Code. Horticultural polyhouses or
17hoop houses used for propagating, growing, or overwintering
18plants shall be considered farm machinery and equipment under
19this item (11). Agricultural chemical tender tanks and dry
20boxes shall include units sold separately from a motor vehicle
21required to be licensed and units sold mounted on a motor
22vehicle required to be licensed if the selling price of the
23tender is separately stated.
24 Farm machinery and equipment shall include precision
25farming equipment that is installed or purchased to be
26installed on farm machinery and equipment including, but not

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1limited to, tractors, harvesters, sprayers, planters, seeders,
2or spreaders. Precision farming equipment includes, but is not
3limited to, soil testing sensors, computers, monitors,
4software, global positioning and mapping systems, and other
5such equipment.
6 Farm machinery and equipment also includes computers,
7sensors, software, and related equipment used primarily in the
8computer-assisted operation of production agriculture
9facilities, equipment, and activities such as, but not limited
10to, the collection, monitoring, and correlation of animal and
11crop data for the purpose of formulating animal diets and
12agricultural chemicals. This item (11) is exempt from the
13provisions of Section 3-90.
14 (12) Until June 30, 2013, fuel and petroleum products sold
15to or used by an air common carrier, certified by the carrier
16to be used for consumption, shipment, or storage in the conduct
17of its business as an air common carrier, for a flight destined
18for or returning from a location or locations outside the
19United States without regard to previous or subsequent domestic
20stopovers.
21 Beginning July 1, 2013, fuel and petroleum products sold to
22or used by an air carrier, certified by the carrier to be used
23for consumption, shipment, or storage in the conduct of its
24business as an air common carrier, for a flight that (i) is
25engaged in foreign trade or is engaged in trade between the
26United States and any of its possessions and (ii) transports at

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1least one individual or package for hire from the city of
2origination to the city of final destination on the same
3aircraft, without regard to a change in the flight number of
4that aircraft.
5 (13) Proceeds of mandatory service charges separately
6stated on customers' bills for the purchase and consumption of
7food and beverages purchased at retail from a retailer, to the
8extent that the proceeds of the service charge are in fact
9turned over as tips or as a substitute for tips to the
10employees who participate directly in preparing, serving,
11hosting or cleaning up the food or beverage function with
12respect to which the service charge is imposed.
13 (14) Until July 1, 2003, oil field exploration, drilling,
14and production equipment, including (i) rigs and parts of rigs,
15rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
16tubular goods, including casing and drill strings, (iii) pumps
17and pump-jack units, (iv) storage tanks and flow lines, (v) any
18individual replacement part for oil field exploration,
19drilling, and production equipment, and (vi) machinery and
20equipment purchased for lease; but excluding motor vehicles
21required to be registered under the Illinois Vehicle Code.
22 (15) Photoprocessing machinery and equipment, including
23repair and replacement parts, both new and used, including that
24manufactured on special order, certified by the purchaser to be
25used primarily for photoprocessing, and including
26photoprocessing machinery and equipment purchased for lease.

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1 (16) Until July 1, 2023, coal and aggregate exploration,
2mining, off-highway hauling, processing, maintenance, and
3reclamation equipment, including replacement parts and
4equipment, and including equipment purchased for lease, but
5excluding motor vehicles required to be registered under the
6Illinois Vehicle Code. The changes made to this Section by
7Public Act 97-767 apply on and after July 1, 2003, but no claim
8for credit or refund is allowed on or after August 16, 2013
9(the effective date of Public Act 98-456) for such taxes paid
10during the period beginning July 1, 2003 and ending on August
1116, 2013 (the effective date of Public Act 98-456).
12 (17) Until July 1, 2003, distillation machinery and
13equipment, sold as a unit or kit, assembled or installed by the
14retailer, certified by the user to be used only for the
15production of ethyl alcohol that will be used for consumption
16as motor fuel or as a component of motor fuel for the personal
17use of the user, and not subject to sale or resale.
18 (18) Manufacturing and assembling machinery and equipment
19used primarily in the process of manufacturing or assembling
20tangible personal property for wholesale or retail sale or
21lease, whether that sale or lease is made directly by the
22manufacturer or by some other person, whether the materials
23used in the process are owned by the manufacturer or some other
24person, or whether that sale or lease is made apart from or as
25an incident to the seller's engaging in the service occupation
26of producing machines, tools, dies, jigs, patterns, gauges, or

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1other similar items of no commercial value on special order for
2a particular purchaser. The exemption provided by this
3paragraph (18) includes production related tangible personal
4property, as defined in Section 3-50, purchased on or after
5July 1, 2019. The exemption provided by this paragraph (18)
6does not include machinery and equipment used in (i) the
7generation of electricity for wholesale or retail sale; (ii)
8the generation or treatment of natural or artificial gas for
9wholesale or retail sale that is delivered to customers through
10pipes, pipelines, or mains; or (iii) the treatment of water for
11wholesale or retail sale that is delivered to customers through
12pipes, pipelines, or mains. The provisions of Public Act 98-583
13are declaratory of existing law as to the meaning and scope of
14this exemption. Beginning on July 1, 2017, the exemption
15provided by this paragraph (18) includes, but is not limited
16to, graphic arts machinery and equipment, as defined in
17paragraph (6) of this Section.
18 (19) Personal property delivered to a purchaser or
19purchaser's donee inside Illinois when the purchase order for
20that personal property was received by a florist located
21outside Illinois who has a florist located inside Illinois
22deliver the personal property.
23 (20) Semen used for artificial insemination of livestock
24for direct agricultural production.
25 (21) Horses, or interests in horses, registered with and
26meeting the requirements of any of the Arabian Horse Club

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1Registry of America, Appaloosa Horse Club, American Quarter
2Horse Association, United States Trotting Association, or
3Jockey Club, as appropriate, used for purposes of breeding or
4racing for prizes. This item (21) is exempt from the provisions
5of Section 3-90, and the exemption provided for under this item
6(21) applies for all periods beginning May 30, 1995, but no
7claim for credit or refund is allowed on or after January 1,
82008 for such taxes paid during the period beginning May 30,
92000 and ending on January 1, 2008.
10 (22) Computers and communications equipment utilized for
11any hospital purpose and equipment used in the diagnosis,
12analysis, or treatment of hospital patients purchased by a
13lessor who leases the equipment, under a lease of one year or
14longer executed or in effect at the time the lessor would
15otherwise be subject to the tax imposed by this Act, to a
16hospital that has been issued an active tax exemption
17identification number by the Department under Section 1g of the
18Retailers' Occupation Tax Act. If the equipment is leased in a
19manner that does not qualify for this exemption or is used in
20any other non-exempt manner, the lessor shall be liable for the
21tax imposed under this Act or the Service Use Tax Act, as the
22case may be, based on the fair market value of the property at
23the time the non-qualifying use occurs. No lessor shall collect
24or attempt to collect an amount (however designated) that
25purports to reimburse that lessor for the tax imposed by this
26Act or the Service Use Tax Act, as the case may be, if the tax

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1has not been paid by the lessor. If a lessor improperly
2collects any such amount from the lessee, the lessee shall have
3a legal right to claim a refund of that amount from the lessor.
4If, however, that amount is not refunded to the lessee for any
5reason, the lessor is liable to pay that amount to the
6Department.
7 (23) Personal property purchased by a lessor who leases the
8property, under a lease of one year or longer executed or in
9effect at the time the lessor would otherwise be subject to the
10tax imposed by this Act, to a governmental body that has been
11issued an active sales tax exemption identification number by
12the Department under Section 1g of the Retailers' Occupation
13Tax Act. If the property is leased in a manner that does not
14qualify for this exemption or used in any other non-exempt
15manner, the lessor shall be liable for the tax imposed under
16this Act or the Service Use Tax Act, as the case may be, based
17on the fair market value of the property at the time the
18non-qualifying use occurs. No lessor shall collect or attempt
19to collect an amount (however designated) that purports to
20reimburse that lessor for the tax imposed by this Act or the
21Service Use Tax Act, as the case may be, if the tax has not been
22paid by the lessor. If a lessor improperly collects any such
23amount from the lessee, the lessee shall have a legal right to
24claim a refund of that amount from the lessor. If, however,
25that amount is not refunded to the lessee for any reason, the
26lessor is liable to pay that amount to the Department.

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1 (24) Beginning with taxable years ending on or after
2December 31, 1995 and ending with taxable years ending on or
3before December 31, 2004, personal property that is donated for
4disaster relief to be used in a State or federally declared
5disaster area in Illinois or bordering Illinois by a
6manufacturer or retailer that is registered in this State to a
7corporation, society, association, foundation, or institution
8that has been issued a sales tax exemption identification
9number by the Department that assists victims of the disaster
10who reside within the declared disaster area.
11 (25) Beginning with taxable years ending on or after
12December 31, 1995 and ending with taxable years ending on or
13before December 31, 2004, personal property that is used in the
14performance of infrastructure repairs in this State, including
15but not limited to municipal roads and streets, access roads,
16bridges, sidewalks, waste disposal systems, water and sewer
17line extensions, water distribution and purification
18facilities, storm water drainage and retention facilities, and
19sewage treatment facilities, resulting from a State or
20federally declared disaster in Illinois or bordering Illinois
21when such repairs are initiated on facilities located in the
22declared disaster area within 6 months after the disaster.
23 (26) Beginning July 1, 1999, game or game birds purchased
24at a "game breeding and hunting preserve area" as that term is
25used in the Wildlife Code. This paragraph is exempt from the
26provisions of Section 3-90.

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1 (27) A motor vehicle, as that term is defined in Section
21-146 of the Illinois Vehicle Code, that is donated to a
3corporation, limited liability company, society, association,
4foundation, or institution that is determined by the Department
5to be organized and operated exclusively for educational
6purposes. For purposes of this exemption, "a corporation,
7limited liability company, society, association, foundation,
8or institution organized and operated exclusively for
9educational purposes" means all tax-supported public schools,
10private schools that offer systematic instruction in useful
11branches of learning by methods common to public schools and
12that compare favorably in their scope and intensity with the
13course of study presented in tax-supported schools, and
14vocational or technical schools or institutes organized and
15operated exclusively to provide a course of study of not less
16than 6 weeks duration and designed to prepare individuals to
17follow a trade or to pursue a manual, technical, mechanical,
18industrial, business, or commercial occupation.
19 (28) Beginning January 1, 2000, personal property,
20including food, purchased through fundraising events for the
21benefit of a public or private elementary or secondary school,
22a group of those schools, or one or more school districts if
23the events are sponsored by an entity recognized by the school
24district that consists primarily of volunteers and includes
25parents and teachers of the school children. This paragraph
26does not apply to fundraising events (i) for the benefit of

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1private home instruction or (ii) for which the fundraising
2entity purchases the personal property sold at the events from
3another individual or entity that sold the property for the
4purpose of resale by the fundraising entity and that profits
5from the sale to the fundraising entity. This paragraph is
6exempt from the provisions of Section 3-90.
7 (29) Beginning January 1, 2000 and through December 31,
82001, new or used automatic vending machines that prepare and
9serve hot food and beverages, including coffee, soup, and other
10items, and replacement parts for these machines. Beginning
11January 1, 2002 and through June 30, 2003, machines and parts
12for machines used in commercial, coin-operated amusement and
13vending business if a use or occupation tax is paid on the
14gross receipts derived from the use of the commercial,
15coin-operated amusement and vending machines. This paragraph
16is exempt from the provisions of Section 3-90.
17 (30) Beginning January 1, 2001 and through June 30, 2016,
18food for human consumption that is to be consumed off the
19premises where it is sold (other than alcoholic beverages, soft
20drinks, and food that has been prepared for immediate
21consumption) and prescription and nonprescription medicines,
22drugs, medical appliances, and insulin, urine testing
23materials, syringes, and needles used by diabetics, for human
24use, when purchased for use by a person receiving medical
25assistance under Article V of the Illinois Public Aid Code who
26resides in a licensed long-term care facility, as defined in

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1the Nursing Home Care Act, or in a licensed facility as defined
2in the ID/DD Community Care Act, the MC/DD Act, or the
3Specialized Mental Health Rehabilitation Act of 2013.
4 (31) Beginning on August 2, 2001 (the effective date of
5Public Act 92-227), computers and communications equipment
6utilized for any hospital purpose and equipment used in the
7diagnosis, analysis, or treatment of hospital patients
8purchased by a lessor who leases the equipment, under a lease
9of one year or longer executed or in effect at the time the
10lessor would otherwise be subject to the tax imposed by this
11Act, to a hospital that has been issued an active tax exemption
12identification number by the Department under Section 1g of the
13Retailers' Occupation Tax Act. If the equipment is leased in a
14manner that does not qualify for this exemption or is used in
15any other nonexempt manner, the lessor shall be liable for the
16tax imposed under this Act or the Service Use Tax Act, as the
17case may be, based on the fair market value of the property at
18the time the nonqualifying use occurs. No lessor shall collect
19or attempt to collect an amount (however designated) that
20purports to reimburse that lessor for the tax imposed by this
21Act or the Service Use Tax Act, as the case may be, if the tax
22has not been paid by the lessor. If a lessor improperly
23collects any such amount from the lessee, the lessee shall have
24a legal right to claim a refund of that amount from the lessor.
25If, however, that amount is not refunded to the lessee for any
26reason, the lessor is liable to pay that amount to the

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1Department. This paragraph is exempt from the provisions of
2Section 3-90.
3 (32) Beginning on August 2, 2001 (the effective date of
4Public Act 92-227), personal property purchased by a lessor who
5leases the property, under a lease of one year or longer
6executed or in effect at the time the lessor would otherwise be
7subject to the tax imposed by this Act, to a governmental body
8that has been issued an active sales tax exemption
9identification number by the Department under Section 1g of the
10Retailers' Occupation Tax Act. If the property is leased in a
11manner that does not qualify for this exemption or used in any
12other nonexempt manner, the lessor shall be liable for the tax
13imposed under this Act or the Service Use Tax Act, as the case
14may be, based on the fair market value of the property at the
15time the nonqualifying use occurs. No lessor shall collect or
16attempt to collect an amount (however designated) that purports
17to reimburse that lessor for the tax imposed by this Act or the
18Service Use Tax Act, as the case may be, if the tax has not been
19paid by the lessor. If a lessor improperly collects any such
20amount from the lessee, the lessee shall have a legal right to
21claim a refund of that amount from the lessor. If, however,
22that amount is not refunded to the lessee for any reason, the
23lessor is liable to pay that amount to the Department. This
24paragraph is exempt from the provisions of Section 3-90.
25 (33) On and after July 1, 2003 and through June 30, 2004,
26the use in this State of motor vehicles of the second division

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1with a gross vehicle weight in excess of 8,000 pounds and that
2are subject to the commercial distribution fee imposed under
3Section 3-815.1 of the Illinois Vehicle Code. Beginning on July
41, 2004 and through June 30, 2005, the use in this State of
5motor vehicles of the second division: (i) with a gross vehicle
6weight rating in excess of 8,000 pounds; (ii) that are subject
7to the commercial distribution fee imposed under Section
83-815.1 of the Illinois Vehicle Code; and (iii) that are
9primarily used for commercial purposes. Through June 30, 2005,
10this exemption applies to repair and replacement parts added
11after the initial purchase of such a motor vehicle if that
12motor vehicle is used in a manner that would qualify for the
13rolling stock exemption otherwise provided for in this Act. For
14purposes of this paragraph, the term "used for commercial
15purposes" means the transportation of persons or property in
16furtherance of any commercial or industrial enterprise,
17whether for-hire or not.
18 (34) Beginning January 1, 2008, tangible personal property
19used in the construction or maintenance of a community water
20supply, as defined under Section 3.145 of the Environmental
21Protection Act, that is operated by a not-for-profit
22corporation that holds a valid water supply permit issued under
23Title IV of the Environmental Protection Act. This paragraph is
24exempt from the provisions of Section 3-90.
25 (35) Beginning January 1, 2010 and continuing through
26December 31, 2024, materials, parts, equipment, components,

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1and furnishings incorporated into or upon an aircraft as part
2of the modification, refurbishment, completion, replacement,
3repair, or maintenance of the aircraft. This exemption includes
4consumable supplies used in the modification, refurbishment,
5completion, replacement, repair, and maintenance of aircraft,
6but excludes any materials, parts, equipment, components, and
7consumable supplies used in the modification, replacement,
8repair, and maintenance of aircraft engines or power plants,
9whether such engines or power plants are installed or
10uninstalled upon any such aircraft. "Consumable supplies"
11include, but are not limited to, adhesive, tape, sandpaper,
12general purpose lubricants, cleaning solution, latex gloves,
13and protective films. This exemption applies only to the use of
14qualifying tangible personal property by persons who modify,
15refurbish, complete, repair, replace, or maintain aircraft and
16who (i) hold an Air Agency Certificate and are empowered to
17operate an approved repair station by the Federal Aviation
18Administration, (ii) have a Class IV Rating, and (iii) conduct
19operations in accordance with Part 145 of the Federal Aviation
20Regulations. The exemption does not include aircraft operated
21by a commercial air carrier providing scheduled passenger air
22service pursuant to authority issued under Part 121 or Part 129
23of the Federal Aviation Regulations. The changes made to this
24paragraph (35) by Public Act 98-534 are declarative of existing
25law. It is the intent of the General Assembly that the
26exemption under this paragraph (35) applies continuously from

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1January 1, 2010 through December 31, 2024; however, no claim
2for credit or refund is allowed for taxes paid as a result of
3the disallowance of this exemption on or after January 1, 2015
4and prior to the effective date of this amendatory Act of the
5101st General Assembly.
6 (36) Tangible personal property purchased by a
7public-facilities corporation, as described in Section
811-65-10 of the Illinois Municipal Code, for purposes of
9constructing or furnishing a municipal convention hall, but
10only if the legal title to the municipal convention hall is
11transferred to the municipality without any further
12consideration by or on behalf of the municipality at the time
13of the completion of the municipal convention hall or upon the
14retirement or redemption of any bonds or other debt instruments
15issued by the public-facilities corporation in connection with
16the development of the municipal convention hall. This
17exemption includes existing public-facilities corporations as
18provided in Section 11-65-25 of the Illinois Municipal Code.
19This paragraph is exempt from the provisions of Section 3-90.
20 (37) Beginning January 1, 2017, menstrual pads, tampons,
21and menstrual cups.
22 (38) Merchandise that is subject to the Rental Purchase
23Agreement Occupation and Use Tax. The purchaser must certify
24that the item is purchased to be rented subject to a rental
25purchase agreement, as defined in the Rental Purchase Agreement
26Act, and provide proof of registration under the Rental

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1Purchase Agreement Occupation and Use Tax Act. This paragraph
2is exempt from the provisions of Section 3-90.
3 (39) Tangible personal property purchased by a purchaser
4who is exempt from the tax imposed by this Act by operation of
5federal law. This paragraph is exempt from the provisions of
6Section 3-90.
7 (40) Qualified tangible personal property used in the
8construction or operation of a data center that has been
9granted a certificate of exemption by the Department of
10Commerce and Economic Opportunity, whether that tangible
11personal property is purchased by the owner, operator, or
12tenant of the data center or by a contractor or subcontractor
13of the owner, operator, or tenant. Data centers that would have
14qualified for a certificate of exemption prior to January 1,
152020 had Public Act 101-31 been in effect may apply for and
16obtain an exemption for subsequent purchases of computer
17equipment or enabling software purchased or leased to upgrade,
18supplement, or replace computer equipment or enabling software
19purchased or leased in the original investment that would have
20qualified.
21 The Department of Commerce and Economic Opportunity shall
22grant a certificate of exemption under this item (40) to
23qualified data centers as defined by Section 605-1025 of the
24Department of Commerce and Economic Opportunity Law of the
25Civil Administrative Code of Illinois.
26 For the purposes of this item (40):

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1 "Data center" means a building or a series of buildings
2 rehabilitated or constructed to house working servers in
3 one physical location or multiple sites within the State of
4 Illinois.
5 "Qualified tangible personal property" means:
6 electrical systems and equipment; climate control and
7 chilling equipment and systems; mechanical systems and
8 equipment; monitoring and secure systems; emergency
9 generators; hardware; computers; servers; data storage
10 devices; network connectivity equipment; racks; cabinets;
11 telecommunications cabling infrastructure; raised floor
12 systems; peripheral components or systems; software;
13 mechanical, electrical, or plumbing systems; battery
14 systems; cooling systems and towers; temperature control
15 systems; other cabling; and other data center
16 infrastructure equipment and systems necessary to operate
17 qualified tangible personal property, including fixtures;
18 and component parts of any of the foregoing, including
19 installation, maintenance, repair, refurbishment, and
20 replacement of qualified tangible personal property to
21 generate, transform, transmit, distribute, or manage
22 electricity necessary to operate qualified tangible
23 personal property; and all other tangible personal
24 property that is essential to the operations of a computer
25 data center. The term "qualified tangible personal
26 property" also includes building materials physically

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1 incorporated in to the qualifying data center. To document
2 the exemption allowed under this Section, the retailer must
3 obtain from the purchaser a copy of the certificate of
4 eligibility issued by the Department of Commerce and
5 Economic Opportunity.
6 This item (40) is exempt from the provisions of Section
73-90.
8(Source: P.A. 100-22, eff. 7-6-17; 100-437, eff. 1-1-18;
9100-594, eff. 6-29-18; 100-863, eff. 8-14-18; 100-1171, eff.
101-4-19; 101-9, eff. 6-5-19; 101-31, eff. 6-28-19; 101-81, eff.
117-12-19; 101-629, eff. 2-5-20.)
12 Section 10-35. The Service Use Tax Act is amended by
13changing Section 3-5 as follows:
14 (35 ILCS 110/3-5)
15 Sec. 3-5. Exemptions. Use of the following tangible
16personal property is exempt from the tax imposed by this Act:
17 (1) Personal property purchased from a corporation,
18society, association, foundation, institution, or
19organization, other than a limited liability company, that is
20organized and operated as a not-for-profit service enterprise
21for the benefit of persons 65 years of age or older if the
22personal property was not purchased by the enterprise for the
23purpose of resale by the enterprise.
24 (2) Personal property purchased by a non-profit Illinois

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1county fair association for use in conducting, operating, or
2promoting the county fair.
3 (3) Personal property purchased by a not-for-profit arts or
4cultural organization that establishes, by proof required by
5the Department by rule, that it has received an exemption under
6Section 501(c)(3) of the Internal Revenue Code and that is
7organized and operated primarily for the presentation or
8support of arts or cultural programming, activities, or
9services. These organizations include, but are not limited to,
10music and dramatic arts organizations such as symphony
11orchestras and theatrical groups, arts and cultural service
12organizations, local arts councils, visual arts organizations,
13and media arts organizations. On and after July 1, 2001 (the
14effective date of Public Act 92-35), however, an entity
15otherwise eligible for this exemption shall not make tax-free
16purchases unless it has an active identification number issued
17by the Department.
18 (4) Legal tender, currency, medallions, or gold or silver
19coinage issued by the State of Illinois, the government of the
20United States of America, or the government of any foreign
21country, and bullion.
22 (5) Until July 1, 2003 and beginning again on September 1,
232004 through August 30, 2014, graphic arts machinery and
24equipment, including repair and replacement parts, both new and
25used, and including that manufactured on special order or
26purchased for lease, certified by the purchaser to be used

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1primarily for graphic arts production. Equipment includes
2chemicals or chemicals acting as catalysts but only if the
3chemicals or chemicals acting as catalysts effect a direct and
4immediate change upon a graphic arts product. Beginning on July
51, 2017, graphic arts machinery and equipment is included in
6the manufacturing and assembling machinery and equipment
7exemption under Section 2 of this Act.
8 (6) Personal property purchased from a teacher-sponsored
9student organization affiliated with an elementary or
10secondary school located in Illinois.
11 (7) Farm machinery and equipment, both new and used,
12including that manufactured on special order, certified by the
13purchaser to be used primarily for production agriculture or
14State or federal agricultural programs, including individual
15replacement parts for the machinery and equipment, including
16machinery and equipment purchased for lease, and including
17implements of husbandry defined in Section 1-130 of the
18Illinois Vehicle Code, farm machinery and agricultural
19chemical and fertilizer spreaders, and nurse wagons required to
20be registered under Section 3-809 of the Illinois Vehicle Code,
21but excluding other motor vehicles required to be registered
22under the Illinois Vehicle Code. Horticultural polyhouses or
23hoop houses used for propagating, growing, or overwintering
24plants shall be considered farm machinery and equipment under
25this item (7). Agricultural chemical tender tanks and dry boxes
26shall include units sold separately from a motor vehicle

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1required to be licensed and units sold mounted on a motor
2vehicle required to be licensed if the selling price of the
3tender is separately stated.
4 Farm machinery and equipment shall include precision
5farming equipment that is installed or purchased to be
6installed on farm machinery and equipment including, but not
7limited to, tractors, harvesters, sprayers, planters, seeders,
8or spreaders. Precision farming equipment includes, but is not
9limited to, soil testing sensors, computers, monitors,
10software, global positioning and mapping systems, and other
11such equipment.
12 Farm machinery and equipment also includes computers,
13sensors, software, and related equipment used primarily in the
14computer-assisted operation of production agriculture
15facilities, equipment, and activities such as, but not limited
16to, the collection, monitoring, and correlation of animal and
17crop data for the purpose of formulating animal diets and
18agricultural chemicals. This item (7) is exempt from the
19provisions of Section 3-75.
20 (8) Until June 30, 2013, fuel and petroleum products sold
21to or used by an air common carrier, certified by the carrier
22to be used for consumption, shipment, or storage in the conduct
23of its business as an air common carrier, for a flight destined
24for or returning from a location or locations outside the
25United States without regard to previous or subsequent domestic
26stopovers.

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1 Beginning July 1, 2013, fuel and petroleum products sold to
2or used by an air carrier, certified by the carrier to be used
3for consumption, shipment, or storage in the conduct of its
4business as an air common carrier, for a flight that (i) is
5engaged in foreign trade or is engaged in trade between the
6United States and any of its possessions and (ii) transports at
7least one individual or package for hire from the city of
8origination to the city of final destination on the same
9aircraft, without regard to a change in the flight number of
10that aircraft.
11 (9) Proceeds of mandatory service charges separately
12stated on customers' bills for the purchase and consumption of
13food and beverages acquired as an incident to the purchase of a
14service from a serviceman, to the extent that the proceeds of
15the service charge are in fact turned over as tips or as a
16substitute for tips to the employees who participate directly
17in preparing, serving, hosting or cleaning up the food or
18beverage function with respect to which the service charge is
19imposed.
20 (10) Until July 1, 2003, oil field exploration, drilling,
21and production equipment, including (i) rigs and parts of rigs,
22rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
23tubular goods, including casing and drill strings, (iii) pumps
24and pump-jack units, (iv) storage tanks and flow lines, (v) any
25individual replacement part for oil field exploration,
26drilling, and production equipment, and (vi) machinery and

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1equipment purchased for lease; but excluding motor vehicles
2required to be registered under the Illinois Vehicle Code.
3 (11) Proceeds from the sale of photoprocessing machinery
4and equipment, including repair and replacement parts, both new
5and used, including that manufactured on special order,
6certified by the purchaser to be used primarily for
7photoprocessing, and including photoprocessing machinery and
8equipment purchased for lease.
9 (12) Until July 1, 2023, coal and aggregate exploration,
10mining, off-highway hauling, processing, maintenance, and
11reclamation equipment, including replacement parts and
12equipment, and including equipment purchased for lease, but
13excluding motor vehicles required to be registered under the
14Illinois Vehicle Code. The changes made to this Section by
15Public Act 97-767 apply on and after July 1, 2003, but no claim
16for credit or refund is allowed on or after August 16, 2013
17(the effective date of Public Act 98-456) for such taxes paid
18during the period beginning July 1, 2003 and ending on August
1916, 2013 (the effective date of Public Act 98-456).
20 (13) Semen used for artificial insemination of livestock
21for direct agricultural production.
22 (14) Horses, or interests in horses, registered with and
23meeting the requirements of any of the Arabian Horse Club
24Registry of America, Appaloosa Horse Club, American Quarter
25Horse Association, United States Trotting Association, or
26Jockey Club, as appropriate, used for purposes of breeding or

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1racing for prizes. This item (14) is exempt from the provisions
2of Section 3-75, and the exemption provided for under this item
3(14) applies for all periods beginning May 30, 1995, but no
4claim for credit or refund is allowed on or after January 1,
52008 (the effective date of Public Act 95-88) for such taxes
6paid during the period beginning May 30, 2000 and ending on
7January 1, 2008 (the effective date of Public Act 95-88).
8 (15) Computers and communications equipment utilized for
9any hospital purpose and equipment used in the diagnosis,
10analysis, or treatment of hospital patients purchased by a
11lessor who leases the equipment, under a lease of one year or
12longer executed or in effect at the time the lessor would
13otherwise be subject to the tax imposed by this Act, to a
14hospital that has been issued an active tax exemption
15identification number by the Department under Section 1g of the
16Retailers' Occupation Tax Act. If the equipment is leased in a
17manner that does not qualify for this exemption or is used in
18any other non-exempt manner, the lessor shall be liable for the
19tax imposed under this Act or the Use Tax Act, as the case may
20be, based on the fair market value of the property at the time
21the non-qualifying use occurs. No lessor shall collect or
22attempt to collect an amount (however designated) that purports
23to reimburse that lessor for the tax imposed by this Act or the
24Use Tax Act, as the case may be, if the tax has not been paid by
25the lessor. If a lessor improperly collects any such amount
26from the lessee, the lessee shall have a legal right to claim a

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1refund of that amount from the lessor. If, however, that amount
2is not refunded to the lessee for any reason, the lessor is
3liable to pay that amount to the Department.
4 (16) Personal property purchased by a lessor who leases the
5property, under a lease of one year or longer executed or in
6effect at the time the lessor would otherwise be subject to the
7tax imposed by this Act, to a governmental body that has been
8issued an active tax exemption identification number by the
9Department under Section 1g of the Retailers' Occupation Tax
10Act. If the property is leased in a manner that does not
11qualify for this exemption or is used in any other non-exempt
12manner, the lessor shall be liable for the tax imposed under
13this Act or the Use Tax Act, as the case may be, based on the
14fair market value of the property at the time the
15non-qualifying use occurs. No lessor shall collect or attempt
16to collect an amount (however designated) that purports to
17reimburse that lessor for the tax imposed by this Act or the
18Use Tax Act, as the case may be, if the tax has not been paid by
19the lessor. If a lessor improperly collects any such amount
20from the lessee, the lessee shall have a legal right to claim a
21refund of that amount from the lessor. If, however, that amount
22is not refunded to the lessee for any reason, the lessor is
23liable to pay that amount to the Department.
24 (17) Beginning with taxable years ending on or after
25December 31, 1995 and ending with taxable years ending on or
26before December 31, 2004, personal property that is donated for

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1disaster relief to be used in a State or federally declared
2disaster area in Illinois or bordering Illinois by a
3manufacturer or retailer that is registered in this State to a
4corporation, society, association, foundation, or institution
5that has been issued a sales tax exemption identification
6number by the Department that assists victims of the disaster
7who reside within the declared disaster area.
8 (18) Beginning with taxable years ending on or after
9December 31, 1995 and ending with taxable years ending on or
10before December 31, 2004, personal property that is used in the
11performance of infrastructure repairs in this State, including
12but not limited to municipal roads and streets, access roads,
13bridges, sidewalks, waste disposal systems, water and sewer
14line extensions, water distribution and purification
15facilities, storm water drainage and retention facilities, and
16sewage treatment facilities, resulting from a State or
17federally declared disaster in Illinois or bordering Illinois
18when such repairs are initiated on facilities located in the
19declared disaster area within 6 months after the disaster.
20 (19) Beginning July 1, 1999, game or game birds purchased
21at a "game breeding and hunting preserve area" as that term is
22used in the Wildlife Code. This paragraph is exempt from the
23provisions of Section 3-75.
24 (20) A motor vehicle, as that term is defined in Section
251-146 of the Illinois Vehicle Code, that is donated to a
26corporation, limited liability company, society, association,

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1foundation, or institution that is determined by the Department
2to be organized and operated exclusively for educational
3purposes. For purposes of this exemption, "a corporation,
4limited liability company, society, association, foundation,
5or institution organized and operated exclusively for
6educational purposes" means all tax-supported public schools,
7private schools that offer systematic instruction in useful
8branches of learning by methods common to public schools and
9that compare favorably in their scope and intensity with the
10course of study presented in tax-supported schools, and
11vocational or technical schools or institutes organized and
12operated exclusively to provide a course of study of not less
13than 6 weeks duration and designed to prepare individuals to
14follow a trade or to pursue a manual, technical, mechanical,
15industrial, business, or commercial occupation.
16 (21) Beginning January 1, 2000, personal property,
17including food, purchased through fundraising events for the
18benefit of a public or private elementary or secondary school,
19a group of those schools, or one or more school districts if
20the events are sponsored by an entity recognized by the school
21district that consists primarily of volunteers and includes
22parents and teachers of the school children. This paragraph
23does not apply to fundraising events (i) for the benefit of
24private home instruction or (ii) for which the fundraising
25entity purchases the personal property sold at the events from
26another individual or entity that sold the property for the

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1purpose of resale by the fundraising entity and that profits
2from the sale to the fundraising entity. This paragraph is
3exempt from the provisions of Section 3-75.
4 (22) Beginning January 1, 2000 and through December 31,
52001, new or used automatic vending machines that prepare and
6serve hot food and beverages, including coffee, soup, and other
7items, and replacement parts for these machines. Beginning
8January 1, 2002 and through June 30, 2003, machines and parts
9for machines used in commercial, coin-operated amusement and
10vending business if a use or occupation tax is paid on the
11gross receipts derived from the use of the commercial,
12coin-operated amusement and vending machines. This paragraph
13is exempt from the provisions of Section 3-75.
14 (23) Beginning August 23, 2001 and through June 30, 2016,
15food for human consumption that is to be consumed off the
16premises where it is sold (other than alcoholic beverages, soft
17drinks, and food that has been prepared for immediate
18consumption) and prescription and nonprescription medicines,
19drugs, medical appliances, and insulin, urine testing
20materials, syringes, and needles used by diabetics, for human
21use, when purchased for use by a person receiving medical
22assistance under Article V of the Illinois Public Aid Code who
23resides in a licensed long-term care facility, as defined in
24the Nursing Home Care Act, or in a licensed facility as defined
25in the ID/DD Community Care Act, the MC/DD Act, or the
26Specialized Mental Health Rehabilitation Act of 2013.

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1 (24) Beginning on August 2, 2001 (the effective date of
2Public Act 92-227), computers and communications equipment
3utilized for any hospital purpose and equipment used in the
4diagnosis, analysis, or treatment of hospital patients
5purchased by a lessor who leases the equipment, under a lease
6of one year or longer executed or in effect at the time the
7lessor would otherwise be subject to the tax imposed by this
8Act, to a hospital that has been issued an active tax exemption
9identification number by the Department under Section 1g of the
10Retailers' Occupation Tax Act. If the equipment is leased in a
11manner that does not qualify for this exemption or is used in
12any other nonexempt manner, the lessor shall be liable for the
13tax imposed under this Act or the Use Tax Act, as the case may
14be, based on the fair market value of the property at the time
15the nonqualifying use occurs. No lessor shall collect or
16attempt to collect an amount (however designated) that purports
17to reimburse that lessor for the tax imposed by this Act or the
18Use Tax Act, as the case may be, if the tax has not been paid by
19the lessor. If a lessor improperly collects any such amount
20from the lessee, the lessee shall have a legal right to claim a
21refund of that amount from the lessor. If, however, that amount
22is not refunded to the lessee for any reason, the lessor is
23liable to pay that amount to the Department. This paragraph is
24exempt from the provisions of Section 3-75.
25 (25) Beginning on August 2, 2001 (the effective date of
26Public Act 92-227), personal property purchased by a lessor who

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1leases the property, under a lease of one year or longer
2executed or in effect at the time the lessor would otherwise be
3subject to the tax imposed by this Act, to a governmental body
4that has been issued an active tax exemption identification
5number by the Department under Section 1g of the Retailers'
6Occupation Tax Act. If the property is leased in a manner that
7does not qualify for this exemption or is used in any other
8nonexempt manner, the lessor shall be liable for the tax
9imposed under this Act or the Use Tax Act, as the case may be,
10based on the fair market value of the property at the time the
11nonqualifying use occurs. No lessor shall collect or attempt to
12collect an amount (however designated) that purports to
13reimburse that lessor for the tax imposed by this Act or the
14Use Tax Act, as the case may be, if the tax has not been paid by
15the lessor. If a lessor improperly collects any such amount
16from the lessee, the lessee shall have a legal right to claim a
17refund of that amount from the lessor. If, however, that amount
18is not refunded to the lessee for any reason, the lessor is
19liable to pay that amount to the Department. This paragraph is
20exempt from the provisions of Section 3-75.
21 (26) Beginning January 1, 2008, tangible personal property
22used in the construction or maintenance of a community water
23supply, as defined under Section 3.145 of the Environmental
24Protection Act, that is operated by a not-for-profit
25corporation that holds a valid water supply permit issued under
26Title IV of the Environmental Protection Act. This paragraph is

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1exempt from the provisions of Section 3-75.
2 (27) Beginning January 1, 2010 and continuing through
3December 31, 2024, materials, parts, equipment, components,
4and furnishings incorporated into or upon an aircraft as part
5of the modification, refurbishment, completion, replacement,
6repair, or maintenance of the aircraft. This exemption includes
7consumable supplies used in the modification, refurbishment,
8completion, replacement, repair, and maintenance of aircraft,
9but excludes any materials, parts, equipment, components, and
10consumable supplies used in the modification, replacement,
11repair, and maintenance of aircraft engines or power plants,
12whether such engines or power plants are installed or
13uninstalled upon any such aircraft. "Consumable supplies"
14include, but are not limited to, adhesive, tape, sandpaper,
15general purpose lubricants, cleaning solution, latex gloves,
16and protective films. This exemption applies only to the use of
17qualifying tangible personal property transferred incident to
18the modification, refurbishment, completion, replacement,
19repair, or maintenance of aircraft by persons who (i) hold an
20Air Agency Certificate and are empowered to operate an approved
21repair station by the Federal Aviation Administration, (ii)
22have a Class IV Rating, and (iii) conduct operations in
23accordance with Part 145 of the Federal Aviation Regulations.
24The exemption does not include aircraft operated by a
25commercial air carrier providing scheduled passenger air
26service pursuant to authority issued under Part 121 or Part 129

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1of the Federal Aviation Regulations. The changes made to this
2paragraph (27) by Public Act 98-534 are declarative of existing
3law. It is the intent of the General Assembly that the
4exemption under this paragraph (27) applies continuously from
5January 1, 2010 through December 31, 2024; however, no claim
6for credit or refund is allowed for taxes paid as a result of
7the disallowance of this exemption on or after January 1, 2015
8and prior to the effective date of this amendatory Act of the
9101st General Assembly.
10 (28) Tangible personal property purchased by a
11public-facilities corporation, as described in Section
1211-65-10 of the Illinois Municipal Code, for purposes of
13constructing or furnishing a municipal convention hall, but
14only if the legal title to the municipal convention hall is
15transferred to the municipality without any further
16consideration by or on behalf of the municipality at the time
17of the completion of the municipal convention hall or upon the
18retirement or redemption of any bonds or other debt instruments
19issued by the public-facilities corporation in connection with
20the development of the municipal convention hall. This
21exemption includes existing public-facilities corporations as
22provided in Section 11-65-25 of the Illinois Municipal Code.
23This paragraph is exempt from the provisions of Section 3-75.
24 (29) Beginning January 1, 2017, menstrual pads, tampons,
25and menstrual cups.
26 (30) Tangible personal property transferred to a purchaser

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1who is exempt from the tax imposed by this Act by operation of
2federal law. This paragraph is exempt from the provisions of
3Section 3-75.
4 (31) Qualified tangible personal property used in the
5construction or operation of a data center that has been
6granted a certificate of exemption by the Department of
7Commerce and Economic Opportunity, whether that tangible
8personal property is purchased by the owner, operator, or
9tenant of the data center or by a contractor or subcontractor
10of the owner, operator, or tenant. Data centers that would have
11qualified for a certificate of exemption prior to January 1,
122020 had this amendatory Act of the 101st General Assembly been
13in effect, may apply for and obtain an exemption for subsequent
14purchases of computer equipment or enabling software purchased
15or leased to upgrade, supplement, or replace computer equipment
16or enabling software purchased or leased in the original
17investment that would have qualified.
18 The Department of Commerce and Economic Opportunity shall
19grant a certificate of exemption under this item (31) to
20qualified data centers as defined by Section 605-1025 of the
21Department of Commerce and Economic Opportunity Law of the
22Civil Administrative Code of Illinois.
23 For the purposes of this item (31):
24 "Data center" means a building or a series of buildings
25 rehabilitated or constructed to house working servers in
26 one physical location or multiple sites within the State of

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1 Illinois.
2 "Qualified tangible personal property" means:
3 electrical systems and equipment; climate control and
4 chilling equipment and systems; mechanical systems and
5 equipment; monitoring and secure systems; emergency
6 generators; hardware; computers; servers; data storage
7 devices; network connectivity equipment; racks; cabinets;
8 telecommunications cabling infrastructure; raised floor
9 systems; peripheral components or systems; software;
10 mechanical, electrical, or plumbing systems; battery
11 systems; cooling systems and towers; temperature control
12 systems; other cabling; and other data center
13 infrastructure equipment and systems necessary to operate
14 qualified tangible personal property, including fixtures;
15 and component parts of any of the foregoing, including
16 installation, maintenance, repair, refurbishment, and
17 replacement of qualified tangible personal property to
18 generate, transform, transmit, distribute, or manage
19 electricity necessary to operate qualified tangible
20 personal property; and all other tangible personal
21 property that is essential to the operations of a computer
22 data center. The term "qualified tangible personal
23 property" also includes building materials physically
24 incorporated in to the qualifying data center. To document
25 the exemption allowed under this Section, the retailer must
26 obtain from the purchaser a copy of the certificate of

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1 eligibility issued by the Department of Commerce and
2 Economic Opportunity.
3 This item (31) is exempt from the provisions of Section
43-75.
5(Source: P.A. 100-22, eff. 7-6-17; 100-594, eff. 6-29-18;
6100-1171, eff. 1-4-19; 101-31, eff. 6-28-19; 101-81, eff.
77-12-19; 101-629, eff. 2-5-20.)
8 Section 10-40. The Service Occupation Tax Act is amended by
9changing Section 3-5 as follows:
10 (35 ILCS 115/3-5)
11 Sec. 3-5. Exemptions. The following tangible personal
12property is exempt from the tax imposed by this Act:
13 (1) Personal property sold by a corporation, society,
14association, foundation, institution, or organization, other
15than a limited liability company, that is organized and
16operated as a not-for-profit service enterprise for the benefit
17of persons 65 years of age or older if the personal property
18was not purchased by the enterprise for the purpose of resale
19by the enterprise.
20 (2) Personal property purchased by a not-for-profit
21Illinois county fair association for use in conducting,
22operating, or promoting the county fair.
23 (3) Personal property purchased by any not-for-profit arts
24or cultural organization that establishes, by proof required by

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1the Department by rule, that it has received an exemption under
2Section 501(c)(3) of the Internal Revenue Code and that is
3organized and operated primarily for the presentation or
4support of arts or cultural programming, activities, or
5services. These organizations include, but are not limited to,
6music and dramatic arts organizations such as symphony
7orchestras and theatrical groups, arts and cultural service
8organizations, local arts councils, visual arts organizations,
9and media arts organizations. On and after July 1, 2001 (the
10effective date of Public Act 92-35), however, an entity
11otherwise eligible for this exemption shall not make tax-free
12purchases unless it has an active identification number issued
13by the Department.
14 (4) Legal tender, currency, medallions, or gold or silver
15coinage issued by the State of Illinois, the government of the
16United States of America, or the government of any foreign
17country, and bullion.
18 (5) Until July 1, 2003 and beginning again on September 1,
192004 through August 30, 2014, graphic arts machinery and
20equipment, including repair and replacement parts, both new and
21used, and including that manufactured on special order or
22purchased for lease, certified by the purchaser to be used
23primarily for graphic arts production. Equipment includes
24chemicals or chemicals acting as catalysts but only if the
25chemicals or chemicals acting as catalysts effect a direct and
26immediate change upon a graphic arts product. Beginning on July

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11, 2017, graphic arts machinery and equipment is included in
2the manufacturing and assembling machinery and equipment
3exemption under Section 2 of this Act.
4 (6) Personal property sold by a teacher-sponsored student
5organization affiliated with an elementary or secondary school
6located in Illinois.
7 (7) Farm machinery and equipment, both new and used,
8including that manufactured on special order, certified by the
9purchaser to be used primarily for production agriculture or
10State or federal agricultural programs, including individual
11replacement parts for the machinery and equipment, including
12machinery and equipment purchased for lease, and including
13implements of husbandry defined in Section 1-130 of the
14Illinois Vehicle Code, farm machinery and agricultural
15chemical and fertilizer spreaders, and nurse wagons required to
16be registered under Section 3-809 of the Illinois Vehicle Code,
17but excluding other motor vehicles required to be registered
18under the Illinois Vehicle Code. Horticultural polyhouses or
19hoop houses used for propagating, growing, or overwintering
20plants shall be considered farm machinery and equipment under
21this item (7). Agricultural chemical tender tanks and dry boxes
22shall include units sold separately from a motor vehicle
23required to be licensed and units sold mounted on a motor
24vehicle required to be licensed if the selling price of the
25tender is separately stated.
26 Farm machinery and equipment shall include precision

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1farming equipment that is installed or purchased to be
2installed on farm machinery and equipment including, but not
3limited to, tractors, harvesters, sprayers, planters, seeders,
4or spreaders. Precision farming equipment includes, but is not
5limited to, soil testing sensors, computers, monitors,
6software, global positioning and mapping systems, and other
7such equipment.
8 Farm machinery and equipment also includes computers,
9sensors, software, and related equipment used primarily in the
10computer-assisted operation of production agriculture
11facilities, equipment, and activities such as, but not limited
12to, the collection, monitoring, and correlation of animal and
13crop data for the purpose of formulating animal diets and
14agricultural chemicals. This item (7) is exempt from the
15provisions of Section 3-55.
16 (8) Until June 30, 2013, fuel and petroleum products sold
17to or used by an air common carrier, certified by the carrier
18to be used for consumption, shipment, or storage in the conduct
19of its business as an air common carrier, for a flight destined
20for or returning from a location or locations outside the
21United States without regard to previous or subsequent domestic
22stopovers.
23 Beginning July 1, 2013, fuel and petroleum products sold to
24or used by an air carrier, certified by the carrier to be used
25for consumption, shipment, or storage in the conduct of its
26business as an air common carrier, for a flight that (i) is

HB5561- 137 -LRB101 17547 JWD 66965 b
1engaged in foreign trade or is engaged in trade between the
2United States and any of its possessions and (ii) transports at
3least one individual or package for hire from the city of
4origination to the city of final destination on the same
5aircraft, without regard to a change in the flight number of
6that aircraft.
7 (9) Proceeds of mandatory service charges separately
8stated on customers' bills for the purchase and consumption of
9food and beverages, to the extent that the proceeds of the
10service charge are in fact turned over as tips or as a
11substitute for tips to the employees who participate directly
12in preparing, serving, hosting or cleaning up the food or
13beverage function with respect to which the service charge is
14imposed.
15 (10) Until July 1, 2003, oil field exploration, drilling,
16and production equipment, including (i) rigs and parts of rigs,
17rotary rigs, cable tool rigs, and workover rigs, (ii) pipe and
18tubular goods, including casing and drill strings, (iii) pumps
19and pump-jack units, (iv) storage tanks and flow lines, (v) any
20individual replacement part for oil field exploration,
21drilling, and production equipment, and (vi) machinery and
22equipment purchased for lease; but excluding motor vehicles
23required to be registered under the Illinois Vehicle Code.
24 (11) Photoprocessing machinery and equipment, including
25repair and replacement parts, both new and used, including that
26manufactured on special order, certified by the purchaser to be

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1used primarily for photoprocessing, and including
2photoprocessing machinery and equipment purchased for lease.
3 (12) Until July 1, 2023, coal and aggregate exploration,
4mining, off-highway hauling, processing, maintenance, and
5reclamation equipment, including replacement parts and
6equipment, and including equipment purchased for lease, but
7excluding motor vehicles required to be registered under the
8Illinois Vehicle Code. The changes made to this Section by
9Public Act 97-767 apply on and after July 1, 2003, but no claim
10for credit or refund is allowed on or after August 16, 2013
11(the effective date of Public Act 98-456) for such taxes paid
12during the period beginning July 1, 2003 and ending on August
1316, 2013 (the effective date of Public Act 98-456).
14 (13) Beginning January 1, 1992 and through June 30, 2016,
15food for human consumption that is to be consumed off the
16premises where it is sold (other than alcoholic beverages, soft
17drinks and food that has been prepared for immediate
18consumption) and prescription and non-prescription medicines,
19drugs, medical appliances, and insulin, urine testing
20materials, syringes, and needles used by diabetics, for human
21use, when purchased for use by a person receiving medical
22assistance under Article V of the Illinois Public Aid Code who
23resides in a licensed long-term care facility, as defined in
24the Nursing Home Care Act, or in a licensed facility as defined
25in the ID/DD Community Care Act, the MC/DD Act, or the
26Specialized Mental Health Rehabilitation Act of 2013.

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1 (14) Semen used for artificial insemination of livestock
2for direct agricultural production.
3 (15) Horses, or interests in horses, registered with and
4meeting the requirements of any of the Arabian Horse Club
5Registry of America, Appaloosa Horse Club, American Quarter
6Horse Association, United States Trotting Association, or
7Jockey Club, as appropriate, used for purposes of breeding or
8racing for prizes. This item (15) is exempt from the provisions
9of Section 3-55, and the exemption provided for under this item
10(15) applies for all periods beginning May 30, 1995, but no
11claim for credit or refund is allowed on or after January 1,
122008 (the effective date of Public Act 95-88) for such taxes
13paid during the period beginning May 30, 2000 and ending on
14January 1, 2008 (the effective date of Public Act 95-88).
15 (16) Computers and communications equipment utilized for
16any hospital purpose and equipment used in the diagnosis,
17analysis, or treatment of hospital patients sold to a lessor
18who leases the equipment, under a lease of one year or longer
19executed or in effect at the time of the purchase, to a
20hospital that has been issued an active tax exemption
21identification number by the Department under Section 1g of the
22Retailers' Occupation Tax Act.
23 (17) Personal property sold to a lessor who leases the
24property, under a lease of one year or longer executed or in
25effect at the time of the purchase, to a governmental body that
26has been issued an active tax exemption identification number

HB5561- 140 -LRB101 17547 JWD 66965 b
1by the Department under Section 1g of the Retailers' Occupation
2Tax Act.
3 (18) Beginning with taxable years ending on or after
4December 31, 1995 and ending with taxable years ending on or
5before December 31, 2004, personal property that is donated for
6disaster relief to be used in a State or federally declared
7disaster area in Illinois or bordering Illinois by a
8manufacturer or retailer that is registered in this State to a
9corporation, society, association, foundation, or institution
10that has been issued a sales tax exemption identification
11number by the Department that assists victims of the disaster
12who reside within the declared disaster area.
13 (19) Beginning with taxable years ending on or after
14December 31, 1995 and ending with taxable years ending on or
15before December 31, 2004, personal property that is used in the
16performance of infrastructure repairs in this State, including
17but not limited to municipal roads and streets, access roads,
18bridges, sidewalks, waste disposal systems, water and sewer
19line extensions, water distribution and purification
20facilities, storm water drainage and retention facilities, and
21sewage treatment facilities, resulting from a State or
22federally declared disaster in Illinois or bordering Illinois
23when such repairs are initiated on facilities located in the
24declared disaster area within 6 months after the disaster.
25 (20) Beginning July 1, 1999, game or game birds sold at a
26"game breeding and hunting preserve area" as that term is used

HB5561- 141 -LRB101 17547 JWD 66965 b
1in the Wildlife Code. This paragraph is exempt from the
2provisions of Section 3-55.
3 (21) A motor vehicle, as that term is defined in Section
41-146 of the Illinois Vehicle Code, that is donated to a
5corporation, limited liability company, society, association,
6foundation, or institution that is determined by the Department
7to be organized and operated exclusively for educational
8purposes. For purposes of this exemption, "a corporation,
9limited liability company, society, association, foundation,
10or institution organized and operated exclusively for
11educational purposes" means all tax-supported public schools,
12private schools that offer systematic instruction in useful
13branches of learning by methods common to public schools and
14that compare favorably in their scope and intensity with the
15course of study presented in tax-supported schools, and
16vocational or technical schools or institutes organized and
17operated exclusively to provide a course of study of not less
18than 6 weeks duration and designed to prepare individuals to
19follow a trade or to pursue a manual, technical, mechanical,
20industrial, business, or commercial occupation.
21 (22) Beginning January 1, 2000, personal property,
22including food, purchased through fundraising events for the
23benefit of a public or private elementary or secondary school,
24a group of those schools, or one or more school districts if
25the events are sponsored by an entity recognized by the school
26district that consists primarily of volunteers and includes

HB5561- 142 -LRB101 17547 JWD 66965 b
1parents and teachers of the school children. This paragraph
2does not apply to fundraising events (i) for the benefit of
3private home instruction or (ii) for which the fundraising
4entity purchases the personal property sold at the events from
5another individual or entity that sold the property for the
6purpose of resale by the fundraising entity and that profits
7from the sale to the fundraising entity. This paragraph is
8exempt from the provisions of Section 3-55.
9 (23) Beginning January 1, 2000 and through December 31,
102001, new or used automatic vending machines that prepare and
11serve hot food and beverages, including coffee, soup, and other
12items, and replacement parts for these machines. Beginning
13January 1, 2002 and through June 30, 2003, machines and parts
14for machines used in commercial, coin-operated amusement and
15vending business if a use or occupation tax is paid on the
16gross receipts derived from the use of the commercial,
17coin-operated amusement and vending machines. This paragraph
18is exempt from the provisions of Section 3-55.
19 (24) Beginning on August 2, 2001 (the effective date of
20Public Act 92-227), computers and communications equipment
21utilized for any hospital purpose and equipment used in the
22diagnosis, analysis, or treatment of hospital patients sold to
23a lessor who leases the equipment, under a lease of one year or
24longer executed or in effect at the time of the purchase, to a
25hospital that has been issued an active tax exemption
26identification number by the Department under Section 1g of the

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1Retailers' Occupation Tax Act. This paragraph is exempt from
2the provisions of Section 3-55.
3 (25) Beginning on August 2, 2001 (the effective date of
4Public Act 92-227), personal property sold to a lessor who
5leases the property, under a lease of one year or longer
6executed or in effect at the time of the purchase, to a
7governmental body that has been issued an active tax exemption
8identification number by the Department under Section 1g of the
9Retailers' Occupation Tax Act. This paragraph is exempt from
10the provisions of Section 3-55.
11 (26) Beginning on January 1, 2002 and through June 30,
122016, tangible personal property purchased from an Illinois
13retailer by a taxpayer engaged in centralized purchasing
14activities in Illinois who will, upon receipt of the property
15in Illinois, temporarily store the property in Illinois (i) for
16the purpose of subsequently transporting it outside this State
17for use or consumption thereafter solely outside this State or
18(ii) for the purpose of being processed, fabricated, or
19manufactured into, attached to, or incorporated into other
20tangible personal property to be transported outside this State
21and thereafter used or consumed solely outside this State. The
22Director of Revenue shall, pursuant to rules adopted in
23accordance with the Illinois Administrative Procedure Act,
24issue a permit to any taxpayer in good standing with the
25Department who is eligible for the exemption under this
26paragraph (26). The permit issued under this paragraph (26)

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1shall authorize the holder, to the extent and in the manner
2specified in the rules adopted under this Act, to purchase
3tangible personal property from a retailer exempt from the
4taxes imposed by this Act. Taxpayers shall maintain all
5necessary books and records to substantiate the use and
6consumption of all such tangible personal property outside of
7the State of Illinois.
8 (27) Beginning January 1, 2008, tangible personal property
9used in the construction or maintenance of a community water
10supply, as defined under Section 3.145 of the Environmental
11Protection Act, that is operated by a not-for-profit
12corporation that holds a valid water supply permit issued under
13Title IV of the Environmental Protection Act. This paragraph is
14exempt from the provisions of Section 3-55.
15 (28) Tangible personal property sold to a
16public-facilities corporation, as described in Section
1711-65-10 of the Illinois Municipal Code, for purposes of
18constructing or furnishing a municipal convention hall, but
19only if the legal title to the municipal convention hall is
20transferred to the municipality without any further
21consideration by or on behalf of the municipality at the time
22of the completion of the municipal convention hall or upon the
23retirement or redemption of any bonds or other debt instruments
24issued by the public-facilities corporation in connection with
25the development of the municipal convention hall. This
26exemption includes existing public-facilities corporations as

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1provided in Section 11-65-25 of the Illinois Municipal Code.
2This paragraph is exempt from the provisions of Section 3-55.
3 (29) Beginning January 1, 2010 and continuing through
4December 31, 2024, materials, parts, equipment, components,
5and furnishings incorporated into or upon an aircraft as part
6of the modification, refurbishment, completion, replacement,
7repair, or maintenance of the aircraft. This exemption includes
8consumable supplies used in the modification, refurbishment,
9completion, replacement, repair, and maintenance of aircraft,
10but excludes any materials, parts, equipment, components, and
11consumable supplies used in the modification, replacement,
12repair, and maintenance of aircraft engines or power plants,
13whether such engines or power plants are installed or
14uninstalled upon any such aircraft. "Consumable supplies"
15include, but are not limited to, adhesive, tape, sandpaper,
16general purpose lubricants, cleaning solution, latex gloves,
17and protective films. This exemption applies only to the
18transfer of qualifying tangible personal property incident to
19the modification, refurbishment, completion, replacement,
20repair, or maintenance of an aircraft by persons who (i) hold
21an Air Agency Certificate and are empowered to operate an
22approved repair station by the Federal Aviation
23Administration, (ii) have a Class IV Rating, and (iii) conduct
24operations in accordance with Part 145 of the Federal Aviation
25Regulations. The exemption does not include aircraft operated
26by a commercial air carrier providing scheduled passenger air

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1service pursuant to authority issued under Part 121 or Part 129
2of the Federal Aviation Regulations. The changes made to this
3paragraph (29) by Public Act 98-534 are declarative of existing
4law. It is the intent of the General Assembly that the
5exemption under this paragraph (29) applies continuously from
6January 1, 2010 through December 31, 2024; however, no claim
7for credit or refund is allowed for taxes paid as a result of
8the disallowance of this exemption on or after January 1, 2015
9and prior to the effective date of this amendatory Act of the
10101st General Assembly.
11 (30) Beginning January 1, 2017, menstrual pads, tampons,
12and menstrual cups.
13 (31) Tangible personal property transferred to a purchaser
14who is exempt from tax by operation of federal law. This
15paragraph is exempt from the provisions of Section 3-55.
16 (32) Qualified tangible personal property used in the
17construction or operation of a data center that has been
18granted a certificate of exemption by the Department of
19Commerce and Economic Opportunity, whether that tangible
20personal property is purchased by the owner, operator, or
21tenant of the data center or by a contractor or subcontractor
22of the owner, operator, or tenant. Data centers that would have
23qualified for a certificate of exemption prior to January 1,
242020 had this amendatory Act of the 101st General Assembly been
25in effect, may apply for and obtain an exemption for subsequent
26purchases of computer equipment or enabling software purchased

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1or leased to upgrade, supplement, or replace computer equipment
2or enabling software purchased or leased in the original
3investment that would have qualified.
4 The Department of Commerce and Economic Opportunity shall
5grant a certificate of exemption under this item (32) to
6qualified data centers as defined by Section 605-1025 of the
7Department of Commerce and Economic Opportunity Law of the
8Civil Administrative Code of Illinois.
9 For the purposes of this item (32):
10 "Data center" means a building or a series of buildings
11 rehabilitated or constructed to house working servers in
12 one physical location or multiple sites within the State of
13 Illinois.
14 "Qualified tangible personal property" means:
15 electrical systems and equipment; climate control and
16 chilling equipment and systems; mechanical systems and
17 equipment; monitoring and secure systems; emergency
18 generators; hardware; computers; servers; data storage
19 devices; network connectivity equipment; racks; cabinets;
20 telecommunications cabling infrastructure; raised floor
21 systems; peripheral components or systems; software;
22 mechanical, electrical, or plumbing systems; battery
23 systems; cooling systems and towers; temperature control
24 systems; other cabling; and other data center
25 infrastructure equipment and systems necessary to operate
26 qualified tangible personal property, including fixtures;

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1 and component parts of any of the foregoing, including
2 installation, maintenance, repair, refurbishment, and
3 replacement of qualified tangible personal property to
4 generate, transform, transmit, distribute, or manage
5 electricity necessary to operate qualified tangible
6 personal property; and all other tangible personal
7 property that is essential to the operations of a computer
8 data center. The term "qualified tangible personal
9 property" also includes building materials physically
10 incorporated in to the qualifying data center. To document
11 the exemption allowed under this Section, the retailer must
12 obtain from the purchaser a copy of the certificate of
13 eligibility issued by the Department of Commerce and
14 Economic Opportunity.
15 This item (32) is exempt from the provisions of Section
163-55.
17(Source: P.A. 100-22, eff. 7-6-17; 100-594, eff. 6-29-18;
18100-1171, eff. 1-4-19; 101-31, eff. 6-28-19; 101-81, eff.
197-12-19; 101-629, eff. 2-5-20.)
20 Section 10-45. The Retailers' Occupation Tax Act is amended
21by changing Sections 1, 2, 2-5, 2-12, and 2a as follows:
22 (35 ILCS 120/1) (from Ch. 120, par. 440)
23 Sec. 1. Definitions. "Sale at retail" means any transfer of
24the ownership of or title to tangible personal property to a

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1purchaser, for the purpose of use or consumption, and not for
2the purpose of resale in any form as tangible personal property
3to the extent not first subjected to a use for which it was
4purchased, for a valuable consideration: Provided that the
5property purchased is deemed to be purchased for the purpose of
6resale, despite first being used, to the extent to which it is
7resold as an ingredient of an intentionally produced product or
8byproduct of manufacturing. For this purpose, slag produced as
9an incident to manufacturing pig iron or steel and sold is
10considered to be an intentionally produced byproduct of
11manufacturing. Transactions whereby the possession of the
12property is transferred but the seller retains the title as
13security for payment of the selling price shall be deemed to be
14sales.
15 "Sale at retail" shall be construed to include any transfer
16of the ownership of or title to tangible personal property to a
17purchaser, for use or consumption by any other person to whom
18such purchaser may transfer the tangible personal property
19without a valuable consideration, and to include any transfer,
20whether made for or without a valuable consideration, for
21resale in any form as tangible personal property unless made in
22compliance with Section 2c of this Act.
23 Sales of tangible personal property, which property, to the
24extent not first subjected to a use for which it was purchased,
25as an ingredient or constituent, goes into and forms a part of
26tangible personal property subsequently the subject of a "Sale

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1at retail", are not sales at retail as defined in this Act:
2Provided that the property purchased is deemed to be purchased
3for the purpose of resale, despite first being used, to the
4extent to which it is resold as an ingredient of an
5intentionally produced product or byproduct of manufacturing.
6 "Sale at retail" shall be construed to include any Illinois
7florist's sales transaction in which the purchase order is
8received in Illinois by a florist and the sale is for use or
9consumption, but the Illinois florist has a florist in another
10state deliver the property to the purchaser or the purchaser's
11donee in such other state.
12 Nonreusable tangible personal property that is used by
13persons engaged in the business of operating a restaurant,
14cafeteria, or drive-in is a sale for resale when it is
15transferred to customers in the ordinary course of business as
16part of the sale of food or beverages and is used to deliver,
17package, or consume food or beverages, regardless of where
18consumption of the food or beverages occurs. Examples of those
19items include, but are not limited to nonreusable, paper and
20plastic cups, plates, baskets, boxes, sleeves, buckets or other
21containers, utensils, straws, placemats, napkins, doggie bags,
22and wrapping or packaging materials that are transferred to
23customers as part of the sale of food or beverages in the
24ordinary course of business.
25 The purchase, employment and transfer of such tangible
26personal property as newsprint and ink for the primary purpose

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1of conveying news (with or without other information) is not a
2purchase, use or sale of tangible personal property.
3 A person whose activities are organized and conducted
4primarily as a not-for-profit service enterprise, and who
5engages in selling tangible personal property at retail
6(whether to the public or merely to members and their guests)
7is engaged in the business of selling tangible personal
8property at retail with respect to such transactions, excepting
9only a person organized and operated exclusively for
10charitable, religious or educational purposes either (1), to
11the extent of sales by such person to its members, students,
12patients or inmates of tangible personal property to be used
13primarily for the purposes of such person, or (2), to the
14extent of sales by such person of tangible personal property
15which is not sold or offered for sale by persons organized for
16profit. The selling of school books and school supplies by
17schools at retail to students is not "primarily for the
18purposes of" the school which does such selling. The provisions
19of this paragraph shall not apply to nor subject to taxation
20occasional dinners, socials or similar activities of a person
21organized and operated exclusively for charitable, religious
22or educational purposes, whether or not such activities are
23open to the public.
24 A person who is the recipient of a grant or contract under
25Title VII of the Older Americans Act of 1965 (P.L. 92-258) and
26serves meals to participants in the federal Nutrition Program

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1for the Elderly in return for contributions established in
2amount by the individual participant pursuant to a schedule of
3suggested fees as provided for in the federal Act is not
4engaged in the business of selling tangible personal property
5at retail with respect to such transactions.
6 "Purchaser" means anyone who, through a sale at retail,
7acquires the ownership of or title to tangible personal
8property for a valuable consideration.
9 "Reseller of motor fuel" means any person engaged in the
10business of selling or delivering or transferring title of
11motor fuel to another person other than for use or consumption.
12No person shall act as a reseller of motor fuel within this
13State without first being registered as a reseller pursuant to
14Section 2c or a retailer pursuant to Section 2a.
15 "Selling price" or the "amount of sale" means the
16consideration for a sale valued in money whether received in
17money or otherwise, including cash, credits, property, other
18than as hereinafter provided, and services, but, prior to
19January 1, 2020, not including the value of or credit given for
20traded-in tangible personal property where the item that is
21traded-in is of like kind and character as that which is being
22sold, and ; beginning January 1, 2020, "selling price" includes
23the portion of the value of or credit given for traded-in motor
24vehicles of the First Division as defined in Section 1-146 of
25the Illinois Vehicle Code of like kind and character as that
26which is being sold that exceeds $10,000. "Selling price" shall

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1be determined without any deduction on account of the cost of
2the property sold, the cost of materials used, labor or service
3cost or any other expense whatsoever, but does not include
4charges that are added to prices by sellers on account of the
5seller's tax liability under this Act, or on account of the
6seller's duty to collect, from the purchaser, the tax that is
7imposed by the Use Tax Act, or, except as otherwise provided
8with respect to any cigarette tax imposed by a home rule unit,
9on account of the seller's tax liability under any local
10occupation tax administered by the Department, or, except as
11otherwise provided with respect to any cigarette tax imposed by
12a home rule unit on account of the seller's duty to collect,
13from the purchasers, the tax that is imposed under any local
14use tax administered by the Department. Effective December 1,
151985, "selling price" shall include charges that are added to
16prices by sellers on account of the seller's tax liability
17under the Cigarette Tax Act, on account of the sellers' duty to
18collect, from the purchaser, the tax imposed under the
19Cigarette Use Tax Act, and on account of the seller's duty to
20collect, from the purchaser, any cigarette tax imposed by a
21home rule unit.
22 Notwithstanding any law to the contrary, for any motor
23vehicle, as defined in Section 1-146 of the Vehicle Code, that
24is sold on or after January 1, 2015 for the purpose of leasing
25the vehicle for a defined period that is longer than one year
26and (1) is a motor vehicle of the second division that: (A) is

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1a self-contained motor vehicle designed or permanently
2converted to provide living quarters for recreational,
3camping, or travel use, with direct walk through access to the
4living quarters from the driver's seat; (B) is of the van
5configuration designed for the transportation of not less than
67 nor more than 16 passengers; or (C) has a gross vehicle
7weight rating of 8,000 pounds or less or (2) is a motor vehicle
8of the first division, "selling price" or "amount of sale"
9means the consideration received by the lessor pursuant to the
10lease contract, including amounts due at lease signing and all
11monthly or other regular payments charged over the term of the
12lease. Also included in the selling price is any amount
13received by the lessor from the lessee for the leased vehicle
14that is not calculated at the time the lease is executed,
15including, but not limited to, excess mileage charges and
16charges for excess wear and tear. For sales that occur in
17Illinois, with respect to any amount received by the lessor
18from the lessee for the leased vehicle that is not calculated
19at the time the lease is executed, the lessor who purchased the
20motor vehicle does not incur the tax imposed by the Use Tax Act
21on those amounts, and the retailer who makes the retail sale of
22the motor vehicle to the lessor is not required to collect the
23tax imposed by the Use Tax Act or to pay the tax imposed by this
24Act on those amounts. However, the lessor who purchased the
25motor vehicle assumes the liability for reporting and paying
26the tax on those amounts directly to the Department in the same

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1form (Illinois Retailers' Occupation Tax, and local retailers'
2occupation taxes, if applicable) in which the retailer would
3have reported and paid such tax if the retailer had accounted
4for the tax to the Department. For amounts received by the
5lessor from the lessee that are not calculated at the time the
6lease is executed, the lessor must file the return and pay the
7tax to the Department by the due date otherwise required by
8this Act for returns other than transaction returns. If the
9retailer is entitled under this Act to a discount for
10collecting and remitting the tax imposed under this Act to the
11Department with respect to the sale of the motor vehicle to the
12lessor, then the right to the discount provided in this Act
13shall be transferred to the lessor with respect to the tax paid
14by the lessor for any amount received by the lessor from the
15lessee for the leased vehicle that is not calculated at the
16time the lease is executed; provided that the discount is only
17allowed if the return is timely filed and for amounts timely
18paid. The "selling price" of a motor vehicle that is sold on or
19after January 1, 2015 for the purpose of leasing for a defined
20period of longer than one year shall not be reduced by the
21value of or credit given for traded-in tangible personal
22property owned by the lessor, nor shall it be reduced by the
23value of or credit given for traded-in tangible personal
24property owned by the lessee, regardless of whether the
25trade-in value thereof is assigned by the lessee to the lessor.
26In the case of a motor vehicle that is sold for the purpose of

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1leasing for a defined period of longer than one year, the sale
2occurs at the time of the delivery of the vehicle, regardless
3of the due date of any lease payments. A lessor who incurs a
4Retailers' Occupation Tax liability on the sale of a motor
5vehicle coming off lease may not take a credit against that
6liability for the Use Tax the lessor paid upon the purchase of
7the motor vehicle (or for any tax the lessor paid with respect
8to any amount received by the lessor from the lessee for the
9leased vehicle that was not calculated at the time the lease
10was executed) if the selling price of the motor vehicle at the
11time of purchase was calculated using the definition of
12"selling price" as defined in this paragraph. Notwithstanding
13any other provision of this Act to the contrary, lessors shall
14file all returns and make all payments required under this
15paragraph to the Department by electronic means in the manner
16and form as required by the Department. This paragraph does not
17apply to leases of motor vehicles for which, at the time the
18lease is entered into, the term of the lease is not a defined
19period, including leases with a defined initial period with the
20option to continue the lease on a month-to-month or other basis
21beyond the initial defined period.
22 The phrase "like kind and character" shall be liberally
23construed (including but not limited to any form of motor
24vehicle for any form of motor vehicle, or any kind of farm or
25agricultural implement for any other kind of farm or
26agricultural implement), while not including a kind of item

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1which, if sold at retail by that retailer, would be exempt from
2retailers' occupation tax and use tax as an isolated or
3occasional sale.
4 "Gross receipts" from the sales of tangible personal
5property at retail means the total selling price or the amount
6of such sales, as hereinbefore defined. In the case of charge
7and time sales, the amount thereof shall be included only as
8and when payments are received by the seller. Receipts or other
9consideration derived by a seller from the sale, transfer or
10assignment of accounts receivable to a wholly owned subsidiary
11will not be deemed payments prior to the time the purchaser
12makes payment on such accounts.
13 "Department" means the Department of Revenue.
14 "Person" means any natural individual, firm, partnership,
15association, joint stock company, joint adventure, public or
16private corporation, limited liability company, or a receiver,
17executor, trustee, guardian or other representative appointed
18by order of any court.
19 The isolated or occasional sale of tangible personal
20property at retail by a person who does not hold himself out as
21being engaged (or who does not habitually engage) in selling
22such tangible personal property at retail, or a sale through a
23bulk vending machine, does not constitute engaging in a
24business of selling such tangible personal property at retail
25within the meaning of this Act; provided that any person who is
26engaged in a business which is not subject to the tax imposed

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1by this Act because of involving the sale of or a contract to
2sell real estate or a construction contract to improve real
3estate or a construction contract to engineer, install, and
4maintain an integrated system of products, but who, in the
5course of conducting such business, transfers tangible
6personal property to users or consumers in the finished form in
7which it was purchased, and which does not become real estate
8or was not engineered and installed, under any provision of a
9construction contract or real estate sale or real estate sales
10agreement entered into with some other person arising out of or
11because of such nontaxable business, is engaged in the business
12of selling tangible personal property at retail to the extent
13of the value of the tangible personal property so transferred.
14If, in such a transaction, a separate charge is made for the
15tangible personal property so transferred, the value of such
16property, for the purpose of this Act, shall be the amount so
17separately charged, but not less than the cost of such property
18to the transferor; if no separate charge is made, the value of
19such property, for the purposes of this Act, is the cost to the
20transferor of such tangible personal property. Construction
21contracts for the improvement of real estate consisting of
22engineering, installation, and maintenance of voice, data,
23video, security, and all telecommunication systems do not
24constitute engaging in a business of selling tangible personal
25property at retail within the meaning of this Act if they are
26sold at one specified contract price.

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1 A person who holds himself or herself out as being engaged
2(or who habitually engages) in selling tangible personal
3property at retail is a person engaged in the business of
4selling tangible personal property at retail hereunder with
5respect to such sales (and not primarily in a service
6occupation) notwithstanding the fact that such person designs
7and produces such tangible personal property on special order
8for the purchaser and in such a way as to render the property
9of value only to such purchaser, if such tangible personal
10property so produced on special order serves substantially the
11same function as stock or standard items of tangible personal
12property that are sold at retail.
13 Persons who engage in the business of transferring tangible
14personal property upon the redemption of trading stamps are
15engaged in the business of selling such property at retail and
16shall be liable for and shall pay the tax imposed by this Act
17on the basis of the retail value of the property transferred
18upon redemption of such stamps.
19 "Bulk vending machine" means a vending machine, containing
20unsorted confections, nuts, toys, or other items designed
21primarily to be used or played with by children which, when a
22coin or coins of a denomination not larger than $0.50 are
23inserted, are dispensed in equal portions, at random and
24without selection by the customer.
25 "Remote retailer" means a retailer that does not maintain
26within this State, directly or by a subsidiary, an office,

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1distribution house, sales house, warehouse or other place of
2business, or any agent or other representative operating within
3this State under the authority of the retailer or its
4subsidiary, irrespective of whether such place of business or
5agent is located here permanently or temporarily or whether
6such retailer or subsidiary is licensed to do business in this
7State.
8 "Marketplace" means a physical or electronic place, forum,
9platform, application, or other method by which a marketplace
10seller sells or offers to sell items.
11 "Marketplace facilitator" means a person who, pursuant to
12an agreement with an unrelated third-party marketplace seller,
13directly or indirectly through one or more affiliates
14facilitates a retail sale by an unrelated third party
15marketplace seller by:
16 (1) listing or advertising for sale by the marketplace
17 seller in a marketplace, tangible personal property that is
18 subject to tax under this Act; and
19 (2) either directly or indirectly, through agreements
20 or arrangements with third parties, collecting payment
21 from the customer and transmitting that payment to the
22 marketplace seller regardless of whether the marketplace
23 facilitator receives compensation or other consideration
24 in exchange for its services.
25 A person who provides advertising services, including
26listing products for sale, is not considered a marketplace

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1facilitator, so long as the advertising service platform or
2forum does not engage, directly or indirectly through one or
3more affiliated persons, in the activities described in
4paragraph (2) of this definition of "marketplace facilitator".
5 "Marketplace seller" means a person that makes sales
6through a marketplace operated by an unrelated third party
7marketplace facilitator.
8(Source: P.A. 101-31, eff. 6-28-19; 101-604, eff. 1-1-20.)
9 (35 ILCS 120/2) (from Ch. 120, par. 441)
10 Sec. 2. Tax imposed.
11 (a) A tax is imposed upon persons engaged in the business
12of selling at retail tangible personal property, including
13computer software, and including photographs, negatives, and
14positives that are the product of photoprocessing, but not
15including products of photoprocessing produced for use in
16motion pictures for public commercial exhibition. Beginning
17January 1, 2001, prepaid telephone calling arrangements shall
18be considered tangible personal property subject to the tax
19imposed under this Act regardless of the form in which those
20arrangements may be embodied, transmitted, or fixed by any
21method now known or hereafter developed. Sales of (1)
22electricity delivered to customers by wire; (2) natural or
23artificial gas that is delivered to customers through pipes,
24pipelines, or mains; and (3) water that is delivered to
25customers through pipes, pipelines, or mains are not subject to

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1tax under this Act. The provisions of this amendatory Act of
2the 98th General Assembly are declaratory of existing law as to
3the meaning and scope of this Act.
4 (b) Beginning on January 1, 2021, a remote retailer is
5engaged in the occupation of selling at retail in Illinois for
6purposes of this Act, if:
7 (1) the cumulative gross receipts from sales of
8 tangible personal property to purchasers in Illinois are
9 $100,000 or more; or
10 (2) the retailer enters into 200 or more separate
11 transactions for the sale of tangible personal property to
12 purchasers in Illinois.
13 Remote retailers that meet or exceed the threshold in
14either paragraph (1) or (2) above shall be liable for all
15applicable State retailers' and locally imposed retailers'
16occupation taxes administered by the Department on all retail
17sales to Illinois purchasers.
18 The remote retailer shall determine on a quarterly basis,
19ending on the last day of March, June, September, and December,
20whether he or she meets the criteria of either paragraph (1) or
21(2) of this subsection for the preceding 12-month period. If
22the retailer meets the criteria of either paragraph (1) or (2)
23for a 12-month period, he or she is considered a retailer
24maintaining a place of business in this State and is required
25to collect and remit the tax imposed under this Act and all
26retailers' occupation tax imposed by local taxing

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1jurisdictions in Illinois, provided such local taxes are
2administered by the Department, and to file all applicable
3returns for one year. At the end of that one-year period, the
4retailer shall determine whether the retailer met the criteria
5of either paragraph (1) or (2) for the preceding 12-month
6period. If the retailer met the criteria in either paragraph
7(1) or (2) for the preceding 12-month period, he or she is
8considered a retailer maintaining a place of business in this
9State and is required to collect and remit all applicable State
10and local retailers' occupation taxes and file returns for the
11subsequent year. If, at the end of a one-year period, a
12retailer that was required to collect and remit the tax imposed
13under this Act determines that he or she did not meet the
14criteria in either paragraph (1) or (2) during the preceding
1512-month period, then the retailer shall subsequently
16determine on a quarterly basis, ending on the last day of
17March, June, September, and December, whether he or she meets
18the criteria of either paragraph (1) or (2) for the preceding
1912-month period.
20 (b-5) For the purposes of this Section, neither the gross
21receipts from nor the number of separate transactions for sales
22of tangible personal property to purchasers in Illinois that a
23remote retailer makes through a marketplace facilitator shall
24be included for the purposes of determining whether he or she
25has met the thresholds of subsection (b) of this Section so
26long as the remote retailer has received certification from the

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1marketplace facilitator that the marketplace facilitator is
2legally responsible for payment of tax on such sales.
3 (b-10) A remote retailer required to collect taxes imposed
4under the Use Tax Act on retail sales made to Illinois
5purchasers shall be liable to the Department for such taxes,
6except when the remote retailer is relieved of the duty to
7remit such taxes by virtue of having paid to the Department
8taxes imposed by this Act in accordance with this Section upon
9his or her gross receipts from such sales.
10 (c) Marketplace facilitators engaged in the business of
11selling at retail tangible personal property in Illinois.
12Beginning January 1, 2021, a marketplace facilitator is engaged
13in the occupation of selling at retail tangible personal
14property in Illinois for purposes of this Act if, during the
15previous 12-month period:
16 (1) the cumulative gross receipts from sales of
17 tangible personal property on its own behalf or on behalf
18 of marketplace sellers to purchasers in Illinois equals
19 $100,000 or more; or
20 (2) the marketplace facilitator enters into 200 or more
21 separate transactions on its own behalf or on behalf of
22 marketplace sellers for the sale of tangible personal
23 property to purchasers in Illinois, regardless of whether
24 the marketplace facilitator or marketplace sellers for
25 whom such sales are facilitated are registered as retailers
26 in this State.

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1 A marketplace facilitator who meets either paragraph (1) or
2(2) of this subsection is required to remit the applicable
3State retailers' occupation taxes under this Act and local
4retailers' occupation taxes administered by the Department on
5all taxable sales of tangible personal property made by the
6marketplace facilitator or facilitated for marketplace sellers
7to customers in this State. A marketplace facilitator selling
8or facilitating the sale of tangible personal property to
9customers in this State is subject to all applicable procedures
10and requirements of this Act.
11 The marketplace facilitator shall determine on a quarterly
12basis, ending on the last day of March, June, September, and
13December, whether he or she meets the criteria of either
14paragraph (1) or (2) of this subsection for the preceding
1512-month period. If the marketplace facilitator meets the
16criteria of either paragraph (1) or (2) for a 12-month period,
17he or she is considered a retailer maintaining a place of
18business in this State and is required to remit the tax imposed
19under this Act and all retailers' occupation tax imposed by
20local taxing jurisdictions in Illinois, provided such local
21taxes are administered by the Department, and to file all
22applicable returns for one year. At the end of that one-year
23period, the marketplace facilitator shall determine whether it
24met the criteria of either paragraph (1) or (2) for the
25preceding 12-month period. If the marketplace facilitator met
26the criteria in either paragraph (1) or (2) for the preceding

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112-month period, it is considered a retailer maintaining a
2place of business in this State and is required to collect and
3remit all applicable State and local retailers' occupation
4taxes and file returns for the subsequent year. If at the end
5of a one-year period a marketplace facilitator that was
6required to collect and remit the tax imposed under this Act
7determines that he or she did not meet the criteria in either
8paragraph (1) or (2) during the preceding 12-month period, the
9marketplace facilitator shall subsequently determine on a
10quarterly basis, ending on the last day of March, June,
11September, and December, whether he or she meets the criteria
12of either paragraph (1) or (2) for the preceding 12-month
13period.
14 A marketplace facilitator shall be entitled to any credits,
15deductions, or adjustments to the sales price otherwise
16provided to the marketplace seller, in addition to any such
17adjustments provided directly to the marketplace facilitator.
18This Section pertains to, but is not limited to, adjustments
19such as discounts, coupons, and rebates. In addition, a
20marketplace facilitator shall be entitled to the retailers'
21discount provided in Section 3 of the Retailers' Occupation Tax
22Act on all marketplace sales, and the marketplace seller shall
23not include sales made through a marketplace facilitator when
24computing any retailers' discount on remaining sales.
25Marketplace facilitators shall report and remit the applicable
26State and local retailers' occupation taxes on sales

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1facilitated for marketplace sellers separately from any sales
2or use tax collected on taxable retail sales made directly by
3the marketplace facilitator or its affiliates.
4 The marketplace facilitator is liable for the remittance of
5all applicable State retailers' occupation taxes under this Act
6and local retailers' occupation taxes administered by the
7Department on sales through the marketplace and is subject to
8audit on all such sales. The Department shall not audit
9marketplace sellers for their marketplace sales where a
10marketplace facilitator remitted the applicable State and
11local retailers' occupation taxes unless the marketplace
12facilitator seeks relief as a result of incorrect information
13provided to the marketplace facilitator by a marketplace seller
14as set forth in this Section. The marketplace facilitator shall
15not be held liable for tax on any sales made by a marketplace
16seller that take place outside of the marketplace and which are
17not a part of any agreement between a marketplace facilitator
18and a marketplace seller. In addition, marketplace
19facilitators shall not be held liable to State and local
20governments of Illinois for having charged and remitted an
21incorrect amount of State and local retailers' occupation tax
22if, at the time of the sale, the tax is computed based on
23erroneous data provided by the State in database files on tax
24rates, boundaries, or taxing jurisdictions or incorrect
25information provided to the marketplace facilitator by the
26marketplace seller.

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1 (d) A marketplace facilitator shall:
2 (1) certify to each marketplace seller that the
3 marketplace facilitator assumes the rights and duties of a
4 retailer under this Act with respect to sales made by the
5 marketplace seller through the marketplace; and
6 (2) remit taxes imposed by this Act as required by this
7 Act for sales made through the marketplace.
8 (e) A marketplace seller shall retain books and records for
9all sales made through a marketplace in accordance with the
10requirements of this Act.
11 (f) A marketplace facilitator is subject to audit on all
12marketplace sales for which it is considered to be the
13retailer, but shall not be liable for tax or subject to audit
14on sales made by marketplace sellers outside of the
15marketplace.
16 (g) A marketplace facilitator required to collect taxes
17imposed under the Use Tax Act on marketplace sales made to
18Illinois purchasers shall be liable to the Department for such
19taxes, except when the marketplace facilitator is relieved of
20the duty to remit such taxes by virtue of having paid to the
21Department taxes imposed by this Act in accordance with this
22Section upon his or her gross receipts from such sales.
23 (h) Nothing in this Section shall allow the Department to
24collect retailers' occupation taxes from both the marketplace
25facilitator and marketplace seller on the same transaction.
26 (i) If, for any reason, the Department is prohibited from

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1enforcing the marketplace facilitator's duty under this Act to
2remit taxes pursuant to this Section, the duty to remit such
3taxes remains with the marketplace seller.
4 (j) Nothing in this Section affects the obligation of any
5consumer to remit use tax for any taxable transaction for which
6a certified service provider acting on behalf of a remote
7retailer or a marketplace facilitator does not collect and
8remit the appropriate tax.
9 (k) Nothing in this Section shall allow the Department to
10collect the retailers' occupation tax from both the marketplace
11facilitator and the marketplace seller.
12(Source: P.A. 101-31, eff. 6-28-19; 101-604, eff. 1-1-20.)
13 (35 ILCS 120/2-5)
14 Sec. 2-5. Exemptions. Gross receipts from proceeds from the
15sale of the following tangible personal property are exempt
16from the tax imposed by this Act:
17 (1) Farm chemicals.
18 (2) Farm machinery and equipment, both new and used,
19 including that manufactured on special order, certified by
20 the purchaser to be used primarily for production
21 agriculture or State or federal agricultural programs,
22 including individual replacement parts for the machinery
23 and equipment, including machinery and equipment purchased
24 for lease, and including implements of husbandry defined in
25 Section 1-130 of the Illinois Vehicle Code, farm machinery

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1 and agricultural chemical and fertilizer spreaders, and
2 nurse wagons required to be registered under Section 3-809
3 of the Illinois Vehicle Code, but excluding other motor
4 vehicles required to be registered under the Illinois
5 Vehicle Code. Horticultural polyhouses or hoop houses used
6 for propagating, growing, or overwintering plants shall be
7 considered farm machinery and equipment under this item
8 (2). Agricultural chemical tender tanks and dry boxes shall
9 include units sold separately from a motor vehicle required
10 to be licensed and units sold mounted on a motor vehicle
11 required to be licensed, if the selling price of the tender
12 is separately stated.
13 Farm machinery and equipment shall include precision
14 farming equipment that is installed or purchased to be
15 installed on farm machinery and equipment including, but
16 not limited to, tractors, harvesters, sprayers, planters,
17 seeders, or spreaders. Precision farming equipment
18 includes, but is not limited to, soil testing sensors,
19 computers, monitors, software, global positioning and
20 mapping systems, and other such equipment.
21 Farm machinery and equipment also includes computers,
22 sensors, software, and related equipment used primarily in
23 the computer-assisted operation of production agriculture
24 facilities, equipment, and activities such as, but not
25 limited to, the collection, monitoring, and correlation of
26 animal and crop data for the purpose of formulating animal

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1 diets and agricultural chemicals. This item (2) is exempt
2 from the provisions of Section 2-70.
3 (3) Until July 1, 2003, distillation machinery and
4 equipment, sold as a unit or kit, assembled or installed by
5 the retailer, certified by the user to be used only for the
6 production of ethyl alcohol that will be used for
7 consumption as motor fuel or as a component of motor fuel
8 for the personal use of the user, and not subject to sale
9 or resale.
10 (4) Until July 1, 2003 and beginning again September 1,
11 2004 through August 30, 2014, graphic arts machinery and
12 equipment, including repair and replacement parts, both
13 new and used, and including that manufactured on special
14 order or purchased for lease, certified by the purchaser to
15 be used primarily for graphic arts production. Equipment
16 includes chemicals or chemicals acting as catalysts but
17 only if the chemicals or chemicals acting as catalysts
18 effect a direct and immediate change upon a graphic arts
19 product. Beginning on July 1, 2017, graphic arts machinery
20 and equipment is included in the manufacturing and
21 assembling machinery and equipment exemption under
22 paragraph (14).
23 (5) A motor vehicle that is used for automobile
24 renting, as defined in the Automobile Renting Occupation
25 and Use Tax Act. This paragraph is exempt from the
26 provisions of Section 2-70.

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1 (6) Personal property sold by a teacher-sponsored
2 student organization affiliated with an elementary or
3 secondary school located in Illinois.
4 (7) Until July 1, 2003, proceeds of that portion of the
5 selling price of a passenger car the sale of which is
6 subject to the Replacement Vehicle Tax.
7 (8) Personal property sold to an Illinois county fair
8 association for use in conducting, operating, or promoting
9 the county fair.
10 (9) Personal property sold to a not-for-profit arts or
11 cultural organization that establishes, by proof required
12 by the Department by rule, that it has received an
13 exemption under Section 501(c)(3) of the Internal Revenue
14 Code and that is organized and operated primarily for the
15 presentation or support of arts or cultural programming,
16 activities, or services. These organizations include, but
17 are not limited to, music and dramatic arts organizations
18 such as symphony orchestras and theatrical groups, arts and
19 cultural service organizations, local arts councils,
20 visual arts organizations, and media arts organizations.
21 On and after July 1, 2001 (the effective date of Public Act
22 92-35), however, an entity otherwise eligible for this
23 exemption shall not make tax-free purchases unless it has
24 an active identification number issued by the Department.
25 (10) Personal property sold by a corporation, society,
26 association, foundation, institution, or organization,

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1 other than a limited liability company, that is organized
2 and operated as a not-for-profit service enterprise for the
3 benefit of persons 65 years of age or older if the personal
4 property was not purchased by the enterprise for the
5 purpose of resale by the enterprise.
6 (11) Personal property sold to a governmental body, to
7 a corporation, society, association, foundation, or
8 institution organized and operated exclusively for
9 charitable, religious, or educational purposes, or to a
10 not-for-profit corporation, society, association,
11 foundation, institution, or organization that has no
12 compensated officers or employees and that is organized and
13 operated primarily for the recreation of persons 55 years
14 of age or older. A limited liability company may qualify
15 for the exemption under this paragraph only if the limited
16 liability company is organized and operated exclusively
17 for educational purposes. On and after July 1, 1987,
18 however, no entity otherwise eligible for this exemption
19 shall make tax-free purchases unless it has an active
20 identification number issued by the Department.
21 (12) (Blank).
22 (12-5) On and after July 1, 2003 and through June 30,
23 2004, motor vehicles of the second division with a gross
24 vehicle weight in excess of 8,000 pounds that are subject
25 to the commercial distribution fee imposed under Section
26 3-815.1 of the Illinois Vehicle Code. Beginning on July 1,

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1 2004 and through June 30, 2005, the use in this State of
2 motor vehicles of the second division: (i) with a gross
3 vehicle weight rating in excess of 8,000 pounds; (ii) that
4 are subject to the commercial distribution fee imposed
5 under Section 3-815.1 of the Illinois Vehicle Code; and
6 (iii) that are primarily used for commercial purposes.
7 Through June 30, 2005, this exemption applies to repair and
8 replacement parts added after the initial purchase of such
9 a motor vehicle if that motor vehicle is used in a manner
10 that would qualify for the rolling stock exemption
11 otherwise provided for in this Act. For purposes of this
12 paragraph, "used for commercial purposes" means the
13 transportation of persons or property in furtherance of any
14 commercial or industrial enterprise whether for-hire or
15 not.
16 (13) Proceeds from sales to owners, lessors, or
17 shippers of tangible personal property that is utilized by
18 interstate carriers for hire for use as rolling stock
19 moving in interstate commerce and equipment operated by a
20 telecommunications provider, licensed as a common carrier
21 by the Federal Communications Commission, which is
22 permanently installed in or affixed to aircraft moving in
23 interstate commerce.
24 (14) Machinery and equipment that will be used by the
25 purchaser, or a lessee of the purchaser, primarily in the
26 process of manufacturing or assembling tangible personal

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1 property for wholesale or retail sale or lease, whether the
2 sale or lease is made directly by the manufacturer or by
3 some other person, whether the materials used in the
4 process are owned by the manufacturer or some other person,
5 or whether the sale or lease is made apart from or as an
6 incident to the seller's engaging in the service occupation
7 of producing machines, tools, dies, jigs, patterns,
8 gauges, or other similar items of no commercial value on
9 special order for a particular purchaser. The exemption
10 provided by this paragraph (14) does not include machinery
11 and equipment used in (i) the generation of electricity for
12 wholesale or retail sale; (ii) the generation or treatment
13 of natural or artificial gas for wholesale or retail sale
14 that is delivered to customers through pipes, pipelines, or
15 mains; or (iii) the treatment of water for wholesale or
16 retail sale that is delivered to customers through pipes,
17 pipelines, or mains. The provisions of Public Act 98-583
18 are declaratory of existing law as to the meaning and scope
19 of this exemption. Beginning on July 1, 2017, the exemption
20 provided by this paragraph (14) includes, but is not
21 limited to, graphic arts machinery and equipment, as
22 defined in paragraph (4) of this Section.
23 (15) Proceeds of mandatory service charges separately
24 stated on customers' bills for purchase and consumption of
25 food and beverages, to the extent that the proceeds of the
26 service charge are in fact turned over as tips or as a

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1 substitute for tips to the employees who participate
2 directly in preparing, serving, hosting or cleaning up the
3 food or beverage function with respect to which the service
4 charge is imposed.
5 (16) Tangible personal property sold to a purchaser if
6 the purchaser is exempt from use tax by operation of
7 federal law. This paragraph is exempt from the provisions
8 of Section 2-70.
9 (17) Tangible personal property sold to a common
10 carrier by rail or motor that receives the physical
11 possession of the property in Illinois and that transports
12 the property, or shares with another common carrier in the
13 transportation of the property, out of Illinois on a
14 standard uniform bill of lading showing the seller of the
15 property as the shipper or consignor of the property to a
16 destination outside Illinois, for use outside Illinois.
17 (18) Legal tender, currency, medallions, or gold or
18 silver coinage issued by the State of Illinois, the
19 government of the United States of America, or the
20 government of any foreign country, and bullion.
21 (19) Until July 1, 2003, oil field exploration,
22 drilling, and production equipment, including (i) rigs and
23 parts of rigs, rotary rigs, cable tool rigs, and workover
24 rigs, (ii) pipe and tubular goods, including casing and
25 drill strings, (iii) pumps and pump-jack units, (iv)
26 storage tanks and flow lines, (v) any individual

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1 replacement part for oil field exploration, drilling, and
2 production equipment, and (vi) machinery and equipment
3 purchased for lease; but excluding motor vehicles required
4 to be registered under the Illinois Vehicle Code.
5 (20) Photoprocessing machinery and equipment,
6 including repair and replacement parts, both new and used,
7 including that manufactured on special order, certified by
8 the purchaser to be used primarily for photoprocessing, and
9 including photoprocessing machinery and equipment
10 purchased for lease.
11 (21) Until July 1, 2023, coal and aggregate
12 exploration, mining, off-highway hauling, processing,
13 maintenance, and reclamation equipment, including
14 replacement parts and equipment, and including equipment
15 purchased for lease, but excluding motor vehicles required
16 to be registered under the Illinois Vehicle Code. The
17 changes made to this Section by Public Act 97-767 apply on
18 and after July 1, 2003, but no claim for credit or refund
19 is allowed on or after August 16, 2013 (the effective date
20 of Public Act 98-456) for such taxes paid during the period
21 beginning July 1, 2003 and ending on August 16, 2013 (the
22 effective date of Public Act 98-456).
23 (22) Until June 30, 2013, fuel and petroleum products
24 sold to or used by an air carrier, certified by the carrier
25 to be used for consumption, shipment, or storage in the
26 conduct of its business as an air common carrier, for a

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1 flight destined for or returning from a location or
2 locations outside the United States without regard to
3 previous or subsequent domestic stopovers.
4 Beginning July 1, 2013, fuel and petroleum products
5 sold to or used by an air carrier, certified by the carrier
6 to be used for consumption, shipment, or storage in the
7 conduct of its business as an air common carrier, for a
8 flight that (i) is engaged in foreign trade or is engaged
9 in trade between the United States and any of its
10 possessions and (ii) transports at least one individual or
11 package for hire from the city of origination to the city
12 of final destination on the same aircraft, without regard
13 to a change in the flight number of that aircraft.
14 (23) A transaction in which the purchase order is
15 received by a florist who is located outside Illinois, but
16 who has a florist located in Illinois deliver the property
17 to the purchaser or the purchaser's donee in Illinois.
18 (24) Fuel consumed or used in the operation of ships,
19 barges, or vessels that are used primarily in or for the
20 transportation of property or the conveyance of persons for
21 hire on rivers bordering on this State if the fuel is
22 delivered by the seller to the purchaser's barge, ship, or
23 vessel while it is afloat upon that bordering river.
24 (25) Except as provided in item (25-5) of this Section,
25 a motor vehicle sold in this State to a nonresident even
26 though the motor vehicle is delivered to the nonresident in

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1 this State, if the motor vehicle is not to be titled in
2 this State, and if a drive-away permit is issued to the
3 motor vehicle as provided in Section 3-603 of the Illinois
4 Vehicle Code or if the nonresident purchaser has vehicle
5 registration plates to transfer to the motor vehicle upon
6 returning to his or her home state. The issuance of the
7 drive-away permit or having the out-of-state registration
8 plates to be transferred is prima facie evidence that the
9 motor vehicle will not be titled in this State.
10 (25-5) The exemption under item (25) does not apply if
11 the state in which the motor vehicle will be titled does
12 not allow a reciprocal exemption for a motor vehicle sold
13 and delivered in that state to an Illinois resident but
14 titled in Illinois. The tax collected under this Act on the
15 sale of a motor vehicle in this State to a resident of
16 another state that does not allow a reciprocal exemption
17 shall be imposed at a rate equal to the state's rate of tax
18 on taxable property in the state in which the purchaser is
19 a resident, except that the tax shall not exceed the tax
20 that would otherwise be imposed under this Act. At the time
21 of the sale, the purchaser shall execute a statement,
22 signed under penalty of perjury, of his or her intent to
23 title the vehicle in the state in which the purchaser is a
24 resident within 30 days after the sale and of the fact of
25 the payment to the State of Illinois of tax in an amount
26 equivalent to the state's rate of tax on taxable property

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1 in his or her state of residence and shall submit the
2 statement to the appropriate tax collection agency in his
3 or her state of residence. In addition, the retailer must
4 retain a signed copy of the statement in his or her
5 records. Nothing in this item shall be construed to require
6 the removal of the vehicle from this state following the
7 filing of an intent to title the vehicle in the purchaser's
8 state of residence if the purchaser titles the vehicle in
9 his or her state of residence within 30 days after the date
10 of sale. The tax collected under this Act in accordance
11 with this item (25-5) shall be proportionately distributed
12 as if the tax were collected at the 6.25% general rate
13 imposed under this Act.
14 (25-7) Beginning on July 1, 2007, no tax is imposed
15 under this Act on the sale of an aircraft, as defined in
16 Section 3 of the Illinois Aeronautics Act, if all of the
17 following conditions are met:
18 (1) the aircraft leaves this State within 15 days
19 after the later of either the issuance of the final
20 billing for the sale of the aircraft, or the authorized
21 approval for return to service, completion of the
22 maintenance record entry, and completion of the test
23 flight and ground test for inspection, as required by
24 14 C.F.R. 91.407;
25 (2) the aircraft is not based or registered in this
26 State after the sale of the aircraft; and

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1 (3) the seller retains in his or her books and
2 records and provides to the Department a signed and
3 dated certification from the purchaser, on a form
4 prescribed by the Department, certifying that the
5 requirements of this item (25-7) are met. The
6 certificate must also include the name and address of
7 the purchaser, the address of the location where the
8 aircraft is to be titled or registered, the address of
9 the primary physical location of the aircraft, and
10 other information that the Department may reasonably
11 require.
12 For purposes of this item (25-7):
13 "Based in this State" means hangared, stored, or
14 otherwise used, excluding post-sale customizations as
15 defined in this Section, for 10 or more days in each
16 12-month period immediately following the date of the sale
17 of the aircraft.
18 "Registered in this State" means an aircraft
19 registered with the Department of Transportation,
20 Aeronautics Division, or titled or registered with the
21 Federal Aviation Administration to an address located in
22 this State.
23 This paragraph (25-7) is exempt from the provisions of
24 Section 2-70.
25 (26) Semen used for artificial insemination of
26 livestock for direct agricultural production.

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1 (27) Horses, or interests in horses, registered with
2 and meeting the requirements of any of the Arabian Horse
3 Club Registry of America, Appaloosa Horse Club, American
4 Quarter Horse Association, United States Trotting
5 Association, or Jockey Club, as appropriate, used for
6 purposes of breeding or racing for prizes. This item (27)
7 is exempt from the provisions of Section 2-70, and the
8 exemption provided for under this item (27) applies for all
9 periods beginning May 30, 1995, but no claim for credit or
10 refund is allowed on or after January 1, 2008 (the
11 effective date of Public Act 95-88) for such taxes paid
12 during the period beginning May 30, 2000 and ending on
13 January 1, 2008 (the effective date of Public Act 95-88).
14 (28) Computers and communications equipment utilized
15 for any hospital purpose and equipment used in the
16 diagnosis, analysis, or treatment of hospital patients
17 sold to a lessor who leases the equipment, under a lease of
18 one year or longer executed or in effect at the time of the
19 purchase, to a hospital that has been issued an active tax
20 exemption identification number by the Department under
21 Section 1g of this Act.
22 (29) Personal property sold to a lessor who leases the
23 property, under a lease of one year or longer executed or
24 in effect at the time of the purchase, to a governmental
25 body that has been issued an active tax exemption
26 identification number by the Department under Section 1g of

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1 this Act.
2 (30) Beginning with taxable years ending on or after
3 December 31, 1995 and ending with taxable years ending on
4 or before December 31, 2004, personal property that is
5 donated for disaster relief to be used in a State or
6 federally declared disaster area in Illinois or bordering
7 Illinois by a manufacturer or retailer that is registered
8 in this State to a corporation, society, association,
9 foundation, or institution that has been issued a sales tax
10 exemption identification number by the Department that
11 assists victims of the disaster who reside within the
12 declared disaster area.
13 (31) Beginning with taxable years ending on or after
14 December 31, 1995 and ending with taxable years ending on
15 or before December 31, 2004, personal property that is used
16 in the performance of infrastructure repairs in this State,
17 including but not limited to municipal roads and streets,
18 access roads, bridges, sidewalks, waste disposal systems,
19 water and sewer line extensions, water distribution and
20 purification facilities, storm water drainage and
21 retention facilities, and sewage treatment facilities,
22 resulting from a State or federally declared disaster in
23 Illinois or bordering Illinois when such repairs are
24 initiated on facilities located in the declared disaster
25 area within 6 months after the disaster.
26 (32) Beginning July 1, 1999, game or game birds sold at

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1 a "game breeding and hunting preserve area" as that term is
2 used in the Wildlife Code. This paragraph is exempt from
3 the provisions of Section 2-70.
4 (33) A motor vehicle, as that term is defined in
5 Section 1-146 of the Illinois Vehicle Code, that is donated
6 to a corporation, limited liability company, society,
7 association, foundation, or institution that is determined
8 by the Department to be organized and operated exclusively
9 for educational purposes. For purposes of this exemption,
10 "a corporation, limited liability company, society,
11 association, foundation, or institution organized and
12 operated exclusively for educational purposes" means all
13 tax-supported public schools, private schools that offer
14 systematic instruction in useful branches of learning by
15 methods common to public schools and that compare favorably
16 in their scope and intensity with the course of study
17 presented in tax-supported schools, and vocational or
18 technical schools or institutes organized and operated
19 exclusively to provide a course of study of not less than 6
20 weeks duration and designed to prepare individuals to
21 follow a trade or to pursue a manual, technical,
22 mechanical, industrial, business, or commercial
23 occupation.
24 (34) Beginning January 1, 2000, personal property,
25 including food, purchased through fundraising events for
26 the benefit of a public or private elementary or secondary

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1 school, a group of those schools, or one or more school
2 districts if the events are sponsored by an entity
3 recognized by the school district that consists primarily
4 of volunteers and includes parents and teachers of the
5 school children. This paragraph does not apply to
6 fundraising events (i) for the benefit of private home
7 instruction or (ii) for which the fundraising entity
8 purchases the personal property sold at the events from
9 another individual or entity that sold the property for the
10 purpose of resale by the fundraising entity and that
11 profits from the sale to the fundraising entity. This
12 paragraph is exempt from the provisions of Section 2-70.
13 (35) Beginning January 1, 2000 and through December 31,
14 2001, new or used automatic vending machines that prepare
15 and serve hot food and beverages, including coffee, soup,
16 and other items, and replacement parts for these machines.
17 Beginning January 1, 2002 and through June 30, 2003,
18 machines and parts for machines used in commercial,
19 coin-operated amusement and vending business if a use or
20 occupation tax is paid on the gross receipts derived from
21 the use of the commercial, coin-operated amusement and
22 vending machines. This paragraph is exempt from the
23 provisions of Section 2-70.
24 (35-5) Beginning August 23, 2001 and through June 30,
25 2016, food for human consumption that is to be consumed off
26 the premises where it is sold (other than alcoholic

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1 beverages, soft drinks, and food that has been prepared for
2 immediate consumption) and prescription and
3 nonprescription medicines, drugs, medical appliances, and
4 insulin, urine testing materials, syringes, and needles
5 used by diabetics, for human use, when purchased for use by
6 a person receiving medical assistance under Article V of
7 the Illinois Public Aid Code who resides in a licensed
8 long-term care facility, as defined in the Nursing Home
9 Care Act, or a licensed facility as defined in the ID/DD
10 Community Care Act, the MC/DD Act, or the Specialized
11 Mental Health Rehabilitation Act of 2013.
12 (36) Beginning August 2, 2001, computers and
13 communications equipment utilized for any hospital purpose
14 and equipment used in the diagnosis, analysis, or treatment
15 of hospital patients sold to a lessor who leases the
16 equipment, under a lease of one year or longer executed or
17 in effect at the time of the purchase, to a hospital that
18 has been issued an active tax exemption identification
19 number by the Department under Section 1g of this Act. This
20 paragraph is exempt from the provisions of Section 2-70.
21 (37) Beginning August 2, 2001, personal property sold
22 to a lessor who leases the property, under a lease of one
23 year or longer executed or in effect at the time of the
24 purchase, to a governmental body that has been issued an
25 active tax exemption identification number by the
26 Department under Section 1g of this Act. This paragraph is

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1 exempt from the provisions of Section 2-70.
2 (38) Beginning on January 1, 2002 and through June 30,
3 2016, tangible personal property purchased from an
4 Illinois retailer by a taxpayer engaged in centralized
5 purchasing activities in Illinois who will, upon receipt of
6 the property in Illinois, temporarily store the property in
7 Illinois (i) for the purpose of subsequently transporting
8 it outside this State for use or consumption thereafter
9 solely outside this State or (ii) for the purpose of being
10 processed, fabricated, or manufactured into, attached to,
11 or incorporated into other tangible personal property to be
12 transported outside this State and thereafter used or
13 consumed solely outside this State. The Director of Revenue
14 shall, pursuant to rules adopted in accordance with the
15 Illinois Administrative Procedure Act, issue a permit to
16 any taxpayer in good standing with the Department who is
17 eligible for the exemption under this paragraph (38). The
18 permit issued under this paragraph (38) shall authorize the
19 holder, to the extent and in the manner specified in the
20 rules adopted under this Act, to purchase tangible personal
21 property from a retailer exempt from the taxes imposed by
22 this Act. Taxpayers shall maintain all necessary books and
23 records to substantiate the use and consumption of all such
24 tangible personal property outside of the State of
25 Illinois.
26 (39) Beginning January 1, 2008, tangible personal

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1 property used in the construction or maintenance of a
2 community water supply, as defined under Section 3.145 of
3 the Environmental Protection Act, that is operated by a
4 not-for-profit corporation that holds a valid water supply
5 permit issued under Title IV of the Environmental
6 Protection Act. This paragraph is exempt from the
7 provisions of Section 2-70.
8 (40) Beginning January 1, 2010 and continuing through
9 December 31, 2024, materials, parts, equipment,
10 components, and furnishings incorporated into or upon an
11 aircraft as part of the modification, refurbishment,
12 completion, replacement, repair, or maintenance of the
13 aircraft. This exemption includes consumable supplies used
14 in the modification, refurbishment, completion,
15 replacement, repair, and maintenance of aircraft, but
16 excludes any materials, parts, equipment, components, and
17 consumable supplies used in the modification, replacement,
18 repair, and maintenance of aircraft engines or power
19 plants, whether such engines or power plants are installed
20 or uninstalled upon any such aircraft. "Consumable
21 supplies" include, but are not limited to, adhesive, tape,
22 sandpaper, general purpose lubricants, cleaning solution,
23 latex gloves, and protective films. This exemption applies
24 only to the sale of qualifying tangible personal property
25 to persons who modify, refurbish, complete, replace, or
26 maintain an aircraft and who (i) hold an Air Agency

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1 Certificate and are empowered to operate an approved repair
2 station by the Federal Aviation Administration, (ii) have a
3 Class IV Rating, and (iii) conduct operations in accordance
4 with Part 145 of the Federal Aviation Regulations. The
5 exemption does not include aircraft operated by a
6 commercial air carrier providing scheduled passenger air
7 service pursuant to authority issued under Part 121 or Part
8 129 of the Federal Aviation Regulations. The changes made
9 to this paragraph (40) by Public Act 98-534 are declarative
10 of existing law. It is the intent of the General Assembly
11 that the exemption under this paragraph (40) applies
12 continuously from January 1, 2010 through December 31,
13 2024; however, no claim for credit or refund is allowed for
14 taxes paid as a result of the disallowance of this
15 exemption on or after January 1, 2015 and prior to the
16 effective date of this amendatory Act of the 101st General
17 Assembly.
18 (41) Tangible personal property sold to a
19 public-facilities corporation, as described in Section
20 11-65-10 of the Illinois Municipal Code, for purposes of
21 constructing or furnishing a municipal convention hall,
22 but only if the legal title to the municipal convention
23 hall is transferred to the municipality without any further
24 consideration by or on behalf of the municipality at the
25 time of the completion of the municipal convention hall or
26 upon the retirement or redemption of any bonds or other

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1 debt instruments issued by the public-facilities
2 corporation in connection with the development of the
3 municipal convention hall. This exemption includes
4 existing public-facilities corporations as provided in
5 Section 11-65-25 of the Illinois Municipal Code. This
6 paragraph is exempt from the provisions of Section 2-70.
7 (42) Beginning January 1, 2017, menstrual pads,
8 tampons, and menstrual cups.
9 (43) Merchandise that is subject to the Rental Purchase
10 Agreement Occupation and Use Tax. The purchaser must
11 certify that the item is purchased to be rented subject to
12 a rental purchase agreement, as defined in the Rental
13 Purchase Agreement Act, and provide proof of registration
14 under the Rental Purchase Agreement Occupation and Use Tax
15 Act. This paragraph is exempt from the provisions of
16 Section 2-70.
17 (44) Qualified tangible personal property used in the
18 construction or operation of a data center that has been
19 granted a certificate of exemption by the Department of
20 Commerce and Economic Opportunity, whether that tangible
21 personal property is purchased by the owner, operator, or
22 tenant of the data center or by a contractor or
23 subcontractor of the owner, operator, or tenant. Data
24 centers that would have qualified for a certificate of
25 exemption prior to January 1, 2020 had this amendatory Act
26 of the 101st General Assembly been in effect, may apply for

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1 and obtain an exemption for subsequent purchases of
2 computer equipment or enabling software purchased or
3 leased to upgrade, supplement, or replace computer
4 equipment or enabling software purchased or leased in the
5 original investment that would have qualified.
6 The Department of Commerce and Economic Opportunity
7 shall grant a certificate of exemption under this item (44)
8 to qualified data centers as defined by Section 605-1025 of
9 the Department of Commerce and Economic Opportunity Law of
10 the Civil Administrative Code of Illinois.
11 For the purposes of this item (44):
12 "Data center" means a building or a series of
13 buildings rehabilitated or constructed to house
14 working servers in one physical location or multiple
15 sites within the State of Illinois.
16 "Qualified tangible personal property" means:
17 electrical systems and equipment; climate control and
18 chilling equipment and systems; mechanical systems and
19 equipment; monitoring and secure systems; emergency
20 generators; hardware; computers; servers; data storage
21 devices; network connectivity equipment; racks;
22 cabinets; telecommunications cabling infrastructure;
23 raised floor systems; peripheral components or
24 systems; software; mechanical, electrical, or plumbing
25 systems; battery systems; cooling systems and towers;
26 temperature control systems; other cabling; and other

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1 data center infrastructure equipment and systems
2 necessary to operate qualified tangible personal
3 property, including fixtures; and component parts of
4 any of the foregoing, including installation,
5 maintenance, repair, refurbishment, and replacement of
6 qualified tangible personal property to generate,
7 transform, transmit, distribute, or manage electricity
8 necessary to operate qualified tangible personal
9 property; and all other tangible personal property
10 that is essential to the operations of a computer data
11 center. The term "qualified tangible personal
12 property" also includes building materials physically
13 incorporated in to the qualifying data center. To
14 document the exemption allowed under this Section, the
15 retailer must obtain from the purchaser a copy of the
16 certificate of eligibility issued by the Department of
17 Commerce and Economic Opportunity.
18 This item (44) is exempt from the provisions of Section
19 2-70.
20(Source: P.A. 100-22, eff. 7-6-17; 100-321, eff. 8-24-17;
21100-437, eff. 1-1-18; 100-594, eff. 6-29-18; 100-863, eff.
228-14-18; 100-1171, eff. 1-4-19; 101-31, eff. 6-28-19; 101-81,
23eff. 7-12-19; 101-629, eff. 2-5-20.)
24 (35 ILCS 120/2-12)
25 Sec. 2-12. Location where retailer is deemed to be engaged

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1in the business of selling. The purpose of this Section is to
2specify where a retailer is deemed to be engaged in the
3business of selling tangible personal property for the purposes
4of this Act, the Use Tax Act, the Service Use Tax Act, and the
5Service Occupation Tax Act, and for the purpose of collecting
6any other local retailers' occupation tax administered by the
7Department. This Section applies only with respect to the
8particular selling activities described in the following
9paragraphs. The provisions of this Section are not intended to,
10and shall not be interpreted to, affect where a retailer is
11deemed to be engaged in the business of selling with respect to
12any activity that is not specifically described in the
13following paragraphs.
14 (1) If a purchaser who is present at the retailer's
15 place of business, having no prior commitment to the
16 retailer, agrees to purchase and makes payment for tangible
17 personal property at the retailer's place of business, then
18 the transaction shall be deemed an over-the-counter sale
19 occurring at the retailer's same place of business where
20 the purchaser was present and made payment for that
21 tangible personal property if the retailer regularly
22 stocks the purchased tangible personal property or similar
23 tangible personal property in the quantity, or similar
24 quantity, for sale at the retailer's same place of business
25 and then either (i) the purchaser takes possession of the
26 tangible personal property at the same place of business or

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1 (ii) the retailer delivers or arranges for the tangible
2 personal property to be delivered to the purchaser.
3 (2) If a purchaser, having no prior commitment to the
4 retailer, agrees to purchase tangible personal property
5 and makes payment over the phone, in writing, or via the
6 Internet and takes possession of the tangible personal
7 property at the retailer's place of business, then the sale
8 shall be deemed to have occurred at the retailer's place of
9 business where the purchaser takes possession of the
10 property if the retailer regularly stocks the item or
11 similar items in the quantity, or similar quantities,
12 purchased by the purchaser.
13 (3) A retailer is deemed to be engaged in the business
14 of selling food, beverages, or other tangible personal
15 property through a vending machine at the location where
16 the vending machine is located at the time the sale is made
17 if (i) the vending machine is a device operated by coin,
18 currency, credit card, token, coupon or similar device; (2)
19 the food, beverage or other tangible personal property is
20 contained within the vending machine and dispensed from the
21 vending machine; and (3) the purchaser takes possession of
22 the purchased food, beverage or other tangible personal
23 property immediately.
24 (4) Minerals. A producer of coal or other mineral mined
25 in Illinois is deemed to be engaged in the business of
26 selling at the place where the coal or other mineral mined

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1 in Illinois is extracted from the earth. With respect to
2 minerals (i) the term "extracted from the earth" means the
3 location at which the coal or other mineral is extracted
4 from the mouth of the mine, and (ii) a "mineral" includes
5 not only coal, but also oil, sand, stone taken from a
6 quarry, gravel and any other thing commonly regarded as a
7 mineral and extracted from the earth. This paragraph does
8 not apply to coal or another mineral when it is delivered
9 or shipped by the seller to the purchaser at a point
10 outside Illinois so that the sale is exempt under the
11 United States Constitution as a sale in interstate or
12 foreign commerce.
13 (5) A retailer selling tangible personal property to a
14 nominal lessee or bailee pursuant to a lease with a dollar
15 or other nominal option to purchase is engaged in the
16 business of selling at the location where the property is
17 first delivered to the lessee or bailee for its intended
18 use.
19 (6) (Blank). Beginning on January 1, 2021, a remote
20 retailer making retail sales of tangible personal property
21 that meet or exceed the thresholds established in paragraph
22 (1) or (2) of subsection (b) of Section 2 of this Act is
23 engaged in the business of selling at the Illinois location
24 to which the tangible personal property is shipped or
25 delivered or at which possession is taken by the purchaser.
26 (7) Beginning January 1, 2021, a marketplace

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1 facilitator facilitating sales of tangible personal
2 property that meet or exceed one of the thresholds
3 established in paragraph (1) or (2) of subsection (c) of
4 Section 2 of this Act is deemed to be engaged in the
5 business of selling at the Illinois location to which the
6 tangible personal property is shipped or delivered or at
7 which possession is taken by the purchaser when the sale is
8 made by a marketplace seller on the marketplace
9 facilitator's marketplace.
10(Source: P.A. 101-31, eff. 6-28-19; 101-604, eff. 1-1-20.)
11 (35 ILCS 120/2a) (from Ch. 120, par. 441a)
12 Sec. 2a. It is unlawful for any person to engage in the
13business of selling tangible personal property at retail in
14this State without a certificate of registration from the
15Department. Application for a certificate of registration
16shall be made to the Department upon forms furnished by it.
17Each such application shall be signed and verified and shall
18state: (1) the name and social security number of the
19applicant; (2) the address of his principal place of business;
20(3) the address of the principal place of business from which
21he engages in the business of selling tangible personal
22property at retail in this State and the addresses of all other
23places of business, if any (enumerating such addresses, if any,
24in a separate list attached to and made a part of the
25application), from which he engages in the business of selling

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1tangible personal property at retail in this State; (4) the
2name and address of the person or persons who will be
3responsible for filing returns and payment of taxes due under
4this Act; (5) in the case of a publicly traded corporation, the
5name and title of the Chief Financial Officer, Chief Operating
6Officer, and any other officer or employee with responsibility
7for preparing tax returns under this Act, and, in the case of
8all other corporations, the name, title, and social security
9number of each corporate officer; (6) in the case of a limited
10liability company, the name, social security number, and FEIN
11number of each manager and member; and (7) such other
12information as the Department may reasonably require. The
13application shall contain an acceptance of responsibility
14signed by the person or persons who will be responsible for
15filing returns and payment of the taxes due under this Act. If
16the applicant will sell tangible personal property at retail
17through vending machines, his application to register shall
18indicate the number of vending machines to be so operated. If
19requested by the Department at any time, that person shall
20verify the total number of vending machines he or she uses in
21his or her business of selling tangible personal property at
22retail.
23 The Department shall provide by rule for an expedited
24business registration process for remote retailers required to
25register and file under subsection (b) of Section 2 who use a
26certified service provider to file their returns under this

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1Act. Such expedited registration process shall allow the
2Department to register a taxpayer based upon the same
3registration information required by the Streamlined Sales Tax
4Governing Board for states participating in the Streamlined
5Sales Tax Project.
6 The Department may deny a certificate of registration to
7any applicant if a person who is named as the owner, a partner,
8a manager or member of a limited liability company, or a
9corporate officer of the applicant on the application for the
10certificate of registration is or has been named as the owner,
11a partner, a manager or member of a limited liability company,
12or a corporate officer on the application for the certificate
13of registration of another retailer that is in default for
14moneys due under this Act or any other tax or fee Act
15administered by the Department. For purposes of this paragraph
16only, in determining whether a person is in default for moneys
17due, the Department shall include only amounts established as a
18final liability within the 20 years prior to the date of the
19Department's notice of denial of a certificate of registration.
20 The Department may require an applicant for a certificate
21of registration hereunder to, at the time of filing such
22application, furnish a bond from a surety company authorized to
23do business in the State of Illinois, or an irrevocable bank
24letter of credit or a bond signed by 2 personal sureties who
25have filed, with the Department, sworn statements disclosing
26net assets equal to at least 3 times the amount of the bond to

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1be required of such applicant, or a bond secured by an
2assignment of a bank account or certificate of deposit, stocks
3or bonds, conditioned upon the applicant paying to the State of
4Illinois all moneys becoming due under this Act and under any
5other State tax law or municipal or county tax ordinance or
6resolution under which the certificate of registration that is
7issued to the applicant under this Act will permit the
8applicant to engage in business without registering separately
9under such other law, ordinance or resolution. In making a
10determination as to whether to require a bond or other
11security, the Department shall take into consideration whether
12the owner, any partner, any manager or member of a limited
13liability company, or a corporate officer of the applicant is
14or has been the owner, a partner, a manager or member of a
15limited liability company, or a corporate officer of another
16retailer that is in default for moneys due under this Act or
17any other tax or fee Act administered by the Department; and
18whether the owner, any partner, any manager or member of a
19limited liability company, or a corporate officer of the
20applicant is or has been the owner, a partner, a manager or
21member of a limited liability company, or a corporate officer
22of another retailer whose certificate of registration has been
23revoked within the previous 5 years under this Act or any other
24tax or fee Act administered by the Department. If a bond or
25other security is required, the Department shall fix the amount
26of the bond or other security, taking into consideration the

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1amount of money expected to become due from the applicant under
2this Act and under any other State tax law or municipal or
3county tax ordinance or resolution under which the certificate
4of registration that is issued to the applicant under this Act
5will permit the applicant to engage in business without
6registering separately under such other law, ordinance, or
7resolution. The amount of security required by the Department
8shall be such as, in its opinion, will protect the State of
9Illinois against failure to pay the amount which may become due
10from the applicant under this Act and under any other State tax
11law or municipal or county tax ordinance or resolution under
12which the certificate of registration that is issued to the
13applicant under this Act will permit the applicant to engage in
14business without registering separately under such other law,
15ordinance or resolution, but the amount of the security
16required by the Department shall not exceed three times the
17amount of the applicant's average monthly tax liability, or
18$50,000.00, whichever amount is lower.
19 No certificate of registration under this Act shall be
20issued by the Department until the applicant provides the
21Department with satisfactory security, if required, as herein
22provided for.
23 Upon receipt of the application for certificate of
24registration in proper form, and upon approval by the
25Department of the security furnished by the applicant, if
26required, the Department shall issue to such applicant a

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1certificate of registration which shall permit the person to
2whom it is issued to engage in the business of selling tangible
3personal property at retail in this State. The certificate of
4registration shall be conspicuously displayed at the place of
5business which the person so registered states in his
6application to be the principal place of business from which he
7engages in the business of selling tangible personal property
8at retail in this State.
9 No certificate of registration issued prior to July 1, 2017
10to a taxpayer who files returns required by this Act on a
11monthly basis or renewed prior to July 1, 2017 by a taxpayer
12who files returns required by this Act on a monthly basis shall
13be valid after the expiration of 5 years from the date of its
14issuance or last renewal. No certificate of registration issued
15on or after July 1, 2017 to a taxpayer who files returns
16required by this Act on a monthly basis or renewed on or after
17July 1, 2017 by a taxpayer who files returns required by this
18Act on a monthly basis shall be valid after the expiration of
19one year from the date of its issuance or last renewal. The
20expiration date of a sub-certificate of registration shall be
21that of the certificate of registration to which the
22sub-certificate relates. Prior to July 1, 2017, a certificate
23of registration shall automatically be renewed, subject to
24revocation as provided by this Act, for an additional 5 years
25from the date of its expiration unless otherwise notified by
26the Department as provided by this paragraph. On and after July

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11, 2017, a certificate of registration shall automatically be
2renewed, subject to revocation as provided by this Act, for an
3additional one year from the date of its expiration unless
4otherwise notified by the Department as provided by this
5paragraph.
6 Where a taxpayer to whom a certificate of registration is
7issued under this Act is in default to the State of Illinois
8for delinquent returns or for moneys due under this Act or any
9other State tax law or municipal or county ordinance
10administered or enforced by the Department, the Department
11shall, not less than 60 days before the expiration date of such
12certificate of registration, give notice to the taxpayer to
13whom the certificate was issued of the account period of the
14delinquent returns, the amount of tax, penalty and interest due
15and owing from the taxpayer, and that the certificate of
16registration shall not be automatically renewed upon its
17expiration date unless the taxpayer, on or before the date of
18expiration, has filed and paid the delinquent returns or paid
19the defaulted amount in full. A taxpayer to whom such a notice
20is issued shall be deemed an applicant for renewal. The
21Department shall promulgate regulations establishing
22procedures for taxpayers who file returns on a monthly basis
23but desire and qualify to change to a quarterly or yearly
24filing basis and will no longer be subject to renewal under
25this Section, and for taxpayers who file returns on a yearly or
26quarterly basis but who desire or are required to change to a

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1monthly filing basis and will be subject to renewal under this
2Section.
3 The Department may in its discretion approve renewal by an
4applicant who is in default if, at the time of application for
5renewal, the applicant files all of the delinquent returns or
6pays to the Department such percentage of the defaulted amount
7as may be determined by the Department and agrees in writing to
8waive all limitations upon the Department for collection of the
9remaining defaulted amount to the Department over a period not
10to exceed 5 years from the date of renewal of the certificate;
11however, no renewal application submitted by an applicant who
12is in default shall be approved if the immediately preceding
13renewal by the applicant was conditioned upon the installment
14payment agreement described in this Section. The payment
15agreement herein provided for shall be in addition to and not
16in lieu of the security that may be required by this Section of
17a taxpayer who is no longer considered a prior continuous
18compliance taxpayer. The execution of the payment agreement as
19provided in this Act shall not toll the accrual of interest at
20the statutory rate.
21 The Department may suspend a certificate of registration if
22the Department finds that the person to whom the certificate of
23registration has been issued knowingly sold contraband
24cigarettes.
25 A certificate of registration issued under this Act more
26than 5 years before January 1, 1990 (the effective date of

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1Public Act 86-383) shall expire and be subject to the renewal
2provisions of this Section on the next anniversary of the date
3of issuance of such certificate which occurs more than 6 months
4after January 1, 1990 (the effective date of Public Act
586-383). A certificate of registration issued less than 5 years
6before January 1, 1990 (the effective date of Public Act
786-383) shall expire and be subject to the renewal provisions
8of this Section on the 5th anniversary of the issuance of the
9certificate.
10 If the person so registered states that he operates other
11places of business from which he engages in the business of
12selling tangible personal property at retail in this State, the
13Department shall furnish him with a sub-certificate of
14registration for each such place of business, and the applicant
15shall display the appropriate sub-certificate of registration
16at each such place of business. All sub-certificates of
17registration shall bear the same registration number as that
18appearing upon the certificate of registration to which such
19sub-certificates relate.
20 If the applicant will sell tangible personal property at
21retail through vending machines, the Department shall furnish
22him with a sub-certificate of registration for each such
23vending machine, and the applicant shall display the
24appropriate sub-certificate of registration on each such
25vending machine by attaching the sub-certificate of
26registration to a conspicuous part of such vending machine. If

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1a person who is registered to sell tangible personal property
2at retail through vending machines adds an additional vending
3machine or additional vending machines to the number of vending
4machines he or she uses in his or her business of selling
5tangible personal property at retail, he or she shall notify
6the Department, on a form prescribed by the Department, to
7request an additional sub-certificate or additional
8sub-certificates of registration, as applicable. With each
9such request, the applicant shall report the number of
10sub-certificates of registration he or she is requesting as
11well as the total number of vending machines from which he or
12she makes retail sales.
13 Where the same person engages in 2 or more businesses of
14selling tangible personal property at retail in this State,
15which businesses are substantially different in character or
16engaged in under different trade names or engaged in under
17other substantially dissimilar circumstances (so that it is
18more practicable, from an accounting, auditing or bookkeeping
19standpoint, for such businesses to be separately registered),
20the Department may require or permit such person (subject to
21the same requirements concerning the furnishing of security as
22those that are provided for hereinbefore in this Section as to
23each application for a certificate of registration) to apply
24for and obtain a separate certificate of registration for each
25such business or for any of such businesses, under a single
26certificate of registration supplemented by related

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1sub-certificates of registration.
2 Any person who is registered under the Retailers'
3Occupation Tax Act as of March 8, 1963, and who, during the
43-year period immediately prior to March 8, 1963, or during a
5continuous 3-year period part of which passed immediately
6before and the remainder of which passes immediately after
7March 8, 1963, has been so registered continuously and who is
8determined by the Department not to have been either delinquent
9or deficient in the payment of tax liability during that period
10under this Act or under any other State tax law or municipal or
11county tax ordinance or resolution under which the certificate
12of registration that is issued to the registrant under this Act
13will permit the registrant to engage in business without
14registering separately under such other law, ordinance or
15resolution, shall be considered to be a Prior Continuous
16Compliance taxpayer. Also any taxpayer who has, as verified by
17the Department, faithfully and continuously complied with the
18condition of his bond or other security under the provisions of
19this Act for a period of 3 consecutive years shall be
20considered to be a Prior Continuous Compliance taxpayer.
21 Every Prior Continuous Compliance taxpayer shall be exempt
22from all requirements under this Act concerning the furnishing
23of a bond or other security as a condition precedent to his
24being authorized to engage in the business of selling tangible
25personal property at retail in this State. This exemption shall
26continue for each such taxpayer until such time as he may be

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1determined by the Department to be delinquent in the filing of
2any returns, or is determined by the Department (either through
3the Department's issuance of a final assessment which has
4become final under the Act, or by the taxpayer's filing of a
5return which admits tax that is not paid to be due) to be
6delinquent or deficient in the paying of any tax under this Act
7or under any other State tax law or municipal or county tax
8ordinance or resolution under which the certificate of
9registration that is issued to the registrant under this Act
10will permit the registrant to engage in business without
11registering separately under such other law, ordinance or
12resolution, at which time that taxpayer shall become subject to
13all the financial responsibility requirements of this Act and,
14as a condition of being allowed to continue to engage in the
15business of selling tangible personal property at retail, may
16be required to post bond or other acceptable security with the
17Department covering liability which such taxpayer may
18thereafter incur. Any taxpayer who fails to pay an admitted or
19established liability under this Act may also be required to
20post bond or other acceptable security with this Department
21guaranteeing the payment of such admitted or established
22liability.
23 No certificate of registration shall be issued to any
24person who is in default to the State of Illinois for moneys
25due under this Act or under any other State tax law or
26municipal or county tax ordinance or resolution under which the

HB5561- 208 -LRB101 17547 JWD 66965 b
1certificate of registration that is issued to the applicant
2under this Act will permit the applicant to engage in business
3without registering separately under such other law, ordinance
4or resolution.
5 Any person aggrieved by any decision of the Department
6under this Section may, within 20 days after notice of such
7decision, protest and request a hearing, whereupon the
8Department shall give notice to such person of the time and
9place fixed for such hearing and shall hold a hearing in
10conformity with the provisions of this Act and then issue its
11final administrative decision in the matter to such person. In
12the absence of such a protest within 20 days, the Department's
13decision shall become final without any further determination
14being made or notice given.
15 With respect to security other than bonds (upon which the
16Department may sue in the event of a forfeiture), if the
17taxpayer fails to pay, when due, any amount whose payment such
18security guarantees, the Department shall, after such
19liability is admitted by the taxpayer or established by the
20Department through the issuance of a final assessment that has
21become final under the law, convert the security which that
22taxpayer has furnished into money for the State, after first
23giving the taxpayer at least 10 days' written notice, by
24registered or certified mail, to pay the liability or forfeit
25such security to the Department. If the security consists of
26stocks or bonds or other securities which are listed on a

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1public exchange, the Department shall sell such securities
2through such public exchange. If the security consists of an
3irrevocable bank letter of credit, the Department shall convert
4the security in the manner provided for in the Uniform
5Commercial Code. If the security consists of a bank certificate
6of deposit, the Department shall convert the security into
7money by demanding and collecting the amount of such bank
8certificate of deposit from the bank which issued such
9certificate. If the security consists of a type of stocks or
10other securities which are not listed on a public exchange, the
11Department shall sell such security to the highest and best
12bidder after giving at least 10 days' notice of the date, time
13and place of the intended sale by publication in the "State
14Official Newspaper". If the Department realizes more than the
15amount of such liability from the security, plus the expenses
16incurred by the Department in converting the security into
17money, the Department shall pay such excess to the taxpayer who
18furnished such security, and the balance shall be paid into the
19State Treasury.
20 The Department shall discharge any surety and shall release
21and return any security deposited, assigned, pledged or
22otherwise provided to it by a taxpayer under this Section
23within 30 days after:
24 (1) such taxpayer becomes a Prior Continuous
25 Compliance taxpayer; or
26 (2) such taxpayer has ceased to collect receipts on

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1 which he is required to remit tax to the Department, has
2 filed a final tax return, and has paid to the Department an
3 amount sufficient to discharge his remaining tax
4 liability, as determined by the Department, under this Act
5 and under every other State tax law or municipal or county
6 tax ordinance or resolution under which the certificate of
7 registration issued under this Act permits the registrant
8 to engage in business without registering separately under
9 such other law, ordinance or resolution. The Department
10 shall make a final determination of the taxpayer's
11 outstanding tax liability as expeditiously as possible
12 after his final tax return has been filed; if the
13 Department cannot make such final determination within 45
14 days after receiving the final tax return, within such
15 period it shall so notify the taxpayer, stating its reasons
16 therefor.
17(Source: P.A. 100-302, eff. 8-24-17; 100-303, eff. 8-24-17;
18100-863, eff. 8-14-18; 101-31, eff. 6-28-19.)
19 Section 10-50. The Cigarette Tax Act is amended by changing
20Section 2 as follows:
21 (35 ILCS 130/2) (from Ch. 120, par. 453.2)
22 Sec. 2. Tax imposed; rate; collection, payment, and
23distribution; discount.
24 (a) A tax is imposed upon any person engaged in business as

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1a retailer of cigarettes in this State at the rate of 5 1/2
2mills per cigarette sold, or otherwise disposed of in the
3course of such business in this State. In addition to any other
4tax imposed by this Act, a tax is imposed upon any person
5engaged in business as a retailer of cigarettes in this State
6at a rate of 1/2 mill per cigarette sold or otherwise disposed
7of in the course of such business in this State on and after
8January 1, 1947, and shall be paid into the Metropolitan Fair
9and Exposition Authority Reconstruction Fund or as otherwise
10provided in Section 29. On and after December 1, 1985, in
11addition to any other tax imposed by this Act, a tax is imposed
12upon any person engaged in business as a retailer of cigarettes
13in this State at a rate of 4 mills per cigarette sold or
14otherwise disposed of in the course of such business in this
15State. Of the additional tax imposed by this amendatory Act of
161985, $9,000,000 of the moneys received by the Department of
17Revenue pursuant to this Act shall be paid each month into the
18Common School Fund. On and after the effective date of this
19amendatory Act of 1989, in addition to any other tax imposed by
20this Act, a tax is imposed upon any person engaged in business
21as a retailer of cigarettes at the rate of 5 mills per
22cigarette sold or otherwise disposed of in the course of such
23business in this State. On and after the effective date of this
24amendatory Act of 1993, in addition to any other tax imposed by
25this Act, a tax is imposed upon any person engaged in business
26as a retailer of cigarettes at the rate of 7 mills per

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1cigarette sold or otherwise disposed of in the course of such
2business in this State. On and after December 15, 1997, in
3addition to any other tax imposed by this Act, a tax is imposed
4upon any person engaged in business as a retailer of cigarettes
5at the rate of 7 mills per cigarette sold or otherwise disposed
6of in the course of such business of this State. All of the
7moneys received by the Department of Revenue pursuant to this
8Act and the Cigarette Use Tax Act from the additional taxes
9imposed by this amendatory Act of 1997, shall be paid each
10month into the Common School Fund. On and after July 1, 2002,
11in addition to any other tax imposed by this Act, a tax is
12imposed upon any person engaged in business as a retailer of
13cigarettes at the rate of 20.0 mills per cigarette sold or
14otherwise disposed of in the course of such business in this
15State. Beginning on June 24, 2012, in addition to any other tax
16imposed by this Act, a tax is imposed upon any person engaged
17in business as a retailer of cigarettes at the rate of 50 mills
18per cigarette sold or otherwise disposed of in the course of
19such business in this State. All moneys received by the
20Department of Revenue under this Act and the Cigarette Use Tax
21Act from the additional taxes imposed by this amendatory Act of
22the 97th General Assembly shall be paid each month into the
23Healthcare Provider Relief Fund. Beginning on July 1, 2019, in
24place of the aggregate tax rate of 99 mills previously imposed
25by this Act, a tax is imposed upon any person engaged in
26business as a retailer of cigarettes at the rate of 149 mills

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1per cigarette sold or otherwise disposed of in the course of
2such business in this State.
3 (b) The payment of such taxes shall be evidenced by a stamp
4affixed to each original package of cigarettes, or an
5authorized substitute for such stamp imprinted on each original
6package of such cigarettes underneath the sealed transparent
7outside wrapper of such original package, as hereinafter
8provided. However, such taxes are not imposed upon any activity
9in such business in interstate commerce or otherwise, which
10activity may not under the Constitution and statutes of the
11United States be made the subject of taxation by this State.
12 Beginning on the effective date of this amendatory Act of
13the 92nd General Assembly and through June 30, 2006, all of the
14moneys received by the Department of Revenue pursuant to this
15Act and the Cigarette Use Tax Act, other than the moneys that
16are dedicated to the Common School Fund, shall be distributed
17each month as follows: first, there shall be paid into the
18General Revenue Fund an amount which, when added to the amount
19paid into the Common School Fund for that month, equals
20$33,300,000, except that in the month of August of 2004, this
21amount shall equal $83,300,000; then, from the moneys
22remaining, if any amounts required to be paid into the General
23Revenue Fund in previous months remain unpaid, those amounts
24shall be paid into the General Revenue Fund; then, beginning on
25April 1, 2003, from the moneys remaining, $5,000,000 per month
26shall be paid into the School Infrastructure Fund; then, if any

HB5561- 214 -LRB101 17547 JWD 66965 b
1amounts required to be paid into the School Infrastructure Fund
2in previous months remain unpaid, those amounts shall be paid
3into the School Infrastructure Fund; then the moneys remaining,
4if any, shall be paid into the Long-Term Care Provider Fund. To
5the extent that more than $25,000,000 has been paid into the
6General Revenue Fund and Common School Fund per month for the
7period of July 1, 1993 through the effective date of this
8amendatory Act of 1994 from combined receipts of the Cigarette
9Tax Act and the Cigarette Use Tax Act, notwithstanding the
10distribution provided in this Section, the Department of
11Revenue is hereby directed to adjust the distribution provided
12in this Section to increase the next monthly payments to the
13Long Term Care Provider Fund by the amount paid to the General
14Revenue Fund and Common School Fund in excess of $25,000,000
15per month and to decrease the next monthly payments to the
16General Revenue Fund and Common School Fund by that same excess
17amount.
18 Out of the 149 mills per cigarette tax imposed by
19subsection (a), the revenues received from 4 mills shall be
20paid into the Common School Fund each month, not to exceed
21$9,000,000 per month. Out of the 149 mills per cigarette tax
22imposed by subsection (a), all of the revenues received from 7
23mills shall be paid into the Common School Fund each month. Out
24of the 149 mills per cigarette tax imposed by subsection (a),
2550 mills per cigarette each month shall be paid into the
26Healthcare Provider Relief Fund.

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1 Beginning on July 1, 2006, all of the moneys received by
2the Department of Revenue pursuant to this Act and the
3Cigarette Use Tax Act, other than the moneys that are dedicated
4to the Common School Fund and, beginning on the effective date
5of this amendatory Act of the 97th General Assembly, other than
6the moneys from the additional taxes imposed by this amendatory
7Act of the 97th General Assembly that must be paid each month
8into the Healthcare Provider Relief Fund, and other than the
9moneys from the additional taxes imposed by this amendatory Act
10of the 101st General Assembly that must be paid each month
11under subsection (c), shall be distributed each month as
12follows: first, there shall be paid into the General Revenue
13Fund an amount that, when added to the amount paid into the
14Common School Fund for that month, equals $29,200,000; then,
15from the moneys remaining, if any amounts required to be paid
16into the General Revenue Fund in previous months remain unpaid,
17those amounts shall be paid into the General Revenue Fund; then
18from the moneys remaining, $5,000,000 per month shall be paid
19into the School Infrastructure Fund; then, if any amounts
20required to be paid into the School Infrastructure Fund in
21previous months remain unpaid, those amounts shall be paid into
22the School Infrastructure Fund; then the moneys remaining, if
23any, shall be paid into the Long-Term Care Provider Fund.
24 (c) Beginning on July 1, 2019, all of the moneys from the
25additional taxes imposed by Public Act 101-31, except for
26moneys received from the tax on electronic cigarettes, received

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1by the Department of Revenue pursuant to this Act, the
2Cigarette Use Tax Act, and the Tobacco Products Tax Act of 1995
3shall be distributed each month into the Capital Projects Fund.
4 Moneys (d) Except for moneys received from the additional
5taxes imposed by Public Act 101-31, moneys collected from the
6tax imposed on little cigars under Section 10-10 of the Tobacco
7Products Tax Act of 1995 shall be included with the moneys
8collected under the Cigarette Tax Act and the Cigarette Use Tax
9Act when making distributions to the Common School Fund, the
10Healthcare Provider Relief Fund, the General Revenue Fund, the
11School Infrastructure Fund, and the Long-Term Care Provider
12Fund under this Section.
13 When any (e) If the tax imposed herein terminates or has
14terminated, distributors who have bought stamps while such tax
15was in effect and who therefore paid such tax, but who can
16show, to the Department's satisfaction, that they sold the
17cigarettes to which they affixed such stamps after such tax had
18terminated and did not recover the tax or its equivalent from
19purchasers, shall be allowed by the Department to take credit
20for such absorbed tax against subsequent tax stamp purchases
21from the Department by such distributor.
22 (f) The impact of the tax levied by this Act is imposed
23upon the retailer and shall be prepaid or pre-collected by the
24distributor for the purpose of convenience and facility only,
25and the amount of the tax shall be added to the price of the
26cigarettes sold by such distributor. Collection of the tax

HB5561- 217 -LRB101 17547 JWD 66965 b
1shall be evidenced by a stamp or stamps affixed to each
2original package of cigarettes, as hereinafter provided. Any
3distributor who purchases stamps may credit any excess payments
4verified by the Department against amounts subsequently due for
5the purchase of additional stamps, until such time as no excess
6payment remains.
7 (g) Each distributor shall collect the tax from the
8retailer at or before the time of the sale, shall affix the
9stamps as hereinafter required, and shall remit the tax
10collected from retailers to the Department, as hereinafter
11provided. Any distributor who fails to properly collect and pay
12the tax imposed by this Act shall be liable for the tax. Any
13distributor having cigarettes to which stamps have been affixed
14in his possession for sale on the effective date of this
15amendatory Act of 1989 shall not be required to pay the
16additional tax imposed by this amendatory Act of 1989 on such
17stamped cigarettes. Any distributor having cigarettes to which
18stamps have been affixed in his or her possession for sale at
1912:01 a.m. on the effective date of this amendatory Act of
201993, is required to pay the additional tax imposed by this
21amendatory Act of 1993 on such stamped cigarettes. This
22payment, less the discount provided in subsection (b), shall be
23due when the distributor first makes a purchase of cigarette
24tax stamps after the effective date of this amendatory Act of
251993, or on the first due date of a return under this Act after
26the effective date of this amendatory Act of 1993, whichever

HB5561- 218 -LRB101 17547 JWD 66965 b
1occurs first. Any distributor having cigarettes to which stamps
2have been affixed in his possession for sale on December 15,
31997 shall not be required to pay the additional tax imposed by
4this amendatory Act of 1997 on such stamped cigarettes.
5 Any distributor having cigarettes to which stamps have been
6affixed in his or her possession for sale on July 1, 2002 shall
7not be required to pay the additional tax imposed by this
8amendatory Act of the 92nd General Assembly on those stamped
9cigarettes.
10 (h) Any distributor having cigarettes in his or her
11possession on July 1, 2019 to which tax stamps have been
12affixed, and any distributor having stamps in his or her
13possession on July 1, 2019 that have not been affixed to
14packages of cigarettes before July 1, 2019, is required to pay
15the additional tax that begins on July 1, 2019 imposed by this
16amendatory Act of the 101st General Assembly to the extent that
17the volume of affixed and unaffixed stamps in the distributor's
18possession on July 1, 2019 exceeds the average monthly volume
19of cigarette stamps purchased by the distributor in calendar
20year 2018. This payment, less the discount provided in
21subsection (l), is due when the distributor first makes a
22purchase of cigarette stamps on or after July 1, 2019 or on the
23first due date of a return under this Act occurring on or after
24July 1, 2019, whichever occurs first. Those distributors may
25elect to pay the additional tax on packages of cigarettes to
26which stamps have been affixed and on any stamps in the

HB5561- 219 -LRB101 17547 JWD 66965 b
1distributor's possession that have not been affixed to packages
2of cigarettes in their possession on July 1, 2019 over a period
3not to exceed 12 months from the due date of the additional tax
4by notifying the Department in writing. The first payment for
5distributors making such election is due when the distributor
6first makes a purchase of cigarette tax stamps on or after July
71, 2019 or on the first due date of a return under this Act
8occurring on or after July 1, 2019, whichever occurs first.
9Distributors making such an election are not entitled to take
10the discount provided in subsection (l) on such payments.
11 (i) Any retailer having cigarettes in its his or her
12possession on July 1, 2019 June 24, 2012 to which tax stamps
13have been affixed is not required to pay the additional tax
14that begins on July 1, 2019 June 24, 2012 imposed by this
15amendatory Act of the 101st General Assembly this amendatory
16Act of the 97th General Assembly on those stamped cigarettes.
17Any distributor having cigarettes in his or her possession on
18June 24, 2012 to which tax stamps have been affixed, and any
19distributor having stamps in his or her possession on June 24,
202012 that have not been affixed to packages of cigarettes
21before June 24, 2012, is required to pay the additional tax
22that begins on June 24, 2012 imposed by this amendatory Act of
23the 97th General Assembly to the extent the calendar year 2012
24average monthly volume of cigarette stamps in the distributor's
25possession exceeds the average monthly volume of cigarette
26stamps purchased by the distributor in calendar year 2011. This

HB5561- 220 -LRB101 17547 JWD 66965 b
1payment, less the discount provided in subsection (b), is due
2when the distributor first makes a purchase of cigarette stamps
3on or after June 24, 2012 or on the first due date of a return
4under this Act occurring on or after June 24, 2012, whichever
5occurs first. Those distributors may elect to pay the
6additional tax on packages of cigarettes to which stamps have
7been affixed and on any stamps in the distributor's possession
8that have not been affixed to packages of cigarettes over a
9period not to exceed 12 months from the due date of the
10additional tax by notifying the Department in writing. The
11first payment for distributors making such election is due when
12the distributor first makes a purchase of cigarette tax stamps
13on or after June 24, 2012 or on the first due date of a return
14under this Act occurring on or after June 24, 2012, whichever
15occurs first. Distributors making such an election are not
16entitled to take the discount provided in subsection (b) on
17such payments.
18 (j) Distributors making sales of cigarettes to secondary
19distributors shall add the amount of the tax to the price of
20the cigarettes sold by the distributors. Secondary
21distributors making sales of cigarettes to retailers shall
22include the amount of the tax in the price of the cigarettes
23sold to retailers. The amount of tax shall not be less than the
24amount of taxes imposed by the State and all local
25jurisdictions. The amount of local taxes shall be calculated
26based on the location of the retailer's place of business shown

HB5561- 221 -LRB101 17547 JWD 66965 b
1on the retailer's certificate of registration or
2sub-registration issued to the retailer pursuant to Section 2a
3of the Retailers' Occupation Tax Act. The original packages of
4cigarettes sold to the retailer shall bear all the required
5stamps, or other indicia, for the taxes included in the price
6of cigarettes.
7 (k) The amount of the Cigarette Tax imposed by this Act
8shall be separately stated, apart from the price of the goods,
9by distributors, manufacturer representatives, secondary
10distributors, and retailers, in all bills and sales invoices.
11 (l) (b) The distributor shall be required to collect the
12tax taxes provided under paragraph (a) hereof, and, to cover
13the costs of such collection, shall be allowed a discount
14during any year commencing July 1st and ending the following
15June 30th in accordance with the schedule set out hereinbelow,
16which discount shall be allowed at the time of purchase of the
17stamps when purchase is required by this Act, or at the time
18when the tax is remitted to the Department without the purchase
19of stamps from the Department when that method of paying the
20tax is required or authorized by this Act. Prior to December 1,
211985, a discount equal to 1 2/3% of the amount of the tax up to
22and including the first $700,000 paid hereunder by such
23distributor to the Department during any such year; 1 1/3% of
24the next $700,000 of tax or any part thereof, paid hereunder by
25such distributor to the Department during any such year; 1% of
26the next $700,000 of tax, or any part thereof, paid hereunder

HB5561- 222 -LRB101 17547 JWD 66965 b
1by such distributor to the Department during any such year, and
22/3 of 1% of the amount of any additional tax paid hereunder by
3such distributor to the Department during any such year shall
4apply.
5 On and after December 1, 1985, a discount equal to 1.75% of
6the amount of the tax payable under this Act up to and
7including the first $3,000,000 paid hereunder by such
8distributor to the Department during any such year and 1.5% of
9the amount of any additional tax paid hereunder by such
10distributor to the Department during any such year shall apply.
11 Two or more distributors that use a common means of
12affixing revenue tax stamps or that are owned or controlled by
13the same interests shall be treated as a single distributor for
14the purpose of computing the discount.
15 (m) (c) The taxes herein imposed are in addition to all
16other occupation or privilege taxes imposed by the State of
17Illinois, or by any political subdivision thereof, or by any
18municipal corporation.
19(Source: P.A. 100-1171, eff. 1-4-19; 101-31, eff. 6-28-19;
20101-604, eff. 12-13-19.)
21 Section 10-59. The Cigarette Tax Act is amended by adding
22Section 29.1 as follows:
23 (35 ILCS 130/29.1 new)
24 Sec. 29.1. All moneys received by the Department from the

HB5561- 223 -LRB101 17547 JWD 66965 b
1one-half mill tax imposed by the Sixty-fourth General Assembly
2and all interest and penalties, received in connection
3therewith under the provisions of this Act shall be paid into
4the Metropolitan Fair and Exposition Authority Reconstruction
5Fund. All other moneys received by the Department under this
6Act shall be paid into the General Revenue Fund in the State
7treasury. After there has been paid into the Metropolitan Fair
8and Exposition Authority Reconstruction Fund sufficient money
9to pay in full both principal and interest, all of the
10outstanding bonds issued pursuant to the "Fair and Exposition
11Authority Reconstruction Act", the State Treasurer and
12Comptroller shall transfer to the General Revenue Fund the
13balance of moneys remaining in the Metropolitan Fair and
14Exposition Authority Reconstruction Fund except for $2,500,000
15which shall remain in the Metropolitan Fair and Exposition
16Authority Reconstruction Fund and which may be appropriated by
17the General Assembly for the corporate purposes of the
18Metropolitan Pier and Exposition Authority. All monies
19received by the Department in fiscal year 1978 and thereafter
20from the one-half mill tax imposed by the Sixty-fourth General
21Assembly, and all interest and penalties received in connection
22therewith under the provisions of this Act, shall be paid into
23the General Revenue Fund, except that the Department shall pay
24the first $4,800,000 received in fiscal years 1979 through 2001
25from that one-half mill tax into the Metropolitan Fair and
26Exposition Authority Reconstruction Fund which monies may be

HB5561- 224 -LRB101 17547 JWD 66965 b
1appropriated by the General Assembly for the corporate purposes
2of the Metropolitan Pier and Exposition Authority.
3 In fiscal year 2002 and fiscal year 2003, the first
4$4,800,000 from the one-half mill tax shall be paid into the
5Statewide Economic Development Fund.
6 All moneys received by the Department in fiscal year 2006
7and thereafter from the one-half mill tax imposed by the 64th
8General Assembly and all interest and penalties received in
9connection with that tax under the provisions of this Act shall
10be paid into the General Revenue Fund.
11 Section 10-60. The Cigarette Use Tax Act is amended by
12changing Sections 2 and 35 as follows:
13 (35 ILCS 135/2) (from Ch. 120, par. 453.32)
14 Sec. 2. Beginning on July 1, 2019, in place of the
15aggregate tax rate of 99 mills previously imposed by this Act,
16a tax is imposed upon the privilege of using cigarettes in this
17State at the rate of 149 mills per cigarette so used. A tax is
18imposed upon the privilege of using cigarettes in this State,
19at the rate of 6 mills per cigarette so used. On and after
20December 1, 1985, in addition to any other tax imposed by this
21Act, a tax is imposed upon the privilege of using cigarettes in
22this State at a rate of 4 mills per cigarette so used. On and
23after the effective date of this amendatory Act of 1989, in
24addition to any other tax imposed by this Act, a tax is imposed

HB5561- 225 -LRB101 17547 JWD 66965 b
1upon the privilege of using cigarettes in this State at the
2rate of 5 mills per cigarette so used. On and after the
3effective date of this amendatory Act of 1993, in addition to
4any other tax imposed by this Act, a tax is imposed upon the
5privilege of using cigarettes in this State at a rate of 7
6mills per cigarette so used. On and after December 15, 1997, in
7addition to any other tax imposed by this Act, a tax is imposed
8upon the privilege of using cigarettes in this State at a rate
9of 7 mills per cigarette so used. On and after July 1, 2002, in
10addition to any other tax imposed by this Act, a tax is imposed
11upon the privilege of using cigarettes in this State at a rate
12of 20.0 mills per cigarette so used. Beginning on June 24,
132012, in addition to any other tax imposed by this Act, a tax
14is imposed upon the privilege of using cigarettes in this State
15at a rate of 50 mills per cigarette so used. The tax taxes
16herein imposed shall be in addition to all other occupation or
17privilege taxes imposed by the State of Illinois or by any
18political subdivision thereof or by any municipal corporation.
19 If the When any tax imposed herein terminates or has
20terminated, distributors who have bought stamps while such tax
21was in effect and who therefore paid such tax, but who can
22show, to the Department's satisfaction, that they sold the
23cigarettes to which they affixed such stamps after such tax had
24terminated and did not recover the tax or its equivalent from
25purchasers, shall be allowed by the Department to take credit
26for such absorbed tax against subsequent tax stamp purchases

HB5561- 226 -LRB101 17547 JWD 66965 b
1from the Department by such distributors.
2 When the word "tax" is used in this Act, it shall include
3any tax or tax rate imposed by this Act and shall mean the
4singular of "tax" or the plural "taxes" as the context may
5require.
6 Any retailer having cigarettes in its possession on July 1,
72019 to which tax stamps have been affixed is not required to
8pay the additional tax that begins on July 1, 2019 imposed by
9this amendatory Act of the 101st General Assembly on those
10stamped cigarettes. Any distributor having cigarettes in his or
11her possession on July 1, 2019 to which tax stamps have been
12affixed, and any distributor having stamps in his or her
13possession on July 1, 2019 that have not been affixed to
14packages of cigarettes before July 1, 2019, is required to pay
15the additional tax that begins on July 1, 2019 imposed by this
16amendatory Act of the 101st General Assembly to the extent that
17the volume of affixed and unaffixed stamps in the distributor's
18possession on July 1, 2019 exceeds the average monthly volume
19of cigarette stamps purchased by the distributor in calendar
20year 2018. This payment, less the discount provided in Section
213, is due when the distributor first makes a purchase of
22cigarette stamps on or after July 1, 2019 or on the first due
23date of a return under this Act occurring on or after July 1,
242019, whichever occurs first. Those distributors may elect to
25pay the additional tax on packages of cigarettes to which
26stamps have been affixed and on any stamps in the distributor's

HB5561- 227 -LRB101 17547 JWD 66965 b
1possession that have not been affixed to packages of cigarettes
2in their possession on July 1, 2019 over a period not to exceed
312 months from the due date of the additional tax by notifying
4the Department in writing. The first payment for distributors
5making such election is due when the distributor first makes a
6purchase of cigarette tax stamps on or after July 1, 2019 or on
7the first due date of a return under this Act occurring on or
8after July 1, 2019, whichever occurs first. Distributors making
9such an election are not entitled to take the discount provided
10in Section 3 on such payments.
11 Any distributor having cigarettes to which stamps have been
12affixed in his possession for sale on the effective date of
13this amendatory Act of 1989 shall not be required to pay the
14additional tax imposed by this amendatory Act of 1989 on such
15stamped cigarettes. Any distributor having cigarettes to which
16stamps have been affixed in his or her possession for sale at
1712:01 a.m. on the effective date of this amendatory Act of
181993, is required to pay the additional tax imposed by this
19amendatory Act of 1993 on such stamped cigarettes. This payment
20shall be due when the distributor first makes a purchase of
21cigarette tax stamps after the effective date of this
22amendatory Act of 1993, or on the first due date of a return
23under this Act after the effective date of this amendatory Act
24of 1993, whichever occurs first. Once a distributor tenders
25payment of the additional tax to the Department, the
26distributor may purchase stamps from the Department. Any

HB5561- 228 -LRB101 17547 JWD 66965 b
1distributor having cigarettes to which stamps have been affixed
2in his possession for sale on December 15, 1997 shall not be
3required to pay the additional tax imposed by this amendatory
4Act of 1997 on such stamped cigarettes.
5 Any distributor having cigarettes to which stamps have been
6affixed in his or her possession for sale on July 1, 2002 shall
7not be required to pay the additional tax imposed by this
8amendatory Act of the 92nd General Assembly on those stamped
9cigarettes.
10 Any retailer having cigarettes in his or her possession on
11June 24, 2012 to which tax stamps have been affixed is not
12required to pay the additional tax that begins on June 24, 2012
13imposed by this amendatory Act of the 97th General Assembly on
14those stamped cigarettes. Any distributor having cigarettes in
15his or her possession on June 24, 2012 to which tax stamps have
16been affixed, and any distributor having stamps in his or her
17possession on June 24, 2012 that have not been affixed to
18packages of cigarettes before June 24, 2012, is required to pay
19the additional tax that begins on June 24, 2012 imposed by this
20amendatory Act of the 97th General Assembly to the extent the
21calendar year 2012 average monthly volume of cigarette stamps
22in the distributor's possession exceeds the average monthly
23volume of cigarette stamps purchased by the distributor in
24calendar year 2011. This payment, less the discount provided in
25Section 3, is due when the distributor first makes a purchase
26of cigarette stamps on or after June 24, 2012 or on the first

HB5561- 229 -LRB101 17547 JWD 66965 b
1due date of a return under this Act occurring on or after June
224, 2012, whichever occurs first. Those distributors may elect
3to pay the additional tax on packages of cigarettes to which
4stamps have been affixed and on any stamps in the distributor's
5possession that have not been affixed to packages of cigarettes
6over a period not to exceed 12 months from the due date of the
7additional tax by notifying the Department in writing. The
8first payment for distributors making such election is due when
9the distributor first makes a purchase of cigarette tax stamps
10on or after June 24, 2012 or on the first due date of a return
11under this Act occurring on or after June 24, 2012, whichever
12occurs first. Distributors making such an election are not
13entitled to take the discount provided in Section 3 on such
14payments.
15(Source: P.A. 101-31, eff. 6-28-19.)
16 (35 ILCS 135/35) (from Ch. 120, par. 453.65)
17 Sec. 35. Distribution of receipts. All moneys received by
18the Department under this Act shall be distributed as provided
19in subsection (a) of Section 2 of the Cigarette Tax Act.
20(Source: P.A. 101-31, eff. 6-28-19.)
21 Section 10-65. The Tobacco Products Tax Act of 1995 is
22amended by changing Sections 10-5 and 10-10 as follows:
23 (35 ILCS 143/10-5)

HB5561- 230 -LRB101 17547 JWD 66965 b
1 Sec. 10-5. Definitions. For purposes of this Act:
2 "Business" means any trade, occupation, activity, or
3enterprise engaged in, at any location whatsoever, for the
4purpose of selling tobacco products.
5 "Cigarette" has the meaning ascribed to the term in Section
61 of the Cigarette Tax Act.
7 "Contraband little cigar" means:
8 (1) packages of little cigars containing 20 or 25
9 little cigars that do not bear a required tax stamp under
10 this Act;
11 (2) packages of little cigars containing 20 or 25
12 little cigars that bear a fraudulent, imitation, or
13 counterfeit tax stamp;
14 (3) packages of little cigars containing 20 or 25
15 little cigars that are improperly tax stamped, including
16 packages of little cigars that bear only a tax stamp of
17 another state or taxing jurisdiction; or
18 (4) packages of little cigars containing other than 20
19 or 25 little cigars in the possession of a distributor,
20 retailer or wholesaler, unless the distributor, retailer,
21 or wholesaler possesses, or produces within the time frame
22 provided in Section 10-27 or 10-28 of this Act, an invoice
23 from a stamping distributor, distributor, or wholesaler
24 showing that the tax on the packages has been or will be
25 paid.
26 "Correctional Industries program" means a program run by a

HB5561- 231 -LRB101 17547 JWD 66965 b
1State penal institution in which residents of the penal
2institution produce tobacco products for sale to persons
3incarcerated in penal institutions or resident patients of a
4State operated mental health facility.
5 "Department" means the Illinois Department of Revenue.
6 "Distributor" means any of the following:
7 (1) Any manufacturer or wholesaler in this State
8 engaged in the business of selling tobacco products who
9 sells, exchanges, or distributes tobacco products to
10 retailers or consumers in this State.
11 (2) Any manufacturer or wholesaler engaged in the
12 business of selling tobacco products from without this
13 State who sells, exchanges, distributes, ships, or
14 transports tobacco products to retailers or consumers
15 located in this State, so long as that manufacturer or
16 wholesaler has or maintains within this State, directly or
17 by subsidiary, an office, sales house, or other place of
18 business, or any agent or other representative operating
19 within this State under the authority of the person or
20 subsidiary, irrespective of whether the place of business
21 or agent or other representative is located here
22 permanently or temporarily.
23 (3) Any retailer who receives tobacco products on which
24 the tax has not been or will not be paid by another
25 distributor.
26 "Distributor" does not include any person, wherever

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1resident or located, who makes, manufactures, or fabricates
2tobacco products as part of a Correctional Industries program
3for sale to residents incarcerated in penal institutions or
4resident patients of a State operated mental health facility.
5 "Electronic cigarette" means:
6 (1) any device that employs a battery or other
7 mechanism to heat a solution or substance to produce a
8 vapor or aerosol intended for inhalation;
9 (2) any cartridge or container of a solution or
10 substance intended to be used with or in the device or to
11 refill the device; or
12 (3) any solution or substance, whether or not it
13 contains nicotine, intended for use in the device.
14 "Electronic cigarette" includes, but is not limited to, any
15electronic nicotine delivery system, electronic cigar,
16electronic cigarillo, electronic pipe, electronic hookah, vape
17pen, or similar product or device, and any component or part
18that can be used to build the product or device. "Electronic
19cigarette" does not include: cigarettes, as defined in Section
201 of the Cigarette Tax Act; any product approved by the United
21States Food and Drug Administration for sale as a tobacco
22cessation product, a tobacco dependence product, or for other
23medical purposes that is marketed and sold solely for that
24approved purpose; any asthma inhaler prescribed by a physician
25for that condition that is marketed and sold solely for that
26approved purpose; or any therapeutic product approved for use

HB5561- 233 -LRB101 17547 JWD 66965 b
1under the Compassionate Use of Medical Cannabis Program Act.
2 "Little cigar" means and includes any roll, made wholly or
3in part of tobacco, where such roll has an integrated cellulose
4acetate filter and weighs less than 4 pounds per thousand and
5the wrapper or cover of which is made in whole or in part of
6tobacco.
7 "Manufacturer" means any person, wherever resident or
8located, who manufactures and sells tobacco products, except a
9person who makes, manufactures, or fabricates tobacco products
10as a part of a Correctional Industries program for sale to
11persons incarcerated in penal institutions or resident
12patients of a State operated mental health facility.
13 Beginning on January 1, 2013, "moist snuff" means any
14finely cut, ground, or powdered tobacco that is not intended to
15be smoked, but shall not include any finely cut, ground, or
16powdered tobacco that is intended to be placed in the nasal
17cavity.
18 "Person" means any natural individual, firm, partnership,
19association, joint stock company, joint venture, limited
20liability company, or public or private corporation, however
21formed, or a receiver, executor, administrator, trustee,
22conservator, or other representative appointed by order of any
23court.
24 "Place of business" means and includes any place where
25tobacco products are sold or where tobacco products are
26manufactured, stored, or kept for the purpose of sale or

HB5561- 234 -LRB101 17547 JWD 66965 b
1consumption, including any vessel, vehicle, airplane, train,
2or vending machine.
3 "Retailer" means any person in this State engaged in the
4business of selling tobacco products to consumers in this
5State, regardless of quantity or number of sales.
6 "Sale" means any transfer, exchange, or barter in any
7manner or by any means whatsoever for a consideration and
8includes all sales made by persons.
9 "Stamp" or "stamps" mean the indicia required to be affixed
10on a package of little cigars that evidence payment of the tax
11on packages of little cigars containing 20 or 25 little cigars
12under Section 10-10 of this Act. These stamps shall be the same
13stamps used for cigarettes under the Cigarette Tax Act.
14 "Stamping distributor" means a distributor licensed under
15this Act and also licensed as a distributor under the Cigarette
16Tax Act or Cigarette Use Tax Act.
17 "Tobacco products" means any cigars, including little
18cigars; cheroots; stogies; periques; granulated, plug cut,
19crimp cut, ready rubbed, and other smoking tobacco; snuff
20(including moist snuff) or snuff flour; cavendish; plug and
21twist tobacco; fine-cut and other chewing tobaccos; shorts;
22refuse scraps, clippings, cuttings, and sweeping of tobacco;
23and other kinds and forms of tobacco, prepared in such manner
24as to be suitable for chewing or smoking in a pipe or
25otherwise, or both for chewing and smoking; but does not
26include cigarettes as defined in Section 1 of the Cigarette Tax

HB5561- 235 -LRB101 17547 JWD 66965 b
1Act or tobacco purchased for the manufacture of cigarettes by
2cigarette distributors and manufacturers defined in the
3Cigarette Tax Act and persons who make, manufacture, or
4fabricate cigarettes as a part of a Correctional Industries
5program for sale to residents incarcerated in penal
6institutions or resident patients of a State operated mental
7health facility.
8 Beginning on July 1, 2019, "tobacco products" also includes
9electronic cigarettes.
10 "Wholesale price" means the established list price for
11which a manufacturer sells tobacco products to a distributor,
12before the allowance of any discount, trade allowance, rebate,
13or other reduction. In the absence of such an established list
14price, the manufacturer's invoice price at which the
15manufacturer sells the tobacco product to unaffiliated
16distributors, before any discounts, trade allowances, rebates,
17or other reductions, shall be presumed to be the wholesale
18price.
19 "Wholesaler" means any person, wherever resident or
20located, engaged in the business of selling tobacco products to
21others for the purpose of resale. "Wholesaler", when used in
22this Act, does not include a person licensed as a distributor
23under Section 10-20 of this Act unless expressly stated in this
24Act.
25(Source: P.A. 101-31, eff. 6-28-19; 101-593, eff. 12-4-19.)

HB5561- 236 -LRB101 17547 JWD 66965 b
1 (35 ILCS 143/10-10)
2 Sec. 10-10. Tax imposed.
3 (a) Except as otherwise provided in this Section with
4respect to little cigars, on the first day of the third month
5after the month in which this Act becomes law, a tax is imposed
6on any person engaged in business as a distributor of tobacco
7products, as defined in Section 10-5, at the rate of (i) 18% of
8the wholesale price of tobacco products sold or otherwise
9disposed of to retailers or consumers located in this State
10prior to July 1, 2012 and (ii) 36% of the wholesale price of
11tobacco products sold or otherwise disposed of to retailers or
12consumers located in this State beginning on July 1, 2012;
13except that, beginning on January 1, 2013, the tax on moist
14snuff shall be imposed at a rate of $0.30 per ounce, and a
15proportionate tax at the like rate on all fractional parts of
16an ounce, sold or otherwise disposed of to retailers or
17consumers located in this State; and except that, beginning
18July 1, 2019, the tax on electronic cigarettes shall be imposed
19at the rate of 15% of the wholesale price of electronic
20cigarettes sold or otherwise disposed of to retailers or
21consumers located in this State. The tax is in addition to all
22other occupation or privilege taxes imposed by the State of
23Illinois, by any political subdivision thereof, or by any
24municipal corporation. However, the tax is not imposed upon any
25activity in that business in interstate commerce or otherwise,
26to the extent to which that activity may not, under the

HB5561- 237 -LRB101 17547 JWD 66965 b
1Constitution and Statutes of the United States, be made the
2subject of taxation by this State, and except that, beginning
3July 1, 2013, the tax on little cigars shall be imposed at the
4same rate, and the proceeds shall be distributed in the same
5manner, as the tax imposed on cigarettes under the Cigarette
6Tax Act. The tax is also not imposed on sales made to the
7United States or any entity thereof.
8 (b) Notwithstanding subsection (a) of this Section,
9stamping distributors of packages of little cigars containing
1020 or 25 little cigars sold or otherwise disposed of in this
11State shall remit the tax by purchasing tax stamps from the
12Department and affixing them to packages of little cigars in
13the same manner as stamps are purchased and affixed to
14cigarettes under the Cigarette Tax Act, unless the stamping
15distributor sells or otherwise disposes of those packages of
16little cigars to another stamping distributor. Only persons
17meeting the definition of "stamping distributor" contained in
18Section 10-5 of this Act may affix stamps to packages of little
19cigars containing 20 or 25 little cigars. Stamping distributors
20may not sell or dispose of little cigars at retail to consumers
21or users at locations where stamping distributors affix stamps
22to packages of little cigars containing 20 or 25 little cigars.
23 (c) The impact of the tax levied by this Act is imposed
24upon distributors engaged in the business of selling tobacco
25products to retailers or consumers in this State. Whenever a
26stamping distributor brings or causes to be brought into this

HB5561- 238 -LRB101 17547 JWD 66965 b
1State from without this State, or purchases from without or
2within this State, any packages of little cigars containing 20
3or 25 little cigars upon which there are no tax stamps affixed
4as required by this Act, for purposes of resale or disposal in
5this State to a person not a stamping distributor, then such
6stamping distributor shall pay the tax to the Department and
7add the amount of the tax to the price of such packages sold by
8such stamping distributor. Payment of the tax shall be
9evidenced by a stamp or stamps affixed to each package of
10little cigars containing 20 or 25 little cigars.
11 Stamping distributors paying the tax to the Department on
12packages of little cigars containing 20 or 25 little cigars
13sold to other distributors, wholesalers or retailers shall add
14the amount of the tax to the price of the packages of little
15cigars containing 20 or 25 little cigars sold by such stamping
16distributors.
17 (d) Beginning on January 1, 2013, the tax rate imposed per
18ounce of moist snuff may not exceed 15% of the tax imposed upon
19a package of 20 cigarettes pursuant to the Cigarette Tax Act.
20 (e) All moneys received by the Department under this Act
21from sales occurring prior to July 1, 2012 shall be paid into
22the Long-Term Care Provider Fund of the State Treasury. Of the
23moneys received by the Department from sales occurring on or
24after July 1, 2012, except for moneys received from the tax
25imposed on the sale of little cigars, 50% shall be paid into
26the Long-Term Care Provider Fund and 50% shall be paid into the

HB5561- 239 -LRB101 17547 JWD 66965 b
1Healthcare Provider Relief Fund. Beginning July 1, 2013, all
2moneys received by the Department under this Act from the tax
3imposed on little cigars shall be distributed as provided in
4subsection (a) of Section 2 of the Cigarette Tax Act.
5(Source: P.A. 101-31, eff. 6-28-19.)
6 Section 10-75. The Motor Vehicle Retail Installment Sales
7Act is amended by changing Section 11.1 as follows:
8 (815 ILCS 375/11.1) (from Ch. 121 1/2, par. 571.1)
9 Sec. 11.1.
10 (a) A seller in a retail installment contract may add a
11"documentary fee" for processing documents and performing
12services related to closing of a sale. The maximum amount that
13may be charged by a seller for a documentary fee is the base
14documentary fee beginning January 1, 2008 until January 1,
152020, of $150, which shall be subject to an annual rate
16adjustment equal to the percentage of change in the Bureau of
17Labor Statistics Consumer Price Index. Every retail
18installment contract under this Act shall contain or be
19accompanied by a notice containing the following information:
20 "DOCUMENTARY FEE. A DOCUMENTARY FEE IS NOT AN OFFICIAL FEE.
21A DOCUMENTARY FEE IS NOT REQUIRED BY LAW, BUT MAY BE CHARGED TO
22BUYERS FOR HANDLING DOCUMENTS AND PERFORMING SERVICES RELATED
23TO CLOSING OF A SALE. THE BASE DOCUMENTARY FEE BEGINNING
24JANUARY 1, 2008, WAS $150. THE MAXIMUM AMOUNT THAT MAY BE

HB5561- 240 -LRB101 17547 JWD 66965 b
1CHARGED FOR A DOCUMENTARY FEE IS THE BASE DOCUMENTARY FEE OF
2$150, WHICH SHALL BE SUBJECT TO AN ANNUAL RATE ADJUSTMENT EQUAL
3TO THE PERCENTAGE OF CHANGE IN THE BUREAU OF LABOR STATISTICS
4CONSUMER PRICE INDEX. THIS NOTICE IS REQUIRED BY LAW."
5 (b) A seller in a retail installment contract may add a
6"documentary fee" for processing documents and performing
7services related to closing of a sale. The maximum amount that
8may be charged by a seller for a documentary fee is the base
9documentary fee beginning January 1, 2020, of $300, which shall
10be subject to an annual rate adjustment equal to the percentage
11of change in the Bureau of Labor Statistics Consumer Price
12Index. Every retail installment contract under this Act shall
13contain or be accompanied by a notice containing the following
14information:
15 "DOCUMENTARY FEE. A DOCUMENTARY FEE IS NOT AN OFFICIAL FEE.
16A DOCUMENTARY FEE IS NOT REQUIRED BY LAW, BUT MAY BE CHARGED TO
17BUYERS FOR HANDLING DOCUMENTS AND PERFORMING SERVICES RELATED
18TO CLOSING OF A SALE. THE BASE DOCUMENTARY FEE BEGINNING
19JANUARY 1, 2020, WAS $300. THE MAXIMUM AMOUNT THAT MAY BE
20CHARGED FOR A DOCUMENTARY FEE IS THE BASE DOCUMENTARY FEE OF
21$300, WHICH SHALL BE SUBJECT TO AN ANNUAL RATE ADJUSTMENT EQUAL
22TO THE PERCENTAGE OF CHANGE IN THE BUREAU OF LABOR STATISTICS
23CONSUMER PRICE INDEX. THIS NOTICE IS REQUIRED BY LAW."
24(Source: P.A. 101-31, eff. 6-28-19.)
25 (30 ILCS 559/Act rep.)

HB5561- 241 -LRB101 17547 JWD 66965 b
1 Section 10-100. The Illinois Works Jobs Program Act is
2repealed.
3 (30 ILCS 105/5.895 rep.)
4 Section 10-120. The State Finance Act is amended by
5repealing Section 5.895, as added by Public Act 101-31.
6 Section 10-125. The Illinois Procurement Code is amended by
7changing Section 20-10 as follows:
8 (30 ILCS 500/20-10)
9 (Text of Section from P.A. 96-159, 96-588, 97-96, 97-895,
1098-1076, 99-906 and 100-43)
11 Sec. 20-10. Competitive sealed bidding; reverse auction.
12 (a) Conditions for use. All contracts shall be awarded by
13competitive sealed bidding except as otherwise provided in
14Section 20-5.
15 (b) Invitation for bids. An invitation for bids shall be
16issued and shall include a purchase description and the
17material contractual terms and conditions applicable to the
18procurement.
19 (c) Public notice. Public notice of the invitation for bids
20shall be published in the Illinois Procurement Bulletin at
21least 14 calendar days before the date set in the invitation
22for the opening of bids.
23 (d) Bid opening. Bids shall be opened publicly or through

HB5561- 242 -LRB101 17547 JWD 66965 b
1an electronic procurement system in the presence of one or more
2witnesses at the time and place designated in the invitation
3for bids. The name of each bidder, including earned and applied
4bid credit from the Illinois Works Jobs Program Act, the amount
5of each bid, and other relevant information as may be specified
6by rule shall be recorded. After the award of the contract, the
7winning bid and the record of each unsuccessful bid shall be
8open to public inspection.
9 (e) Bid acceptance and bid evaluation. Bids shall be
10unconditionally accepted without alteration or correction,
11except as authorized in this Code. Bids shall be evaluated
12based on the requirements set forth in the invitation for bids,
13which may include criteria to determine acceptability such as
14inspection, testing, quality, workmanship, delivery, and
15suitability for a particular purpose. Those criteria that will
16affect the bid price and be considered in evaluation for award,
17such as discounts, transportation costs, and total or life
18cycle costs, shall be objectively measurable. The invitation
19for bids shall set forth the evaluation criteria to be used.
20 (f) Correction or withdrawal of bids. Correction or
21withdrawal of inadvertently erroneous bids before or after
22award, or cancellation of awards of contracts based on bid
23mistakes, shall be permitted in accordance with rules. After
24bid opening, no changes in bid prices or other provisions of
25bids prejudicial to the interest of the State or fair
26competition shall be permitted. All decisions to permit the

HB5561- 243 -LRB101 17547 JWD 66965 b
1correction or withdrawal of bids based on bid mistakes shall be
2supported by written determination made by a State purchasing
3officer.
4 (g) Award. The contract shall be awarded with reasonable
5promptness by written notice to the lowest responsible and
6responsive bidder whose bid meets the requirements and criteria
7set forth in the invitation for bids, except when a State
8purchasing officer determines it is not in the best interest of
9the State and by written explanation determines another bidder
10shall receive the award. The explanation shall appear in the
11appropriate volume of the Illinois Procurement Bulletin. The
12written explanation must include:
13 (1) a description of the agency's needs;
14 (2) a determination that the anticipated cost will be
15 fair and reasonable;
16 (3) a listing of all responsible and responsive
17 bidders; and
18 (4) the name of the bidder selected, the total contract
19 price, and the reasons for selecting that bidder.
20 Each chief procurement officer may adopt guidelines to
21implement the requirements of this subsection (g).
22 The written explanation shall be filed with the Legislative
23Audit Commission and the Procurement Policy Board, and be made
24available for inspection by the public, within 30 calendar days
25after the agency's decision to award the contract.
26 (h) Multi-step sealed bidding. When it is considered

HB5561- 244 -LRB101 17547 JWD 66965 b
1impracticable to initially prepare a purchase description to
2support an award based on price, an invitation for bids may be
3issued requesting the submission of unpriced offers to be
4followed by an invitation for bids limited to those bidders
5whose offers have been qualified under the criteria set forth
6in the first solicitation.
7 (i) Alternative procedures. Notwithstanding any other
8provision of this Act to the contrary, the Director of the
9Illinois Power Agency may create alternative bidding
10procedures to be used in procuring professional services under
11Section 1-56, subsections (a) and (c) of Section 1-75 and
12subsection (d) of Section 1-78 of the Illinois Power Agency Act
13and Section 16-111.5(c) of the Public Utilities Act and to
14procure renewable energy resources under Section 1-56 of the
15Illinois Power Agency Act. These alternative procedures shall
16be set forth together with the other criteria contained in the
17invitation for bids, and shall appear in the appropriate volume
18of the Illinois Procurement Bulletin.
19 (j) Reverse auction. Notwithstanding any other provision
20of this Section and in accordance with rules adopted by the
21chief procurement officer, that chief procurement officer may
22procure supplies or services through a competitive electronic
23auction bidding process after the chief procurement officer
24determines that the use of such a process will be in the best
25interest of the State. The chief procurement officer shall
26publish that determination in his or her next volume of the

HB5561- 245 -LRB101 17547 JWD 66965 b
1Illinois Procurement Bulletin.
2 An invitation for bids shall be issued and shall include
3(i) a procurement description, (ii) all contractual terms,
4whenever practical, and (iii) conditions applicable to the
5procurement, including a notice that bids will be received in
6an electronic auction manner.
7 Public notice of the invitation for bids shall be given in
8the same manner as provided in subsection (c).
9 Bids shall be accepted electronically at the time and in
10the manner designated in the invitation for bids. During the
11auction, a bidder's price shall be disclosed to other bidders.
12Bidders shall have the opportunity to reduce their bid prices
13during the auction. At the conclusion of the auction, the
14record of the bid prices received and the name of each bidder
15shall be open to public inspection.
16 After the auction period has terminated, withdrawal of bids
17shall be permitted as provided in subsection (f).
18 The contract shall be awarded within 60 calendar days after
19the auction by written notice to the lowest responsible bidder,
20or all bids shall be rejected except as otherwise provided in
21this Code. Extensions of the date for the award may be made by
22mutual written consent of the State purchasing officer and the
23lowest responsible bidder.
24 This subsection does not apply to (i) procurements of
25professional and artistic services, (ii) telecommunications
26services, communication services, and information services,

HB5561- 246 -LRB101 17547 JWD 66965 b
1and (iii) contracts for construction projects, including
2design professional services.
3(Source: P.A. 99-906, eff. 6-1-17; 100-43, eff. 8-9-17; 101-31,
4eff. 6-28-19.)
5 (Text of Section from P.A. 96-159, 96-795, 97-96, 97-895,
698-1076, 99-906, and 100-43)
7 Sec. 20-10. Competitive sealed bidding; reverse auction.
8 (a) Conditions for use. All contracts shall be awarded by
9competitive sealed bidding except as otherwise provided in
10Section 20-5.
11 (b) Invitation for bids. An invitation for bids shall be
12issued and shall include a purchase description and the
13material contractual terms and conditions applicable to the
14procurement.
15 (c) Public notice. Public notice of the invitation for bids
16shall be published in the Illinois Procurement Bulletin at
17least 14 calendar days before the date set in the invitation
18for the opening of bids.
19 (d) Bid opening. Bids shall be opened publicly or through
20an electronic procurement system in the presence of one or more
21witnesses at the time and place designated in the invitation
22for bids. The name of each bidder, including earned and applied
23bid credit from the Illinois Works Jobs Program Act, the amount
24of each bid, and other relevant information as may be specified
25by rule shall be recorded. After the award of the contract, the

HB5561- 247 -LRB101 17547 JWD 66965 b
1winning bid and the record of each unsuccessful bid shall be
2open to public inspection.
3 (e) Bid acceptance and bid evaluation. Bids shall be
4unconditionally accepted without alteration or correction,
5except as authorized in this Code. Bids shall be evaluated
6based on the requirements set forth in the invitation for bids,
7which may include criteria to determine acceptability such as
8inspection, testing, quality, workmanship, delivery, and
9suitability for a particular purpose. Those criteria that will
10affect the bid price and be considered in evaluation for award,
11such as discounts, transportation costs, and total or life
12cycle costs, shall be objectively measurable. The invitation
13for bids shall set forth the evaluation criteria to be used.
14 (f) Correction or withdrawal of bids. Correction or
15withdrawal of inadvertently erroneous bids before or after
16award, or cancellation of awards of contracts based on bid
17mistakes, shall be permitted in accordance with rules. After
18bid opening, no changes in bid prices or other provisions of
19bids prejudicial to the interest of the State or fair
20competition shall be permitted. All decisions to permit the
21correction or withdrawal of bids based on bid mistakes shall be
22supported by written determination made by a State purchasing
23officer.
24 (g) Award. The contract shall be awarded with reasonable
25promptness by written notice to the lowest responsible and
26responsive bidder whose bid meets the requirements and criteria

HB5561- 248 -LRB101 17547 JWD 66965 b
1set forth in the invitation for bids, except when a State
2purchasing officer determines it is not in the best interest of
3the State and by written explanation determines another bidder
4shall receive the award. The explanation shall appear in the
5appropriate volume of the Illinois Procurement Bulletin. The
6written explanation must include:
7 (1) a description of the agency's needs;
8 (2) a determination that the anticipated cost will be
9 fair and reasonable;
10 (3) a listing of all responsible and responsive
11 bidders; and
12 (4) the name of the bidder selected, the total contract
13 price, and the reasons for selecting that bidder.
14 Each chief procurement officer may adopt guidelines to
15implement the requirements of this subsection (g).
16 The written explanation shall be filed with the Legislative
17Audit Commission and the Procurement Policy Board, and be made
18available for inspection by the public, within 30 days after
19the agency's decision to award the contract.
20 (h) Multi-step sealed bidding. When it is considered
21impracticable to initially prepare a purchase description to
22support an award based on price, an invitation for bids may be
23issued requesting the submission of unpriced offers to be
24followed by an invitation for bids limited to those bidders
25whose offers have been qualified under the criteria set forth
26in the first solicitation.

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1 (i) Alternative procedures. Notwithstanding any other
2provision of this Act to the contrary, the Director of the
3Illinois Power Agency may create alternative bidding
4procedures to be used in procuring professional services under
5subsections (a) and (c) of Section 1-75 and subsection (d) of
6Section 1-78 of the Illinois Power Agency Act and Section
716-111.5(c) of the Public Utilities Act and to procure
8renewable energy resources under Section 1-56 of the Illinois
9Power Agency Act. These alternative procedures shall be set
10forth together with the other criteria contained in the
11invitation for bids, and shall appear in the appropriate volume
12of the Illinois Procurement Bulletin.
13 (j) Reverse auction. Notwithstanding any other provision
14of this Section and in accordance with rules adopted by the
15chief procurement officer, that chief procurement officer may
16procure supplies or services through a competitive electronic
17auction bidding process after the chief procurement officer
18determines that the use of such a process will be in the best
19interest of the State. The chief procurement officer shall
20publish that determination in his or her next volume of the
21Illinois Procurement Bulletin.
22 An invitation for bids shall be issued and shall include
23(i) a procurement description, (ii) all contractual terms,
24whenever practical, and (iii) conditions applicable to the
25procurement, including a notice that bids will be received in
26an electronic auction manner.

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1 Public notice of the invitation for bids shall be given in
2the same manner as provided in subsection (c).
3 Bids shall be accepted electronically at the time and in
4the manner designated in the invitation for bids. During the
5auction, a bidder's price shall be disclosed to other bidders.
6Bidders shall have the opportunity to reduce their bid prices
7during the auction. At the conclusion of the auction, the
8record of the bid prices received and the name of each bidder
9shall be open to public inspection.
10 After the auction period has terminated, withdrawal of bids
11shall be permitted as provided in subsection (f).
12 The contract shall be awarded within 60 calendar days after
13the auction by written notice to the lowest responsible bidder,
14or all bids shall be rejected except as otherwise provided in
15this Code. Extensions of the date for the award may be made by
16mutual written consent of the State purchasing officer and the
17lowest responsible bidder.
18 This subsection does not apply to (i) procurements of
19professional and artistic services, (ii) telecommunications
20services, communication services, and information services,
21and (iii) contracts for construction projects, including
22design professional services.
23(Source: P.A. 99-906, eff. 6-1-17; 100-43, eff. 8-9-17; 101-31,
24eff. 6-28-19.)
25 Section 10-130. The Prevailing Wage Act is amended by

HB5561- 251 -LRB101 17547 JWD 66965 b
1changing Section 5 as follows:
2 (820 ILCS 130/5) (from Ch. 48, par. 39s-5)
3 Sec. 5. Certified payroll.
4 (a) Any contractor and each subcontractor who participates
5in public works shall:
6 (1) make and keep, for a period of not less than 3
7 years from the date of the last payment made before January
8 1, 2014 (the effective date of Public Act 98-328) and for a
9 period of 5 years from the date of the last payment made on
10 or after January 1, 2014 (the effective date of Public Act
11 98-328) on a contract or subcontract for public works,
12 records of all laborers, mechanics, and other workers
13 employed by them on the project; the records shall include
14 (i) the worker's name, (ii) the worker's address, (iii) the
15 worker's telephone number when available, (iv) the last 4
16 digits of the worker's social security number, (v) the
17 worker's gender, (vi) the worker's race, (vii) the worker's
18 ethnicity, (viii) veteran status, (ix) the worker's
19 classification or classifications, (x) the worker's skill
20 level, such as apprentice or journeyman, (xi) (x) the
21 worker's gross and net wages paid in each pay period, (xii)
22 (xi) the worker's number of hours worked each day, (xiii)
23 (xii) the worker's starting and ending times of work each
24 day, (xiv) (xiii) the worker's hourly wage rate, (xv) (xiv)
25 the worker's hourly overtime wage rate, (xvi) (xv) the

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1 worker's hourly fringe benefit rates, (xvii) (xvi) the name
2 and address of each fringe benefit fund, (xviii) (xvii) the
3 plan sponsor of each fringe benefit, if applicable, and
4 (xix) (xviii) the plan administrator of each fringe
5 benefit, if applicable; and
6 (2) no later than the 15th day of each calendar month
7 file a certified payroll for the immediately preceding
8 month with the public body in charge of the project until
9 the Department of Labor activates the database created
10 under Section 5.1 at which time certified payroll shall
11 only be submitted to that database, except for projects
12 done by State agencies that opt to have contractors submit
13 certified payrolls directly to that State agency. A State
14 agency that opts to directly receive certified payrolls
15 must submit the required information in a specified
16 electronic format to the Department of Labor no later than
17 10 days after the certified payroll was filed with the
18 State agency. A certified payroll must be filed for only
19 those calendar months during which construction on a public
20 works project has occurred. The certified payroll shall
21 consist of a complete copy of the records identified in
22 paragraph (1) of this subsection (a), but may exclude the
23 starting and ending times of work each day. The certified
24 payroll shall be accompanied by a statement signed by the
25 contractor or subcontractor or an officer, employee, or
26 agent of the contractor or subcontractor which avers that:

HB5561- 253 -LRB101 17547 JWD 66965 b
1 (i) he or she has examined the certified payroll records
2 required to be submitted by the Act and such records are
3 true and accurate; (ii) the hourly rate paid to each worker
4 is not less than the general prevailing rate of hourly
5 wages required by this Act; and (iii) the contractor or
6 subcontractor is aware that filing a certified payroll that
7 he or she knows to be false is a Class A misdemeanor. A
8 general contractor is not prohibited from relying on the
9 certification of a lower tier subcontractor, provided the
10 general contractor does not knowingly rely upon a
11 subcontractor's false certification. Any contractor or
12 subcontractor subject to this Act and any officer,
13 employee, or agent of such contractor or subcontractor
14 whose duty as such officer, employee, or agent it is to
15 file such certified payroll who willfully fails to file
16 such a certified payroll on or before the date such
17 certified payroll is required by this paragraph to be filed
18 and any person who willfully files a false certified
19 payroll that is false as to any material fact is in
20 violation of this Act and guilty of a Class A misdemeanor.
21 The public body in charge of the project shall keep the
22 records submitted in accordance with this paragraph (2) of
23 subsection (a) before January 1, 2014 (the effective date
24 of Public Act 98-328) for a period of not less than 3
25 years, and the records submitted in accordance with this
26 paragraph (2) of subsection (a) on or after January 1, 2014

HB5561- 254 -LRB101 17547 JWD 66965 b
1 (the effective date of Public Act 98-328) for a period of 5
2 years, from the date of the last payment for work on a
3 contract or subcontract for public works or until the
4 Department of Labor activates the database created under
5 Section 5.1, whichever is less. After the activation of the
6 database created under Section 5.1, the Department of Labor
7 rather than the public body in charge of the project shall
8 keep the records and maintain the database. The records
9 submitted in accordance with this paragraph (2) of
10 subsection (a) shall be considered public records, except
11 an employee's address, telephone number, social security
12 number, race, ethnicity, and gender, and made available in
13 accordance with the Freedom of Information Act. The public
14 body shall accept any reasonable submissions by the
15 contractor that meet the requirements of this Section.
16 A contractor, subcontractor, or public body may retain
17records required under this Section in paper or electronic
18format.
19 (b) Upon 7 business days' notice, the contractor and each
20subcontractor shall make available for inspection and copying
21at a location within this State during reasonable hours, the
22records identified in paragraph (1) of subsection (a) of this
23Section to the public body in charge of the project, its
24officers and agents, the Director of Labor and his deputies and
25agents, and to federal, State, or local law enforcement
26agencies and prosecutors.

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1 (c) A contractor or subcontractor who remits contributions
2to fringe benefit funds that are jointly maintained and jointly
3governed by one or more employers and one or more labor
4organizations in accordance with the federal Labor Management
5Relations Act shall make and keep certified payroll records
6that include the information required under items (i) through
7(viii) of paragraph (1) of subsection (a) only. However, the
8information required under items (ix) through (xv) (xiv) of
9paragraph (1) of subsection (a) shall be required for any
10contractor or subcontractor who remits contributions to a
11fringe benefit fund that is not jointly maintained and jointly
12governed by one or more employers and one or more labor
13organizations in accordance with the federal Labor Management
14Relations Act.
15(Source: P.A. 101-31, eff. 6-28-19.)
16 (230 ILCS 45/Act rep.)
17 Section 10-200. The Sports Wagering Act is repealed.
18 (30 ILCS 105/5.896 rep.)
19 Section 10-210. The State Finance Act is amended by
20repealing Section 5.896, as added by Public Act 101-31.
21 Section 10-215. The Illinois Gambling Act is amended by
22changing Section 13 as follows:

HB5561- 256 -LRB101 17547 JWD 66965 b
1 (230 ILCS 10/13) (from Ch. 120, par. 2413)
2 Sec. 13. Wagering tax; rate; distribution.
3 (a) Until January 1, 1998, a tax is imposed on the adjusted
4gross receipts received from gambling games authorized under
5this Act at the rate of 20%.
6 (a-1) From January 1, 1998 until July 1, 2002, a privilege
7tax is imposed on persons engaged in the business of conducting
8riverboat gambling operations, based on the adjusted gross
9receipts received by a licensed owner from gambling games
10authorized under this Act at the following rates:
11 15% of annual adjusted gross receipts up to and
12 including $25,000,000;
13 20% of annual adjusted gross receipts in excess of
14 $25,000,000 but not exceeding $50,000,000;
15 25% of annual adjusted gross receipts in excess of
16 $50,000,000 but not exceeding $75,000,000;
17 30% of annual adjusted gross receipts in excess of
18 $75,000,000 but not exceeding $100,000,000;
19 35% of annual adjusted gross receipts in excess of
20 $100,000,000.
21 (a-2) From July 1, 2002 until July 1, 2003, a privilege tax
22is imposed on persons engaged in the business of conducting
23riverboat gambling operations, other than licensed managers
24conducting riverboat gambling operations on behalf of the
25State, based on the adjusted gross receipts received by a
26licensed owner from gambling games authorized under this Act at

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1the following rates:
2 15% of annual adjusted gross receipts up to and
3 including $25,000,000;
4 22.5% of annual adjusted gross receipts in excess of
5 $25,000,000 but not exceeding $50,000,000;
6 27.5% of annual adjusted gross receipts in excess of
7 $50,000,000 but not exceeding $75,000,000;
8 32.5% of annual adjusted gross receipts in excess of
9 $75,000,000 but not exceeding $100,000,000;
10 37.5% of annual adjusted gross receipts in excess of
11 $100,000,000 but not exceeding $150,000,000;
12 45% of annual adjusted gross receipts in excess of
13 $150,000,000 but not exceeding $200,000,000;
14 50% of annual adjusted gross receipts in excess of
15 $200,000,000.
16 (a-3) Beginning July 1, 2003, a privilege tax is imposed on
17persons engaged in the business of conducting riverboat
18gambling operations, other than licensed managers conducting
19riverboat gambling operations on behalf of the State, based on
20the adjusted gross receipts received by a licensed owner from
21gambling games authorized under this Act at the following
22rates:
23 15% of annual adjusted gross receipts up to and
24 including $25,000,000;
25 27.5% of annual adjusted gross receipts in excess of
26 $25,000,000 but not exceeding $37,500,000;

HB5561- 258 -LRB101 17547 JWD 66965 b
1 32.5% of annual adjusted gross receipts in excess of
2 $37,500,000 but not exceeding $50,000,000;
3 37.5% of annual adjusted gross receipts in excess of
4 $50,000,000 but not exceeding $75,000,000;
5 45% of annual adjusted gross receipts in excess of
6 $75,000,000 but not exceeding $100,000,000;
7 50% of annual adjusted gross receipts in excess of
8 $100,000,000 but not exceeding $250,000,000;
9 70% of annual adjusted gross receipts in excess of
10 $250,000,000.
11 An amount equal to the amount of wagering taxes collected
12under this subsection (a-3) that are in addition to the amount
13of wagering taxes that would have been collected if the
14wagering tax rates under subsection (a-2) were in effect shall
15be paid into the Common School Fund.
16 The privilege tax imposed under this subsection (a-3) shall
17no longer be imposed beginning on the earlier of (i) July 1,
182005; (ii) the first date after June 20, 2003 that riverboat
19gambling operations are conducted pursuant to a dormant
20license; or (iii) the first day that riverboat gambling
21operations are conducted under the authority of an owners
22license that is in addition to the 10 owners licenses initially
23authorized under this Act. For the purposes of this subsection
24(a-3), the term "dormant license" means an owners license that
25is authorized by this Act under which no riverboat gambling
26operations are being conducted on June 20, 2003.

HB5561- 259 -LRB101 17547 JWD 66965 b
1 (a-4) Beginning on the first day on which the tax imposed
2under subsection (a-3) is no longer imposed and ending upon the
3imposition of the privilege tax under subsection (a-5) of this
4Section, a privilege tax is imposed on persons engaged in the
5business of conducting gambling operations, other than
6licensed managers conducting riverboat gambling operations on
7behalf of the State, based on the adjusted gross receipts
8received by a licensed owner from gambling games authorized
9under this Act at the following rates:
10 15% of annual adjusted gross receipts up to and
11 including $25,000,000;
12 22.5% of annual adjusted gross receipts in excess of
13 $25,000,000 but not exceeding $50,000,000;
14 27.5% of annual adjusted gross receipts in excess of
15 $50,000,000 but not exceeding $75,000,000;
16 32.5% of annual adjusted gross receipts in excess of
17 $75,000,000 but not exceeding $100,000,000;
18 37.5% of annual adjusted gross receipts in excess of
19 $100,000,000 but not exceeding $150,000,000;
20 45% of annual adjusted gross receipts in excess of
21 $150,000,000 but not exceeding $200,000,000;
22 50% of annual adjusted gross receipts in excess of
23 $200,000,000.
24 For the imposition of the privilege tax in this subsection
25(a-4), amounts paid pursuant to item (1) of subsection (b) of
26Section 56 of the Illinois Horse Racing Act of 1975 shall not

HB5561- 260 -LRB101 17547 JWD 66965 b
1be included in the determination of adjusted gross receipts.
2 (a-5) Beginning on the first day that an owners licensee
3under paragraph (1), (2), (3), (4), (5), or (6) of subsection
4(e-5) of Section 7 conducts gambling operations, either in a
5temporary facility or a permanent facility, a privilege tax is
6imposed on persons engaged in the business of conducting
7gambling operations, other than licensed managers conducting
8riverboat gambling operations on behalf of the State, based on
9the adjusted gross receipts received by such licensee from the
10gambling games authorized under this Act. The privilege tax for
11all gambling games other than table games, including, but not
12limited to, slot machines, video game of chance gambling, and
13electronic gambling games shall be at the following rates:
14 15% of annual adjusted gross receipts up to and
15 including $25,000,000;
16 22.5% of annual adjusted gross receipts in excess of
17 $25,000,000 but not exceeding $50,000,000;
18 27.5% of annual adjusted gross receipts in excess of
19 $50,000,000 but not exceeding $75,000,000;
20 32.5% of annual adjusted gross receipts in excess of
21 $75,000,000 but not exceeding $100,000,000;
22 37.5% of annual adjusted gross receipts in excess of
23 $100,000,000 but not exceeding $150,000,000;
24 45% of annual adjusted gross receipts in excess of
25 $150,000,000 but not exceeding $200,000,000;
26 50% of annual adjusted gross receipts in excess of

HB5561- 261 -LRB101 17547 JWD 66965 b
1 $200,000,000.
2 The privilege tax for table games shall be at the following
3rates:
4 15% of annual adjusted gross receipts up to and
5 including $25,000,000;
6 20% of annual adjusted gross receipts in excess of
7 $25,000,000.
8 For the imposition of the privilege tax in this subsection
9(a-5), amounts paid pursuant to item (1) of subsection (b) of
10Section 56 of the Illinois Horse Racing Act of 1975 shall not
11be included in the determination of adjusted gross receipts.
12 Notwithstanding the provisions of this subsection (a-5),
13for the first 10 years that the privilege tax is imposed under
14this subsection (a-5), the privilege tax shall be imposed on
15the modified annual adjusted gross receipts of a riverboat or
16casino conducting gambling operations in the City of East St.
17Louis, unless:
18 (1) the riverboat or casino fails to employ at least
19 450 people;
20 (2) the riverboat or casino fails to maintain
21 operations in a manner consistent with this Act or is not a
22 viable riverboat or casino subject to the approval of the
23 Board; or
24 (3) the owners licensee is not an entity in which
25 employees participate in an employee stock ownership plan.
26 As used in this subsection (a-5), "modified annual adjusted

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1gross receipts" means:
2 (A) for calendar year 2020, the annual adjusted gross
3 receipts for the current year minus the difference between
4 an amount equal to the average annual adjusted gross
5 receipts from a riverboat or casino conducting gambling
6 operations in the City of East St. Louis for 2014, 2015,
7 2016, 2017, and 2018 and the annual adjusted gross receipts
8 for 2018;
9 (B) for calendar year 2021, the annual adjusted gross
10 receipts for the current year minus the difference between
11 an amount equal to the average annual adjusted gross
12 receipts from a riverboat or casino conducting gambling
13 operations in the City of East St. Louis for 2014, 2015,
14 2016, 2017, and 2018 and the annual adjusted gross receipts
15 for 2019; and
16 (C) for calendar years 2022 through 2029, the annual
17 adjusted gross receipts for the current year minus the
18 difference between an amount equal to the average annual
19 adjusted gross receipts from a riverboat or casino
20 conducting gambling operations in the City of East St.
21 Louis for 3 years preceding the current year and the annual
22 adjusted gross receipts for the immediately preceding
23 year.
24 (a-5.5) In addition to the privilege tax imposed under
25subsection (a-5), a privilege tax is imposed on the owners
26licensee under paragraph (1) of subsection (e-5) of Section 7

HB5561- 263 -LRB101 17547 JWD 66965 b
1at the rate of one-third of the owners licensee's adjusted
2gross receipts.
3 For the imposition of the privilege tax in this subsection
4(a-5.5), amounts paid pursuant to item (1) of subsection (b) of
5Section 56 of the Illinois Horse Racing Act of 1975 shall not
6be included in the determination of adjusted gross receipts.
7 (a-6) From the effective date of this amendatory Act of the
8101st General Assembly until June 30, 2023, an owners licensee
9that conducted gambling operations prior to January 1, 2011
10shall receive a dollar-for-dollar credit against the tax
11imposed under this Section for any renovation or construction
12costs paid by the owners licensee, but in no event shall the
13credit exceed $2,000,000.
14 Additionally, from the effective date of this amendatory
15Act of the 101st General Assembly until December 31, 2022, an
16owners licensee that (i) is located within 15 miles of the
17Missouri border, and (ii) has at least 3 riverboats, casinos,
18or their equivalent within a 45-mile radius, may be authorized
19to relocate to a new location with the approval of both the
20unit of local government designated as the home dock and the
21Board, so long as the new location is within the same unit of
22local government and no more than 3 miles away from its
23original location. Such owners licensee shall receive a credit
24against the tax imposed under this Section equal to 8% of the
25total project costs, as approved by the Board, for any
26renovation or construction costs paid by the owners licensee

HB5561- 264 -LRB101 17547 JWD 66965 b
1for the construction of the new facility, provided that the new
2facility is operational by July 1, 2022. In determining whether
3or not to approve a relocation, the Board must consider the
4extent to which the relocation will diminish the gaming
5revenues received by other Illinois gaming facilities.
6 (a-7) Beginning in the initial adjustment year and through
7the final adjustment year, if the total obligation imposed
8pursuant to either subsection (a-5) or (a-6) will result in an
9owners licensee receiving less after-tax adjusted gross
10receipts than it received in calendar year 2018, then the total
11amount of privilege taxes that the owners licensee is required
12to pay for that calendar year shall be reduced to the extent
13necessary so that the after-tax adjusted gross receipts in that
14calendar year equals the after-tax adjusted gross receipts in
15calendar year 2018, but the privilege tax reduction shall not
16exceed the annual adjustment cap. If pursuant to this
17subsection (a-7), the total obligation imposed pursuant to
18either subsection (a-5) or (a-6) shall be reduced, then the
19owners licensee shall not receive a refund from the State at
20the end of the subject calendar year but instead shall be able
21to apply that amount as a credit against any payments it owes
22to the State in the following calendar year to satisfy its
23total obligation under either subsection (a-5) or (a-6). The
24credit for the final adjustment year shall occur in the
25calendar year following the final adjustment year.
26 If an owners licensee that conducted gambling operations

HB5561- 265 -LRB101 17547 JWD 66965 b
1prior to January 1, 2019 expands its riverboat or casino,
2including, but not limited to, with respect to its gaming
3floor, additional non-gaming amenities such as restaurants,
4bars, and hotels and other additional facilities, and incurs
5construction and other costs related to such expansion from the
6effective date of this amendatory Act of the 101st General
7Assembly until the 5th anniversary of the effective date of
8this amendatory Act of the 101st General Assembly, then for
9each $15,000,000 spent for any such construction or other costs
10related to expansion paid by the owners licensee, the final
11adjustment year shall be extended by one year and the annual
12adjustment cap shall increase by 0.2% of adjusted gross
13receipts during each calendar year until and including the
14final adjustment year. No further modifications to the final
15adjustment year or annual adjustment cap shall be made after
16$75,000,000 is incurred in construction or other costs related
17to expansion so that the final adjustment year shall not extend
18beyond the 9th calendar year after the initial adjustment year,
19not including the initial adjustment year, and the annual
20adjustment cap shall not exceed 4% of adjusted gross receipts
21in a particular calendar year. Construction and other costs
22related to expansion shall include all project related costs,
23including, but not limited to, all hard and soft costs,
24financing costs, on or off-site ground, road or utility work,
25cost of gaming equipment and all other personal property,
26initial fees assessed for each incremental gaming position, and

HB5561- 266 -LRB101 17547 JWD 66965 b
1the cost of incremental land acquired for such expansion. Soft
2costs shall include, but not be limited to, legal fees,
3architect, engineering and design costs, other consultant
4costs, insurance cost, permitting costs, and pre-opening costs
5related to the expansion, including, but not limited to, any of
6the following: marketing, real estate taxes, personnel,
7training, travel and out-of-pocket expenses, supply,
8inventory, and other costs, and any other project related soft
9costs.
10 To be eligible for the tax credits in subsection (a-6), all
11construction contracts shall include a requirement that the
12contractor enter into a project labor agreement with the
13building and construction trades council with geographic
14jurisdiction of the location of the proposed gaming facility.
15 Notwithstanding any other provision of this subsection
16(a-7), this subsection (a-7) does not apply to an owners
17licensee unless such owners licensee spends at least
18$15,000,000 on construction and other costs related to its
19expansion, excluding the initial fees assessed for each
20incremental gaming position.
21 This subsection (a-7) does not apply to owners licensees
22authorized pursuant to subsection (e-5) of Section 7 of this
23Act.
24 For purposes of this subsection (a-7):
25 "Building and construction trades council" means any
26organization representing multiple construction entities that

HB5561- 267 -LRB101 17547 JWD 66965 b
1are monitoring or attentive to compliance with public or
2workers' safety laws, wage and hour requirements, or other
3statutory requirements or that are making or maintaining
4collective bargaining agreements.
5 "Initial adjustment year" means the year commencing on
6January 1 of the calendar year immediately following the
7earlier of the following:
8 (1) the commencement of gambling operations, either in
9 a temporary or permanent facility, with respect to the
10 owners license authorized under paragraph (1) of
11 subsection (e-5) of Section 7 of this Act; or
12 (2) 24 months after the effective date of this
13 amendatory Act of the 101st General Assembly, provided the
14 initial adjustment year shall not commence earlier than 12
15 months after the effective date of this amendatory Act of
16 the 101st General Assembly.
17 "Final adjustment year" means the 2nd calendar year after
18the initial adjustment year, not including the initial
19adjustment year, and as may be extended further as described in
20this subsection (a-7).
21 "Annual adjustment cap" means 3% of adjusted gross receipts
22in a particular calendar year, and as may be increased further
23as otherwise described in this subsection (a-7).
24 (a-8) Riverboat gambling operations conducted by a
25licensed manager on behalf of the State are not subject to the
26tax imposed under this Section.

HB5561- 268 -LRB101 17547 JWD 66965 b
1 (a-9) Beginning on January 1, 2020, the calculation of
2gross receipts or adjusted gross receipts, for the purposes of
3this Section, for a riverboat, a casino, or an organization
4gaming facility shall not include the dollar amount of
5non-cashable vouchers, coupons, and electronic promotions
6redeemed by wagerers upon the riverboat, in the casino, or in
7the organization gaming facility up to and including an amount
8not to exceed 20% of a riverboat's, a casino's, or an
9organization gaming facility's adjusted gross receipts.
10 The Illinois Gaming Board shall submit to the General
11Assembly a comprehensive report no later than March 31, 2023
12detailing, at a minimum, the effect of removing non-cashable
13vouchers, coupons, and electronic promotions from this
14calculation on net gaming revenues to the State in calendar
15years 2020 through 2022, the increase or reduction in wagerers
16as a result of removing non-cashable vouchers, coupons, and
17electronic promotions from this calculation, the effect of the
18tax rates in subsection (a-5) on net gaming revenues to this
19State, and proposed modifications to the calculation.
20 (a-10) The taxes imposed by this Section shall be paid by
21the licensed owner or the organization gaming licensee to the
22Board not later than 5:00 o'clock p.m. of the day after the day
23when the wagers were made.
24 (a-15) If the privilege tax imposed under subsection (a-3)
25is no longer imposed pursuant to item (i) of the last paragraph
26of subsection (a-3), then by June 15 of each year, each owners

HB5561- 269 -LRB101 17547 JWD 66965 b
1licensee, other than an owners licensee that admitted 1,000,000
2persons or fewer in calendar year 2004, must, in addition to
3the payment of all amounts otherwise due under this Section,
4pay to the Board a reconciliation payment in the amount, if
5any, by which the licensed owner's base amount exceeds the
6amount of net privilege tax paid by the licensed owner to the
7Board in the then current State fiscal year. A licensed owner's
8net privilege tax obligation due for the balance of the State
9fiscal year shall be reduced up to the total of the amount paid
10by the licensed owner in its June 15 reconciliation payment.
11The obligation imposed by this subsection (a-15) is binding on
12any person, firm, corporation, or other entity that acquires an
13ownership interest in any such owners license. The obligation
14imposed under this subsection (a-15) terminates on the earliest
15of: (i) July 1, 2007, (ii) the first day after the effective
16date of this amendatory Act of the 94th General Assembly that
17riverboat gambling operations are conducted pursuant to a
18dormant license, (iii) the first day that riverboat gambling
19operations are conducted under the authority of an owners
20license that is in addition to the 10 owners licenses initially
21authorized under this Act, or (iv) the first day that a
22licensee under the Illinois Horse Racing Act of 1975 conducts
23gaming operations with slot machines or other electronic gaming
24devices. The Board must reduce the obligation imposed under
25this subsection (a-15) by an amount the Board deems reasonable
26for any of the following reasons: (A) an act or acts of God,

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1(B) an act of bioterrorism or terrorism or a bioterrorism or
2terrorism threat that was investigated by a law enforcement
3agency, or (C) a condition beyond the control of the owners
4licensee that does not result from any act or omission by the
5owners licensee or any of its agents and that poses a hazardous
6threat to the health and safety of patrons. If an owners
7licensee pays an amount in excess of its liability under this
8Section, the Board shall apply the overpayment to future
9payments required under this Section.
10 For purposes of this subsection (a-15):
11 "Act of God" means an incident caused by the operation of
12an extraordinary force that cannot be foreseen, that cannot be
13avoided by the exercise of due care, and for which no person
14can be held liable.
15 "Base amount" means the following:
16 For a riverboat in Alton, $31,000,000.
17 For a riverboat in East Peoria, $43,000,000.
18 For the Empress riverboat in Joliet, $86,000,000.
19 For a riverboat in Metropolis, $45,000,000.
20 For the Harrah's riverboat in Joliet, $114,000,000.
21 For a riverboat in Aurora, $86,000,000.
22 For a riverboat in East St. Louis, $48,500,000.
23 For a riverboat in Elgin, $198,000,000.
24 "Dormant license" has the meaning ascribed to it in
25subsection (a-3).
26 "Net privilege tax" means all privilege taxes paid by a

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1licensed owner to the Board under this Section, less all
2payments made from the State Gaming Fund pursuant to subsection
3(b) of this Section.
4 The changes made to this subsection (a-15) by Public Act
594-839 are intended to restate and clarify the intent of Public
6Act 94-673 with respect to the amount of the payments required
7to be made under this subsection by an owners licensee to the
8Board.
9 (b) From Until January 1, 1998, 25% of the tax revenue
10deposited in the State Gaming Fund under this Section shall be
11paid, subject to appropriation by the General Assembly, to the
12unit of local government which is designated as the home dock
13of the riverboat. Beginning January 1, 1998, from the tax
14revenue from riverboat or casino gambling deposited in the
15State Gaming Fund under this Section, an amount equal to 5% of
16adjusted gross receipts generated by a riverboat or a casino,
17other than a riverboat or casino designated in paragraph (1),
18(3), or (4) of subsection (e-5) of Section 7, shall be paid
19monthly, subject to appropriation by the General Assembly, to
20the unit of local government in which the casino is located or
21that is designated as the home dock of the riverboat.
22Notwithstanding anything to the contrary, beginning on the
23first day that an owners licensee under paragraph (1), (2),
24(3), (4), (5), or (6) of subsection (e-5) of Section 7 conducts
25gambling operations, either in a temporary facility or a
26permanent facility, and for 2 years thereafter, a unit of local

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1government designated as the home dock of a riverboat whose
2license was issued before January 1, 2019, other than a
3riverboat conducting gambling operations in the City of East
4St. Louis, shall not receive less under this subsection (b)
5than the amount the unit of local government received under
6this subsection (b) in calendar year 2018. Notwithstanding
7anything to the contrary and because the City of East St. Louis
8is a financially distressed city, beginning on the first day
9that an owners licensee under paragraph (1), (2), (3), (4),
10(5), or (6) of subsection (e-5) of Section 7 conducts gambling
11operations, either in a temporary facility or a permanent
12facility, and for 10 years thereafter, a unit of local
13government designated as the home dock of a riverboat
14conducting gambling operations in the City of East St. Louis
15shall not receive less under this subsection (b) than the
16amount the unit of local government received under this
17subsection (b) in calendar year 2018.
18 From the tax revenue deposited in the State Gaming Fund
19pursuant to riverboat or casino gambling operations conducted
20by a licensed manager on behalf of the State, an amount equal
21to 5% of adjusted gross receipts generated pursuant to those
22riverboat or casino gambling operations shall be paid monthly,
23subject to appropriation by the General Assembly, to the unit
24of local government that is designated as the home dock of the
25riverboat upon which those riverboat gambling operations are
26conducted or in which the casino is located.

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1 From the tax revenue from riverboat or casino gambling
2deposited in the State Gaming Fund under this Section, an
3amount equal to 5% of the adjusted gross receipts generated by
4a riverboat designated in paragraph (3) of subsection (e-5) of
5Section 7 shall be divided and remitted monthly, subject to
6appropriation, as follows: 70% to Waukegan, 10% to Park City,
715% to North Chicago, and 5% to Lake County.
8 From the tax revenue from riverboat or casino gambling
9deposited in the State Gaming Fund under this Section, an
10amount equal to 5% of the adjusted gross receipts generated by
11a riverboat designated in paragraph (4) of subsection (e-5) of
12Section 7 shall be remitted monthly, subject to appropriation,
13as follows: 70% to the City of Rockford, 5% to the City of
14Loves Park, 5% to the Village of Machesney, and 20% to
15Winnebago County.
16 From the tax revenue from riverboat or casino gambling
17deposited in the State Gaming Fund under this Section, an
18amount equal to 5% of the adjusted gross receipts generated by
19a riverboat designated in paragraph (5) of subsection (e-5) of
20Section 7 shall be remitted monthly, subject to appropriation,
21as follows: 2% to the unit of local government in which the
22riverboat or casino is located, and 3% shall be distributed:
23(A) in accordance with a regional capital development plan
24entered into by the following communities: Village of Beecher,
25City of Blue Island, Village of Burnham, City of Calumet City,
26Village of Calumet Park, City of Chicago Heights, City of

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1Country Club Hills, Village of Crestwood, Village of Crete,
2Village of Dixmoor, Village of Dolton, Village of East Hazel
3Crest, Village of Flossmoor, Village of Ford Heights, Village
4of Glenwood, City of Harvey, Village of Hazel Crest, Village of
5Homewood, Village of Lansing, Village of Lynwood, City of
6Markham, Village of Matteson, Village of Midlothian, Village of
7Monee, City of Oak Forest, Village of Olympia Fields, Village
8of Orland Hills, Village of Orland Park, City of Palos Heights,
9Village of Park Forest, Village of Phoenix, Village of Posen,
10Village of Richton Park, Village of Riverdale, Village of
11Robbins, Village of Sauk Village, Village of South Chicago
12Heights, Village of South Holland, Village of Steger, Village
13of Thornton, Village of Tinley Park, Village of University Park
14and Village of Worth; or (B) if no regional capital development
15plan exists, equally among the communities listed in item (A)
16to be used for capital expenditures or public pension payments,
17or both.
18 Units of local government may refund any portion of the
19payment that they receive pursuant to this subsection (b) to
20the riverboat or casino.
21 (b-4) Beginning on the first day the licensee under
22paragraph (5) of subsection (e-5) of Section 7 conducts
23gambling operations, either in a temporary facility or a
24permanent facility, and ending on July 31, 2042, from the tax
25revenue deposited in the State Gaming Fund under this Section,
26$5,000,000 shall be paid annually, subject to appropriation, to

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1the host municipality of that owners licensee of a license
2issued or re-issued pursuant to Section 7.1 of this Act before
3January 1, 2012. Payments received by the host municipality
4pursuant to this subsection (b-4) may not be shared with any
5other unit of local government.
6 (b-5) Beginning on the effective date of this amendatory
7Act of the 101st General Assembly, from the tax revenue
8deposited in the State Gaming Fund under this Section, an
9amount equal to 3% of adjusted gross receipts generated by each
10organization gaming facility located outside Madison County
11shall be paid monthly, subject to appropriation by the General
12Assembly, to a municipality other than the Village of Stickney
13in which each organization gaming facility is located or, if
14the organization gaming facility is not located within a
15municipality, to the county in which the organization gaming
16facility is located, except as otherwise provided in this
17Section. From the tax revenue deposited in the State Gaming
18Fund under this Section, an amount equal to 3% of adjusted
19gross receipts generated by an organization gaming facility
20located in the Village of Stickney shall be paid monthly,
21subject to appropriation by the General Assembly, as follows:
2225% to the Village of Stickney, 5% to the City of Berwyn, 50%
23to the Town of Cicero, and 20% to the Stickney Public Health
24District.
25 From the tax revenue deposited in the State Gaming Fund
26under this Section, an amount equal to 5% of adjusted gross

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1receipts generated by an organization gaming facility located
2in the City of Collinsville shall be paid monthly, subject to
3appropriation by the General Assembly, as follows: 30% to the
4City of Alton, 30% to the City of East St. Louis, and 40% to the
5City of Collinsville.
6 Municipalities and counties may refund any portion of the
7payment that they receive pursuant to this subsection (b-5) to
8the organization gaming facility.
9 (b-6) Beginning on the effective date of this amendatory
10Act of the 101st General Assembly, from the tax revenue
11deposited in the State Gaming Fund under this Section, an
12amount equal to 2% of adjusted gross receipts generated by an
13organization gaming facility located outside Madison County
14shall be paid monthly, subject to appropriation by the General
15Assembly, to the county in which the organization gaming
16facility is located for the purposes of its criminal justice
17system or health care system.
18 Counties may refund any portion of the payment that they
19receive pursuant to this subsection (b-6) to the organization
20gaming facility.
21 (b-7) From the tax revenue from the organization gaming
22licensee located in one of the following townships of Cook
23County: Bloom, Bremen, Calumet, Orland, Rich, Thornton, or
24Worth, an amount equal to 5% of the adjusted gross receipts
25generated by that organization gaming licensee shall be
26remitted monthly, subject to appropriation, as follows: 2% to

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1the unit of local government in which the organization gaming
2licensee is located, and 3% shall be distributed: (A) in
3accordance with a regional capital development plan entered
4into by the following communities: Village of Beecher, City of
5Blue Island, Village of Burnham, City of Calumet City, Village
6of Calumet Park, City of Chicago Heights, City of Country Club
7Hills, Village of Crestwood, Village of Crete, Village of
8Dixmoor, Village of Dolton, Village of East Hazel Crest,
9Village of Flossmoor, Village of Ford Heights, Village of
10Glenwood, City of Harvey, Village of Hazel Crest, Village of
11Homewood, Village of Lansing, Village of Lynwood, City of
12Markham, Village of Matteson, Village of Midlothian, Village of
13Monee, City of Oak Forest, Village of Olympia Fields, Village
14of Orland Hills, Village of Orland Park, City of Palos Heights,
15Village of Park Forest, Village of Phoenix, Village of Posen,
16Village of Richton Park, Village of Riverdale, Village of
17Robbins, Village of Sauk Village, Village of South Chicago
18Heights, Village of South Holland, Village of Steger, Village
19of Thornton, Village of Tinley Park, Village of University
20Park, and Village of Worth; or (B) if no regional capital
21development plan exists, equally among the communities listed
22in item (A) to be used for capital expenditures or public
23pension payments, or both.
24 (b-8) In lieu of the payments under subsection (b) of this
25Section, the tax revenue from the privilege tax imposed by
26subsection (a-5.5) shall be paid monthly, subject to

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1appropriation by the General Assembly, to the City of Chicago
2and shall be expended or obligated by the City of Chicago for
3pension payments in accordance with Public Act 99-506.
4 (c) Appropriations, as approved by the General Assembly,
5may be made from the State Gaming Fund to the Board (i) for the
6administration and enforcement of this Act and the Video Gaming
7Act, (ii) for distribution to the Department of State Police
8and to the Department of Revenue for the enforcement of this
9Act, and the Video Gaming Act, and (iii) to the Department of
10Human Services for the administration of programs to treat
11problem gambling. The Board's annual appropriations request
12must separately state its funding needs for the regulation of
13gaming authorized under Section 7.7, riverboat gaming, casino
14gaming, video gaming, and sports wagering.
15 (c-2) An amount equal to 2% of the adjusted gross receipts
16generated by an organization gaming facility located within a
17home rule county with a population of over 3,000,000
18inhabitants shall be paid, subject to appropriation from the
19General Assembly, from the State Gaming Fund to the home rule
20county in which the organization gaming licensee is located for
21the purpose of enhancing the county's criminal justice system.
22 (c-3) Appropriations, as approved by the General Assembly,
23may be made from the tax revenue deposited into the State
24Gaming Fund from organization gaming licensees pursuant to this
25Section for the administration and enforcement of this Act.
26 (c-4) After payments required under subsections (b),

HB5561- 279 -LRB101 17547 JWD 66965 b
1(b-5), (b-6), (b-7), (c), (c-2), and (c-3) have been made from
2the tax revenue from organization gaming licensees deposited
3into the State Gaming Fund under this Section, all remaining
4amounts from organization gaming licensees shall be
5transferred into the Capital Projects Fund.
6 (c-5) (Blank). Before May 26, 2006 (the effective date of
7Public Act 94-804) and beginning on the effective date of this
8amendatory Act of the 95th General Assembly, unless any
9organization licensee under the Illinois Horse Racing Act of
101975 begins to operate a slot machine or video game of chance
11under the Illinois Horse Racing Act of 1975 or this Act, after
12the payments required under subsections (b) and (c) have been
13made, an amount equal to 15% of the adjusted gross receipts of
14(1) an owners licensee that relocates pursuant to Section 11.2,
15(2) an owners licensee conducting riverboat gambling
16operations pursuant to an owners license that is initially
17issued after June 25, 1999, or (3) the first riverboat gambling
18operations conducted by a licensed manager on behalf of the
19State under Section 7.3, whichever comes first, shall be paid
20from the State Gaming Fund into the Horse Racing Equity Fund.
21 (c-10) Each year the General Assembly shall appropriate
22from the General Revenue Fund to the Education Assistance Fund
23an amount equal to the amount paid into the Horse Racing Equity
24Fund pursuant to subsection (c-5) in the prior calendar year.
25 (c-15) After the payments required under subsections (b),
26(c), and (c-5) have been made, an amount equal to 2% of the

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1adjusted gross receipts of (1) an owners licensee that
2relocates pursuant to Section 11.2, (2) an owners licensee
3conducting riverboat gambling operations pursuant to an owners
4license that is initially issued after June 25, 1999, or (3)
5the first riverboat gambling operations conducted by a licensed
6manager on behalf of the State under Section 7.3, whichever
7comes first, shall be paid, subject to appropriation from the
8General Assembly, from the State Gaming Fund to each home rule
9county with a population of over 3,000,000 inhabitants for the
10purpose of enhancing the county's criminal justice system.
11 (c-20) Each year the General Assembly shall appropriate
12from the General Revenue Fund to the Education Assistance Fund
13an amount equal to the amount paid to each home rule county
14with a population of over 3,000,000 inhabitants pursuant to
15subsection (c-15) in the prior calendar year.
16 (c-21) After the payments required under subsections (b),
17(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), and (c-4) have
18been made, an amount equal to 2% of the adjusted gross receipts
19generated by the owners licensee under paragraph (1) of
20subsection (e-5) of Section 7 shall be paid, subject to
21appropriation from the General Assembly, from the State Gaming
22Fund to the home rule county in which the owners licensee is
23located for the purpose of enhancing the county's criminal
24justice system.
25 (c-22) After the payments required under subsections (b),
26(b-4), (b-5), (b-6), (b-7), (b-8), (c), (c-3), (c-4), and

HB5561- 281 -LRB101 17547 JWD 66965 b
1(c-21) have been made, an amount equal to 2% of the adjusted
2gross receipts generated by the owners licensee under paragraph
3(5) of subsection (e-5) of Section 7 shall be paid, subject to
4appropriation from the General Assembly, from the State Gaming
5Fund to the home rule county in which the owners licensee is
6located for the purpose of enhancing the county's criminal
7justice system.
8 (c-25) From On July 1, 2013 and each July 1
9thereafterthrough July 1, 2019, $1,600,000 shall be
10transferred from the State Gaming Fund to the Chicago State
11University Education Improvement Fund.
12 On July 1, 2020 and each July 1 thereafter, $3,000,000
13shall be transferred from the State Gaming Fund to the Chicago
14State University Education Improvement Fund.
15 (c-30) On July 1, 2013 or as soon as possible thereafter,
16$92,000,000 shall be transferred from the State Gaming Fund to
17the School Infrastructure Fund and $23,000,000 shall be
18transferred from the State Gaming Fund to the Horse Racing
19Equity Fund.
20 (c-35) Beginning on July 1, 2013, in addition to any amount
21transferred under subsection (c-30) of this Section,
22$5,530,000 shall be transferred monthly from the State Gaming
23Fund to the School Infrastructure Fund.
24 (d) From time to time, the Board shall transfer the
25remainder of the funds generated by this Act into the Education
26Assistance Fund, created by Public Act 86-0018, of the State of

HB5561- 282 -LRB101 17547 JWD 66965 b
1Illinois.
2 (e) Nothing in this Act shall prohibit the unit of local
3government designated as the home dock of the riverboat from
4entering into agreements with other units of local government
5in this State or in other states to share its portion of the
6tax revenue.
7 (f) To the extent practicable, the Board shall administer
8and collect the wagering taxes imposed by this Section in a
9manner consistent with the provisions of Sections 4, 5, 5a, 5b,
105c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9, and 10 of the
11Retailers' Occupation Tax Act and Section 3-7 of the Uniform
12Penalty and Interest Act.
13(Source: P.A. 101-31, Article 25, Section 25-910, eff. 6-28-19;
14101-31, Article 35, Section 35-55, eff. 6-28-19; revised
158-23-19.)
16 Section 10-220. The Criminal Code of 2012 is amended by
17changing Sections 28-1, 28-3, and 28-5 as follows:
18 (720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
19 Sec. 28-1. Gambling.
20 (a) A person commits gambling when he or she:
21 (1) knowingly plays a game of chance or skill for money
22 or other thing of value, unless excepted in subsection (b)
23 of this Section;
24 (2) knowingly makes a wager upon the result of any

HB5561- 283 -LRB101 17547 JWD 66965 b
1 game, contest, or any political nomination, appointment or
2 election;
3 (3) knowingly operates, keeps, owns, uses, purchases,
4 exhibits, rents, sells, bargains for the sale or lease of,
5 manufactures or distributes any gambling device;
6 (4) contracts to have or give himself or herself or
7 another the option to buy or sell, or contracts to buy or
8 sell, at a future time, any grain or other commodity
9 whatsoever, or any stock or security of any company, where
10 it is at the time of making such contract intended by both
11 parties thereto that the contract to buy or sell, or the
12 option, whenever exercised, or the contract resulting
13 therefrom, shall be settled, not by the receipt or delivery
14 of such property, but by the payment only of differences in
15 prices thereof; however, the issuance, purchase, sale,
16 exercise, endorsement or guarantee, by or through a person
17 registered with the Secretary of State pursuant to Section
18 8 of the Illinois Securities Law of 1953, or by or through
19 a person exempt from such registration under said Section
20 8, of a put, call, or other option to buy or sell
21 securities which have been registered with the Secretary of
22 State or which are exempt from such registration under
23 Section 3 of the Illinois Securities Law of 1953 is not
24 gambling within the meaning of this paragraph (4);
25 (5) knowingly owns or possesses any book, instrument or
26 apparatus by means of which bets or wagers have been, or

HB5561- 284 -LRB101 17547 JWD 66965 b
1 are, recorded or registered, or knowingly possesses any
2 money which he has received in the course of a bet or
3 wager;
4 (6) knowingly sells pools upon the result of any game
5 or contest of skill or chance, political nomination,
6 appointment or election;
7 (7) knowingly sets up or promotes any lottery or sells,
8 offers to sell or transfers any ticket or share for any
9 lottery;
10 (8) knowingly sets up or promotes any policy game or
11 sells, offers to sell or knowingly possesses or transfers
12 any policy ticket, slip, record, document or other similar
13 device;
14 (9) knowingly drafts, prints or publishes any lottery
15 ticket or share, or any policy ticket, slip, record,
16 document or similar device, except for such activity
17 related to lotteries, bingo games and raffles authorized by
18 and conducted in accordance with the laws of Illinois or
19 any other state or foreign government;
20 (10) knowingly advertises any lottery or policy game,
21 except for such activity related to lotteries, bingo games
22 and raffles authorized by and conducted in accordance with
23 the laws of Illinois or any other state;
24 (11) knowingly transmits information as to wagers,
25 betting odds, or changes in betting odds by telephone,
26 telegraph, radio, semaphore or similar means; or knowingly

HB5561- 285 -LRB101 17547 JWD 66965 b
1 installs or maintains equipment for the transmission or
2 receipt of such information; except that nothing in this
3 subdivision (11) prohibits transmission or receipt of such
4 information for use in news reporting of sporting events or
5 contests; or
6 (12) knowingly establishes, maintains, or operates an
7 Internet site that permits a person to play a game of
8 chance or skill for money or other thing of value by means
9 of the Internet or to make a wager upon the result of any
10 game, contest, political nomination, appointment, or
11 election by means of the Internet. This item (12) does not
12 apply to activities referenced in items (6), (6.1), (8),
13 and (8.1), and (15) of subsection (b) of this Section.
14 (b) Participants in any of the following activities shall
15not be convicted of gambling:
16 (1) Agreements to compensate for loss caused by the
17 happening of chance including without limitation contracts
18 of indemnity or guaranty and life or health or accident
19 insurance.
20 (2) Offers of prizes, award or compensation to the
21 actual contestants in any bona fide contest for the
22 determination of skill, speed, strength or endurance or to
23 the owners of animals or vehicles entered in such contest.
24 (3) Pari-mutuel betting as authorized by the law of
25 this State.
26 (4) Manufacture of gambling devices, including the

HB5561- 286 -LRB101 17547 JWD 66965 b
1 acquisition of essential parts therefor and the assembly
2 thereof, for transportation in interstate or foreign
3 commerce to any place outside this State when such
4 transportation is not prohibited by any applicable Federal
5 law; or the manufacture, distribution, or possession of
6 video gaming terminals, as defined in the Video Gaming Act,
7 by manufacturers, distributors, and terminal operators
8 licensed to do so under the Video Gaming Act.
9 (5) The game commonly known as "bingo", when conducted
10 in accordance with the Bingo License and Tax Act.
11 (6) Lotteries when conducted by the State of Illinois
12 in accordance with the Illinois Lottery Law. This exemption
13 includes any activity conducted by the Department of
14 Revenue to sell lottery tickets pursuant to the provisions
15 of the Illinois Lottery Law and its rules.
16 (6.1) The purchase of lottery tickets through the
17 Internet for a lottery conducted by the State of Illinois
18 under the program established in Section 7.12 of the
19 Illinois Lottery Law.
20 (7) Possession of an antique slot machine that is
21 neither used nor intended to be used in the operation or
22 promotion of any unlawful gambling activity or enterprise.
23 For the purpose of this subparagraph (b)(7), an antique
24 slot machine is one manufactured 25 years ago or earlier.
25 (8) Raffles and poker runs when conducted in accordance
26 with the Raffles and Poker Runs Act.

HB5561- 287 -LRB101 17547 JWD 66965 b
1 (8.1) The purchase of raffle chances for a raffle
2 conducted in accordance with the Raffles and Poker Runs
3 Act.
4 (9) Charitable games when conducted in accordance with
5 the Charitable Games Act.
6 (10) Pull tabs and jar games when conducted under the
7 Illinois Pull Tabs and Jar Games Act.
8 (11) Gambling games conducted on riverboats when
9 authorized by the Illinois Riverboat Gambling Act.
10 (12) Video gaming terminal games at a licensed
11 establishment, licensed truck stop establishment, licensed
12 large truck stop establishment, licensed fraternal
13 establishment, or licensed veterans establishment when
14 conducted in accordance with the Video Gaming Act.
15 (13) Games of skill or chance where money or other
16 things of value can be won but no payment or purchase is
17 required to participate.
18 (14) Savings promotion raffles authorized under
19 Section 5g of the Illinois Banking Act, Section 7008 of the
20 Savings Bank Act, Section 42.7 of the Illinois Credit Union
21 Act, Section 5136B of the National Bank Act (12 U.S.C.
22 25a), or Section 4 of the Home Owners' Loan Act (12 U.S.C.
23 1463).
24 (15) Sports wagering when conducted in accordance with
25 the Sports Wagering Act.
26 (c) Sentence.

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1 Gambling is a Class A misdemeanor. A second or subsequent
2conviction under subsections (a)(3) through (a)(12), is a Class
34 felony.
4 (d) Circumstantial evidence.
5 In prosecutions under this Section circumstantial evidence
6shall have the same validity and weight as in any criminal
7prosecution.
8(Source: P.A. 101-31, Article 25, Section 25-915, eff. 6-28-19;
9101-31, Article 35, Section 35-80, eff. 6-28-19; 101-109, eff.
107-19-19; revised 8-6-19.)
11 (720 ILCS 5/28-3) (from Ch. 38, par. 28-3)
12 Sec. 28-3. Keeping a gambling place. A "gambling place" is
13any real estate, vehicle, boat, or any other property
14whatsoever used for the purposes of gambling other than
15gambling conducted in the manner authorized by the Riverboat
16Illinois Gambling Act, the Sports Wagering Act, or the Video
17Gaming Act. Any person who knowingly permits any premises or
18property owned or occupied by him or under his control to be
19used as a gambling place commits a Class A misdemeanor. Each
20subsequent offense is a Class 4 felony. When any premises is
21determined by the circuit court to be a gambling place:
22 (a) Such premises is a public nuisance and may be
23 proceeded against as such, and
24 (b) All licenses, permits or certificates issued by the
25 State of Illinois or any subdivision or public agency

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1 thereof authorizing the serving of food or liquor on such
2 premises shall be void; and no license, permit or
3 certificate so cancelled shall be reissued for such
4 premises for a period of 60 days thereafter; nor shall any
5 person convicted of keeping a gambling place be reissued
6 such license for one year from his conviction and, after a
7 second conviction of keeping a gambling place, any such
8 person shall not be reissued such license, and
9 (c) Such premises of any person who knowingly permits
10 thereon a violation of any Section of this Article shall be
11 held liable for, and may be sold to pay any unsatisfied
12 judgment that may be recovered and any unsatisfied fine
13 that may be levied under any Section of this Article.
14(Source: P.A. 101-31, Article 25, Section 25-915, eff. 6-28-19;
15101-31, Article 35, Section 35-80, eff. 6-28-19; revised
167-12-19.)
17 (720 ILCS 5/28-5) (from Ch. 38, par. 28-5)
18 Sec. 28-5. Seizure of gambling devices and gambling funds.
19 (a) Every device designed for gambling which is incapable
20of lawful use or every device used unlawfully for gambling
21shall be considered a "gambling device", and shall be subject
22to seizure, confiscation and destruction by the Department of
23State Police or by any municipal, or other local authority,
24within whose jurisdiction the same may be found. As used in
25this Section, a "gambling device" includes any slot machine,

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1and includes any machine or device constructed for the
2reception of money or other thing of value and so constructed
3as to return, or to cause someone to return, on chance to the
4player thereof money, property or a right to receive money or
5property. With the exception of any device designed for
6gambling which is incapable of lawful use, no gambling device
7shall be forfeited or destroyed unless an individual with a
8property interest in said device knows of the unlawful use of
9the device.
10 (b) Every gambling device shall be seized and forfeited to
11the county wherein such seizure occurs. Any money or other
12thing of value integrally related to acts of gambling shall be
13seized and forfeited to the county wherein such seizure occurs.
14 (c) If, within 60 days after any seizure pursuant to
15subparagraph (b) of this Section, a person having any property
16interest in the seized property is charged with an offense, the
17court which renders judgment upon such charge shall, within 30
18days after such judgment, conduct a forfeiture hearing to
19determine whether such property was a gambling device at the
20time of seizure. Such hearing shall be commenced by a written
21petition by the State, including material allegations of fact,
22the name and address of every person determined by the State to
23have any property interest in the seized property, a
24representation that written notice of the date, time and place
25of such hearing has been mailed to every such person by
26certified mail at least 10 days before such date, and a request

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1for forfeiture. Every such person may appear as a party and
2present evidence at such hearing. The quantum of proof required
3shall be a preponderance of the evidence, and the burden of
4proof shall be on the State. If the court determines that the
5seized property was a gambling device at the time of seizure,
6an order of forfeiture and disposition of the seized property
7shall be entered: a gambling device shall be received by the
8State's Attorney, who shall effect its destruction, except that
9valuable parts thereof may be liquidated and the resultant
10money shall be deposited in the general fund of the county
11wherein such seizure occurred; money and other things of value
12shall be received by the State's Attorney and, upon
13liquidation, shall be deposited in the general fund of the
14county wherein such seizure occurred. However, in the event
15that a defendant raises the defense that the seized slot
16machine is an antique slot machine described in subparagraph
17(b) (7) of Section 28-1 of this Code and therefore he is exempt
18from the charge of a gambling activity participant, the seized
19antique slot machine shall not be destroyed or otherwise
20altered until a final determination is made by the Court as to
21whether it is such an antique slot machine. Upon a final
22determination by the Court of this question in favor of the
23defendant, such slot machine shall be immediately returned to
24the defendant. Such order of forfeiture and disposition shall,
25for the purposes of appeal, be a final order and judgment in a
26civil proceeding.

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1 (d) If a seizure pursuant to subparagraph (b) of this
2Section is not followed by a charge pursuant to subparagraph
3(c) of this Section, or if the prosecution of such charge is
4permanently terminated or indefinitely discontinued without
5any judgment of conviction or acquittal (1) the State's
6Attorney shall commence an in rem proceeding for the forfeiture
7and destruction of a gambling device, or for the forfeiture and
8deposit in the general fund of the county of any seized money
9or other things of value, or both, in the circuit court and (2)
10any person having any property interest in such seized gambling
11device, money or other thing of value may commence separate
12civil proceedings in the manner provided by law.
13 (e) Any gambling device displayed for sale to a riverboat
14gambling operation, casino gambling operation, or organization
15gaming facility or used to train occupational licensees of a
16riverboat gambling operation, casino gambling operation, or
17organization gaming facility as authorized under the Illinois
18Riverboat Gambling Act is exempt from seizure under this
19Section.
20 (f) Any gambling equipment, devices, and supplies provided
21by a licensed supplier in accordance with the Illinois
22Riverboat Gambling Act which are removed from a the riverboat,
23casino, or organization gaming facility for repair are exempt
24from seizure under this Section.
25 (g) The following video gaming terminals are exempt from
26seizure under this Section:

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1 (1) Video gaming terminals for sale to a licensed
2 distributor or operator under the Video Gaming Act.
3 (2) Video gaming terminals used to train licensed
4 technicians or licensed terminal handlers.
5 (3) Video gaming terminals that are removed from a
6 licensed establishment, licensed truck stop establishment,
7 licensed large truck stop establishment, licensed
8 fraternal establishment, or licensed veterans
9 establishment for repair.
10 (h) Property seized or forfeited under this Section is
11subject to reporting under the Seizure and Forfeiture Reporting
12Act.
13 (i) Any sports lottery terminals provided by a central
14system provider that are removed from a lottery retailer for
15repair under the Sports Wagering Act are exempt from seizure
16under this Section.
17(Source: P.A. 100-512, eff. 7-1-18; 101-31, Article 25, Section
1825-915, eff. 6-28-19; 101-31, Article 35, Section 35-80, eff.
196-28-19; revised 7-12-19.)
20 (230 ILCS 50/Act rep.)
21 Section 10-300. The State Fair Gaming Act is repealed.
22 (30 ILCS 105/5.897 rep.)
23 Section 10-310. The State Finance Act is amended by
24repealing Section 5.897, as added by Public Act 101-31.

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1 Section 10-320. The Open Meetings Act is amended by
2changing Section 2 as follows:
3 (5 ILCS 120/2) (from Ch. 102, par. 42)
4 Sec. 2. Open meetings.
5 (a) Openness required. All meetings of public bodies shall
6be open to the public unless excepted in subsection (c) and
7closed in accordance with Section 2a.
8 (b) Construction of exceptions. The exceptions contained
9in subsection (c) are in derogation of the requirement that
10public bodies meet in the open, and therefore, the exceptions
11are to be strictly construed, extending only to subjects
12clearly within their scope. The exceptions authorize but do not
13require the holding of a closed meeting to discuss a subject
14included within an enumerated exception.
15 (c) Exceptions. A public body may hold closed meetings to
16consider the following subjects:
17 (1) The appointment, employment, compensation,
18 discipline, performance, or dismissal of specific
19 employees, specific individuals who serve as independent
20 contractors in a park, recreational, or educational
21 setting, or specific volunteers of the public body or legal
22 counsel for the public body, including hearing testimony on
23 a complaint lodged against an employee, a specific
24 individual who serves as an independent contractor in a

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1 park, recreational, or educational setting, or a volunteer
2 of the public body or against legal counsel for the public
3 body to determine its validity. However, a meeting to
4 consider an increase in compensation to a specific employee
5 of a public body that is subject to the Local Government
6 Wage Increase Transparency Act may not be closed and shall
7 be open to the public and posted and held in accordance
8 with this Act.
9 (2) Collective negotiating matters between the public
10 body and its employees or their representatives, or
11 deliberations concerning salary schedules for one or more
12 classes of employees.
13 (3) The selection of a person to fill a public office,
14 as defined in this Act, including a vacancy in a public
15 office, when the public body is given power to appoint
16 under law or ordinance, or the discipline, performance or
17 removal of the occupant of a public office, when the public
18 body is given power to remove the occupant under law or
19 ordinance.
20 (4) Evidence or testimony presented in open hearing, or
21 in closed hearing where specifically authorized by law, to
22 a quasi-adjudicative body, as defined in this Act, provided
23 that the body prepares and makes available for public
24 inspection a written decision setting forth its
25 determinative reasoning.
26 (5) The purchase or lease of real property for the use

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1 of the public body, including meetings held for the purpose
2 of discussing whether a particular parcel should be
3 acquired.
4 (6) The setting of a price for sale or lease of
5 property owned by the public body.
6 (7) The sale or purchase of securities, investments, or
7 investment contracts. This exception shall not apply to the
8 investment of assets or income of funds deposited into the
9 Illinois Prepaid Tuition Trust Fund.
10 (8) Security procedures, school building safety and
11 security, and the use of personnel and equipment to respond
12 to an actual, a threatened, or a reasonably potential
13 danger to the safety of employees, students, staff, the
14 public, or public property.
15 (9) Student disciplinary cases.
16 (10) The placement of individual students in special
17 education programs and other matters relating to
18 individual students.
19 (11) Litigation, when an action against, affecting or
20 on behalf of the particular public body has been filed and
21 is pending before a court or administrative tribunal, or
22 when the public body finds that an action is probable or
23 imminent, in which case the basis for the finding shall be
24 recorded and entered into the minutes of the closed
25 meeting.
26 (12) The establishment of reserves or settlement of

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1 claims as provided in the Local Governmental and
2 Governmental Employees Tort Immunity Act, if otherwise the
3 disposition of a claim or potential claim might be
4 prejudiced, or the review or discussion of claims, loss or
5 risk management information, records, data, advice or
6 communications from or with respect to any insurer of the
7 public body or any intergovernmental risk management
8 association or self insurance pool of which the public body
9 is a member.
10 (13) Conciliation of complaints of discrimination in
11 the sale or rental of housing, when closed meetings are
12 authorized by the law or ordinance prescribing fair housing
13 practices and creating a commission or administrative
14 agency for their enforcement.
15 (14) Informant sources, the hiring or assignment of
16 undercover personnel or equipment, or ongoing, prior or
17 future criminal investigations, when discussed by a public
18 body with criminal investigatory responsibilities.
19 (15) Professional ethics or performance when
20 considered by an advisory body appointed to advise a
21 licensing or regulatory agency on matters germane to the
22 advisory body's field of competence.
23 (16) Self evaluation, practices and procedures or
24 professional ethics, when meeting with a representative of
25 a statewide association of which the public body is a
26 member.

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1 (17) The recruitment, credentialing, discipline or
2 formal peer review of physicians or other health care
3 professionals, or for the discussion of matters protected
4 under the federal Patient Safety and Quality Improvement
5 Act of 2005, and the regulations promulgated thereunder,
6 including 42 C.F.R. Part 3 (73 FR 70732), or the federal
7 Health Insurance Portability and Accountability Act of
8 1996, and the regulations promulgated thereunder,
9 including 45 C.F.R. Parts 160, 162, and 164, by a hospital,
10 or other institution providing medical care, that is
11 operated by the public body.
12 (18) Deliberations for decisions of the Prisoner
13 Review Board.
14 (19) Review or discussion of applications received
15 under the Experimental Organ Transplantation Procedures
16 Act.
17 (20) The classification and discussion of matters
18 classified as confidential or continued confidential by
19 the State Government Suggestion Award Board.
20 (21) Discussion of minutes of meetings lawfully closed
21 under this Act, whether for purposes of approval by the
22 body of the minutes or semi-annual review of the minutes as
23 mandated by Section 2.06.
24 (22) Deliberations for decisions of the State
25 Emergency Medical Services Disciplinary Review Board.
26 (23) The operation by a municipality of a municipal

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1 utility or the operation of a municipal power agency or
2 municipal natural gas agency when the discussion involves
3 (i) contracts relating to the purchase, sale, or delivery
4 of electricity or natural gas or (ii) the results or
5 conclusions of load forecast studies.
6 (24) Meetings of a residential health care facility
7 resident sexual assault and death review team or the
8 Executive Council under the Abuse Prevention Review Team
9 Act.
10 (25) Meetings of an independent team of experts under
11 Brian's Law.
12 (26) Meetings of a mortality review team appointed
13 under the Department of Juvenile Justice Mortality Review
14 Team Act.
15 (27) (Blank).
16 (28) Correspondence and records (i) that may not be
17 disclosed under Section 11-9 of the Illinois Public Aid
18 Code or (ii) that pertain to appeals under Section 11-8 of
19 the Illinois Public Aid Code.
20 (29) Meetings between internal or external auditors
21 and governmental audit committees, finance committees, and
22 their equivalents, when the discussion involves internal
23 control weaknesses, identification of potential fraud risk
24 areas, known or suspected frauds, and fraud interviews
25 conducted in accordance with generally accepted auditing
26 standards of the United States of America.

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1 (30) Those meetings or portions of meetings of a
2 fatality review team or the Illinois Fatality Review Team
3 Advisory Council during which a review of the death of an
4 eligible adult in which abuse or neglect is suspected,
5 alleged, or substantiated is conducted pursuant to Section
6 15 of the Adult Protective Services Act.
7 (31) Meetings and deliberations for decisions of the
8 Concealed Carry Licensing Review Board under the Firearm
9 Concealed Carry Act.
10 (32) Meetings between the Regional Transportation
11 Authority Board and its Service Boards when the discussion
12 involves review by the Regional Transportation Authority
13 Board of employment contracts under Section 28d of the
14 Metropolitan Transit Authority Act and Sections 3A.18 and
15 3B.26 of the Regional Transportation Authority Act.
16 (33) Those meetings or portions of meetings of the
17 advisory committee and peer review subcommittee created
18 under Section 320 of the Illinois Controlled Substances Act
19 during which specific controlled substance prescriber,
20 dispenser, or patient information is discussed.
21 (34) Meetings of the Tax Increment Financing Reform
22 Task Force under Section 2505-800 of the Department of
23 Revenue Law of the Civil Administrative Code of Illinois.
24 (35) Meetings of the group established to discuss
25 Medicaid capitation rates under Section 5-30.8 of the
26 Illinois Public Aid Code.

HB5561- 301 -LRB101 17547 JWD 66965 b
1 (36) Those deliberations or portions of deliberations
2 for decisions of the Illinois Gaming Board in which there
3 is discussed any of the following: (i) personal,
4 commercial, financial, or other information obtained from
5 any source that is privileged, proprietary, confidential,
6 or a trade secret; or (ii) information specifically
7 exempted from the disclosure by federal or State law.
8 (d) Definitions. For purposes of this Section:
9 "Employee" means a person employed by a public body whose
10relationship with the public body constitutes an
11employer-employee relationship under the usual common law
12rules, and who is not an independent contractor.
13 "Public office" means a position created by or under the
14Constitution or laws of this State, the occupant of which is
15charged with the exercise of some portion of the sovereign
16power of this State. The term "public office" shall include
17members of the public body, but it shall not include
18organizational positions filled by members thereof, whether
19established by law or by a public body itself, that exist to
20assist the body in the conduct of its business.
21 "Quasi-adjudicative body" means an administrative body
22charged by law or ordinance with the responsibility to conduct
23hearings, receive evidence or testimony and make
24determinations based thereon, but does not include local
25electoral boards when such bodies are considering petition
26challenges.

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1 (e) Final action. No final action may be taken at a closed
2meeting. Final action shall be preceded by a public recital of
3the nature of the matter being considered and other information
4that will inform the public of the business being conducted.
5(Source: P.A. 100-201, eff. 8-18-17; 100-465, eff. 8-31-17;
6100-646, eff. 7-27-18; 101-31, eff. 6-28-19; 101-459, eff.
78-23-19; revised 9-27-19.)
8 Section 10-330. The State Officials and Employees Ethics
9Act is amended by changing Section 5-45 as follows:
10 (5 ILCS 430/5-45)
11 Sec. 5-45. Procurement; revolving door prohibition.
12 (a) No former officer, member, or State employee, or spouse
13or immediate family member living with such person, shall,
14within a period of one year immediately after termination of
15State employment, knowingly accept employment or receive
16compensation or fees for services from a person or entity if
17the officer, member, or State employee, during the year
18immediately preceding termination of State employment,
19participated personally and substantially in the award of State
20contracts, or the issuance of State contract change orders,
21with a cumulative value of $25,000 or more to the person or
22entity, or its parent or subsidiary.
23 (a-5) No officer, member, or spouse or immediate family
24member living with such person shall, during the officer or

HB5561- 303 -LRB101 17547 JWD 66965 b
1member's term in office or within a period of 2 years
2immediately leaving office, hold an ownership interest, other
3than a passive interest in a publicly traded company, in any
4gaming license under the Illinois Gambling Act, the Video
5Gaming Act, the Illinois Horse Racing Act of 1975, or the
6Sports Wagering Act. Any member of the General Assembly or
7spouse or immediate family member living with such person who
8has an ownership interest, other than a passive interest in a
9publicly traded company, in any gaming license under the
10Illinois Gambling Act, the Illinois Horse Racing Act of 1975,
11the Video Gaming Act, or the Sports Wagering Act at the time of
12the effective date of this amendatory Act of the 101st General
13Assembly shall divest himself or herself of such ownership
14within one year after the effective date of this amendatory Act
15of the 101st General Assembly. No State employee who works for
16the Illinois Gaming Board or Illinois Racing Board or spouse or
17immediate family member living with such person shall, during
18State employment or within a period of 2 years immediately
19after termination of State employment, hold an ownership
20interest, other than a passive interest in a publicly traded
21company, in any gaming license under the Illinois Gambling Act,
22the Video Gaming Act, the Illinois Horse Racing Act of 1975, or
23the Sports Wagering Act.
24 (a-10) This subsection (a-10) applies on and after June 25,
252021. No officer, member, or spouse or immediate family member
26living with such person, shall, during the officer or member's

HB5561- 304 -LRB101 17547 JWD 66965 b
1term in office or within a period of 2 years immediately after
2leaving office, hold an ownership interest, other than a
3passive interest in a publicly traded company, in any cannabis
4business establishment which is licensed under the Cannabis
5Regulation and Tax Act. Any member of the General Assembly or
6spouse or immediate family member living with such person who
7has an ownership interest, other than a passive interest in a
8publicly traded company, in any cannabis business
9establishment which is licensed under the Cannabis Regulation
10and Tax Act at the time of the effective date of this
11amendatory Act of the 101st General Assembly shall divest
12himself or herself of such ownership within one year after the
13effective date of this amendatory Act of the 101st General
14Assembly.
15 No State employee who works for any State agency that
16regulates cannabis business establishment license holders who
17participated personally and substantially in the award of
18licenses under the Cannabis Regulation and Tax Act or a spouse
19or immediate family member living with such person shall,
20during State employment or within a period of 2 years
21immediately after termination of State employment, hold an
22ownership interest, other than a passive interest in a publicly
23traded company, in any cannabis license under the Cannabis
24Regulation and Tax Act.
25 (b) No former officer of the executive branch or State
26employee of the executive branch with regulatory or licensing

HB5561- 305 -LRB101 17547 JWD 66965 b
1authority, or spouse or immediate family member living with
2such person, shall, within a period of one year immediately
3after termination of State employment, knowingly accept
4employment or receive compensation or fees for services from a
5person or entity if the officer or State employee, during the
6year immediately preceding termination of State employment,
7participated personally and substantially in making a
8regulatory or licensing decision that directly applied to the
9person or entity, or its parent or subsidiary.
10 (c) Within 6 months after the effective date of this
11amendatory Act of the 96th General Assembly, each executive
12branch constitutional officer and legislative leader, the
13Auditor General, and the Joint Committee on Legislative Support
14Services shall adopt a policy delineating which State positions
15under his or her jurisdiction and control, by the nature of
16their duties, may have the authority to participate personally
17and substantially in the award of State contracts or in
18regulatory or licensing decisions. The Governor shall adopt
19such a policy for all State employees of the executive branch
20not under the jurisdiction and control of any other executive
21branch constitutional officer.
22 The policies required under subsection (c) of this Section
23shall be filed with the appropriate ethics commission
24established under this Act or, for the Auditor General, with
25the Office of the Auditor General.
26 (d) Each Inspector General shall have the authority to

HB5561- 306 -LRB101 17547 JWD 66965 b
1determine that additional State positions under his or her
2jurisdiction, not otherwise subject to the policies required by
3subsection (c) of this Section, are nonetheless subject to the
4notification requirement of subsection (f) below due to their
5involvement in the award of State contracts or in regulatory or
6licensing decisions.
7 (e) The Joint Committee on Legislative Support Services,
8the Auditor General, and each of the executive branch
9constitutional officers and legislative leaders subject to
10subsection (c) of this Section shall provide written
11notification to all employees in positions subject to the
12policies required by subsection (c) or a determination made
13under subsection (d): (1) upon hiring, promotion, or transfer
14into the relevant position; and (2) at the time the employee's
15duties are changed in such a way as to qualify that employee.
16An employee receiving notification must certify in writing that
17the person was advised of the prohibition and the requirement
18to notify the appropriate Inspector General in subsection (f).
19 (f) Any State employee in a position subject to the
20policies required by subsection (c) or to a determination under
21subsection (d), but who does not fall within the prohibition of
22subsection (h) below, who is offered non-State employment
23during State employment or within a period of one year
24immediately after termination of State employment shall, prior
25to accepting such non-State employment, notify the appropriate
26Inspector General. Within 10 calendar days after receiving

HB5561- 307 -LRB101 17547 JWD 66965 b
1notification from an employee in a position subject to the
2policies required by subsection (c), such Inspector General
3shall make a determination as to whether the State employee is
4restricted from accepting such employment by subsection (a) or
5(b). In making a determination, in addition to any other
6relevant information, an Inspector General shall assess the
7effect of the prospective employment or relationship upon
8decisions referred to in subsections (a) and (b), based on the
9totality of the participation by the former officer, member, or
10State employee in those decisions. A determination by an
11Inspector General must be in writing, signed and dated by the
12Inspector General, and delivered to the subject of the
13determination within 10 calendar days or the person is deemed
14eligible for the employment opportunity. For purposes of this
15subsection, "appropriate Inspector General" means (i) for
16members and employees of the legislative branch, the
17Legislative Inspector General; (ii) for the Auditor General and
18employees of the Office of the Auditor General, the Inspector
19General provided for in Section 30-5 of this Act; and (iii) for
20executive branch officers and employees, the Inspector General
21having jurisdiction over the officer or employee. Notice of any
22determination of an Inspector General and of any such appeal
23shall be given to the ultimate jurisdictional authority, the
24Attorney General, and the Executive Ethics Commission.
25 (g) An Inspector General's determination regarding
26restrictions under subsection (a) or (b) may be appealed to the

HB5561- 308 -LRB101 17547 JWD 66965 b
1appropriate Ethics Commission by the person subject to the
2decision or the Attorney General no later than the 10th
3calendar day after the date of the determination.
4 On appeal, the Ethics Commission or Auditor General shall
5seek, accept, and consider written public comments regarding a
6determination. In deciding whether to uphold an Inspector
7General's determination, the appropriate Ethics Commission or
8Auditor General shall assess, in addition to any other relevant
9information, the effect of the prospective employment or
10relationship upon the decisions referred to in subsections (a)
11and (b), based on the totality of the participation by the
12former officer, member, or State employee in those decisions.
13The Ethics Commission shall decide whether to uphold an
14Inspector General's determination within 10 calendar days or
15the person is deemed eligible for the employment opportunity.
16 (h) The following officers, members, or State employees
17shall not, within a period of one year immediately after
18termination of office or State employment, knowingly accept
19employment or receive compensation or fees for services from a
20person or entity if the person or entity or its parent or
21subsidiary, during the year immediately preceding termination
22of State employment, was a party to a State contract or
23contracts with a cumulative value of $25,000 or more involving
24the officer, member, or State employee's State agency, or was
25the subject of a regulatory or licensing decision involving the
26officer, member, or State employee's State agency, regardless

HB5561- 309 -LRB101 17547 JWD 66965 b
1of whether he or she participated personally and substantially
2in the award of the State contract or contracts or the making
3of the regulatory or licensing decision in question:
4 (1) members or officers;
5 (2) members of a commission or board created by the
6 Illinois Constitution;
7 (3) persons whose appointment to office is subject to
8 the advice and consent of the Senate;
9 (4) the head of a department, commission, board,
10 division, bureau, authority, or other administrative unit
11 within the government of this State;
12 (5) chief procurement officers, State purchasing
13 officers, and their designees whose duties are directly
14 related to State procurement; and
15 (6) chiefs of staff, deputy chiefs of staff, associate
16 chiefs of staff, assistant chiefs of staff, and deputy
17 governors;
18 (7) employees of the Illinois Racing Board; and
19 (8) employees of the Illinois Gaming Board.
20 (i) For the purposes of this Section, with respect to
21officers or employees of a regional transit board, as defined
22in this Act, the phrase "person or entity" does not include:
23(i) the United States government, (ii) the State, (iii)
24municipalities, as defined under Article VII, Section 1 of the
25Illinois Constitution, (iv) units of local government, as
26defined under Article VII, Section 1 of the Illinois

HB5561- 310 -LRB101 17547 JWD 66965 b
1Constitution, or (v) school districts.
2(Source: P.A. 101-31, eff. 6-28-19; 101-593, eff. 12-4-19.)
3 Section 10-340. The Alcoholism and Other Drug Abuse and
4Dependency Act is amended by changing Section 5-20 as follows:
5 (20 ILCS 301/5-20)
6 Sec. 5-20. Gambling disorders.
7 (a) Subject to appropriation, the Department shall
8establish a program for public education, research, and
9training regarding gambling disorders and the treatment and
10prevention of gambling disorders. Subject to specific
11appropriation for these stated purposes, the program must
12include all of the following:
13 (1) Establishment and maintenance of a toll-free "800"
14 telephone number to provide crisis counseling and referral
15 services to families experiencing difficulty as a result of
16 gambling disorders.
17 (2) Promotion of public awareness regarding the
18 recognition and prevention of gambling disorders.
19 (3) Facilitation, through in-service training and
20 other means, of the availability of effective assistance
21 programs for gambling disorders.
22 (4) Conducting studies to identify adults and
23 juveniles in this State who have, or who are at risk of
24 developing, gambling disorders.

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1 (b) Subject to appropriation, the Department shall either
2establish and maintain the program or contract with a private
3or public entity for the establishment and maintenance of the
4program. Subject to appropriation, either the Department or the
5private or public entity shall implement the toll-free
6telephone number, promote public awareness, and conduct
7in-service training concerning gambling disorders.
8 (c) Subject to appropriation, the Department shall produce
9and supply the signs specified in Section 10.7 of the Illinois
10Lottery Law, Section 34.1 of the Illinois Horse Racing Act of
111975, Section 4.3 of the Bingo License and Tax Act, Section 8.1
12of the Charitable Games Act, and Section 13.1 of the Illinois
13Riverboat Gambling Act.
14(Source: P.A. 101-31, eff. 6-28-19.)
15 Section 10-350. The Illinois Lottery Law is amended by
16changing Section 9.1 as follows:
17 (20 ILCS 1605/9.1)
18 Sec. 9.1. Private manager and management agreement.
19 (a) As used in this Section:
20 "Offeror" means a person or group of persons that responds
21to a request for qualifications under this Section.
22 "Request for qualifications" means all materials and
23documents prepared by the Department to solicit the following
24from offerors:

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1 (1) Statements of qualifications.
2 (2) Proposals to enter into a management agreement,
3 including the identity of any prospective vendor or vendors
4 that the offeror intends to initially engage to assist the
5 offeror in performing its obligations under the management
6 agreement.
7 "Final offer" means the last proposal submitted by an
8offeror in response to the request for qualifications,
9including the identity of any prospective vendor or vendors
10that the offeror intends to initially engage to assist the
11offeror in performing its obligations under the management
12agreement.
13 "Final offeror" means the offeror ultimately selected by
14the Governor to be the private manager for the Lottery under
15subsection (h) of this Section.
16 (b) By September 15, 2010, the Governor shall select a
17private manager for the total management of the Lottery with
18integrated functions, such as lottery game design, supply of
19goods and services, and advertising and as specified in this
20Section.
21 (c) Pursuant to the terms of this subsection, the
22Department shall endeavor to expeditiously terminate the
23existing contracts in support of the Lottery in effect on July
2413, 2009 (the effective date of Public Act 96-37) this
25amendatory Act of the 96th General Assembly in connection with
26the selection of the private manager. As part of its obligation

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1to terminate these contracts and select the private manager,
2the Department shall establish a mutually agreeable timetable
3to transfer the functions of existing contractors to the
4private manager so that existing Lottery operations are not
5materially diminished or impaired during the transition. To
6that end, the Department shall do the following:
7 (1) where such contracts contain a provision
8 authorizing termination upon notice, the Department shall
9 provide notice of termination to occur upon the mutually
10 agreed timetable for transfer of functions;
11 (2) upon the expiration of any initial term or renewal
12 term of the current Lottery contracts, the Department shall
13 not renew such contract for a term extending beyond the
14 mutually agreed timetable for transfer of functions; or
15 (3) in the event any current contract provides for
16 termination of that contract upon the implementation of a
17 contract with the private manager, the Department shall
18 perform all necessary actions to terminate the contract on
19 the date that coincides with the mutually agreed timetable
20 for transfer of functions.
21 If the contracts to support the current operation of the
22Lottery in effect on July 13, 2009 (the effective date of
23Public Act 96-34) this amendatory Act of the 96th General
24Assembly are not subject to termination as provided for in this
25subsection (c), then the Department may include a provision in
26the contract with the private manager specifying a mutually

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1agreeable methodology for incorporation.
2 (c-5) The Department shall include provisions in the
3management agreement whereby the private manager shall, for a
4fee, and pursuant to a contract negotiated with the Department
5(the "Employee Use Contract"), utilize the services of current
6Department employees to assist in the administration and
7operation of the Lottery. The Department shall be the employer
8of all such bargaining unit employees assigned to perform such
9work for the private manager, and such employees shall be State
10employees, as defined by the Personnel Code. Department
11employees shall operate under the same employment policies,
12rules, regulations, and procedures, as other employees of the
13Department. In addition, neither historical representation
14rights under the Illinois Public Labor Relations Act, nor
15existing collective bargaining agreements, shall be disturbed
16by the management agreement with the private manager for the
17management of the Lottery.
18 (d) The management agreement with the private manager shall
19include all of the following:
20 (1) A term not to exceed 10 years, including any
21 renewals.
22 (2) A provision specifying that the Department:
23 (A) shall exercise actual control over all
24 significant business decisions;
25 (A-5) has the authority to direct or countermand
26 operating decisions by the private manager at any time;

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1 (B) has ready access at any time to information
2 regarding Lottery operations;
3 (C) has the right to demand and receive information
4 from the private manager concerning any aspect of the
5 Lottery operations at any time; and
6 (D) retains ownership of all trade names,
7 trademarks, and intellectual property associated with
8 the Lottery.
9 (3) A provision imposing an affirmative duty on the
10 private manager to provide the Department with material
11 information and with any information the private manager
12 reasonably believes the Department would want to know to
13 enable the Department to conduct the Lottery.
14 (4) A provision requiring the private manager to
15 provide the Department with advance notice of any operating
16 decision that bears significantly on the public interest,
17 including, but not limited to, decisions on the kinds of
18 games to be offered to the public and decisions affecting
19 the relative risk and reward of the games being offered, so
20 the Department has a reasonable opportunity to evaluate and
21 countermand that decision.
22 (5) A provision providing for compensation of the
23 private manager that may consist of, among other things, a
24 fee for services and a performance based bonus as
25 consideration for managing the Lottery, including terms
26 that may provide the private manager with an increase in

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1 compensation if Lottery revenues grow by a specified
2 percentage in a given year.
3 (6) (Blank).
4 (7) A provision requiring the deposit of all Lottery
5 proceeds to be deposited into the State Lottery Fund except
6 as otherwise provided in Section 20 of this Act.
7 (8) A provision requiring the private manager to locate
8 its principal office within the State.
9 (8-5) A provision encouraging that at least 20% of the
10 cost of contracts entered into for goods and services by
11 the private manager in connection with its management of
12 the Lottery, other than contracts with sales agents or
13 technical advisors, be awarded to businesses that are a
14 minority-owned business, a women-owned business, or a
15 business owned by a person with disability, as those terms
16 are defined in the Business Enterprise for Minorities,
17 Women, and Persons with Disabilities Act.
18 (9) A requirement that so long as the private manager
19 complies with all the conditions of the agreement under the
20 oversight of the Department, the private manager shall have
21 the following duties and obligations with respect to the
22 management of the Lottery:
23 (A) The right to use equipment and other assets
24 used in the operation of the Lottery.
25 (B) The rights and obligations under contracts
26 with retailers and vendors.

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1 (C) The implementation of a comprehensive security
2 program by the private manager.
3 (D) The implementation of a comprehensive system
4 of internal audits.
5 (E) The implementation of a program by the private
6 manager to curb compulsive gambling by persons playing
7 the Lottery.
8 (F) A system for determining (i) the type of
9 Lottery games, (ii) the method of selecting winning
10 tickets, (iii) the manner of payment of prizes to
11 holders of winning tickets, (iv) the frequency of
12 drawings of winning tickets, (v) the method to be used
13 in selling tickets, (vi) a system for verifying the
14 validity of tickets claimed to be winning tickets,
15 (vii) the basis upon which retailer commissions are
16 established by the manager, and (viii) minimum
17 payouts.
18 (10) A requirement that advertising and promotion must
19 be consistent with Section 7.8a of this Act.
20 (11) A requirement that the private manager market the
21 Lottery to those residents who are new, infrequent, or
22 lapsed players of the Lottery, especially those who are
23 most likely to make regular purchases on the Internet as
24 permitted by law.
25 (12) A code of ethics for the private manager's
26 officers and employees.

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1 (13) A requirement that the Department monitor and
2 oversee the private manager's practices and take action
3 that the Department considers appropriate to ensure that
4 the private manager is in compliance with the terms of the
5 management agreement, while allowing the manager, unless
6 specifically prohibited by law or the management
7 agreement, to negotiate and sign its own contracts with
8 vendors.
9 (14) A provision requiring the private manager to
10 periodically file, at least on an annual basis, appropriate
11 financial statements in a form and manner acceptable to the
12 Department.
13 (15) Cash reserves requirements.
14 (16) Procedural requirements for obtaining the prior
15 approval of the Department when a management agreement or
16 an interest in a management agreement is sold, assigned,
17 transferred, or pledged as collateral to secure financing.
18 (17) Grounds for the termination of the management
19 agreement by the Department or the private manager.
20 (18) Procedures for amendment of the agreement.
21 (19) A provision requiring the private manager to
22 engage in an open and competitive bidding process for any
23 procurement having a cost in excess of $50,000 that is not
24 a part of the private manager's final offer. The process
25 shall favor the selection of a vendor deemed to have
26 submitted a proposal that provides the Lottery with the

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1 best overall value. The process shall not be subject to the
2 provisions of the Illinois Procurement Code, unless
3 specifically required by the management agreement.
4 (20) The transition of rights and obligations,
5 including any associated equipment or other assets used in
6 the operation of the Lottery, from the manager to any
7 successor manager of the lottery, including the
8 Department, following the termination of or foreclosure
9 upon the management agreement.
10 (21) Right of use of copyrights, trademarks, and
11 service marks held by the Department in the name of the
12 State. The agreement must provide that any use of them by
13 the manager shall only be for the purpose of fulfilling its
14 obligations under the management agreement during the term
15 of the agreement.
16 (22) The disclosure of any information requested by the
17 Department to enable it to comply with the reporting
18 requirements and information requests provided for under
19 subsection (p) of this Section.
20 (e) Notwithstanding any other law to the contrary, the
21Department shall select a private manager through a competitive
22request for qualifications process consistent with Section
2320-35 of the Illinois Procurement Code, which shall take into
24account:
25 (1) the offeror's ability to market the Lottery to
26 those residents who are new, infrequent, or lapsed players

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1 of the Lottery, especially those who are most likely to
2 make regular purchases on the Internet;
3 (2) the offeror's ability to address the State's
4 concern with the social effects of gambling on those who
5 can least afford to do so;
6 (3) the offeror's ability to provide the most
7 successful management of the Lottery for the benefit of the
8 people of the State based on current and past business
9 practices or plans of the offeror; and
10 (4) the offeror's poor or inadequate past performance
11 in servicing, equipping, operating or managing a lottery on
12 behalf of Illinois, another State or foreign government and
13 attracting persons who are not currently regular players of
14 a lottery.
15 (f) The Department may retain the services of an advisor or
16advisors with significant experience in financial services or
17the management, operation, and procurement of goods, services,
18and equipment for a government-run lottery to assist in the
19preparation of the terms of the request for qualifications and
20selection of the private manager. Any prospective advisor
21seeking to provide services under this subsection (f) shall
22disclose any material business or financial relationship
23during the past 3 years with any potential offeror, or with a
24contractor or subcontractor presently providing goods,
25services, or equipment to the Department to support the
26Lottery. The Department shall evaluate the material business or

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1financial relationship of each prospective advisor. The
2Department shall not select any prospective advisor with a
3substantial business or financial relationship that the
4Department deems to impair the objectivity of the services to
5be provided by the prospective advisor. During the course of
6the advisor's engagement by the Department, and for a period of
7one year thereafter, the advisor shall not enter into any
8business or financial relationship with any offeror or any
9vendor identified to assist an offeror in performing its
10obligations under the management agreement. Any advisor
11retained by the Department shall be disqualified from being an
12offeror. The Department shall not include terms in the request
13for qualifications that provide a material advantage whether
14directly or indirectly to any potential offeror, or any
15contractor or subcontractor presently providing goods,
16services, or equipment to the Department to support the
17Lottery, including terms contained in previous responses to
18requests for proposals or qualifications submitted to
19Illinois, another State or foreign government when those terms
20are uniquely associated with a particular potential offeror,
21contractor, or subcontractor. The request for proposals
22offered by the Department on December 22, 2008 as
23"LOT08GAMESYS" and reference number "22016176" is declared
24void.
25 (g) The Department shall select at least 2 offerors as
26finalists to potentially serve as the private manager no later

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1than August 9, 2010. Upon making preliminary selections, the
2Department shall schedule a public hearing on the finalists'
3proposals and provide public notice of the hearing at least 7
4calendar days before the hearing. The notice must include all
5of the following:
6 (1) The date, time, and place of the hearing.
7 (2) The subject matter of the hearing.
8 (3) A brief description of the management agreement to
9 be awarded.
10 (4) The identity of the offerors that have been
11 selected as finalists to serve as the private manager.
12 (5) The address and telephone number of the Department.
13 (h) At the public hearing, the Department shall (i) provide
14sufficient time for each finalist to present and explain its
15proposal to the Department and the Governor or the Governor's
16designee, including an opportunity to respond to questions
17posed by the Department, Governor, or designee and (ii) allow
18the public and non-selected offerors to comment on the
19presentations. The Governor or a designee shall attend the
20public hearing. After the public hearing, the Department shall
21have 14 calendar days to recommend to the Governor whether a
22management agreement should be entered into with a particular
23finalist. After reviewing the Department's recommendation, the
24Governor may accept or reject the Department's recommendation,
25and shall select a final offeror as the private manager by
26publication of a notice in the Illinois Procurement Bulletin on

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1or before September 15, 2010. The Governor shall include in the
2notice a detailed explanation and the reasons why the final
3offeror is superior to other offerors and will provide
4management services in a manner that best achieves the
5objectives of this Section. The Governor shall also sign the
6management agreement with the private manager.
7 (i) Any action to contest the private manager selected by
8the Governor under this Section must be brought within 7
9calendar days after the publication of the notice of the
10designation of the private manager as provided in subsection
11(h) of this Section.
12 (j) The Lottery shall remain, for so long as a private
13manager manages the Lottery in accordance with provisions of
14this Act, a Lottery conducted by the State, and the State shall
15not be authorized to sell or transfer the Lottery to a third
16party.
17 (k) Any tangible personal property used exclusively in
18connection with the lottery that is owned by the Department and
19leased to the private manager shall be owned by the Department
20in the name of the State and shall be considered to be public
21property devoted to an essential public and governmental
22function.
23 (l) The Department may exercise any of its powers under
24this Section or any other law as necessary or desirable for the
25execution of the Department's powers under this Section.
26 (m) Neither this Section nor any management agreement

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1entered into under this Section prohibits the General Assembly
2from authorizing forms of gambling that are not in direct
3competition with the Lottery. The forms of gambling authorized
4by this amendatory Act of the 101st General Assembly constitute
5authorized forms of gambling that are not in direct competition
6with the Lottery.
7 (n) The private manager shall be subject to a complete
8investigation in the third, seventh, and tenth years of the
9agreement (if the agreement is for a 10-year term) by the
10Department in cooperation with the Auditor General to determine
11whether the private manager has complied with this Section and
12the management agreement. The private manager shall bear the
13cost of an investigation or reinvestigation of the private
14manager under this subsection.
15 (o) The powers conferred by this Section are in addition
16and supplemental to the powers conferred by any other law. If
17any other law or rule is inconsistent with this Section,
18including, but not limited to, provisions of the Illinois
19Procurement Code, then this Section controls as to any
20management agreement entered into under this Section. This
21Section and any rules adopted under this Section contain full
22and complete authority for a management agreement between the
23Department and a private manager. No law, procedure,
24proceeding, publication, notice, consent, approval, order, or
25act by the Department or any other officer, Department, agency,
26or instrumentality of the State or any political subdivision is

HB5561- 325 -LRB101 17547 JWD 66965 b
1required for the Department to enter into a management
2agreement under this Section. This Section contains full and
3complete authority for the Department to approve any contracts
4entered into by a private manager with a vendor providing
5goods, services, or both goods and services to the private
6manager under the terms of the management agreement, including
7subcontractors of such vendors.
8 Upon receipt of a written request from the Chief
9Procurement Officer, the Department shall provide to the Chief
10Procurement Officer a complete and un-redacted copy of the
11management agreement or any contract that is subject to the
12Department's approval authority under this subsection (o). The
13Department shall provide a copy of the agreement or contract to
14the Chief Procurement Officer in the time specified by the
15Chief Procurement Officer in his or her written request, but no
16later than 5 business days after the request is received by the
17Department. The Chief Procurement Officer must retain any
18portions of the management agreement or of any contract
19designated by the Department as confidential, proprietary, or
20trade secret information in complete confidence pursuant to
21subsection (g) of Section 7 of the Freedom of Information Act.
22The Department shall also provide the Chief Procurement Officer
23with reasonable advance written notice of any contract that is
24pending Department approval.
25 Notwithstanding any other provision of this Section to the
26contrary, the Chief Procurement Officer shall adopt

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1administrative rules, including emergency rules, to establish
2a procurement process to select a successor private manager if
3a private management agreement has been terminated. The
4selection process shall at a minimum take into account the
5criteria set forth in items (1) through (4) of subsection (e)
6of this Section and may include provisions consistent with
7subsections (f), (g), (h), and (i) of this Section. The Chief
8Procurement Officer shall also implement and administer the
9adopted selection process upon the termination of a private
10management agreement. The Department, after the Chief
11Procurement Officer certifies that the procurement process has
12been followed in accordance with the rules adopted under this
13subsection (o), shall select a final offeror as the private
14manager and sign the management agreement with the private
15manager.
16 Except as provided in Sections 21.5, 21.6, 21.7, 21.8,
1721.9, 21.10, 21.11, 21.12, and 21.13, the Department shall
18distribute all proceeds of lottery tickets and shares sold in
19the following priority and manner:
20 (1) The payment of prizes and retailer bonuses.
21 (2) The payment of costs incurred in the operation and
22 administration of the Lottery, including the payment of
23 sums due to the private manager under the management
24 agreement with the Department.
25 (3) On the last day of each month or as soon thereafter
26 as possible, the State Comptroller shall direct and the

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1 State Treasurer shall transfer from the State Lottery Fund
2 to the Common School Fund an amount that is equal to the
3 proceeds transferred in the corresponding month of fiscal
4 year 2009, as adjusted for inflation, to the Common School
5 Fund.
6 (4) On or before September 30 of each fiscal year,
7 deposit any estimated remaining proceeds from the prior
8 fiscal year, subject to payments under items (1), (2), and
9 (3), into the Capital Projects Fund. Beginning in fiscal
10 year 2019, the amount deposited shall be increased or
11 decreased each year by the amount the estimated payment
12 differs from the amount determined from each year-end
13 financial audit. Only remaining net deficits from prior
14 fiscal years may reduce the requirement to deposit these
15 funds, as determined by the annual financial audit.
16 (p) The Department shall be subject to the following
17reporting and information request requirements:
18 (1) the Department shall submit written quarterly
19 reports to the Governor and the General Assembly on the
20 activities and actions of the private manager selected
21 under this Section;
22 (2) upon request of the Chief Procurement Officer, the
23 Department shall promptly produce information related to
24 the procurement activities of the Department and the
25 private manager requested by the Chief Procurement
26 Officer; the Chief Procurement Officer must retain

HB5561- 328 -LRB101 17547 JWD 66965 b
1 confidential, proprietary, or trade secret information
2 designated by the Department in complete confidence
3 pursuant to subsection (g) of Section 7 of the Freedom of
4 Information Act; and
5 (3) at least 30 days prior to the beginning of the
6 Department's fiscal year, the Department shall prepare an
7 annual written report on the activities of the private
8 manager selected under this Section and deliver that report
9 to the Governor and General Assembly.
10(Source: P.A. 100-391, eff. 8-25-17; 100-587, eff. 6-4-18;
11100-647, eff. 7-30-18; 100-1068, eff. 8-24-18; 101-31, eff.
126-28-19; 101-81, eff. 7-12-19; 101-561, eff. 8-23-19; revised
1310-21-19.)
14 Section 10-360. The Department of Revenue Law of the Civil
15Administrative Code of Illinois is amended by changing Section
162505-305 as follows:
17 (20 ILCS 2505/2505-305) (was 20 ILCS 2505/39b15.1)
18 Sec. 2505-305. Investigators.
19 (a) The Department has the power to appoint investigators
20to conduct all investigations, searches, seizures, arrests,
21and other duties imposed under the provisions of any law
22administered by the Department. Except as provided in
23subsection (c), these investigators have and may exercise all
24the powers of peace officers solely for the purpose of

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1enforcing taxing measures administered by the Department.
2 (b) The Director must authorize to each investigator
3employed under this Section and to any other employee of the
4Department exercising the powers of a peace officer a distinct
5badge that, on its face, (i) clearly states that the badge is
6authorized by the Department and (ii) contains a unique
7identifying number. No other badge shall be authorized by the
8Department.
9 (c) The Department may enter into agreements with the
10Illinois Gaming Board providing that investigators appointed
11under this Section shall exercise the peace officer powers set
12forth in paragraph (20.6) of subsection (c) of Section 5 of the
13Illinois Riverboat Gambling Act.
14(Source: P.A. 101-31, eff. 6-28-19.)
15 Section 10-370. The State Finance Act is amended by
16changing Section 6z-45 as follows:
17 (30 ILCS 105/6z-45)
18 Sec. 6z-45. The School Infrastructure Fund.
19 (a) The School Infrastructure Fund is created as a special
20fund in the State Treasury.
21 In addition to any other deposits authorized by law,
22beginning January 1, 2000, on the first day of each month, or
23as soon thereafter as may be practical, the State Treasurer and
24State Comptroller shall transfer the sum of $5,000,000 from the

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1General Revenue Fund to the School Infrastructure Fund, except
2that, notwithstanding any other provision of law, and in
3addition to any other transfers that may be provided for by
4law, before June 30, 2012, the Comptroller and the Treasurer
5shall transfer $45,000,000 from the General Revenue Fund into
6the School Infrastructure Fund, and, for fiscal year 2013 only,
7the Treasurer and the Comptroller shall transfer $1,250,000
8from the General Revenue Fund to the School Infrastructure Fund
9on the first day of each month; provided, however, that no such
10transfers shall be made from July 1, 2001 through June 30,
112003.
12 (a-5) Money in the School Infrastructure Fund may be used
13to pay the expenses of the State Board of Education, the
14Governor's Office of Management and Budget, and the Capital
15Development Board in administering programs under the School
16Construction Law, the total expenses not to exceed $1,315,000
17in any fiscal year.
18 (b) Subject to the transfer provisions set forth below,
19money in the School Infrastructure Fund shall, if and when the
20State of Illinois incurs any bonded indebtedness for the
21construction of school improvements under subsection (e) of
22Section 5 of the General Obligation Bond Act, be set aside and
23used for the purpose of paying and discharging annually the
24principal and interest on that bonded indebtedness then due and
25payable, and for no other purpose.
26 In addition to other transfers to the General Obligation

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1Bond Retirement and Interest Fund made pursuant to Section 15
2of the General Obligation Bond Act, upon each delivery of bonds
3issued for construction of school improvements under the School
4Construction Law, the State Comptroller shall compute and
5certify to the State Treasurer the total amount of principal
6of, interest on, and premium, if any, on such bonds during the
7then current and each succeeding fiscal year. With respect to
8the interest payable on variable rate bonds, such
9certifications shall be calculated at the maximum rate of
10interest that may be payable during the fiscal year, after
11taking into account any credits permitted in the related
12indenture or other instrument against the amount of such
13interest required to be appropriated for that period.
14 On or before the last day of each month, the State
15Treasurer and State Comptroller shall transfer from the School
16Infrastructure Fund to the General Obligation Bond Retirement
17and Interest Fund an amount sufficient to pay the aggregate of
18the principal of, interest on, and premium, if any, on the
19bonds payable on their next payment date, divided by the number
20of monthly transfers occurring between the last previous
21payment date (or the delivery date if no payment date has yet
22occurred) and the next succeeding payment date. Interest
23payable on variable rate bonds shall be calculated at the
24maximum rate of interest that may be payable for the relevant
25period, after taking into account any credits permitted in the
26related indenture or other instrument against the amount of

HB5561- 332 -LRB101 17547 JWD 66965 b
1such interest required to be appropriated for that period.
2Interest for which moneys have already been deposited into the
3capitalized interest account within the General Obligation
4Bond Retirement and Interest Fund shall not be included in the
5calculation of the amounts to be transferred under this
6subsection.
7 (b-5) The money deposited into the School Infrastructure
8Fund from transfers pursuant to subsections (c-30) and (c-35)
9of Section 13 of the Illinois Riverboat Gambling Act shall be
10applied, without further direction, as provided in subsection
11(b-3) of Section 5-35 of the School Construction Law.
12 (c) The surplus, if any, in the School Infrastructure Fund
13after payments made pursuant to subsections (a-5), (b), and
14(b-5) of this Section shall, subject to appropriation, be used
15as follows:
16 First - to make 3 payments to the School Technology
17Revolving Loan Fund as follows:
18 Transfer of $30,000,000 in fiscal year 1999;
19 Transfer of $20,000,000 in fiscal year 2000; and
20 Transfer of $10,000,000 in fiscal year 2001.
21 Second - to pay any amounts due for grants for school
22construction projects and debt service under the School
23Construction Law.
24 Third - to pay any amounts due for grants for school
25maintenance projects under the School Construction Law.
26(Source: P.A. 101-31, eff. 6-28-19.)

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1 Section 10-380. The Illinois Income Tax Act is amended by
2changing Sections 201, 303, 304, and 710 as follows:
3 (35 ILCS 5/201) (from Ch. 120, par. 2-201)
4 Sec. 201. Tax imposed.
5 (a) In general. A tax measured by net income is hereby
6imposed on every individual, corporation, trust and estate for
7each taxable year ending after July 31, 1969 on the privilege
8of earning or receiving income in or as a resident of this
9State. Such tax shall be in addition to all other occupation or
10privilege taxes imposed by this State or by any municipal
11corporation or political subdivision thereof.
12 (b) Rates. The tax imposed by subsection (a) of this
13Section shall be determined as follows, except as adjusted by
14subsection (d-1):
15 (1) In the case of an individual, trust or estate, for
16 taxable years ending prior to July 1, 1989, an amount equal
17 to 2 1/2% of the taxpayer's net income for the taxable
18 year.
19 (2) In the case of an individual, trust or estate, for
20 taxable years beginning prior to July 1, 1989 and ending
21 after June 30, 1989, an amount equal to the sum of (i) 2
22 1/2% of the taxpayer's net income for the period prior to
23 July 1, 1989, as calculated under Section 202.3, and (ii)
24 3% of the taxpayer's net income for the period after June

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1 30, 1989, as calculated under Section 202.3.
2 (3) In the case of an individual, trust or estate, for
3 taxable years beginning after June 30, 1989, and ending
4 prior to January 1, 2011, an amount equal to 3% of the
5 taxpayer's net income for the taxable year.
6 (4) In the case of an individual, trust, or estate, for
7 taxable years beginning prior to January 1, 2011, and
8 ending after December 31, 2010, an amount equal to the sum
9 of (i) 3% of the taxpayer's net income for the period prior
10 to January 1, 2011, as calculated under Section 202.5, and
11 (ii) 5% of the taxpayer's net income for the period after
12 December 31, 2010, as calculated under Section 202.5.
13 (5) In the case of an individual, trust, or estate, for
14 taxable years beginning on or after January 1, 2011, and
15 ending prior to January 1, 2015, an amount equal to 5% of
16 the taxpayer's net income for the taxable year.
17 (5.1) In the case of an individual, trust, or estate,
18 for taxable years beginning prior to January 1, 2015, and
19 ending after December 31, 2014, an amount equal to the sum
20 of (i) 5% of the taxpayer's net income for the period prior
21 to January 1, 2015, as calculated under Section 202.5, and
22 (ii) 3.75% of the taxpayer's net income for the period
23 after December 31, 2014, as calculated under Section 202.5.
24 (5.2) In the case of an individual, trust, or estate,
25 for taxable years beginning on or after January 1, 2015,
26 and ending prior to July 1, 2017, an amount equal to 3.75%

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1 of the taxpayer's net income for the taxable year.
2 (5.3) In the case of an individual, trust, or estate,
3 for taxable years beginning prior to July 1, 2017, and
4 ending after June 30, 2017, an amount equal to the sum of
5 (i) 3.75% of the taxpayer's net income for the period prior
6 to July 1, 2017, as calculated under Section 202.5, and
7 (ii) 4.95% of the taxpayer's net income for the period
8 after June 30, 2017, as calculated under Section 202.5.
9 (5.4) In the case of an individual, trust, or estate,
10 for taxable years beginning on or after July 1, 2017, an
11 amount equal to 4.95% of the taxpayer's net income for the
12 taxable year.
13 (6) In the case of a corporation, for taxable years
14 ending prior to July 1, 1989, an amount equal to 4% of the
15 taxpayer's net income for the taxable year.
16 (7) In the case of a corporation, for taxable years
17 beginning prior to July 1, 1989 and ending after June 30,
18 1989, an amount equal to the sum of (i) 4% of the
19 taxpayer's net income for the period prior to July 1, 1989,
20 as calculated under Section 202.3, and (ii) 4.8% of the
21 taxpayer's net income for the period after June 30, 1989,
22 as calculated under Section 202.3.
23 (8) In the case of a corporation, for taxable years
24 beginning after June 30, 1989, and ending prior to January
25 1, 2011, an amount equal to 4.8% of the taxpayer's net
26 income for the taxable year.

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1 (9) In the case of a corporation, for taxable years
2 beginning prior to January 1, 2011, and ending after
3 December 31, 2010, an amount equal to the sum of (i) 4.8%
4 of the taxpayer's net income for the period prior to
5 January 1, 2011, as calculated under Section 202.5, and
6 (ii) 7% of the taxpayer's net income for the period after
7 December 31, 2010, as calculated under Section 202.5.
8 (10) In the case of a corporation, for taxable years
9 beginning on or after January 1, 2011, and ending prior to
10 January 1, 2015, an amount equal to 7% of the taxpayer's
11 net income for the taxable year.
12 (11) In the case of a corporation, for taxable years
13 beginning prior to January 1, 2015, and ending after
14 December 31, 2014, an amount equal to the sum of (i) 7% of
15 the taxpayer's net income for the period prior to January
16 1, 2015, as calculated under Section 202.5, and (ii) 5.25%
17 of the taxpayer's net income for the period after December
18 31, 2014, as calculated under Section 202.5.
19 (12) In the case of a corporation, for taxable years
20 beginning on or after January 1, 2015, and ending prior to
21 July 1, 2017, an amount equal to 5.25% of the taxpayer's
22 net income for the taxable year.
23 (13) In the case of a corporation, for taxable years
24 beginning prior to July 1, 2017, and ending after June 30,
25 2017, an amount equal to the sum of (i) 5.25% of the
26 taxpayer's net income for the period prior to July 1, 2017,

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1 as calculated under Section 202.5, and (ii) 7% of the
2 taxpayer's net income for the period after June 30, 2017,
3 as calculated under Section 202.5.
4 (14) In the case of a corporation, for taxable years
5 beginning on or after July 1, 2017, an amount equal to 7%
6 of the taxpayer's net income for the taxable year.
7 The rates under this subsection (b) are subject to the
8provisions of Section 201.5.
9 (b-5) Surcharge; sale or exchange of assets, properties,
10and intangibles of organization gaming licensees. For each of
11taxable years 2019 through 2027, a surcharge is imposed on all
12taxpayers on income arising from the sale or exchange of
13capital assets, depreciable business property, real property
14used in the trade or business, and Section 197 intangibles (i)
15of an organization licensee under the Illinois Horse Racing Act
16of 1975 and (ii) of an organization gaming licensee under the
17Illinois Gambling Act. The amount of the surcharge is equal to
18the amount of federal income tax liability for the taxable year
19attributable to those sales and exchanges. The surcharge
20imposed shall not apply if:
21 (1) the organization gaming license, organization
22 license, or racetrack property is transferred as a result
23 of any of the following:
24 (A) bankruptcy, a receivership, or a debt
25 adjustment initiated by or against the initial
26 licensee or the substantial owners of the initial

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1 licensee;
2 (B) cancellation, revocation, or termination of
3 any such license by the Illinois Gaming Board or the
4 Illinois Racing Board;
5 (C) a determination by the Illinois Gaming Board
6 that transfer of the license is in the best interests
7 of Illinois gaming;
8 (D) the death of an owner of the equity interest in
9 a licensee;
10 (E) the acquisition of a controlling interest in
11 the stock or substantially all of the assets of a
12 publicly traded company;
13 (F) a transfer by a parent company to a wholly
14 owned subsidiary; or
15 (G) the transfer or sale to or by one person to
16 another person where both persons were initial owners
17 of the license when the license was issued; or
18 (2) the controlling interest in the organization
19 gaming license, organization license, or racetrack
20 property is transferred in a transaction to lineal
21 descendants in which no gain or loss is recognized or as a
22 result of a transaction in accordance with Section 351 of
23 the Internal Revenue Code in which no gain or loss is
24 recognized; or
25 (3) live horse racing was not conducted in 2010 at a
26 racetrack located within 3 miles of the Mississippi River

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1 under a license issued pursuant to the Illinois Horse
2 Racing Act of 1975.
3 The transfer of an organization gaming license,
4organization license, or racetrack property by a person other
5than the initial licensee to receive the organization gaming
6license is not subject to a surcharge. The Department shall
7adopt rules necessary to implement and administer this
8subsection.
9 (c) Personal Property Tax Replacement Income Tax.
10Beginning on July 1, 1979 and thereafter, in addition to such
11income tax, there is also hereby imposed the Personal Property
12Tax Replacement Income Tax measured by net income on every
13corporation (including Subchapter S corporations), partnership
14and trust, for each taxable year ending after June 30, 1979.
15Such taxes are imposed on the privilege of earning or receiving
16income in or as a resident of this State. The Personal Property
17Tax Replacement Income Tax shall be in addition to the income
18tax imposed by subsections (a) and (b) of this Section and in
19addition to all other occupation or privilege taxes imposed by
20this State or by any municipal corporation or political
21subdivision thereof.
22 (d) Additional Personal Property Tax Replacement Income
23Tax Rates. The personal property tax replacement income tax
24imposed by this subsection and subsection (c) of this Section
25in the case of a corporation, other than a Subchapter S
26corporation and except as adjusted by subsection (d-1), shall

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1be an additional amount equal to 2.85% of such taxpayer's net
2income for the taxable year, except that beginning on January
31, 1981, and thereafter, the rate of 2.85% specified in this
4subsection shall be reduced to 2.5%, and in the case of a
5partnership, trust or a Subchapter S corporation shall be an
6additional amount equal to 1.5% of such taxpayer's net income
7for the taxable year.
8 (d-1) Rate reduction for certain foreign insurers. In the
9case of a foreign insurer, as defined by Section 35A-5 of the
10Illinois Insurance Code, whose state or country of domicile
11imposes on insurers domiciled in Illinois a retaliatory tax
12(excluding any insurer whose premiums from reinsurance assumed
13are 50% or more of its total insurance premiums as determined
14under paragraph (2) of subsection (b) of Section 304, except
15that for purposes of this determination premiums from
16reinsurance do not include premiums from inter-affiliate
17reinsurance arrangements), beginning with taxable years ending
18on or after December 31, 1999, the sum of the rates of tax
19imposed by subsections (b) and (d) shall be reduced (but not
20increased) to the rate at which the total amount of tax imposed
21under this Act, net of all credits allowed under this Act,
22shall equal (i) the total amount of tax that would be imposed
23on the foreign insurer's net income allocable to Illinois for
24the taxable year by such foreign insurer's state or country of
25domicile if that net income were subject to all income taxes
26and taxes measured by net income imposed by such foreign

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1insurer's state or country of domicile, net of all credits
2allowed or (ii) a rate of zero if no such tax is imposed on such
3income by the foreign insurer's state of domicile. For the
4purposes of this subsection (d-1), an inter-affiliate includes
5a mutual insurer under common management.
6 (1) For the purposes of subsection (d-1), in no event
7 shall the sum of the rates of tax imposed by subsections
8 (b) and (d) be reduced below the rate at which the sum of:
9 (A) the total amount of tax imposed on such foreign
10 insurer under this Act for a taxable year, net of all
11 credits allowed under this Act, plus
12 (B) the privilege tax imposed by Section 409 of the
13 Illinois Insurance Code, the fire insurance company
14 tax imposed by Section 12 of the Fire Investigation
15 Act, and the fire department taxes imposed under
16 Section 11-10-1 of the Illinois Municipal Code,
17 equals 1.25% for taxable years ending prior to December 31,
18 2003, or 1.75% for taxable years ending on or after
19 December 31, 2003, of the net taxable premiums written for
20 the taxable year, as described by subsection (1) of Section
21 409 of the Illinois Insurance Code. This paragraph will in
22 no event increase the rates imposed under subsections (b)
23 and (d).
24 (2) Any reduction in the rates of tax imposed by this
25 subsection shall be applied first against the rates imposed
26 by subsection (b) and only after the tax imposed by

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1 subsection (a) net of all credits allowed under this
2 Section other than the credit allowed under subsection (i)
3 has been reduced to zero, against the rates imposed by
4 subsection (d).
5 This subsection (d-1) is exempt from the provisions of
6Section 250.
7 (e) Investment credit. A taxpayer shall be allowed a credit
8against the Personal Property Tax Replacement Income Tax for
9investment in qualified property.
10 (1) A taxpayer shall be allowed a credit equal to .5%
11 of the basis of qualified property placed in service during
12 the taxable year, provided such property is placed in
13 service on or after July 1, 1984. There shall be allowed an
14 additional credit equal to .5% of the basis of qualified
15 property placed in service during the taxable year,
16 provided such property is placed in service on or after
17 July 1, 1986, and the taxpayer's base employment within
18 Illinois has increased by 1% or more over the preceding
19 year as determined by the taxpayer's employment records
20 filed with the Illinois Department of Employment Security.
21 Taxpayers who are new to Illinois shall be deemed to have
22 met the 1% growth in base employment for the first year in
23 which they file employment records with the Illinois
24 Department of Employment Security. The provisions added to
25 this Section by Public Act 85-1200 (and restored by Public
26 Act 87-895) shall be construed as declaratory of existing

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1 law and not as a new enactment. If, in any year, the
2 increase in base employment within Illinois over the
3 preceding year is less than 1%, the additional credit shall
4 be limited to that percentage times a fraction, the
5 numerator of which is .5% and the denominator of which is
6 1%, but shall not exceed .5%. The investment credit shall
7 not be allowed to the extent that it would reduce a
8 taxpayer's liability in any tax year below zero, nor may
9 any credit for qualified property be allowed for any year
10 other than the year in which the property was placed in
11 service in Illinois. For tax years ending on or after
12 December 31, 1987, and on or before December 31, 1988, the
13 credit shall be allowed for the tax year in which the
14 property is placed in service, or, if the amount of the
15 credit exceeds the tax liability for that year, whether it
16 exceeds the original liability or the liability as later
17 amended, such excess may be carried forward and applied to
18 the tax liability of the 5 taxable years following the
19 excess credit years if the taxpayer (i) makes investments
20 which cause the creation of a minimum of 2,000 full-time
21 equivalent jobs in Illinois, (ii) is located in an
22 enterprise zone established pursuant to the Illinois
23 Enterprise Zone Act and (iii) is certified by the
24 Department of Commerce and Community Affairs (now
25 Department of Commerce and Economic Opportunity) as
26 complying with the requirements specified in clause (i) and

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1 (ii) by July 1, 1986. The Department of Commerce and
2 Community Affairs (now Department of Commerce and Economic
3 Opportunity) shall notify the Department of Revenue of all
4 such certifications immediately. For tax years ending
5 after December 31, 1988, the credit shall be allowed for
6 the tax year in which the property is placed in service,
7 or, if the amount of the credit exceeds the tax liability
8 for that year, whether it exceeds the original liability or
9 the liability as later amended, such excess may be carried
10 forward and applied to the tax liability of the 5 taxable
11 years following the excess credit years. The credit shall
12 be applied to the earliest year for which there is a
13 liability. If there is credit from more than one tax year
14 that is available to offset a liability, earlier credit
15 shall be applied first.
16 (2) The term "qualified property" means property
17 which:
18 (A) is tangible, whether new or used, including
19 buildings and structural components of buildings and
20 signs that are real property, but not including land or
21 improvements to real property that are not a structural
22 component of a building such as landscaping, sewer
23 lines, local access roads, fencing, parking lots, and
24 other appurtenances;
25 (B) is depreciable pursuant to Section 167 of the
26 Internal Revenue Code, except that "3-year property"

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1 as defined in Section 168(c)(2)(A) of that Code is not
2 eligible for the credit provided by this subsection
3 (e);
4 (C) is acquired by purchase as defined in Section
5 179(d) of the Internal Revenue Code;
6 (D) is used in Illinois by a taxpayer who is
7 primarily engaged in manufacturing, or in mining coal
8 or fluorite, or in retailing, or was placed in service
9 on or after July 1, 2006 in a River Edge Redevelopment
10 Zone established pursuant to the River Edge
11 Redevelopment Zone Act; and
12 (E) has not previously been used in Illinois in
13 such a manner and by such a person as would qualify for
14 the credit provided by this subsection (e) or
15 subsection (f).
16 (3) For purposes of this subsection (e),
17 "manufacturing" means the material staging and production
18 of tangible personal property by procedures commonly
19 regarded as manufacturing, processing, fabrication, or
20 assembling which changes some existing material into new
21 shapes, new qualities, or new combinations. For purposes of
22 this subsection (e) the term "mining" shall have the same
23 meaning as the term "mining" in Section 613(c) of the
24 Internal Revenue Code. For purposes of this subsection (e),
25 the term "retailing" means the sale of tangible personal
26 property for use or consumption and not for resale, or

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1 services rendered in conjunction with the sale of tangible
2 personal property for use or consumption and not for
3 resale. For purposes of this subsection (e), "tangible
4 personal property" has the same meaning as when that term
5 is used in the Retailers' Occupation Tax Act, and, for
6 taxable years ending after December 31, 2008, does not
7 include the generation, transmission, or distribution of
8 electricity.
9 (4) The basis of qualified property shall be the basis
10 used to compute the depreciation deduction for federal
11 income tax purposes.
12 (5) If the basis of the property for federal income tax
13 depreciation purposes is increased after it has been placed
14 in service in Illinois by the taxpayer, the amount of such
15 increase shall be deemed property placed in service on the
16 date of such increase in basis.
17 (6) The term "placed in service" shall have the same
18 meaning as under Section 46 of the Internal Revenue Code.
19 (7) If during any taxable year, any property ceases to
20 be qualified property in the hands of the taxpayer within
21 48 months after being placed in service, or the situs of
22 any qualified property is moved outside Illinois within 48
23 months after being placed in service, the Personal Property
24 Tax Replacement Income Tax for such taxable year shall be
25 increased. Such increase shall be determined by (i)
26 recomputing the investment credit which would have been

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1 allowed for the year in which credit for such property was
2 originally allowed by eliminating such property from such
3 computation and, (ii) subtracting such recomputed credit
4 from the amount of credit previously allowed. For the
5 purposes of this paragraph (7), a reduction of the basis of
6 qualified property resulting from a redetermination of the
7 purchase price shall be deemed a disposition of qualified
8 property to the extent of such reduction.
9 (8) Unless the investment credit is extended by law,
10 the basis of qualified property shall not include costs
11 incurred after December 31, 2018, except for costs incurred
12 pursuant to a binding contract entered into on or before
13 December 31, 2018.
14 (9) Each taxable year ending before December 31, 2000,
15 a partnership may elect to pass through to its partners the
16 credits to which the partnership is entitled under this
17 subsection (e) for the taxable year. A partner may use the
18 credit allocated to him or her under this paragraph only
19 against the tax imposed in subsections (c) and (d) of this
20 Section. If the partnership makes that election, those
21 credits shall be allocated among the partners in the
22 partnership in accordance with the rules set forth in
23 Section 704(b) of the Internal Revenue Code, and the rules
24 promulgated under that Section, and the allocated amount of
25 the credits shall be allowed to the partners for that
26 taxable year. The partnership shall make this election on

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1 its Personal Property Tax Replacement Income Tax return for
2 that taxable year. The election to pass through the credits
3 shall be irrevocable.
4 For taxable years ending on or after December 31, 2000,
5 a partner that qualifies its partnership for a subtraction
6 under subparagraph (I) of paragraph (2) of subsection (d)
7 of Section 203 or a shareholder that qualifies a Subchapter
8 S corporation for a subtraction under subparagraph (S) of
9 paragraph (2) of subsection (b) of Section 203 shall be
10 allowed a credit under this subsection (e) equal to its
11 share of the credit earned under this subsection (e) during
12 the taxable year by the partnership or Subchapter S
13 corporation, determined in accordance with the
14 determination of income and distributive share of income
15 under Sections 702 and 704 and Subchapter S of the Internal
16 Revenue Code. This paragraph is exempt from the provisions
17 of Section 250.
18 (f) Investment credit; Enterprise Zone; River Edge
19Redevelopment Zone.
20 (1) A taxpayer shall be allowed a credit against the
21 tax imposed by subsections (a) and (b) of this Section for
22 investment in qualified property which is placed in service
23 in an Enterprise Zone created pursuant to the Illinois
24 Enterprise Zone Act or, for property placed in service on
25 or after July 1, 2006, a River Edge Redevelopment Zone
26 established pursuant to the River Edge Redevelopment Zone

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1 Act. For partners, shareholders of Subchapter S
2 corporations, and owners of limited liability companies,
3 if the liability company is treated as a partnership for
4 purposes of federal and State income taxation, there shall
5 be allowed a credit under this subsection (f) to be
6 determined in accordance with the determination of income
7 and distributive share of income under Sections 702 and 704
8 and Subchapter S of the Internal Revenue Code. The credit
9 shall be .5% of the basis for such property. The credit
10 shall be available only in the taxable year in which the
11 property is placed in service in the Enterprise Zone or
12 River Edge Redevelopment Zone and shall not be allowed to
13 the extent that it would reduce a taxpayer's liability for
14 the tax imposed by subsections (a) and (b) of this Section
15 to below zero. For tax years ending on or after December
16 31, 1985, the credit shall be allowed for the tax year in
17 which the property is placed in service, or, if the amount
18 of the credit exceeds the tax liability for that year,
19 whether it exceeds the original liability or the liability
20 as later amended, such excess may be carried forward and
21 applied to the tax liability of the 5 taxable years
22 following the excess credit year. The credit shall be
23 applied to the earliest year for which there is a
24 liability. If there is credit from more than one tax year
25 that is available to offset a liability, the credit
26 accruing first in time shall be applied first.

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1 (2) The term qualified property means property which:
2 (A) is tangible, whether new or used, including
3 buildings and structural components of buildings;
4 (B) is depreciable pursuant to Section 167 of the
5 Internal Revenue Code, except that "3-year property"
6 as defined in Section 168(c)(2)(A) of that Code is not
7 eligible for the credit provided by this subsection
8 (f);
9 (C) is acquired by purchase as defined in Section
10 179(d) of the Internal Revenue Code;
11 (D) is used in the Enterprise Zone or River Edge
12 Redevelopment Zone by the taxpayer; and
13 (E) has not been previously used in Illinois in
14 such a manner and by such a person as would qualify for
15 the credit provided by this subsection (f) or
16 subsection (e).
17 (3) The basis of qualified property shall be the basis
18 used to compute the depreciation deduction for federal
19 income tax purposes.
20 (4) If the basis of the property for federal income tax
21 depreciation purposes is increased after it has been placed
22 in service in the Enterprise Zone or River Edge
23 Redevelopment Zone by the taxpayer, the amount of such
24 increase shall be deemed property placed in service on the
25 date of such increase in basis.
26 (5) The term "placed in service" shall have the same

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1 meaning as under Section 46 of the Internal Revenue Code.
2 (6) If during any taxable year, any property ceases to
3 be qualified property in the hands of the taxpayer within
4 48 months after being placed in service, or the situs of
5 any qualified property is moved outside the Enterprise Zone
6 or River Edge Redevelopment Zone within 48 months after
7 being placed in service, the tax imposed under subsections
8 (a) and (b) of this Section for such taxable year shall be
9 increased. Such increase shall be determined by (i)
10 recomputing the investment credit which would have been
11 allowed for the year in which credit for such property was
12 originally allowed by eliminating such property from such
13 computation, and (ii) subtracting such recomputed credit
14 from the amount of credit previously allowed. For the
15 purposes of this paragraph (6), a reduction of the basis of
16 qualified property resulting from a redetermination of the
17 purchase price shall be deemed a disposition of qualified
18 property to the extent of such reduction.
19 (7) There shall be allowed an additional credit equal
20 to 0.5% of the basis of qualified property placed in
21 service during the taxable year in a River Edge
22 Redevelopment Zone, provided such property is placed in
23 service on or after July 1, 2006, and the taxpayer's base
24 employment within Illinois has increased by 1% or more over
25 the preceding year as determined by the taxpayer's
26 employment records filed with the Illinois Department of

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1 Employment Security. Taxpayers who are new to Illinois
2 shall be deemed to have met the 1% growth in base
3 employment for the first year in which they file employment
4 records with the Illinois Department of Employment
5 Security. If, in any year, the increase in base employment
6 within Illinois over the preceding year is less than 1%,
7 the additional credit shall be limited to that percentage
8 times a fraction, the numerator of which is 0.5% and the
9 denominator of which is 1%, but shall not exceed 0.5%.
10 (g) (Blank).
11 (h) Investment credit; High Impact Business.
12 (1) Subject to subsections (b) and (b-5) of Section 5.5
13 of the Illinois Enterprise Zone Act, a taxpayer shall be
14 allowed a credit against the tax imposed by subsections (a)
15 and (b) of this Section for investment in qualified
16 property which is placed in service by a Department of
17 Commerce and Economic Opportunity designated High Impact
18 Business. The credit shall be .5% of the basis for such
19 property. The credit shall not be available (i) until the
20 minimum investments in qualified property set forth in
21 subdivision (a)(3)(A) of Section 5.5 of the Illinois
22 Enterprise Zone Act have been satisfied or (ii) until the
23 time authorized in subsection (b-5) of the Illinois
24 Enterprise Zone Act for entities designated as High Impact
25 Businesses under subdivisions (a)(3)(B), (a)(3)(C), and
26 (a)(3)(D) of Section 5.5 of the Illinois Enterprise Zone

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1 Act, and shall not be allowed to the extent that it would
2 reduce a taxpayer's liability for the tax imposed by
3 subsections (a) and (b) of this Section to below zero. The
4 credit applicable to such investments shall be taken in the
5 taxable year in which such investments have been completed.
6 The credit for additional investments beyond the minimum
7 investment by a designated high impact business authorized
8 under subdivision (a)(3)(A) of Section 5.5 of the Illinois
9 Enterprise Zone Act shall be available only in the taxable
10 year in which the property is placed in service and shall
11 not be allowed to the extent that it would reduce a
12 taxpayer's liability for the tax imposed by subsections (a)
13 and (b) of this Section to below zero. For tax years ending
14 on or after December 31, 1987, the credit shall be allowed
15 for the tax year in which the property is placed in
16 service, or, if the amount of the credit exceeds the tax
17 liability for that year, whether it exceeds the original
18 liability or the liability as later amended, such excess
19 may be carried forward and applied to the tax liability of
20 the 5 taxable years following the excess credit year. The
21 credit shall be applied to the earliest year for which
22 there is a liability. If there is credit from more than one
23 tax year that is available to offset a liability, the
24 credit accruing first in time shall be applied first.
25 Changes made in this subdivision (h)(1) by Public Act
26 88-670 restore changes made by Public Act 85-1182 and

HB5561- 354 -LRB101 17547 JWD 66965 b
1 reflect existing law.
2 (2) The term qualified property means property which:
3 (A) is tangible, whether new or used, including
4 buildings and structural components of buildings;
5 (B) is depreciable pursuant to Section 167 of the
6 Internal Revenue Code, except that "3-year property"
7 as defined in Section 168(c)(2)(A) of that Code is not
8 eligible for the credit provided by this subsection
9 (h);
10 (C) is acquired by purchase as defined in Section
11 179(d) of the Internal Revenue Code; and
12 (D) is not eligible for the Enterprise Zone
13 Investment Credit provided by subsection (f) of this
14 Section.
15 (3) The basis of qualified property shall be the basis
16 used to compute the depreciation deduction for federal
17 income tax purposes.
18 (4) If the basis of the property for federal income tax
19 depreciation purposes is increased after it has been placed
20 in service in a federally designated Foreign Trade Zone or
21 Sub-Zone located in Illinois by the taxpayer, the amount of
22 such increase shall be deemed property placed in service on
23 the date of such increase in basis.
24 (5) The term "placed in service" shall have the same
25 meaning as under Section 46 of the Internal Revenue Code.
26 (6) If during any taxable year ending on or before

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1 December 31, 1996, any property ceases to be qualified
2 property in the hands of the taxpayer within 48 months
3 after being placed in service, or the situs of any
4 qualified property is moved outside Illinois within 48
5 months after being placed in service, the tax imposed under
6 subsections (a) and (b) of this Section for such taxable
7 year shall be increased. Such increase shall be determined
8 by (i) recomputing the investment credit which would have
9 been allowed for the year in which credit for such property
10 was originally allowed by eliminating such property from
11 such computation, and (ii) subtracting such recomputed
12 credit from the amount of credit previously allowed. For
13 the purposes of this paragraph (6), a reduction of the
14 basis of qualified property resulting from a
15 redetermination of the purchase price shall be deemed a
16 disposition of qualified property to the extent of such
17 reduction.
18 (7) Beginning with tax years ending after December 31,
19 1996, if a taxpayer qualifies for the credit under this
20 subsection (h) and thereby is granted a tax abatement and
21 the taxpayer relocates its entire facility in violation of
22 the explicit terms and length of the contract under Section
23 18-183 of the Property Tax Code, the tax imposed under
24 subsections (a) and (b) of this Section shall be increased
25 for the taxable year in which the taxpayer relocated its
26 facility by an amount equal to the amount of credit

HB5561- 356 -LRB101 17547 JWD 66965 b
1 received by the taxpayer under this subsection (h).
2 (i) Credit for Personal Property Tax Replacement Income
3Tax. For tax years ending prior to December 31, 2003, a credit
4shall be allowed against the tax imposed by subsections (a) and
5(b) of this Section for the tax imposed by subsections (c) and
6(d) of this Section. This credit shall be computed by
7multiplying the tax imposed by subsections (c) and (d) of this
8Section by a fraction, the numerator of which is base income
9allocable to Illinois and the denominator of which is Illinois
10base income, and further multiplying the product by the tax
11rate imposed by subsections (a) and (b) of this Section.
12 Any credit earned on or after December 31, 1986 under this
13subsection which is unused in the year the credit is computed
14because it exceeds the tax liability imposed by subsections (a)
15and (b) for that year (whether it exceeds the original
16liability or the liability as later amended) may be carried
17forward and applied to the tax liability imposed by subsections
18(a) and (b) of the 5 taxable years following the excess credit
19year, provided that no credit may be carried forward to any
20year ending on or after December 31, 2003. This credit shall be
21applied first to the earliest year for which there is a
22liability. If there is a credit under this subsection from more
23than one tax year that is available to offset a liability the
24earliest credit arising under this subsection shall be applied
25first.
26 If, during any taxable year ending on or after December 31,

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11986, the tax imposed by subsections (c) and (d) of this
2Section for which a taxpayer has claimed a credit under this
3subsection (i) is reduced, the amount of credit for such tax
4shall also be reduced. Such reduction shall be determined by
5recomputing the credit to take into account the reduced tax
6imposed by subsections (c) and (d). If any portion of the
7reduced amount of credit has been carried to a different
8taxable year, an amended return shall be filed for such taxable
9year to reduce the amount of credit claimed.
10 (j) Training expense credit. Beginning with tax years
11ending on or after December 31, 1986 and prior to December 31,
122003, a taxpayer shall be allowed a credit against the tax
13imposed by subsections (a) and (b) under this Section for all
14amounts paid or accrued, on behalf of all persons employed by
15the taxpayer in Illinois or Illinois residents employed outside
16of Illinois by a taxpayer, for educational or vocational
17training in semi-technical or technical fields or semi-skilled
18or skilled fields, which were deducted from gross income in the
19computation of taxable income. The credit against the tax
20imposed by subsections (a) and (b) shall be 1.6% of such
21training expenses. For partners, shareholders of subchapter S
22corporations, and owners of limited liability companies, if the
23liability company is treated as a partnership for purposes of
24federal and State income taxation, there shall be allowed a
25credit under this subsection (j) to be determined in accordance
26with the determination of income and distributive share of

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1income under Sections 702 and 704 and subchapter S of the
2Internal Revenue Code.
3 Any credit allowed under this subsection which is unused in
4the year the credit is earned may be carried forward to each of
5the 5 taxable years following the year for which the credit is
6first computed until it is used. This credit shall be applied
7first to the earliest year for which there is a liability. If
8there is a credit under this subsection from more than one tax
9year that is available to offset a liability the earliest
10credit arising under this subsection shall be applied first. No
11carryforward credit may be claimed in any tax year ending on or
12after December 31, 2003.
13 (k) Research and development credit. For tax years ending
14after July 1, 1990 and prior to December 31, 2003, and
15beginning again for tax years ending on or after December 31,
162004, and ending prior to January 1, 2022, a taxpayer shall be
17allowed a credit against the tax imposed by subsections (a) and
18(b) of this Section for increasing research activities in this
19State. The credit allowed against the tax imposed by
20subsections (a) and (b) shall be equal to 6 1/2% of the
21qualifying expenditures for increasing research activities in
22this State. For partners, shareholders of subchapter S
23corporations, and owners of limited liability companies, if the
24liability company is treated as a partnership for purposes of
25federal and State income taxation, there shall be allowed a
26credit under this subsection to be determined in accordance

HB5561- 359 -LRB101 17547 JWD 66965 b
1with the determination of income and distributive share of
2income under Sections 702 and 704 and subchapter S of the
3Internal Revenue Code.
4 For purposes of this subsection, "qualifying expenditures"
5means the qualifying expenditures as defined for the federal
6credit for increasing research activities which would be
7allowable under Section 41 of the Internal Revenue Code and
8which are conducted in this State, "qualifying expenditures for
9increasing research activities in this State" means the excess
10of qualifying expenditures for the taxable year in which
11incurred over qualifying expenditures for the base period,
12"qualifying expenditures for the base period" means the average
13of the qualifying expenditures for each year in the base
14period, and "base period" means the 3 taxable years immediately
15preceding the taxable year for which the determination is being
16made.
17 Any credit in excess of the tax liability for the taxable
18year may be carried forward. A taxpayer may elect to have the
19unused credit shown on its final completed return carried over
20as a credit against the tax liability for the following 5
21taxable years or until it has been fully used, whichever occurs
22first; provided that no credit earned in a tax year ending
23prior to December 31, 2003 may be carried forward to any year
24ending on or after December 31, 2003.
25 If an unused credit is carried forward to a given year from
262 or more earlier years, that credit arising in the earliest

HB5561- 360 -LRB101 17547 JWD 66965 b
1year will be applied first against the tax liability for the
2given year. If a tax liability for the given year still
3remains, the credit from the next earliest year will then be
4applied, and so on, until all credits have been used or no tax
5liability for the given year remains. Any remaining unused
6credit or credits then will be carried forward to the next
7following year in which a tax liability is incurred, except
8that no credit can be carried forward to a year which is more
9than 5 years after the year in which the expense for which the
10credit is given was incurred.
11 No inference shall be drawn from this amendatory Act of the
1291st General Assembly in construing this Section for taxable
13years beginning before January 1, 1999.
14 It is the intent of the General Assembly that the research
15and development credit under this subsection (k) shall apply
16continuously for all tax years ending on or after December 31,
172004 and ending prior to January 1, 2022, including, but not
18limited to, the period beginning on January 1, 2016 and ending
19on the effective date of this amendatory Act of the 100th
20General Assembly. All actions taken in reliance on the
21continuation of the credit under this subsection (k) by any
22taxpayer are hereby validated.
23 (l) Environmental Remediation Tax Credit.
24 (i) For tax years ending after December 31, 1997 and on
25 or before December 31, 2001, a taxpayer shall be allowed a
26 credit against the tax imposed by subsections (a) and (b)

HB5561- 361 -LRB101 17547 JWD 66965 b
1 of this Section for certain amounts paid for unreimbursed
2 eligible remediation costs, as specified in this
3 subsection. For purposes of this Section, "unreimbursed
4 eligible remediation costs" means costs approved by the
5 Illinois Environmental Protection Agency ("Agency") under
6 Section 58.14 of the Environmental Protection Act that were
7 paid in performing environmental remediation at a site for
8 which a No Further Remediation Letter was issued by the
9 Agency and recorded under Section 58.10 of the
10 Environmental Protection Act. The credit must be claimed
11 for the taxable year in which Agency approval of the
12 eligible remediation costs is granted. The credit is not
13 available to any taxpayer if the taxpayer or any related
14 party caused or contributed to, in any material respect, a
15 release of regulated substances on, in, or under the site
16 that was identified and addressed by the remedial action
17 pursuant to the Site Remediation Program of the
18 Environmental Protection Act. After the Pollution Control
19 Board rules are adopted pursuant to the Illinois
20 Administrative Procedure Act for the administration and
21 enforcement of Section 58.9 of the Environmental
22 Protection Act, determinations as to credit availability
23 for purposes of this Section shall be made consistent with
24 those rules. For purposes of this Section, "taxpayer"
25 includes a person whose tax attributes the taxpayer has
26 succeeded to under Section 381 of the Internal Revenue Code

HB5561- 362 -LRB101 17547 JWD 66965 b
1 and "related party" includes the persons disallowed a
2 deduction for losses by paragraphs (b), (c), and (f)(1) of
3 Section 267 of the Internal Revenue Code by virtue of being
4 a related taxpayer, as well as any of its partners. The
5 credit allowed against the tax imposed by subsections (a)
6 and (b) shall be equal to 25% of the unreimbursed eligible
7 remediation costs in excess of $100,000 per site, except
8 that the $100,000 threshold shall not apply to any site
9 contained in an enterprise zone as determined by the
10 Department of Commerce and Community Affairs (now
11 Department of Commerce and Economic Opportunity). The
12 total credit allowed shall not exceed $40,000 per year with
13 a maximum total of $150,000 per site. For partners and
14 shareholders of subchapter S corporations, there shall be
15 allowed a credit under this subsection to be determined in
16 accordance with the determination of income and
17 distributive share of income under Sections 702 and 704 and
18 subchapter S of the Internal Revenue Code.
19 (ii) A credit allowed under this subsection that is
20 unused in the year the credit is earned may be carried
21 forward to each of the 5 taxable years following the year
22 for which the credit is first earned until it is used. The
23 term "unused credit" does not include any amounts of
24 unreimbursed eligible remediation costs in excess of the
25 maximum credit per site authorized under paragraph (i).
26 This credit shall be applied first to the earliest year for

HB5561- 363 -LRB101 17547 JWD 66965 b
1 which there is a liability. If there is a credit under this
2 subsection from more than one tax year that is available to
3 offset a liability, the earliest credit arising under this
4 subsection shall be applied first. A credit allowed under
5 this subsection may be sold to a buyer as part of a sale of
6 all or part of the remediation site for which the credit
7 was granted. The purchaser of a remediation site and the
8 tax credit shall succeed to the unused credit and remaining
9 carry-forward period of the seller. To perfect the
10 transfer, the assignor shall record the transfer in the
11 chain of title for the site and provide written notice to
12 the Director of the Illinois Department of Revenue of the
13 assignor's intent to sell the remediation site and the
14 amount of the tax credit to be transferred as a portion of
15 the sale. In no event may a credit be transferred to any
16 taxpayer if the taxpayer or a related party would not be
17 eligible under the provisions of subsection (i).
18 (iii) For purposes of this Section, the term "site"
19 shall have the same meaning as under Section 58.2 of the
20 Environmental Protection Act.
21 (m) Education expense credit. Beginning with tax years
22ending after December 31, 1999, a taxpayer who is the custodian
23of one or more qualifying pupils shall be allowed a credit
24against the tax imposed by subsections (a) and (b) of this
25Section for qualified education expenses incurred on behalf of
26the qualifying pupils. The credit shall be equal to 25% of

HB5561- 364 -LRB101 17547 JWD 66965 b
1qualified education expenses, but in no event may the total
2credit under this subsection claimed by a family that is the
3custodian of qualifying pupils exceed (i) $500 for tax years
4ending prior to December 31, 2017, and (ii) $750 for tax years
5ending on or after December 31, 2017. In no event shall a
6credit under this subsection reduce the taxpayer's liability
7under this Act to less than zero. Notwithstanding any other
8provision of law, for taxable years beginning on or after
9January 1, 2017, no taxpayer may claim a credit under this
10subsection (m) if the taxpayer's adjusted gross income for the
11taxable year exceeds (i) $500,000, in the case of spouses
12filing a joint federal tax return or (ii) $250,000, in the case
13of all other taxpayers. This subsection is exempt from the
14provisions of Section 250 of this Act.
15 For purposes of this subsection:
16 "Qualifying pupils" means individuals who (i) are
17residents of the State of Illinois, (ii) are under the age of
1821 at the close of the school year for which a credit is
19sought, and (iii) during the school year for which a credit is
20sought were full-time pupils enrolled in a kindergarten through
21twelfth grade education program at any school, as defined in
22this subsection.
23 "Qualified education expense" means the amount incurred on
24behalf of a qualifying pupil in excess of $250 for tuition,
25book fees, and lab fees at the school in which the pupil is
26enrolled during the regular school year.

HB5561- 365 -LRB101 17547 JWD 66965 b
1 "School" means any public or nonpublic elementary or
2secondary school in Illinois that is in compliance with Title
3VI of the Civil Rights Act of 1964 and attendance at which
4satisfies the requirements of Section 26-1 of the School Code,
5except that nothing shall be construed to require a child to
6attend any particular public or nonpublic school to qualify for
7the credit under this Section.
8 "Custodian" means, with respect to qualifying pupils, an
9Illinois resident who is a parent, the parents, a legal
10guardian, or the legal guardians of the qualifying pupils.
11 (n) River Edge Redevelopment Zone site remediation tax
12credit.
13 (i) For tax years ending on or after December 31, 2006,
14 a taxpayer shall be allowed a credit against the tax
15 imposed by subsections (a) and (b) of this Section for
16 certain amounts paid for unreimbursed eligible remediation
17 costs, as specified in this subsection. For purposes of
18 this Section, "unreimbursed eligible remediation costs"
19 means costs approved by the Illinois Environmental
20 Protection Agency ("Agency") under Section 58.14a of the
21 Environmental Protection Act that were paid in performing
22 environmental remediation at a site within a River Edge
23 Redevelopment Zone for which a No Further Remediation
24 Letter was issued by the Agency and recorded under Section
25 58.10 of the Environmental Protection Act. The credit must
26 be claimed for the taxable year in which Agency approval of

HB5561- 366 -LRB101 17547 JWD 66965 b
1 the eligible remediation costs is granted. The credit is
2 not available to any taxpayer if the taxpayer or any
3 related party caused or contributed to, in any material
4 respect, a release of regulated substances on, in, or under
5 the site that was identified and addressed by the remedial
6 action pursuant to the Site Remediation Program of the
7 Environmental Protection Act. Determinations as to credit
8 availability for purposes of this Section shall be made
9 consistent with rules adopted by the Pollution Control
10 Board pursuant to the Illinois Administrative Procedure
11 Act for the administration and enforcement of Section 58.9
12 of the Environmental Protection Act. For purposes of this
13 Section, "taxpayer" includes a person whose tax attributes
14 the taxpayer has succeeded to under Section 381 of the
15 Internal Revenue Code and "related party" includes the
16 persons disallowed a deduction for losses by paragraphs
17 (b), (c), and (f)(1) of Section 267 of the Internal Revenue
18 Code by virtue of being a related taxpayer, as well as any
19 of its partners. The credit allowed against the tax imposed
20 by subsections (a) and (b) shall be equal to 25% of the
21 unreimbursed eligible remediation costs in excess of
22 $100,000 per site.
23 (ii) A credit allowed under this subsection that is
24 unused in the year the credit is earned may be carried
25 forward to each of the 5 taxable years following the year
26 for which the credit is first earned until it is used. This

HB5561- 367 -LRB101 17547 JWD 66965 b
1 credit shall be applied first to the earliest year for
2 which there is a liability. If there is a credit under this
3 subsection from more than one tax year that is available to
4 offset a liability, the earliest credit arising under this
5 subsection shall be applied first. A credit allowed under
6 this subsection may be sold to a buyer as part of a sale of
7 all or part of the remediation site for which the credit
8 was granted. The purchaser of a remediation site and the
9 tax credit shall succeed to the unused credit and remaining
10 carry-forward period of the seller. To perfect the
11 transfer, the assignor shall record the transfer in the
12 chain of title for the site and provide written notice to
13 the Director of the Illinois Department of Revenue of the
14 assignor's intent to sell the remediation site and the
15 amount of the tax credit to be transferred as a portion of
16 the sale. In no event may a credit be transferred to any
17 taxpayer if the taxpayer or a related party would not be
18 eligible under the provisions of subsection (i).
19 (iii) For purposes of this Section, the term "site"
20 shall have the same meaning as under Section 58.2 of the
21 Environmental Protection Act.
22 (o) For each of taxable years during the Compassionate Use
23of Medical Cannabis Pilot Program, a surcharge is imposed on
24all taxpayers on income arising from the sale or exchange of
25capital assets, depreciable business property, real property
26used in the trade or business, and Section 197 intangibles of

HB5561- 368 -LRB101 17547 JWD 66965 b
1an organization registrant under the Compassionate Use of
2Medical Cannabis Pilot Program Act. The amount of the surcharge
3is equal to the amount of federal income tax liability for the
4taxable year attributable to those sales and exchanges. The
5surcharge imposed does not apply if:
6 (1) the medical cannabis cultivation center
7 registration, medical cannabis dispensary registration, or
8 the property of a registration is transferred as a result
9 of any of the following:
10 (A) bankruptcy, a receivership, or a debt
11 adjustment initiated by or against the initial
12 registration or the substantial owners of the initial
13 registration;
14 (B) cancellation, revocation, or termination of
15 any registration by the Illinois Department of Public
16 Health;
17 (C) a determination by the Illinois Department of
18 Public Health that transfer of the registration is in
19 the best interests of Illinois qualifying patients as
20 defined by the Compassionate Use of Medical Cannabis
21 Pilot Program Act;
22 (D) the death of an owner of the equity interest in
23 a registrant;
24 (E) the acquisition of a controlling interest in
25 the stock or substantially all of the assets of a
26 publicly traded company;

HB5561- 369 -LRB101 17547 JWD 66965 b
1 (F) a transfer by a parent company to a wholly
2 owned subsidiary; or
3 (G) the transfer or sale to or by one person to
4 another person where both persons were initial owners
5 of the registration when the registration was issued;
6 or
7 (2) the cannabis cultivation center registration,
8 medical cannabis dispensary registration, or the
9 controlling interest in a registrant's property is
10 transferred in a transaction to lineal descendants in which
11 no gain or loss is recognized or as a result of a
12 transaction in accordance with Section 351 of the Internal
13 Revenue Code in which no gain or loss is recognized.
14(Source: P.A. 101-31, eff. 6-28-19.)
15 (35 ILCS 5/303) (from Ch. 120, par. 3-303)
16 Sec. 303. (a) In general. Any item of capital gain or loss,
17and any item of income from rents or royalties from real or
18tangible personal property, interest, dividends, and patent or
19copyright royalties, and prizes awarded under the Illinois
20Lottery Law, and, for taxable years ending on or after December
2131, 2019, wagering and gambling winnings from Illinois sources
22as set forth in subsection (e-1) of this Section, to the extent
23such item constitutes nonbusiness income, together with any
24item of deduction directly allocable thereto, shall be
25allocated by any person other than a resident as provided in

HB5561- 370 -LRB101 17547 JWD 66965 b
1this Section.
2 (b) Capital gains and losses.
3 (1) Real property. Capital gains and losses from sales
4 or exchanges of real property are allocable to this State
5 if the property is located in this State.
6 (2) Tangible personal property. Capital gains and
7 losses from sales or exchanges of tangible personal
8 property are allocable to this State if, at the time of
9 such sale or exchange:
10 (A) The property had its situs in this State; or
11 (B) The taxpayer had its commercial domicile in
12 this State and was not taxable in the state in which
13 the property had its situs.
14 (3) Intangibles. Capital gains and losses from sales or
15 exchanges of intangible personal property are allocable to
16 this State if the taxpayer had its commercial domicile in
17 this State at the time of such sale or exchange.
18 (c) Rents and royalties.
19 (1) Real property. Rents and royalties from real
20 property are allocable to this State if the property is
21 located in this State.
22 (2) Tangible personal property. Rents and royalties
23 from tangible personal property are allocable to this
24 State:
25 (A) If and to the extent that the property is
26 utilized in this State; or

HB5561- 371 -LRB101 17547 JWD 66965 b
1 (B) In their entirety if, at the time such rents or
2 royalties were paid or accrued, the taxpayer had its
3 commercial domicile in this State and was not organized
4 under the laws of or taxable with respect to such rents
5 or royalties in the state in which the property was
6 utilized. The extent of utilization of tangible
7 personal property in a state is determined by
8 multiplying the rents or royalties derived from such
9 property by a fraction, the numerator of which is the
10 number of days of physical location of the property in
11 the state during the rental or royalty period in the
12 taxable year and the denominator of which is the number
13 of days of physical location of the property everywhere
14 during all rental or royalty periods in the taxable
15 year. If the physical location of the property during
16 the rental or royalty period is unknown or
17 unascertainable by the taxpayer, tangible personal
18 property is utilized in the state in which the property
19 was located at the time the rental or royalty payer
20 obtained possession.
21 (d) Patent and copyright royalties.
22 (1) Allocation. Patent and copyright royalties are
23 allocable to this State:
24 (A) If and to the extent that the patent or
25 copyright is utilized by the payer in this State; or
26 (B) If and to the extent that the patent or

HB5561- 372 -LRB101 17547 JWD 66965 b
1 copyright is utilized by the payer in a state in which
2 the taxpayer is not taxable with respect to such
3 royalties and, at the time such royalties were paid or
4 accrued, the taxpayer had its commercial domicile in
5 this State.
6 (2) Utilization.
7 (A) A patent is utilized in a state to the extent
8 that it is employed in production, fabrication,
9 manufacturing or other processing in the state or to
10 the extent that a patented product is produced in the
11 state. If the basis of receipts from patent royalties
12 does not permit allocation to states or if the
13 accounting procedures do not reflect states of
14 utilization, the patent is utilized in this State if
15 the taxpayer has its commercial domicile in this State.
16 (B) A copyright is utilized in a state to the
17 extent that printing or other publication originates
18 in the state. If the basis of receipts from copyright
19 royalties does not permit allocation to states or if
20 the accounting procedures do not reflect states of
21 utilization, the copyright is utilized in this State if
22 the taxpayer has its commercial domicile in this State.
23 (e) Illinois lottery prizes. Prizes awarded under the
24Illinois Lottery Law are allocable to this State. Payments
25received in taxable years ending on or after December 31, 2013,
26from the assignment of a prize under Section 13.1 of the

HB5561- 373 -LRB101 17547 JWD 66965 b
1Illinois Lottery Law are allocable to this State.
2 (e-1) Wagering and gambling winnings. Payments received in
3taxable years ending on or after December 31, 2019 of winnings
4from pari-mutuel wagering conducted at a wagering facility
5licensed under the Illinois Horse Racing Act of 1975 and from
6gambling games conducted on a riverboat or in a casino or
7organization gaming facility licensed under the Illinois
8Gambling Act are allocable to this State.
9 (e-5) Unemployment benefits. Unemployment benefits paid by
10the Illinois Department of Employment Security are allocable to
11this State.
12 (f) Taxability in other state. For purposes of allocation
13of income pursuant to this Section, a taxpayer is taxable in
14another state if:
15 (1) In that state he is subject to a net income tax, a
16 franchise tax measured by net income, a franchise tax for
17 the privilege of doing business, or a corporate stock tax;
18 or
19 (2) That state has jurisdiction to subject the taxpayer
20 to a net income tax regardless of whether, in fact, the
21 state does or does not.
22 (g) Cross references.
23 (1) For allocation of interest and dividends by persons
24 other than residents, see Section 301(c)(2).
25 (2) For allocation of nonbusiness income by residents,
26 see Section 301(a).

HB5561- 374 -LRB101 17547 JWD 66965 b
1(Source: P.A. 101-31, eff. 6-28-19.)
2 (35 ILCS 5/304) (from Ch. 120, par. 3-304)
3 Sec. 304. Business income of persons other than residents.
4 (a) In general. The business income of a person other than
5a resident shall be allocated to this State if such person's
6business income is derived solely from this State. If a person
7other than a resident derives business income from this State
8and one or more other states, then, for tax years ending on or
9before December 30, 1998, and except as otherwise provided by
10this Section, such person's business income shall be
11apportioned to this State by multiplying the income by a
12fraction, the numerator of which is the sum of the property
13factor (if any), the payroll factor (if any) and 200% of the
14sales factor (if any), and the denominator of which is 4
15reduced by the number of factors other than the sales factor
16which have a denominator of zero and by an additional 2 if the
17sales factor has a denominator of zero. For tax years ending on
18or after December 31, 1998, and except as otherwise provided by
19this Section, persons other than residents who derive business
20income from this State and one or more other states shall
21compute their apportionment factor by weighting their
22property, payroll, and sales factors as provided in subsection
23(h) of this Section.
24 (1) Property factor.
25 (A) The property factor is a fraction, the numerator of

HB5561- 375 -LRB101 17547 JWD 66965 b
1 which is the average value of the person's real and
2 tangible personal property owned or rented and used in the
3 trade or business in this State during the taxable year and
4 the denominator of which is the average value of all the
5 person's real and tangible personal property owned or
6 rented and used in the trade or business during the taxable
7 year.
8 (B) Property owned by the person is valued at its
9 original cost. Property rented by the person is valued at 8
10 times the net annual rental rate. Net annual rental rate is
11 the annual rental rate paid by the person less any annual
12 rental rate received by the person from sub-rentals.
13 (C) The average value of property shall be determined
14 by averaging the values at the beginning and ending of the
15 taxable year but the Director may require the averaging of
16 monthly values during the taxable year if reasonably
17 required to reflect properly the average value of the
18 person's property.
19 (2) Payroll factor.
20 (A) The payroll factor is a fraction, the numerator of
21 which is the total amount paid in this State during the
22 taxable year by the person for compensation, and the
23 denominator of which is the total compensation paid
24 everywhere during the taxable year.
25 (B) Compensation is paid in this State if:
26 (i) The individual's service is performed entirely

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1 within this State;
2 (ii) The individual's service is performed both
3 within and without this State, but the service
4 performed without this State is incidental to the
5 individual's service performed within this State; or
6 (iii) For tax years ending prior to December 31,
7 2020, some of the service is performed within this
8 State and either the base of operations, or if there is
9 no base of operations, the place from which the service
10 is directed or controlled is within this State, or the
11 base of operations or the place from which the service
12 is directed or controlled is not in any state in which
13 some part of the service is performed, but the
14 individual's residence is in this State. For tax years
15 ending on or after December 31, 2020, compensation is
16 paid in this State if some of the individual's service
17 is performed within this State, the individual's
18 service performed within this State is nonincidental
19 to the individual's service performed without this
20 State, and the individual's service is performed
21 within this State for more than 30 working days during
22 the tax year. The amount of compensation paid in this
23 State shall include the portion of the individual's
24 total compensation for services performed on behalf of
25 his or her employer during the tax year which the
26 number of working days spent within this State during

HB5561- 377 -LRB101 17547 JWD 66965 b
1 the tax year bears to the total number of working days
2 spent both within and without this State during the tax
3 year. For purposes of this paragraph:
4 (a) The term "working day" means all days
5 during the tax year in which the individual
6 performs duties on behalf of his or her employer.
7 All days in which the individual performs no duties
8 on behalf of his or her employer (e.g., weekends,
9 vacation days, sick days, and holidays) are not
10 working days.
11 (b) A working day is spent within this State
12 if:
13 (1) the individual performs service on
14 behalf of the employer and a greater amount of
15 time on that day is spent by the individual
16 performing duties on behalf of the employer
17 within this State, without regard to time spent
18 traveling, than is spent performing duties on
19 behalf of the employer without this State; or
20 (2) the only service the individual
21 performs on behalf of the employer on that day
22 is traveling to a destination within this
23 State, and the individual arrives on that day.
24 (c) Working days spent within this State do not
25 include any day in which the employee is performing
26 services in this State during a disaster period

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1 solely in response to a request made to his or her
2 employer by the government of this State, by any
3 political subdivision of this State, or by a person
4 conducting business in this State to perform
5 disaster or emergency-related services in this
6 State. For purposes of this item (c):
7 "Declared State disaster or emergency"
8 means a disaster or emergency event (i) for
9 which a Governor's proclamation of a state of
10 emergency has been issued or (ii) for which a
11 Presidential declaration of a federal major
12 disaster or emergency has been issued.
13 "Disaster period" means a period that
14 begins 10 days prior to the date of the
15 Governor's proclamation or the President's
16 declaration (whichever is earlier) and extends
17 for a period of 60 calendar days after the end
18 of the declared disaster or emergency period.
19 "Disaster or emergency-related services"
20 means repairing, renovating, installing,
21 building, or rendering services or conducting
22 other business activities that relate to
23 infrastructure that has been damaged,
24 impaired, or destroyed by the declared State
25 disaster or emergency.
26 "Infrastructure" means property and

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1 equipment owned or used by a public utility,
2 communications network, broadband and internet
3 service provider, cable and video service
4 provider, electric or gas distribution system,
5 or water pipeline that provides service to more
6 than one customer or person, including related
7 support facilities. "Infrastructure" includes,
8 but is not limited to, real and personal
9 property such as buildings, offices, power
10 lines, cable lines, poles, communications
11 lines, pipes, structures, and equipment.
12 (iv) Compensation paid to nonresident professional
13 athletes.
14 (a) General. The Illinois source income of a
15 nonresident individual who is a member of a
16 professional athletic team includes the portion of the
17 individual's total compensation for services performed
18 as a member of a professional athletic team during the
19 taxable year which the number of duty days spent within
20 this State performing services for the team in any
21 manner during the taxable year bears to the total
22 number of duty days spent both within and without this
23 State during the taxable year.
24 (b) Travel days. Travel days that do not involve
25 either a game, practice, team meeting, or other similar
26 team event are not considered duty days spent in this

HB5561- 380 -LRB101 17547 JWD 66965 b
1 State. However, such travel days are considered in the
2 total duty days spent both within and without this
3 State.
4 (c) Definitions. For purposes of this subpart
5 (iv):
6 (1) The term "professional athletic team"
7 includes, but is not limited to, any professional
8 baseball, basketball, football, soccer, or hockey
9 team.
10 (2) The term "member of a professional
11 athletic team" includes those employees who are
12 active players, players on the disabled list, and
13 any other persons required to travel and who travel
14 with and perform services on behalf of a
15 professional athletic team on a regular basis.
16 This includes, but is not limited to, coaches,
17 managers, and trainers.
18 (3) Except as provided in items (C) and (D) of
19 this subpart (3), the term "duty days" means all
20 days during the taxable year from the beginning of
21 the professional athletic team's official
22 pre-season training period through the last game
23 in which the team competes or is scheduled to
24 compete. Duty days shall be counted for the year in
25 which they occur, including where a team's
26 official pre-season training period through the

HB5561- 381 -LRB101 17547 JWD 66965 b
1 last game in which the team competes or is
2 scheduled to compete, occurs during more than one
3 tax year.
4 (A) Duty days shall also include days on
5 which a member of a professional athletic team
6 performs service for a team on a date that does
7 not fall within the foregoing period (e.g.,
8 participation in instructional leagues, the
9 "All Star Game", or promotional "caravans").
10 Performing a service for a professional
11 athletic team includes conducting training and
12 rehabilitation activities, when such
13 activities are conducted at team facilities.
14 (B) Also included in duty days are game
15 days, practice days, days spent at team
16 meetings, promotional caravans, preseason
17 training camps, and days served with the team
18 through all post-season games in which the team
19 competes or is scheduled to compete.
20 (C) Duty days for any person who joins a
21 team during the period from the beginning of
22 the professional athletic team's official
23 pre-season training period through the last
24 game in which the team competes, or is
25 scheduled to compete, shall begin on the day
26 that person joins the team. Conversely, duty

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1 days for any person who leaves a team during
2 this period shall end on the day that person
3 leaves the team. Where a person switches teams
4 during a taxable year, a separate duty-day
5 calculation shall be made for the period the
6 person was with each team.
7 (D) Days for which a member of a
8 professional athletic team is not compensated
9 and is not performing services for the team in
10 any manner, including days when such member of
11 a professional athletic team has been
12 suspended without pay and prohibited from
13 performing any services for the team, shall not
14 be treated as duty days.
15 (E) Days for which a member of a
16 professional athletic team is on the disabled
17 list and does not conduct rehabilitation
18 activities at facilities of the team, and is
19 not otherwise performing services for the team
20 in Illinois, shall not be considered duty days
21 spent in this State. All days on the disabled
22 list, however, are considered to be included in
23 total duty days spent both within and without
24 this State.
25 (4) The term "total compensation for services
26 performed as a member of a professional athletic

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1 team" means the total compensation received during
2 the taxable year for services performed:
3 (A) from the beginning of the official
4 pre-season training period through the last
5 game in which the team competes or is scheduled
6 to compete during that taxable year; and
7 (B) during the taxable year on a date which
8 does not fall within the foregoing period
9 (e.g., participation in instructional leagues,
10 the "All Star Game", or promotional caravans).
11 This compensation shall include, but is not
12 limited to, salaries, wages, bonuses as described
13 in this subpart, and any other type of compensation
14 paid during the taxable year to a member of a
15 professional athletic team for services performed
16 in that year. This compensation does not include
17 strike benefits, severance pay, termination pay,
18 contract or option year buy-out payments,
19 expansion or relocation payments, or any other
20 payments not related to services performed for the
21 team.
22 For purposes of this subparagraph, "bonuses"
23 included in "total compensation for services
24 performed as a member of a professional athletic
25 team" subject to the allocation described in
26 Section 302(c)(1) are: bonuses earned as a result

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1 of play (i.e., performance bonuses) during the
2 season, including bonuses paid for championship,
3 playoff or "bowl" games played by a team, or for
4 selection to all-star league or other honorary
5 positions; and bonuses paid for signing a
6 contract, unless the payment of the signing bonus
7 is not conditional upon the signee playing any
8 games for the team or performing any subsequent
9 services for the team or even making the team, the
10 signing bonus is payable separately from the
11 salary and any other compensation, and the signing
12 bonus is nonrefundable.
13 (3) Sales factor.
14 (A) The sales factor is a fraction, the numerator of
15 which is the total sales of the person in this State during
16 the taxable year, and the denominator of which is the total
17 sales of the person everywhere during the taxable year.
18 (B) Sales of tangible personal property are in this
19 State if:
20 (i) The property is delivered or shipped to a
21 purchaser, other than the United States government,
22 within this State regardless of the f. o. b. point or
23 other conditions of the sale; or
24 (ii) The property is shipped from an office, store,
25 warehouse, factory or other place of storage in this
26 State and either the purchaser is the United States

HB5561- 385 -LRB101 17547 JWD 66965 b
1 government or the person is not taxable in the state of
2 the purchaser; provided, however, that premises owned
3 or leased by a person who has independently contracted
4 with the seller for the printing of newspapers,
5 periodicals or books shall not be deemed to be an
6 office, store, warehouse, factory or other place of
7 storage for purposes of this Section. Sales of tangible
8 personal property are not in this State if the seller
9 and purchaser would be members of the same unitary
10 business group but for the fact that either the seller
11 or purchaser is a person with 80% or more of total
12 business activity outside of the United States and the
13 property is purchased for resale.
14 (B-1) Patents, copyrights, trademarks, and similar
15 items of intangible personal property.
16 (i) Gross receipts from the licensing, sale, or
17 other disposition of a patent, copyright, trademark,
18 or similar item of intangible personal property, other
19 than gross receipts governed by paragraph (B-7) of this
20 item (3), are in this State to the extent the item is
21 utilized in this State during the year the gross
22 receipts are included in gross income.
23 (ii) Place of utilization.
24 (I) A patent is utilized in a state to the
25 extent that it is employed in production,
26 fabrication, manufacturing, or other processing in

HB5561- 386 -LRB101 17547 JWD 66965 b
1 the state or to the extent that a patented product
2 is produced in the state. If a patent is utilized
3 in more than one state, the extent to which it is
4 utilized in any one state shall be a fraction equal
5 to the gross receipts of the licensee or purchaser
6 from sales or leases of items produced,
7 fabricated, manufactured, or processed within that
8 state using the patent and of patented items
9 produced within that state, divided by the total of
10 such gross receipts for all states in which the
11 patent is utilized.
12 (II) A copyright is utilized in a state to the
13 extent that printing or other publication
14 originates in the state. If a copyright is utilized
15 in more than one state, the extent to which it is
16 utilized in any one state shall be a fraction equal
17 to the gross receipts from sales or licenses of
18 materials printed or published in that state
19 divided by the total of such gross receipts for all
20 states in which the copyright is utilized.
21 (III) Trademarks and other items of intangible
22 personal property governed by this paragraph (B-1)
23 are utilized in the state in which the commercial
24 domicile of the licensee or purchaser is located.
25 (iii) If the state of utilization of an item of
26 property governed by this paragraph (B-1) cannot be

HB5561- 387 -LRB101 17547 JWD 66965 b
1 determined from the taxpayer's books and records or
2 from the books and records of any person related to the
3 taxpayer within the meaning of Section 267(b) of the
4 Internal Revenue Code, 26 U.S.C. 267, the gross
5 receipts attributable to that item shall be excluded
6 from both the numerator and the denominator of the
7 sales factor.
8 (B-2) Gross receipts from the license, sale, or other
9 disposition of patents, copyrights, trademarks, and
10 similar items of intangible personal property, other than
11 gross receipts governed by paragraph (B-7) of this item
12 (3), may be included in the numerator or denominator of the
13 sales factor only if gross receipts from licenses, sales,
14 or other disposition of such items comprise more than 50%
15 of the taxpayer's total gross receipts included in gross
16 income during the tax year and during each of the 2
17 immediately preceding tax years; provided that, when a
18 taxpayer is a member of a unitary business group, such
19 determination shall be made on the basis of the gross
20 receipts of the entire unitary business group.
21 (B-5) For taxable years ending on or after December 31,
22 2008, except as provided in subsections (ii) through (vii),
23 receipts from the sale of telecommunications service or
24 mobile telecommunications service are in this State if the
25 customer's service address is in this State.
26 (i) For purposes of this subparagraph (B-5), the

HB5561- 388 -LRB101 17547 JWD 66965 b
1 following terms have the following meanings:
2 "Ancillary services" means services that are
3 associated with or incidental to the provision of
4 "telecommunications services", including, but not
5 limited to, "detailed telecommunications billing",
6 "directory assistance", "vertical service", and "voice
7 mail services".
8 "Air-to-Ground Radiotelephone service" means a
9 radio service, as that term is defined in 47 CFR 22.99,
10 in which common carriers are authorized to offer and
11 provide radio telecommunications service for hire to
12 subscribers in aircraft.
13 "Call-by-call Basis" means any method of charging
14 for telecommunications services where the price is
15 measured by individual calls.
16 "Communications Channel" means a physical or
17 virtual path of communications over which signals are
18 transmitted between or among customer channel
19 termination points.
20 "Conference bridging service" means an "ancillary
21 service" that links two or more participants of an
22 audio or video conference call and may include the
23 provision of a telephone number. "Conference bridging
24 service" does not include the "telecommunications
25 services" used to reach the conference bridge.
26 "Customer Channel Termination Point" means the

HB5561- 389 -LRB101 17547 JWD 66965 b
1 location where the customer either inputs or receives
2 the communications.
3 "Detailed telecommunications billing service"
4 means an "ancillary service" of separately stating
5 information pertaining to individual calls on a
6 customer's billing statement.
7 "Directory assistance" means an "ancillary
8 service" of providing telephone number information,
9 and/or address information.
10 "Home service provider" means the facilities based
11 carrier or reseller with which the customer contracts
12 for the provision of mobile telecommunications
13 services.
14 "Mobile telecommunications service" means
15 commercial mobile radio service, as defined in Section
16 20.3 of Title 47 of the Code of Federal Regulations as
17 in effect on June 1, 1999.
18 "Place of primary use" means the street address
19 representative of where the customer's use of the
20 telecommunications service primarily occurs, which
21 must be the residential street address or the primary
22 business street address of the customer. In the case of
23 mobile telecommunications services, "place of primary
24 use" must be within the licensed service area of the
25 home service provider.
26 "Post-paid telecommunication service" means the

HB5561- 390 -LRB101 17547 JWD 66965 b
1 telecommunications service obtained by making a
2 payment on a call-by-call basis either through the use
3 of a credit card or payment mechanism such as a bank
4 card, travel card, credit card, or debit card, or by
5 charge made to a telephone number which is not
6 associated with the origination or termination of the
7 telecommunications service. A post-paid calling
8 service includes telecommunications service, except a
9 prepaid wireless calling service, that would be a
10 prepaid calling service except it is not exclusively a
11 telecommunication service.
12 "Prepaid telecommunication service" means the
13 right to access exclusively telecommunications
14 services, which must be paid for in advance and which
15 enables the origination of calls using an access number
16 or authorization code, whether manually or
17 electronically dialed, and that is sold in
18 predetermined units or dollars of which the number
19 declines with use in a known amount.
20 "Prepaid Mobile telecommunication service" means a
21 telecommunications service that provides the right to
22 utilize mobile wireless service as well as other
23 non-telecommunication services, including, but not
24 limited to, ancillary services, which must be paid for
25 in advance that is sold in predetermined units or
26 dollars of which the number declines with use in a

HB5561- 391 -LRB101 17547 JWD 66965 b
1 known amount.
2 "Private communication service" means a
3 telecommunication service that entitles the customer
4 to exclusive or priority use of a communications
5 channel or group of channels between or among
6 termination points, regardless of the manner in which
7 such channel or channels are connected, and includes
8 switching capacity, extension lines, stations, and any
9 other associated services that are provided in
10 connection with the use of such channel or channels.
11 "Service address" means:
12 (a) The location of the telecommunications
13 equipment to which a customer's call is charged and
14 from which the call originates or terminates,
15 regardless of where the call is billed or paid;
16 (b) If the location in line (a) is not known,
17 service address means the origination point of the
18 signal of the telecommunications services first
19 identified by either the seller's
20 telecommunications system or in information
21 received by the seller from its service provider
22 where the system used to transport such signals is
23 not that of the seller; and
24 (c) If the locations in line (a) and line (b)
25 are not known, the service address means the
26 location of the customer's place of primary use.

HB5561- 392 -LRB101 17547 JWD 66965 b
1 "Telecommunications service" means the electronic
2 transmission, conveyance, or routing of voice, data,
3 audio, video, or any other information or signals to a
4 point, or between or among points. The term
5 "telecommunications service" includes such
6 transmission, conveyance, or routing in which computer
7 processing applications are used to act on the form,
8 code or protocol of the content for purposes of
9 transmission, conveyance or routing without regard to
10 whether such service is referred to as voice over
11 Internet protocol services or is classified by the
12 Federal Communications Commission as enhanced or value
13 added. "Telecommunications service" does not include:
14 (a) Data processing and information services
15 that allow data to be generated, acquired, stored,
16 processed, or retrieved and delivered by an
17 electronic transmission to a purchaser when such
18 purchaser's primary purpose for the underlying
19 transaction is the processed data or information;
20 (b) Installation or maintenance of wiring or
21 equipment on a customer's premises;
22 (c) Tangible personal property;
23 (d) Advertising, including, but not limited
24 to, directory advertising;
25 (e) Billing and collection services provided
26 to third parties;

HB5561- 393 -LRB101 17547 JWD 66965 b
1 (f) Internet access service;
2 (g) Radio and television audio and video
3 programming services, regardless of the medium,
4 including the furnishing of transmission,
5 conveyance and routing of such services by the
6 programming service provider. Radio and television
7 audio and video programming services shall
8 include, but not be limited to, cable service as
9 defined in 47 USC 522(6) and audio and video
10 programming services delivered by commercial
11 mobile radio service providers, as defined in 47
12 CFR 20.3;
13 (h) "Ancillary services"; or
14 (i) Digital products "delivered
15 electronically", including, but not limited to,
16 software, music, video, reading materials or ring
17 tones.
18 "Vertical service" means an "ancillary service"
19 that is offered in connection with one or more
20 "telecommunications services", which offers advanced
21 calling features that allow customers to identify
22 callers and to manage multiple calls and call
23 connections, including "conference bridging services".
24 "Voice mail service" means an "ancillary service"
25 that enables the customer to store, send or receive
26 recorded messages. "Voice mail service" does not

HB5561- 394 -LRB101 17547 JWD 66965 b
1 include any "vertical services" that the customer may
2 be required to have in order to utilize the "voice mail
3 service".
4 (ii) Receipts from the sale of telecommunications
5 service sold on an individual call-by-call basis are in
6 this State if either of the following applies:
7 (a) The call both originates and terminates in
8 this State.
9 (b) The call either originates or terminates
10 in this State and the service address is located in
11 this State.
12 (iii) Receipts from the sale of postpaid
13 telecommunications service at retail are in this State
14 if the origination point of the telecommunication
15 signal, as first identified by the service provider's
16 telecommunication system or as identified by
17 information received by the seller from its service
18 provider if the system used to transport
19 telecommunication signals is not the seller's, is
20 located in this State.
21 (iv) Receipts from the sale of prepaid
22 telecommunications service or prepaid mobile
23 telecommunications service at retail are in this State
24 if the purchaser obtains the prepaid card or similar
25 means of conveyance at a location in this State.
26 Receipts from recharging a prepaid telecommunications

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1 service or mobile telecommunications service is in
2 this State if the purchaser's billing information
3 indicates a location in this State.
4 (v) Receipts from the sale of private
5 communication services are in this State as follows:
6 (a) 100% of receipts from charges imposed at
7 each channel termination point in this State.
8 (b) 100% of receipts from charges for the total
9 channel mileage between each channel termination
10 point in this State.
11 (c) 50% of the total receipts from charges for
12 service segments when those segments are between 2
13 customer channel termination points, 1 of which is
14 located in this State and the other is located
15 outside of this State, which segments are
16 separately charged.
17 (d) The receipts from charges for service
18 segments with a channel termination point located
19 in this State and in two or more other states, and
20 which segments are not separately billed, are in
21 this State based on a percentage determined by
22 dividing the number of customer channel
23 termination points in this State by the total
24 number of customer channel termination points.
25 (vi) Receipts from charges for ancillary services
26 for telecommunications service sold to customers at

HB5561- 396 -LRB101 17547 JWD 66965 b
1 retail are in this State if the customer's primary
2 place of use of telecommunications services associated
3 with those ancillary services is in this State. If the
4 seller of those ancillary services cannot determine
5 where the associated telecommunications are located,
6 then the ancillary services shall be based on the
7 location of the purchaser.
8 (vii) Receipts to access a carrier's network or
9 from the sale of telecommunication services or
10 ancillary services for resale are in this State as
11 follows:
12 (a) 100% of the receipts from access fees
13 attributable to intrastate telecommunications
14 service that both originates and terminates in
15 this State.
16 (b) 50% of the receipts from access fees
17 attributable to interstate telecommunications
18 service if the interstate call either originates
19 or terminates in this State.
20 (c) 100% of the receipts from interstate end
21 user access line charges, if the customer's
22 service address is in this State. As used in this
23 subdivision, "interstate end user access line
24 charges" includes, but is not limited to, the
25 surcharge approved by the federal communications
26 commission and levied pursuant to 47 CFR 69.

HB5561- 397 -LRB101 17547 JWD 66965 b
1 (d) Gross receipts from sales of
2 telecommunication services or from ancillary
3 services for telecommunications services sold to
4 other telecommunication service providers for
5 resale shall be sourced to this State using the
6 apportionment concepts used for non-resale
7 receipts of telecommunications services if the
8 information is readily available to make that
9 determination. If the information is not readily
10 available, then the taxpayer may use any other
11 reasonable and consistent method.
12 (B-7) For taxable years ending on or after December 31,
13 2008, receipts from the sale of broadcasting services are
14 in this State if the broadcasting services are received in
15 this State. For purposes of this paragraph (B-7), the
16 following terms have the following meanings:
17 "Advertising revenue" means consideration received
18 by the taxpayer in exchange for broadcasting services
19 or allowing the broadcasting of commercials or
20 announcements in connection with the broadcasting of
21 film or radio programming, from sponsorships of the
22 programming, or from product placements in the
23 programming.
24 "Audience factor" means the ratio that the
25 audience or subscribers located in this State of a
26 station, a network, or a cable system bears to the

HB5561- 398 -LRB101 17547 JWD 66965 b
1 total audience or total subscribers for that station,
2 network, or cable system. The audience factor for film
3 or radio programming shall be determined by reference
4 to the books and records of the taxpayer or by
5 reference to published rating statistics provided the
6 method used by the taxpayer is consistently used from
7 year to year for this purpose and fairly represents the
8 taxpayer's activity in this State.
9 "Broadcast" or "broadcasting" or "broadcasting
10 services" means the transmission or provision of film
11 or radio programming, whether through the public
12 airwaves, by cable, by direct or indirect satellite
13 transmission, or by any other means of communication,
14 either through a station, a network, or a cable system.
15 "Film" or "film programming" means the broadcast
16 on television of any and all performances, events, or
17 productions, including, but not limited to, news,
18 sporting events, plays, stories, or other literary,
19 commercial, educational, or artistic works, either
20 live or through the use of video tape, disc, or any
21 other type of format or medium. Each episode of a
22 series of films produced for television shall
23 constitute separate "film" notwithstanding that the
24 series relates to the same principal subject and is
25 produced during one or more tax periods.
26 "Radio" or "radio programming" means the broadcast

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1 on radio of any and all performances, events, or
2 productions, including, but not limited to, news,
3 sporting events, plays, stories, or other literary,
4 commercial, educational, or artistic works, either
5 live or through the use of an audio tape, disc, or any
6 other format or medium. Each episode in a series of
7 radio programming produced for radio broadcast shall
8 constitute a separate "radio programming"
9 notwithstanding that the series relates to the same
10 principal subject and is produced during one or more
11 tax periods.
12 (i) In the case of advertising revenue from
13 broadcasting, the customer is the advertiser and
14 the service is received in this State if the
15 commercial domicile of the advertiser is in this
16 State.
17 (ii) In the case where film or radio
18 programming is broadcast by a station, a network,
19 or a cable system for a fee or other remuneration
20 received from the recipient of the broadcast, the
21 portion of the service that is received in this
22 State is measured by the portion of the recipients
23 of the broadcast located in this State.
24 Accordingly, the fee or other remuneration for
25 such service that is included in the Illinois
26 numerator of the sales factor is the total of those

HB5561- 400 -LRB101 17547 JWD 66965 b
1 fees or other remuneration received from
2 recipients in Illinois. For purposes of this
3 paragraph, a taxpayer may determine the location
4 of the recipients of its broadcast using the
5 address of the recipient shown in its contracts
6 with the recipient or using the billing address of
7 the recipient in the taxpayer's records.
8 (iii) In the case where film or radio
9 programming is broadcast by a station, a network,
10 or a cable system for a fee or other remuneration
11 from the person providing the programming, the
12 portion of the broadcast service that is received
13 by such station, network, or cable system in this
14 State is measured by the portion of recipients of
15 the broadcast located in this State. Accordingly,
16 the amount of revenue related to such an
17 arrangement that is included in the Illinois
18 numerator of the sales factor is the total fee or
19 other total remuneration from the person providing
20 the programming related to that broadcast
21 multiplied by the Illinois audience factor for
22 that broadcast.
23 (iv) In the case where film or radio
24 programming is provided by a taxpayer that is a
25 network or station to a customer for broadcast in
26 exchange for a fee or other remuneration from that

HB5561- 401 -LRB101 17547 JWD 66965 b
1 customer the broadcasting service is received at
2 the location of the office of the customer from
3 which the services were ordered in the regular
4 course of the customer's trade or business.
5 Accordingly, in such a case the revenue derived by
6 the taxpayer that is included in the taxpayer's
7 Illinois numerator of the sales factor is the
8 revenue from such customers who receive the
9 broadcasting service in Illinois.
10 (v) In the case where film or radio programming
11 is provided by a taxpayer that is not a network or
12 station to another person for broadcasting in
13 exchange for a fee or other remuneration from that
14 person, the broadcasting service is received at
15 the location of the office of the customer from
16 which the services were ordered in the regular
17 course of the customer's trade or business.
18 Accordingly, in such a case the revenue derived by
19 the taxpayer that is included in the taxpayer's
20 Illinois numerator of the sales factor is the
21 revenue from such customers who receive the
22 broadcasting service in Illinois.
23 (B-8) Gross receipts from winnings under the Illinois
24 Lottery Law from the assignment of a prize under Section
25 13.1 of the Illinois Lottery Law are received in this
26 State. This paragraph (B-8) applies only to taxable years

HB5561- 402 -LRB101 17547 JWD 66965 b
1 ending on or after December 31, 2013.
2 (B-9) For taxable years ending on or after December 31,
3 2019, gross receipts from winnings from pari-mutuel
4 wagering conducted at a wagering facility licensed under
5 the Illinois Horse Racing Act of 1975 or from winnings from
6 gambling games conducted on a riverboat or in a casino or
7 organization gaming facility licensed under the Illinois
8 Gambling Act are in this State.
9 (C) For taxable years ending before December 31, 2008,
10 sales, other than sales governed by paragraphs (B), (B-1),
11 (B-2), and (B-8) are in this State if:
12 (i) The income-producing activity is performed in
13 this State; or
14 (ii) The income-producing activity is performed
15 both within and without this State and a greater
16 proportion of the income-producing activity is
17 performed within this State than without this State,
18 based on performance costs.
19 (C-5) For taxable years ending on or after December 31,
20 2008, sales, other than sales governed by paragraphs (B),
21 (B-1), (B-2), (B-5), and (B-7), are in this State if any of
22 the following criteria are met:
23 (i) Sales from the sale or lease of real property
24 are in this State if the property is located in this
25 State.
26 (ii) Sales from the lease or rental of tangible

HB5561- 403 -LRB101 17547 JWD 66965 b
1 personal property are in this State if the property is
2 located in this State during the rental period. Sales
3 from the lease or rental of tangible personal property
4 that is characteristically moving property, including,
5 but not limited to, motor vehicles, rolling stock,
6 aircraft, vessels, or mobile equipment are in this
7 State to the extent that the property is used in this
8 State.
9 (iii) In the case of interest, net gains (but not
10 less than zero) and other items of income from
11 intangible personal property, the sale is in this State
12 if:
13 (a) in the case of a taxpayer who is a dealer
14 in the item of intangible personal property within
15 the meaning of Section 475 of the Internal Revenue
16 Code, the income or gain is received from a
17 customer in this State. For purposes of this
18 subparagraph, a customer is in this State if the
19 customer is an individual, trust or estate who is a
20 resident of this State and, for all other
21 customers, if the customer's commercial domicile
22 is in this State. Unless the dealer has actual
23 knowledge of the residence or commercial domicile
24 of a customer during a taxable year, the customer
25 shall be deemed to be a customer in this State if
26 the billing address of the customer, as shown in

HB5561- 404 -LRB101 17547 JWD 66965 b
1 the records of the dealer, is in this State; or
2 (b) in all other cases, if the
3 income-producing activity of the taxpayer is
4 performed in this State or, if the
5 income-producing activity of the taxpayer is
6 performed both within and without this State, if a
7 greater proportion of the income-producing
8 activity of the taxpayer is performed within this
9 State than in any other state, based on performance
10 costs.
11 (iv) Sales of services are in this State if the
12 services are received in this State. For the purposes
13 of this section, gross receipts from the performance of
14 services provided to a corporation, partnership, or
15 trust may only be attributed to a state where that
16 corporation, partnership, or trust has a fixed place of
17 business. If the state where the services are received
18 is not readily determinable or is a state where the
19 corporation, partnership, or trust receiving the
20 service does not have a fixed place of business, the
21 services shall be deemed to be received at the location
22 of the office of the customer from which the services
23 were ordered in the regular course of the customer's
24 trade or business. If the ordering office cannot be
25 determined, the services shall be deemed to be received
26 at the office of the customer to which the services are

HB5561- 405 -LRB101 17547 JWD 66965 b
1 billed. If the taxpayer is not taxable in the state in
2 which the services are received, the sale must be
3 excluded from both the numerator and the denominator of
4 the sales factor. The Department shall adopt rules
5 prescribing where specific types of service are
6 received, including, but not limited to, publishing,
7 and utility service.
8 (D) For taxable years ending on or after December 31,
9 1995, the following items of income shall not be included
10 in the numerator or denominator of the sales factor:
11 dividends; amounts included under Section 78 of the
12 Internal Revenue Code; and Subpart F income as defined in
13 Section 952 of the Internal Revenue Code. No inference
14 shall be drawn from the enactment of this paragraph (D) in
15 construing this Section for taxable years ending before
16 December 31, 1995.
17 (E) Paragraphs (B-1) and (B-2) shall apply to tax years
18 ending on or after December 31, 1999, provided that a
19 taxpayer may elect to apply the provisions of these
20 paragraphs to prior tax years. Such election shall be made
21 in the form and manner prescribed by the Department, shall
22 be irrevocable, and shall apply to all tax years; provided
23 that, if a taxpayer's Illinois income tax liability for any
24 tax year, as assessed under Section 903 prior to January 1,
25 1999, was computed in a manner contrary to the provisions
26 of paragraphs (B-1) or (B-2), no refund shall be payable to

HB5561- 406 -LRB101 17547 JWD 66965 b
1 the taxpayer for that tax year to the extent such refund is
2 the result of applying the provisions of paragraph (B-1) or
3 (B-2) retroactively. In the case of a unitary business
4 group, such election shall apply to all members of such
5 group for every tax year such group is in existence, but
6 shall not apply to any taxpayer for any period during which
7 that taxpayer is not a member of such group.
8 (b) Insurance companies.
9 (1) In general. Except as otherwise provided by
10 paragraph (2), business income of an insurance company for
11 a taxable year shall be apportioned to this State by
12 multiplying such income by a fraction, the numerator of
13 which is the direct premiums written for insurance upon
14 property or risk in this State, and the denominator of
15 which is the direct premiums written for insurance upon
16 property or risk everywhere. For purposes of this
17 subsection, the term "direct premiums written" means the
18 total amount of direct premiums written, assessments and
19 annuity considerations as reported for the taxable year on
20 the annual statement filed by the company with the Illinois
21 Director of Insurance in the form approved by the National
22 Convention of Insurance Commissioners or such other form as
23 may be prescribed in lieu thereof.
24 (2) Reinsurance. If the principal source of premiums
25 written by an insurance company consists of premiums for
26 reinsurance accepted by it, the business income of such

HB5561- 407 -LRB101 17547 JWD 66965 b
1 company shall be apportioned to this State by multiplying
2 such income by a fraction, the numerator of which is the
3 sum of (i) direct premiums written for insurance upon
4 property or risk in this State, plus (ii) premiums written
5 for reinsurance accepted in respect of property or risk in
6 this State, and the denominator of which is the sum of
7 (iii) direct premiums written for insurance upon property
8 or risk everywhere, plus (iv) premiums written for
9 reinsurance accepted in respect of property or risk
10 everywhere. For purposes of this paragraph, premiums
11 written for reinsurance accepted in respect of property or
12 risk in this State, whether or not otherwise determinable,
13 may, at the election of the company, be determined on the
14 basis of the proportion which premiums written for
15 reinsurance accepted from companies commercially domiciled
16 in Illinois bears to premiums written for reinsurance
17 accepted from all sources, or, alternatively, in the
18 proportion which the sum of the direct premiums written for
19 insurance upon property or risk in this State by each
20 ceding company from which reinsurance is accepted bears to
21 the sum of the total direct premiums written by each such
22 ceding company for the taxable year. The election made by a
23 company under this paragraph for its first taxable year
24 ending on or after December 31, 2011, shall be binding for
25 that company for that taxable year and for all subsequent
26 taxable years, and may be altered only with the written

HB5561- 408 -LRB101 17547 JWD 66965 b
1 permission of the Department, which shall not be
2 unreasonably withheld.
3 (c) Financial organizations.
4 (1) In general. For taxable years ending before
5 December 31, 2008, business income of a financial
6 organization shall be apportioned to this State by
7 multiplying such income by a fraction, the numerator of
8 which is its business income from sources within this
9 State, and the denominator of which is its business income
10 from all sources. For the purposes of this subsection, the
11 business income of a financial organization from sources
12 within this State is the sum of the amounts referred to in
13 subparagraphs (A) through (E) following, but excluding the
14 adjusted income of an international banking facility as
15 determined in paragraph (2):
16 (A) Fees, commissions or other compensation for
17 financial services rendered within this State;
18 (B) Gross profits from trading in stocks, bonds or
19 other securities managed within this State;
20 (C) Dividends, and interest from Illinois
21 customers, which are received within this State;
22 (D) Interest charged to customers at places of
23 business maintained within this State for carrying
24 debit balances of margin accounts, without deduction
25 of any costs incurred in carrying such accounts; and
26 (E) Any other gross income resulting from the

HB5561- 409 -LRB101 17547 JWD 66965 b
1 operation as a financial organization within this
2 State.
3 In computing the amounts referred to in paragraphs (A)
4 through (E) of this subsection, any amount received by a
5 member of an affiliated group (determined under Section
6 1504(a) of the Internal Revenue Code but without reference
7 to whether any such corporation is an "includible
8 corporation" under Section 1504(b) of the Internal Revenue
9 Code) from another member of such group shall be included
10 only to the extent such amount exceeds expenses of the
11 recipient directly related thereto.
12 (2) International Banking Facility. For taxable years
13 ending before December 31, 2008:
14 (A) Adjusted Income. The adjusted income of an
15 international banking facility is its income reduced
16 by the amount of the floor amount.
17 (B) Floor Amount. The floor amount shall be the
18 amount, if any, determined by multiplying the income of
19 the international banking facility by a fraction, not
20 greater than one, which is determined as follows:
21 (i) The numerator shall be:
22 The average aggregate, determined on a
23 quarterly basis, of the financial organization's
24 loans to banks in foreign countries, to foreign
25 domiciled borrowers (except where secured
26 primarily by real estate) and to foreign

HB5561- 410 -LRB101 17547 JWD 66965 b
1 governments and other foreign official
2 institutions, as reported for its branches,
3 agencies and offices within the state on its
4 "Consolidated Report of Condition", Schedule A,
5 Lines 2.c., 5.b., and 7.a., which was filed with
6 the Federal Deposit Insurance Corporation and
7 other regulatory authorities, for the year 1980,
8 minus
9 The average aggregate, determined on a
10 quarterly basis, of such loans (other than loans of
11 an international banking facility), as reported by
12 the financial institution for its branches,
13 agencies and offices within the state, on the
14 corresponding Schedule and lines of the
15 Consolidated Report of Condition for the current
16 taxable year, provided, however, that in no case
17 shall the amount determined in this clause (the
18 subtrahend) exceed the amount determined in the
19 preceding clause (the minuend); and
20 (ii) the denominator shall be the average
21 aggregate, determined on a quarterly basis, of the
22 international banking facility's loans to banks in
23 foreign countries, to foreign domiciled borrowers
24 (except where secured primarily by real estate)
25 and to foreign governments and other foreign
26 official institutions, which were recorded in its

HB5561- 411 -LRB101 17547 JWD 66965 b
1 financial accounts for the current taxable year.
2 (C) Change to Consolidated Report of Condition and
3 in Qualification. In the event the Consolidated Report
4 of Condition which is filed with the Federal Deposit
5 Insurance Corporation and other regulatory authorities
6 is altered so that the information required for
7 determining the floor amount is not found on Schedule
8 A, lines 2.c., 5.b. and 7.a., the financial institution
9 shall notify the Department and the Department may, by
10 regulations or otherwise, prescribe or authorize the
11 use of an alternative source for such information. The
12 financial institution shall also notify the Department
13 should its international banking facility fail to
14 qualify as such, in whole or in part, or should there
15 be any amendment or change to the Consolidated Report
16 of Condition, as originally filed, to the extent such
17 amendment or change alters the information used in
18 determining the floor amount.
19 (3) For taxable years ending on or after December 31,
20 2008, the business income of a financial organization shall
21 be apportioned to this State by multiplying such income by
22 a fraction, the numerator of which is its gross receipts
23 from sources in this State or otherwise attributable to
24 this State's marketplace and the denominator of which is
25 its gross receipts everywhere during the taxable year.
26 "Gross receipts" for purposes of this subparagraph (3)

HB5561- 412 -LRB101 17547 JWD 66965 b
1 means gross income, including net taxable gain on
2 disposition of assets, including securities and money
3 market instruments, when derived from transactions and
4 activities in the regular course of the financial
5 organization's trade or business. The following examples
6 are illustrative:
7 (i) Receipts from the lease or rental of real or
8 tangible personal property are in this State if the
9 property is located in this State during the rental
10 period. Receipts from the lease or rental of tangible
11 personal property that is characteristically moving
12 property, including, but not limited to, motor
13 vehicles, rolling stock, aircraft, vessels, or mobile
14 equipment are from sources in this State to the extent
15 that the property is used in this State.
16 (ii) Interest income, commissions, fees, gains on
17 disposition, and other receipts from assets in the
18 nature of loans that are secured primarily by real
19 estate or tangible personal property are from sources
20 in this State if the security is located in this State.
21 (iii) Interest income, commissions, fees, gains on
22 disposition, and other receipts from consumer loans
23 that are not secured by real or tangible personal
24 property are from sources in this State if the debtor
25 is a resident of this State.
26 (iv) Interest income, commissions, fees, gains on

HB5561- 413 -LRB101 17547 JWD 66965 b
1 disposition, and other receipts from commercial loans
2 and installment obligations that are not secured by
3 real or tangible personal property are from sources in
4 this State if the proceeds of the loan are to be
5 applied in this State. If it cannot be determined where
6 the funds are to be applied, the income and receipts
7 are from sources in this State if the office of the
8 borrower from which the loan was negotiated in the
9 regular course of business is located in this State. If
10 the location of this office cannot be determined, the
11 income and receipts shall be excluded from the
12 numerator and denominator of the sales factor.
13 (v) Interest income, fees, gains on disposition,
14 service charges, merchant discount income, and other
15 receipts from credit card receivables are from sources
16 in this State if the card charges are regularly billed
17 to a customer in this State.
18 (vi) Receipts from the performance of services,
19 including, but not limited to, fiduciary, advisory,
20 and brokerage services, are in this State if the
21 services are received in this State within the meaning
22 of subparagraph (a)(3)(C-5)(iv) of this Section.
23 (vii) Receipts from the issuance of travelers
24 checks and money orders are from sources in this State
25 if the checks and money orders are issued from a
26 location within this State.

HB5561- 414 -LRB101 17547 JWD 66965 b
1 (viii) Receipts from investment assets and
2 activities and trading assets and activities are
3 included in the receipts factor as follows:
4 (1) Interest, dividends, net gains (but not
5 less than zero) and other income from investment
6 assets and activities from trading assets and
7 activities shall be included in the receipts
8 factor. Investment assets and activities and
9 trading assets and activities include, but are not
10 limited to: investment securities; trading account
11 assets; federal funds; securities purchased and
12 sold under agreements to resell or repurchase;
13 options; futures contracts; forward contracts;
14 notional principal contracts such as swaps;
15 equities; and foreign currency transactions. With
16 respect to the investment and trading assets and
17 activities described in subparagraphs (A) and (B)
18 of this paragraph, the receipts factor shall
19 include the amounts described in such
20 subparagraphs.
21 (A) The receipts factor shall include the
22 amount by which interest from federal funds
23 sold and securities purchased under resale
24 agreements exceeds interest expense on federal
25 funds purchased and securities sold under
26 repurchase agreements.

HB5561- 415 -LRB101 17547 JWD 66965 b
1 (B) The receipts factor shall include the
2 amount by which interest, dividends, gains and
3 other income from trading assets and
4 activities, including, but not limited to,
5 assets and activities in the matched book, in
6 the arbitrage book, and foreign currency
7 transactions, exceed amounts paid in lieu of
8 interest, amounts paid in lieu of dividends,
9 and losses from such assets and activities.
10 (2) The numerator of the receipts factor
11 includes interest, dividends, net gains (but not
12 less than zero), and other income from investment
13 assets and activities and from trading assets and
14 activities described in paragraph (1) of this
15 subsection that are attributable to this State.
16 (A) The amount of interest, dividends, net
17 gains (but not less than zero), and other
18 income from investment assets and activities
19 in the investment account to be attributed to
20 this State and included in the numerator is
21 determined by multiplying all such income from
22 such assets and activities by a fraction, the
23 numerator of which is the gross income from
24 such assets and activities which are properly
25 assigned to a fixed place of business of the
26 taxpayer within this State and the denominator

HB5561- 416 -LRB101 17547 JWD 66965 b
1 of which is the gross income from all such
2 assets and activities.
3 (B) The amount of interest from federal
4 funds sold and purchased and from securities
5 purchased under resale agreements and
6 securities sold under repurchase agreements
7 attributable to this State and included in the
8 numerator is determined by multiplying the
9 amount described in subparagraph (A) of
10 paragraph (1) of this subsection from such
11 funds and such securities by a fraction, the
12 numerator of which is the gross income from
13 such funds and such securities which are
14 properly assigned to a fixed place of business
15 of the taxpayer within this State and the
16 denominator of which is the gross income from
17 all such funds and such securities.
18 (C) The amount of interest, dividends,
19 gains, and other income from trading assets and
20 activities, including, but not limited to,
21 assets and activities in the matched book, in
22 the arbitrage book and foreign currency
23 transactions (but excluding amounts described
24 in subparagraphs (A) or (B) of this paragraph),
25 attributable to this State and included in the
26 numerator is determined by multiplying the

HB5561- 417 -LRB101 17547 JWD 66965 b
1 amount described in subparagraph (B) of
2 paragraph (1) of this subsection by a fraction,
3 the numerator of which is the gross income from
4 such trading assets and activities which are
5 properly assigned to a fixed place of business
6 of the taxpayer within this State and the
7 denominator of which is the gross income from
8 all such assets and activities.
9 (D) Properly assigned, for purposes of
10 this paragraph (2) of this subsection, means
11 the investment or trading asset or activity is
12 assigned to the fixed place of business with
13 which it has a preponderance of substantive
14 contacts. An investment or trading asset or
15 activity assigned by the taxpayer to a fixed
16 place of business without the State shall be
17 presumed to have been properly assigned if:
18 (i) the taxpayer has assigned, in the
19 regular course of its business, such asset
20 or activity on its records to a fixed place
21 of business consistent with federal or
22 state regulatory requirements;
23 (ii) such assignment on its records is
24 based upon substantive contacts of the
25 asset or activity to such fixed place of
26 business; and

HB5561- 418 -LRB101 17547 JWD 66965 b
1 (iii) the taxpayer uses such records
2 reflecting assignment of such assets or
3 activities for the filing of all state and
4 local tax returns for which an assignment
5 of such assets or activities to a fixed
6 place of business is required.
7 (E) The presumption of proper assignment
8 of an investment or trading asset or activity
9 provided in subparagraph (D) of paragraph (2)
10 of this subsection may be rebutted upon a
11 showing by the Department, supported by a
12 preponderance of the evidence, that the
13 preponderance of substantive contacts
14 regarding such asset or activity did not occur
15 at the fixed place of business to which it was
16 assigned on the taxpayer's records. If the
17 fixed place of business that has a
18 preponderance of substantive contacts cannot
19 be determined for an investment or trading
20 asset or activity to which the presumption in
21 subparagraph (D) of paragraph (2) of this
22 subsection does not apply or with respect to
23 which that presumption has been rebutted, that
24 asset or activity is properly assigned to the
25 state in which the taxpayer's commercial
26 domicile is located. For purposes of this

HB5561- 419 -LRB101 17547 JWD 66965 b
1 subparagraph (E), it shall be presumed,
2 subject to rebuttal, that taxpayer's
3 commercial domicile is in the state of the
4 United States or the District of Columbia to
5 which the greatest number of employees are
6 regularly connected with the management of the
7 investment or trading income or out of which
8 they are working, irrespective of where the
9 services of such employees are performed, as of
10 the last day of the taxable year.
11 (4) (Blank).
12 (5) (Blank).
13 (c-1) Federally regulated exchanges. For taxable years
14ending on or after December 31, 2012, business income of a
15federally regulated exchange shall, at the option of the
16federally regulated exchange, be apportioned to this State by
17multiplying such income by a fraction, the numerator of which
18is its business income from sources within this State, and the
19denominator of which is its business income from all sources.
20For purposes of this subsection, the business income within
21this State of a federally regulated exchange is the sum of the
22following:
23 (1) Receipts attributable to transactions executed on
24 a physical trading floor if that physical trading floor is
25 located in this State.
26 (2) Receipts attributable to all other matching,

HB5561- 420 -LRB101 17547 JWD 66965 b
1 execution, or clearing transactions, including without
2 limitation receipts from the provision of matching,
3 execution, or clearing services to another entity,
4 multiplied by (i) for taxable years ending on or after
5 December 31, 2012 but before December 31, 2013, 63.77%; and
6 (ii) for taxable years ending on or after December 31,
7 2013, 27.54%.
8 (3) All other receipts not governed by subparagraphs
9 (1) or (2) of this subsection (c-1), to the extent the
10 receipts would be characterized as "sales in this State"
11 under item (3) of subsection (a) of this Section.
12 "Federally regulated exchange" means (i) a "registered
13entity" within the meaning of 7 U.S.C. Section 1a(40)(A), (B),
14or (C), (ii) an "exchange" or "clearing agency" within the
15meaning of 15 U.S.C. Section 78c (a)(1) or (23), (iii) any such
16entities regulated under any successor regulatory structure to
17the foregoing, and (iv) all taxpayers who are members of the
18same unitary business group as a federally regulated exchange,
19determined without regard to the prohibition in Section
201501(a)(27) of this Act against including in a unitary business
21group taxpayers who are ordinarily required to apportion
22business income under different subsections of this Section;
23provided that this subparagraph (iv) shall apply only if 50% or
24more of the business receipts of the unitary business group
25determined by application of this subparagraph (iv) for the
26taxable year are attributable to the matching, execution, or

HB5561- 421 -LRB101 17547 JWD 66965 b
1clearing of transactions conducted by an entity described in
2subparagraph (i), (ii), or (iii) of this paragraph.
3 In no event shall the Illinois apportionment percentage
4computed in accordance with this subsection (c-1) for any
5taxpayer for any tax year be less than the Illinois
6apportionment percentage computed under this subsection (c-1)
7for that taxpayer for the first full tax year ending on or
8after December 31, 2013 for which this subsection (c-1) applied
9to the taxpayer.
10 (d) Transportation services. For taxable years ending
11before December 31, 2008, business income derived from
12furnishing transportation services shall be apportioned to
13this State in accordance with paragraphs (1) and (2):
14 (1) Such business income (other than that derived from
15 transportation by pipeline) shall be apportioned to this
16 State by multiplying such income by a fraction, the
17 numerator of which is the revenue miles of the person in
18 this State, and the denominator of which is the revenue
19 miles of the person everywhere. For purposes of this
20 paragraph, a revenue mile is the transportation of 1
21 passenger or 1 net ton of freight the distance of 1 mile
22 for a consideration. Where a person is engaged in the
23 transportation of both passengers and freight, the
24 fraction above referred to shall be determined by means of
25 an average of the passenger revenue mile fraction and the
26 freight revenue mile fraction, weighted to reflect the

HB5561- 422 -LRB101 17547 JWD 66965 b
1 person's
2 (A) relative railway operating income from total
3 passenger and total freight service, as reported to the
4 Interstate Commerce Commission, in the case of
5 transportation by railroad, and
6 (B) relative gross receipts from passenger and
7 freight transportation, in case of transportation
8 other than by railroad.
9 (2) Such business income derived from transportation
10 by pipeline shall be apportioned to this State by
11 multiplying such income by a fraction, the numerator of
12 which is the revenue miles of the person in this State, and
13 the denominator of which is the revenue miles of the person
14 everywhere. For the purposes of this paragraph, a revenue
15 mile is the transportation by pipeline of 1 barrel of oil,
16 1,000 cubic feet of gas, or of any specified quantity of
17 any other substance, the distance of 1 mile for a
18 consideration.
19 (3) For taxable years ending on or after December 31,
20 2008, business income derived from providing
21 transportation services other than airline services shall
22 be apportioned to this State by using a fraction, (a) the
23 numerator of which shall be (i) all receipts from any
24 movement or shipment of people, goods, mail, oil, gas, or
25 any other substance (other than by airline) that both
26 originates and terminates in this State, plus (ii) that

HB5561- 423 -LRB101 17547 JWD 66965 b
1 portion of the person's gross receipts from movements or
2 shipments of people, goods, mail, oil, gas, or any other
3 substance (other than by airline) that originates in one
4 state or jurisdiction and terminates in another state or
5 jurisdiction, that is determined by the ratio that the
6 miles traveled in this State bears to total miles
7 everywhere and (b) the denominator of which shall be all
8 revenue derived from the movement or shipment of people,
9 goods, mail, oil, gas, or any other substance (other than
10 by airline). Where a taxpayer is engaged in the
11 transportation of both passengers and freight, the
12 fraction above referred to shall first be determined
13 separately for passenger miles and freight miles. Then an
14 average of the passenger miles fraction and the freight
15 miles fraction shall be weighted to reflect the taxpayer's:
16 (A) relative railway operating income from total
17 passenger and total freight service, as reported to the
18 Surface Transportation Board, in the case of
19 transportation by railroad; and
20 (B) relative gross receipts from passenger and
21 freight transportation, in case of transportation
22 other than by railroad.
23 (4) For taxable years ending on or after December 31,
24 2008, business income derived from furnishing airline
25 transportation services shall be apportioned to this State
26 by multiplying such income by a fraction, the numerator of

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1 which is the revenue miles of the person in this State, and
2 the denominator of which is the revenue miles of the person
3 everywhere. For purposes of this paragraph, a revenue mile
4 is the transportation of one passenger or one net ton of
5 freight the distance of one mile for a consideration. If a
6 person is engaged in the transportation of both passengers
7 and freight, the fraction above referred to shall be
8 determined by means of an average of the passenger revenue
9 mile fraction and the freight revenue mile fraction,
10 weighted to reflect the person's relative gross receipts
11 from passenger and freight airline transportation.
12 (e) Combined apportionment. Where 2 or more persons are
13engaged in a unitary business as described in subsection
14(a)(27) of Section 1501, a part of which is conducted in this
15State by one or more members of the group, the business income
16attributable to this State by any such member or members shall
17be apportioned by means of the combined apportionment method.
18 (f) Alternative allocation. If the allocation and
19apportionment provisions of subsections (a) through (e) and of
20subsection (h) do not, for taxable years ending before December
2131, 2008, fairly represent the extent of a person's business
22activity in this State, or, for taxable years ending on or
23after December 31, 2008, fairly represent the market for the
24person's goods, services, or other sources of business income,
25the person may petition for, or the Director may, without a
26petition, permit or require, in respect of all or any part of

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1the person's business activity, if reasonable:
2 (1) Separate accounting;
3 (2) The exclusion of any one or more factors;
4 (3) The inclusion of one or more additional factors
5 which will fairly represent the person's business
6 activities or market in this State; or
7 (4) The employment of any other method to effectuate an
8 equitable allocation and apportionment of the person's
9 business income.
10 (g) Cross reference. For allocation of business income by
11residents, see Section 301(a).
12 (h) For tax years ending on or after December 31, 1998, the
13apportionment factor of persons who apportion their business
14income to this State under subsection (a) shall be equal to:
15 (1) for tax years ending on or after December 31, 1998
16 and before December 31, 1999, 16 2/3% of the property
17 factor plus 16 2/3% of the payroll factor plus 66 2/3% of
18 the sales factor;
19 (2) for tax years ending on or after December 31, 1999
20 and before December 31, 2000, 8 1/3% of the property factor
21 plus 8 1/3% of the payroll factor plus 83 1/3% of the sales
22 factor;
23 (3) for tax years ending on or after December 31, 2000,
24 the sales factor.
25If, in any tax year ending on or after December 31, 1998 and
26before December 31, 2000, the denominator of the payroll,

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1property, or sales factor is zero, the apportionment factor
2computed in paragraph (1) or (2) of this subsection for that
3year shall be divided by an amount equal to 100% minus the
4percentage weight given to each factor whose denominator is
5equal to zero.
6(Source: P.A. 100-201, eff. 8-18-17; 101-31, eff. 6-28-19;
7101-585, eff. 8-26-19; revised 9-12-19.)
8 (35 ILCS 5/710) (from Ch. 120, par. 7-710)
9 Sec. 710. Withholding from lottery winnings.
10 (a) In general.
11 (1) Any person making a payment to a resident or
12 nonresident of winnings under the Illinois Lottery Law and
13 not required to withhold Illinois income tax from such
14 payment under Subsection (b) of Section 701 of this Act
15 because those winnings are not subject to Federal income
16 tax withholding, must withhold Illinois income tax from
17 such payment at a rate equal to the percentage tax rate for
18 individuals provided in subsection (b) of Section 201,
19 provided that withholding is not required if such payment
20 of winnings is less than $1,000.
21 (2) In the case of an assignment of a lottery prize
22 under Section 13.1 of the Illinois Lottery Law, any person
23 making a payment of the purchase price after December 31,
24 2013, shall withhold from the amount of each payment at a
25 rate equal to the percentage tax rate for individuals

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1 provided in subsection (b) of Section 201.
2 (3) Any person making a payment after December 31, 2019
3 to a resident or nonresident of winnings from pari-mutuel
4 wagering conducted at a wagering facility licensed under
5 the Illinois Horse Racing Act of 1975 or from gambling
6 games conducted on a riverboat or in a casino or
7 organization gaming facility licensed under the Illinois
8 Gambling Act must withhold Illinois income tax from such
9 payment at a rate equal to the percentage tax rate for
10 individuals provided in subsection (b) of Section 201,
11 provided that the person making the payment is required to
12 withhold under Section 3402(q) of the Internal Revenue
13 Code.
14 (b) Credit for taxes withheld. Any amount withheld under
15Subsection (a) shall be a credit against the Illinois income
16tax liability of the person to whom the payment of winnings was
17made for the taxable year in which that person incurred an
18Illinois income tax liability with respect to those winnings.
19(Source: P.A. 101-31, eff. 6-28-19.)
20 Section 10-390. The Joliet Regional Port District Act is
21amended by changing Section 5.1 as follows:
22 (70 ILCS 1825/5.1) (from Ch. 19, par. 255.1)
23 Sec. 5.1. Riverboat and casino gambling. Notwithstanding
24any other provision of this Act, the District may not regulate

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1the operation, conduct, or navigation of any riverboat gambling
2casino licensed under the Illinois Riverboat Gambling Act, and
3the District may not license, tax, or otherwise levy any
4assessment of any kind on any riverboat gambling casino
5licensed under the Illinois Riverboat Gambling Act. The General
6Assembly declares that the powers to regulate the operation,
7conduct, and navigation of riverboat gambling casinos and to
8license, tax, and levy assessments upon riverboat gambling
9casinos are exclusive powers of the State of Illinois and the
10Illinois Gaming Board as provided in the Illinois Riverboat
11Gambling Act.
12(Source: P.A. 101-31, eff. 6-28-19.)
13 Section 10-395. The Consumer Installment Loan Act is
14amended by changing Section 12.5 as follows:
15 (205 ILCS 670/12.5)
16 Sec. 12.5. Limited purpose branch.
17 (a) Upon the written approval of the Director, a licensee
18may maintain a limited purpose branch for the sole purpose of
19making loans as permitted by this Act. A limited purpose branch
20may include an automatic loan machine. No other activity shall
21be conducted at the site, including but not limited to,
22accepting payments, servicing the accounts, or collections.
23 (b) The licensee must submit an application for a limited
24purpose branch to the Director on forms prescribed by the

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1Director with an application fee of $300. The approval for the
2limited purpose branch must be renewed concurrently with the
3renewal of the licensee's license along with a renewal fee of
4$300 for the limited purpose branch.
5 (c) The books, accounts, records, and files of the limited
6purpose branch's transactions shall be maintained at the
7licensee's licensed location. The licensee shall notify the
8Director of the licensed location at which the books, accounts,
9records, and files shall be maintained.
10 (d) The licensee shall prominently display at the limited
11purpose branch the address and telephone number of the
12licensee's licensed location.
13 (e) No other business shall be conducted at the site of the
14limited purpose branch unless authorized by the Director.
15 (f) The Director shall make and enforce reasonable rules
16for the conduct of a limited purpose branch.
17 (g) A limited purpose branch may not be located within
181,000 feet of a facility operated by an inter-track wagering
19licensee or an organization licensee subject to the Illinois
20Horse Racing Act of 1975, on a riverboat or in a casino subject
21to the Illinois Riverboat Gambling Act, or within 1,000 feet of
22the location at which the riverboat docks or within 1,000 feet
23of a casino.
24(Source: P.A. 101-31, eff. 6-28-19.)
25 (230 ILCS 5/3.32 rep.)

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1 (230 ILCS 5/3.33 rep.)
2 (230 ILCS 5/3.34 rep.)
3 (230 ILCS 5/3.35 rep.)
4 (230 ILCS 5/19.5 rep.)
5 (230 ILCS 5/34.3 rep.)
6 (230 ILCS 5/56 rep.)
7 Section 10-400. The Illinois Horse Racing Act of 1975 is
8amended by repealing Sections 3.32, 3.33, 3.34, 3.35, 19.5,
934.3, and 56, all as added by Public Act 101-31.
10 Section 10-405. The Illinois Horse Racing Act of 1975 is
11amended by changing Sections 1.2, 3.11, 3.12, 6, 9, 15, 18, 19,
1220, 21, 24, 25, 26, 26.8, 26.9, 27, 29, 30, 30.5, 31, 31.1,
1332.1, 36, 40, and 54.75 as follows:
14 (230 ILCS 5/1.2)
15 Sec. 1.2. Legislative intent. This Act is intended to
16benefit the people of the State of Illinois by encouraging the
17breeding and production of race horses, assisting economic
18development and promoting Illinois tourism. The General
19Assembly finds and declares it to be the public policy of the
20State of Illinois to:
21 (a) support and enhance Illinois' horse racing industry,
22which is a significant component within the agribusiness
23industry;
24 (b) ensure that Illinois' horse racing industry remains

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1competitive with neighboring states;
2 (c) stimulate growth within Illinois' horse racing
3industry, thereby encouraging new investment and development
4to produce additional tax revenues and to create additional
5jobs;
6 (d) promote the further growth of tourism;
7 (e) encourage the breeding of thoroughbred and
8standardbred horses in this State; and
9 (f) ensure that public confidence and trust in the
10credibility and integrity of racing operations and the
11regulatory process is maintained.
12(Source: P.A. 101-31, eff. 6-28-19.)
13 (230 ILCS 5/3.11) (from Ch. 8, par. 37-3.11)
14 Sec. 3.11. "Organization Licensee" means any person
15receiving an organization license from the Board to conduct a
16race meeting or meetings. With respect only to organization
17gaming, "organization licensee" includes the authorization for
18an organization gaming license under subsection (a) of Section
1956 of this Act.
20(Source: P.A. 101-31, eff. 6-28-19.)
21 (230 ILCS 5/3.12) (from Ch. 8, par. 37-3.12)
22 Sec. 3.12. Pari-mutuel system of wagering. "Pari-mutuel
23system of wagering" means a form of wagering on the outcome of
24horse races in which wagers are made in various denominations

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1on a horse or horses and all wagers for each race are pooled
2and held by a licensee for distribution in a manner approved by
3the Board. "Pari-mutuel system of wagering" shall not include
4wagering on historic races. Wagers may be placed via any method
5or at any location authorized under this Act.
6(Source: P.A. 101-31, eff. 6-28-19.)
7 (230 ILCS 5/6) (from Ch. 8, par. 37-6)
8 Sec. 6. Restrictions on Board members.
9 (a) No person shall be appointed a member of the Board or
10continue to be a member of the Board if the person or any
11member of their immediate family is a member of the Board of
12Directors, employee, or financially interested in any of the
13following: (i) any licensee or other person who has applied for
14racing dates to the Board, or the operations thereof including,
15but not limited to, concessions, data processing, track
16maintenance, track security, and pari-mutuel operations,
17located, scheduled or doing business within the State of
18Illinois, (ii) any race horse competing at a meeting under the
19Board's jurisdiction, or (iii) any licensee under the Illinois
20Gambling Act. No person shall be appointed a member of the
21Board or continue to be a member of the Board who is (or any
22member of whose family is) a member of the Board of Directors
23of, or who is a person financially interested in, any licensee
24or other person who has applied for racing dates to the Board,
25or the operations thereof including, but not limited to,

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1concessions, data processing, track maintenance, track
2security and pari-mutuel operations, located, scheduled or
3doing business within the State of Illinois, or in any race
4horse competing at a meeting under the Board's jurisdiction. No
5Board member shall hold any other public office for which he
6shall receive compensation other than necessary travel or other
7incidental expenses.
8 (b) No person shall be a member of the Board who is not of
9good moral character or who has been convicted of, or is under
10indictment for, a felony under the laws of Illinois or any
11other state, or the United States.
12 (c) No member of the Board or employee shall engage in any
13political activity.
14 For the purposes of this subsection (c):
15 "Political" means any activity in support of or in
16connection with any campaign for State or local elective office
17or any political organization, but does not include activities
18(i) relating to the support or opposition of any executive,
19legislative, or administrative action (as those terms are
20defined in Section 2 of the Lobbyist Registration Act), (ii)
21relating to collective bargaining, or (iii) that are otherwise
22in furtherance of the person's official State duties or
23governmental and public service functions.
24 "Political organization" means a party, committee,
25association, fund, or other organization (whether or not
26incorporated) that is required to file a statement of

HB5561- 434 -LRB101 17547 JWD 66965 b
1organization with the State Board of Elections or county clerk
2under Section 9-3 of the Election Code, but only with regard to
3those activities that require filing with the State Board of
4Elections or county clerk.
5 (d) Board members and employees may not engage in
6communications or any activity that may cause or have the
7appearance of causing a conflict of interest. A conflict of
8interest exists if a situation influences or creates the
9appearance that it may influence judgment or performance of
10regulatory duties and responsibilities. This prohibition shall
11extend to any act identified by Board action that, in the
12judgment of the Board, could represent the potential for or the
13appearance of a conflict of interest.
14 (e) Board members and employees may not accept any gift,
15gratuity, service, compensation, travel, lodging, or thing of
16value, with the exception of unsolicited items of an incidental
17nature, from any person, corporation, limited liability
18company, or entity doing business with the Board.
19 (f) A Board member or employee shall not use or attempt to
20use his or her official position to secure, or attempt to
21secure, any privilege, advantage, favor, or influence for
22himself or herself or others. No Board member or employee,
23within a period of one year immediately preceding nomination by
24the Governor or employment, shall have been employed or
25received compensation or fees for services from a person or
26entity, or its parent or affiliate, that has engaged in

HB5561- 435 -LRB101 17547 JWD 66965 b
1business with the Board, a licensee or a licensee under the
2Illinois Gambling Act. In addition, all Board members and
3employees are subject to the restrictions set forth in Section
45-45 of the State Officials and Employees Ethics Act.
5(Source: P.A. 101-31, eff. 6-28-19.)
6 (230 ILCS 5/9) (from Ch. 8, par. 37-9)
7 Sec. 9. The Board shall have all powers necessary and
8proper to fully and effectively execute the provisions of this
9Act, including, but not limited to, the following:
10 (a) The Board is vested with jurisdiction and supervision
11over all race meetings in this State, over all licensees doing
12business in this State, over all occupation licensees, and over
13all persons on the facilities of any licensee. Such
14jurisdiction shall include the power to issue licenses to the
15Illinois Department of Agriculture authorizing the pari-mutuel
16system of wagering on harness and Quarter Horse races held (1)
17at the Illinois State Fair in Sangamon County, and (2) at the
18DuQuoin State Fair in Perry County. The jurisdiction of the
19Board shall also include the power to issue licenses to county
20fairs which are eligible to receive funds pursuant to the
21Agricultural Fair Act, as now or hereafter amended, or their
22agents, authorizing the pari-mutuel system of wagering on horse
23races conducted at the county fairs receiving such licenses.
24Such licenses shall be governed by subsection (n) of this
25Section.

HB5561- 436 -LRB101 17547 JWD 66965 b
1 Upon application, the Board shall issue a license to the
2Illinois Department of Agriculture to conduct harness and
3Quarter Horse races at the Illinois State Fair and at the
4DuQuoin State Fairgrounds during the scheduled dates of each
5fair. The Board shall not require and the Department of
6Agriculture shall be exempt from the requirements of Sections
715.3, 18 and 19, paragraphs (a)(2), (b), (c), (d), (e), (e-5),
8(e-10), (f), (g), and (h) of Section 20, and Sections 21, 24
9and 25. The Board and the Department of Agriculture may extend
10any or all of these exemptions to any contractor or agent
11engaged by the Department of Agriculture to conduct its race
12meetings when the Board determines that this would best serve
13the public interest and the interest of horse racing.
14 Notwithstanding any provision of law to the contrary, it
15shall be lawful for any licensee to operate pari-mutuel
16wagering or contract with the Department of Agriculture to
17operate pari-mutuel wagering at the DuQuoin State Fairgrounds
18or for the Department to enter into contracts with a licensee,
19employ its owners, employees or agents and employ such other
20occupation licensees as the Department deems necessary in
21connection with race meetings and wagerings.
22 (b) The Board is vested with the full power to promulgate
23reasonable rules and regulations for the purpose of
24administering the provisions of this Act and to prescribe
25reasonable rules, regulations and conditions under which all
26horse race meetings or wagering in the State shall be

HB5561- 437 -LRB101 17547 JWD 66965 b
1conducted. Such reasonable rules and regulations are to provide
2for the prevention of practices detrimental to the public
3interest and to promote the best interests of horse racing and
4to impose penalties for violations thereof.
5 (c) The Board, and any person or persons to whom it
6delegates this power, is vested with the power to enter the
7facilities and other places of business of any licensee to
8determine whether there has been compliance with the provisions
9of this Act and its rules and regulations.
10 (d) The Board, and any person or persons to whom it
11delegates this power, is vested with the authority to
12investigate alleged violations of the provisions of this Act,
13its reasonable rules and regulations, orders and final
14decisions; the Board shall take appropriate disciplinary
15action against any licensee or occupation licensee for
16violation thereof or institute appropriate legal action for the
17enforcement thereof.
18 (e) The Board, and any person or persons to whom it
19delegates this power, may eject or exclude from any race
20meeting or the facilities of any licensee, or any part thereof,
21any occupation licensee or any other individual whose conduct
22or reputation is such that his presence on those facilities
23may, in the opinion of the Board, call into question the
24honesty and integrity of horse racing or wagering or interfere
25with the orderly conduct of horse racing or wagering; provided,
26however, that no person shall be excluded or ejected from the

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1facilities of any licensee solely on the grounds of race,
2color, creed, national origin, ancestry, or sex. The power to
3eject or exclude an occupation licensee or other individual may
4be exercised for just cause by the licensee or the Board,
5subject to subsequent hearing by the Board as to the propriety
6of said exclusion.
7 (f) The Board is vested with the power to acquire,
8establish, maintain and operate (or provide by contract to
9maintain and operate) testing laboratories and related
10facilities, for the purpose of conducting saliva, blood, urine
11and other tests on the horses run or to be run in any horse race
12meeting, including races run at county fairs, and to purchase
13all equipment and supplies deemed necessary or desirable in
14connection with any such testing laboratories and related
15facilities and all such tests.
16 (g) The Board may require that the records, including
17financial or other statements of any licensee or any person
18affiliated with the licensee who is involved directly or
19indirectly in the activities of any licensee as regulated under
20this Act to the extent that those financial or other statements
21relate to such activities be kept in such manner as prescribed
22by the Board, and that Board employees shall have access to
23those records during reasonable business hours. Within 120 days
24of the end of its fiscal year, each licensee shall transmit to
25the Board an audit of the financial transactions and condition
26of the licensee's total operations. All audits shall be

HB5561- 439 -LRB101 17547 JWD 66965 b
1conducted by certified public accountants. Each certified
2public accountant must be registered in the State of Illinois
3under the Illinois Public Accounting Act. The compensation for
4each certified public accountant shall be paid directly by the
5licensee to the certified public accountant. A licensee shall
6also submit any other financial or related information the
7Board deems necessary to effectively administer this Act and
8all rules, regulations, and final decisions promulgated under
9this Act.
10 (h) The Board shall name and appoint in the manner provided
11by the rules and regulations of the Board: an Executive
12Director; a State director of mutuels; State veterinarians and
13representatives to take saliva, blood, urine and other tests on
14horses; licensing personnel; revenue inspectors; and State
15seasonal employees (excluding admission ticket sellers and
16mutuel clerks). All of those named and appointed as provided in
17this subsection shall serve during the pleasure of the Board;
18their compensation shall be determined by the Board and be paid
19in the same manner as other employees of the Board under this
20Act.
21 (i) The Board shall require that there shall be 3 stewards
22at each horse race meeting, at least 2 of whom shall be named
23and appointed by the Board. Stewards appointed or approved by
24the Board, while performing duties required by this Act or by
25the Board, shall be entitled to the same rights and immunities
26as granted to Board members and Board employees in Section 10

HB5561- 440 -LRB101 17547 JWD 66965 b
1of this Act.
2 (j) The Board may discharge any Board employee who fails or
3refuses for any reason to comply with the rules and regulations
4of the Board, or who, in the opinion of the Board, is guilty of
5fraud, dishonesty or who is proven to be incompetent. The Board
6shall have no right or power to determine who shall be
7officers, directors or employees of any licensee, or their
8salaries except the Board may, by rule, require that all or any
9officials or employees in charge of or whose duties relate to
10the actual running of races be approved by the Board.
11 (k) The Board is vested with the power to appoint delegates
12to execute any of the powers granted to it under this Section
13for the purpose of administering this Act and any rules or
14regulations promulgated in accordance with this Act.
15 (l) The Board is vested with the power to impose civil
16penalties of up to $5,000 against an individual and up to
17$10,000 against a licensee for each violation of any provision
18of this Act, any rules adopted by the Board, any order of the
19Board or any other action which, in the Board's discretion, is
20a detriment or impediment to horse racing or wagering.
21Beginning on the date when any organization licensee begins
22conducting gaming pursuant to an organization gaming license
23issued under the Illinois Gambling Act, the power granted to
24the Board pursuant to this subsection (l) shall authorize the
25Board to impose penalties of up to $10,000 against an
26individual and up to $25,000 against a licensee. All such civil

HB5561- 441 -LRB101 17547 JWD 66965 b
1penalties shall be deposited into the Horse Racing Fund.
2 (m) The Board is vested with the power to prescribe a form
3to be used by licensees as an application for employment for
4employees of each licensee.
5 (n) The Board shall have the power to issue a license to
6any county fair, or its agent, authorizing the conduct of the
7pari-mutuel system of wagering. The Board is vested with the
8full power to promulgate reasonable rules, regulations and
9conditions under which all horse race meetings licensed
10pursuant to this subsection shall be held and conducted,
11including rules, regulations and conditions for the conduct of
12the pari-mutuel system of wagering. The rules, regulations and
13conditions shall provide for the prevention of practices
14detrimental to the public interest and for the best interests
15of horse racing, and shall prescribe penalties for violations
16thereof. Any authority granted the Board under this Act shall
17extend to its jurisdiction and supervision over county fairs,
18or their agents, licensed pursuant to this subsection. However,
19the Board may waive any provision of this Act or its rules or
20regulations which would otherwise apply to such county fairs or
21their agents.
22 (o) Whenever the Board is authorized or required by law to
23consider some aspect of criminal history record information for
24the purpose of carrying out its statutory powers and
25responsibilities, then, upon request and payment of fees in
26conformance with the requirements of Section 2605-400 of the

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1Department of State Police Law (20 ILCS 2605/2605-400), the
2Department of State Police is authorized to furnish, pursuant
3to positive identification, such information contained in
4State files as is necessary to fulfill the request.
5 (p) To insure the convenience, comfort, and wagering
6accessibility of race track patrons, to provide for the
7maximization of State revenue, and to generate increases in
8purse allotments to the horsemen, the Board shall require any
9licensee to staff the pari-mutuel department with adequate
10personnel.
11(Source: P.A. 101-31, eff. 6-28-19.)
12 (230 ILCS 5/15) (from Ch. 8, par. 37-15)
13 Sec. 15. (a) The Board shall, in its discretion, issue
14occupation licenses to horse owners, trainers, harness
15drivers, jockeys, agents, apprentices, grooms, stable foremen,
16exercise persons, veterinarians, valets, blacksmiths,
17concessionaires and others designated by the Board whose work,
18in whole or in part, is conducted upon facilities within the
19State. Such occupation licenses will be obtained prior to the
20persons engaging in their vocation upon such facilities. The
21Board shall not license pari-mutuel clerks, parking
22attendants, security guards and employees of concessionaires.
23No occupation license shall be required of any person who works
24at facilities within this State as a pari-mutuel clerk, parking
25attendant, security guard or as an employee of a

HB5561- 443 -LRB101 17547 JWD 66965 b
1concessionaire. Concessionaires of the Illinois State Fair and
2DuQuoin State Fair and employees of the Illinois Department of
3Agriculture shall not be required to obtain an occupation
4license by the Board.
5 (b) Each application for an occupation license shall be on
6forms prescribed by the Board. Such license, when issued, shall
7be for the period ending December 31 of each year, except that
8the Board in its discretion may grant 3-year licenses. The
9application shall be accompanied by a fee of not more than $25
10per year or, in the case of 3-year occupation license
11applications, a fee of not more than $60. Each applicant shall
12set forth in the application his full name and address, and if
13he had been issued prior occupation licenses or has been
14licensed in any other state under any other name, such name,
15his age, whether or not a permit or license issued to him in
16any other state has been suspended or revoked and if so whether
17such suspension or revocation is in effect at the time of the
18application, and such other information as the Board may
19require. Fees for registration of stable names shall not exceed
20$50.00. Beginning on the date when any organization licensee
21begins conducting gaming pursuant to an organization gaming
22license issued under the Illinois Gambling Act, the fee for
23registration of stable names shall not exceed $150, and the
24application fee for an occupation license shall not exceed $75,
25per year or, in the case of a 3-year occupation license
26application, the fee shall not exceed $180.

HB5561- 444 -LRB101 17547 JWD 66965 b
1 (c) The Board may in its discretion refuse an occupation
2license to any person:
3 (1) who has been convicted of a crime;
4 (2) who is unqualified to perform the duties required
5 of such applicant;
6 (3) who fails to disclose or states falsely any
7 information called for in the application;
8 (4) who has been found guilty of a violation of this
9 Act or of the rules and regulations of the Board; or
10 (5) whose license or permit has been suspended, revoked
11 or denied for just cause in any other state.
12 (d) The Board may suspend or revoke any occupation license:
13 (1) for violation of any of the provisions of this Act;
14 or
15 (2) for violation of any of the rules or regulations of
16 the Board; or
17 (3) for any cause which, if known to the Board, would
18 have justified the Board in refusing to issue such
19 occupation license; or
20 (4) for any other just cause.
21 (e) Each applicant shall submit his or her fingerprints
22to the Department of State Police in the form and manner
23prescribed by the Department of State Police. These
24fingerprints shall be checked against the fingerprint records
25now and hereafter filed in the Department of State Police and
26Federal Bureau of Investigation criminal history records

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1databases. The Department of State Police shall charge a fee
2for conducting the criminal history records check, which shall
3be deposited in the State Police Services Fund and shall not
4exceed the actual cost of the records check. The Department of
5State Police shall furnish, pursuant to positive
6identification, records of conviction to the Board. Each
7applicant for licensure shall submit with his occupation
8license application, on forms provided by the Board, 2 sets of
9his fingerprints. All such applicants shall appear in person at
10the location designated by the Board for the purpose of
11submitting such sets of fingerprints; however, with the prior
12approval of a State steward, an applicant may have such sets of
13fingerprints taken by an official law enforcement agency and
14submitted to the Board.
15 (f) The Board may, in its discretion, issue an occupation
16license without submission of fingerprints if an applicant has
17been duly licensed in another recognized racing jurisdiction
18after submitting fingerprints that were subjected to a Federal
19Bureau of Investigation criminal history background check in
20that jurisdiction.
21 (g) Beginning on the date when any organization licensee
22begins conducting gaming pursuant to an organization gaming
23license issued under the Illinois Gambling Act, the Board may
24charge each applicant a reasonable nonrefundable fee to defray
25the costs associated with the background investigation
26conducted by the Board. This fee shall be exclusive of any

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1other fee or fees charged in connection with an application for
2and, if applicable, the issuance of, an organization gaming
3license. If the costs of the investigation exceed the amount of
4the fee charged, the Board shall immediately notify the
5applicant of the additional amount owed, payment of which must
6be submitted to the Board within 7 days after such
7notification. All information, records, interviews, reports,
8statements, memoranda, or other data supplied to or used by the
9Board in the course of its review or investigation of an
10applicant for a license or renewal under this Act shall be
11privileged, strictly confidential, and shall be used only for
12the purpose of evaluating an applicant for a license or a
13renewal. Such information, records, interviews, reports,
14statements, memoranda, or other data shall not be admissible as
15evidence, nor discoverable, in any action of any kind in any
16court or before any tribunal, board, agency, or person, except
17for any action deemed necessary by the Board.
18(Source: P.A. 101-31, eff. 6-28-19.)
19 (230 ILCS 5/18) (from Ch. 8, par. 37-18)
20 Sec. 18. (a) Together with its application, each applicant
21for racing dates shall deliver to the Board a certified check
22or bank draft payable to the order of the Board for $1,000. In
23the event the applicant applies for racing dates in 2 or 3
24successive calendar years as provided in subsection (b) of
25Section 21, the fee shall be $2,000. Filing fees shall not be

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1refunded in the event the application is denied. Beginning on
2the date when any organization licensee begins conducting
3gaming pursuant to an organization gaming license issued under
4the Illinois Gambling Act, the application fee for racing dates
5imposed by this subsection (a) shall be $10,000 and the
6application fee for racing dates in 2 or 3 successive calendar
7years as provided in subsection (b) of Section 21 shall be
8$20,000. All filing fees shall be deposited into the Horse
9Racing Fund.
10 (b) In addition to the filing fee imposed by subsection (a)
11of $1000 and the fees provided in subsection (j) of Section 20,
12each organization licensee shall pay a license fee of $100 for
13each racing program on which its daily pari-mutuel handle is
14$400,000 or more but less than $700,000, and a license fee of
15$200 for each racing program on which its daily pari-mutuel
16handle is $700,000 or more. The additional fees required to be
17paid under this Section by this amendatory Act of 1982 shall be
18remitted by the organization licensee to the Illinois Racing
19Board with each day's graduated privilege tax or pari-mutuel
20tax and breakage as provided under Section 27. Beginning on the
21date when any organization licensee begins conducting gaming
22pursuant to an organization gaming license issued under the
23Illinois Gambling Act, the license fee imposed by this
24subsection (b) shall be $200 for each racing program on which
25the organization licensee's daily pari-mutuel handle is
26$100,000 or more, but less than $400,000, and the license fee

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1imposed by this subsection (b) shall be $400 for each racing
2program on which the organization licensee's daily pari-mutuel
3handle is $400,000 or more.
4 (c) Sections 11-42-1, 11-42-5, and 11-54-1 of the "Illinois
5Municipal Code," approved May 29, 1961, as now or hereafter
6amended, shall not apply to any license under this Act.
7(Source: P.A. 101-31, eff. 6-28-19.)
8 (230 ILCS 5/19) (from Ch. 8, par. 37-19)
9 Sec. 19. (a) No organization license may be granted to
10conduct a horse race meeting:
11 (1) except as provided in subsection (c) of Section 21
12 of this Act, to any person at any place within 35 miles of
13 any other place licensed by the Board to hold a race
14 meeting on the same date during the same hours, the mileage
15 measurement used in this subsection (a) shall be certified
16 to the Board by the Bureau of Systems and Services in the
17 Illinois Department of Transportation as the most commonly
18 used public way of vehicular travel;
19 (2) to any person in default in the payment of any
20 obligation or debt due the State under this Act, provided
21 no applicant shall be deemed in default in the payment of
22 any obligation or debt due to the State under this Act as
23 long as there is pending a hearing of any kind relevant to
24 such matter;
25 (3) to any person who has been convicted of the

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1 violation of any law of the United States or any State law
2 which provided as all or part of its penalty imprisonment
3 in any penal institution; to any person against whom there
4 is pending a Federal or State criminal charge; to any
5 person who is or has been connected with or engaged in the
6 operation of any illegal business; to any person who does
7 not enjoy a general reputation in his community of being an
8 honest, upright, law-abiding person; provided that none of
9 the matters set forth in this subparagraph (3) shall make
10 any person ineligible to be granted an organization license
11 if the Board determines, based on circumstances of any such
12 case, that the granting of a license would not be
13 detrimental to the interests of horse racing and of the
14 public;
15 (4) to any person who does not at the time of
16 application for the organization license own or have a
17 contract or lease for the possession of a finished race
18 track suitable for the type of racing intended to be held
19 by the applicant and for the accommodation of the public.
20 (b) (Blank) Horse racing on Sunday shall be prohibited
21unless authorized by ordinance or referendum of the
22municipality in which a race track or any of its appurtenances
23or facilities are located, or utilized.
24 (c) If any person is ineligible to receive an organization
25license because of any of the matters set forth in subsection
26(a) (2) or subsection (a) (3) of this Section, any other or

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1separate person that either (i) controls, directly or
2indirectly, such ineligible person or (ii) is controlled,
3directly or indirectly, by such ineligible person or by a
4person which controls, directly or indirectly, such ineligible
5person shall also be ineligible.
6(Source: P.A. 101-31, eff. 6-28-19.)
7 (230 ILCS 5/20) (from Ch. 8, par. 37-20)
8 Sec. 20. (a) Any person desiring to conduct a horse race
9meeting may apply to the Board for an organization license. The
10application shall be made on a form prescribed and furnished by
11the Board. The application shall specify:
12 (1) the dates on which it intends to conduct the horse
13 race meeting, which dates shall be provided under Section
14 21;
15 (2) the hours of each racing day between which it
16 intends to hold or conduct horse racing at such meeting;
17 (3) the location where it proposes to conduct the
18 meeting; and
19 (4) any other information the Board may reasonably
20 require.
21 (b) A separate application for an organization license
22shall be filed for each horse race meeting which such person
23proposes to hold. Any such application, if made by an
24individual, or by any individual as trustee, shall be signed
25and verified under oath by such individual. If the application

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1is made by individuals, then it shall be signed and verified
2under oath by at least 2 of the individuals; if the application
3is made by or a partnership, it shall be signed and verified
4under oath by at least 2 of such individuals or members of such
5partnership as the case may be. If made by an association, a
6corporation, a corporate trustee, a limited liability company,
7or any other entity, it shall be signed by an authorized
8officer, a partner, a member, or a manager, as the case may be,
9of the entity the president and attested by the secretary or
10assistant secretary under the seal of such association, trust
11or corporation if it has a seal, and shall also be verified
12under oath by one of the signing officers.
13 (c) The application shall specify:
14 (1) the name of the persons, association, trust, or
15 corporation making such application; and
16 (2) the principal post office address of the applicant;
17 (3) if the applicant is a trustee, the names and
18 addresses of the beneficiaries; if the applicant is a
19 corporation, the names and post office addresses of all
20 officers, stockholders and directors; or if such
21 stockholders hold stock as a nominee or fiduciary, the
22 names and post office addresses of the parties these
23 persons, partnerships, corporations, or trusts who are the
24 beneficial owners thereof or who are beneficially
25 interested therein; and if the applicant is a partnership,
26 the names and post office addresses of all partners,

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1 general or limited; if the applicant is a limited liability
2 company, the names and addresses of the manager and
3 members; and if the applicant is any other entity, the
4 names and addresses of all officers or other authorized
5 persons of the entity corporation, the name of the state of
6 its incorporation shall be specified.
7 (d) The applicant shall execute and file with the Board a
8good faith affirmative action plan to recruit, train, and
9upgrade minorities in all classifications within the
10association.
11 (e) With such application there shall be delivered to the
12Board a certified check or bank draft payable to the order of
13the Board for an amount equal to $1,000. All applications for
14the issuance of an organization license shall be filed with the
15Board before August 1 of the year prior to the year for which
16application is made and shall be acted upon by the Board at a
17meeting to be held on such date as shall be fixed by the Board
18during the last 15 days of September of such prior year. At
19such meeting, the Board shall announce the award of the racing
20meets, live racing schedule, and designation of host track to
21the applicants and its approval or disapproval of each
22application. No announcement shall be considered binding until
23a formal order is executed by the Board, which shall be
24executed no later than October 15 of that prior year. Absent
25the agreement of the affected organization licensees, the Board
26shall not grant overlapping race meetings to 2 or more tracks

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1that are within 100 miles of each other to conduct the
2thoroughbred racing.
3 (e-1) The Board shall award standardbred racing dates to
4organization licensees with an organization gaming license
5pursuant to the following schedule:
6 (1) For the first calendar year of operation of
7 gambling games by an organization gaming licensee under
8 this amendatory Act of the 101st General Assembly, when a
9 single entity requests standardbred racing dates, the
10 Board shall award no fewer than 100 days of racing. The
11 100-day requirement may be reduced to no fewer than 80 days
12 if no dates are requested for the first 3 months of a
13 calendar year. If more than one entity requests
14 standardbred racing dates, the Board shall award no fewer
15 than 140 days of racing between the applicants.
16 (2) For the second calendar year of operation of
17 gambling games by an organization gaming licensee under
18 this amendatory Act of the 101st General Assembly, when a
19 single entity requests standardbred racing dates, the
20 Board shall award no fewer than 100 days of racing. The
21 100-day requirement may be reduced to no fewer than 80 days
22 if no dates are requested for the first 3 months of a
23 calendar year. If more than one entity requests
24 standardbred racing dates, the Board shall award no fewer
25 than 160 days of racing between the applicants.
26 (3) For the third calendar year of operation of

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1 gambling games by an organization gaming licensee under
2 this amendatory Act of the 101st General Assembly, and each
3 calendar year thereafter, when a single entity requests
4 standardbred racing dates, the Board shall award no fewer
5 than 120 days of racing. The 120-day requirement may be
6 reduced to no fewer than 100 days if no dates are requested
7 for the first 3 months of a calendar year. If more than one
8 entity requests standardbred racing dates, the Board shall
9 award no fewer than 200 days of racing between the
10 applicants.
11 An organization licensee shall apply for racing dates
12pursuant to this subsection (e-1). In awarding racing dates
13under this subsection (e-1), the Board shall have the
14discretion to allocate those standardbred racing dates among
15these organization licensees.
16 (e-2) The Board shall award thoroughbred racing days to
17Cook County organization licensees pursuant to the following
18schedule:
19 (1) During the first year in which only one
20 organization licensee is awarded an organization gaming
21 license, the Board shall award no fewer than 110 days of
22 racing.
23 During the second year in which only one organization
24 licensee is awarded an organization gaming license, the
25 Board shall award no fewer than 115 racing days.
26 During the third year and every year thereafter, in

HB5561- 455 -LRB101 17547 JWD 66965 b
1 which only one organization licensee is awarded an
2 organization gaming license, the Board shall award no fewer
3 than 120 racing days.
4 (2) During the first year in which 2 organization
5 licensees are awarded an organization gaming license, the
6 Board shall award no fewer than 139 total racing days.
7 During the second year in which 2 organization
8 licensees are awarded an organization gaming license, the
9 Board shall award no fewer than 160 total racing days.
10 During the third year and every year thereafter in
11 which 2 organization licensees are awarded an organization
12 gaming license, the Board shall award no fewer than 174
13 total racing days.
14 A Cook County organization licensee shall apply for racing
15dates pursuant to this subsection (e-2). In awarding racing
16dates under this subsection (e-2), the Board shall have the
17discretion to allocate those thoroughbred racing dates among
18these Cook County organization licensees.
19 (e-3) In awarding racing dates for calendar year 2020 and
20thereafter in connection with a racetrack in Madison County,
21the Board shall award racing dates and such organization
22licensee shall run at least 700 thoroughbred races at the
23racetrack in Madison County each year.
24 Notwithstanding Section 7.7 of the Illinois Gambling Act or
25any provision of this Act other than subsection (e-4.5), for
26each calendar year for which an organization gaming licensee

HB5561- 456 -LRB101 17547 JWD 66965 b
1located in Madison County requests racing dates resulting in
2less than 700 live thoroughbred races at its racetrack
3facility, the organization gaming licensee may not conduct
4gaming pursuant to an organization gaming license issued under
5the Illinois Gambling Act for the calendar year of such
6requested live races.
7 (e-4) Notwithstanding the provisions of Section 7.7 of the
8Illinois Gambling Act or any provision of this Act other than
9subsections (e-3) and (e-4.5), for each calendar year for which
10an organization gaming licensee requests thoroughbred racing
11dates which results in a number of live races under its
12organization license that is less than the total number of live
13races which it conducted in 2017 at its racetrack facility, the
14organization gaming licensee may not conduct gaming pursuant to
15its organization gaming license for the calendar year of such
16requested live races.
17 (e-4.1) Notwithstanding the provisions of Section 7.7 of
18the Illinois Gambling Act or any provision of this Act other
19than subsections (e-3) and (e-4.5), for each calendar year for
20which an organization licensee requests racing dates for
21standardbred racing which results in a number of live races
22that is less than the total number of live races required in
23subsection (e-1), the organization gaming licensee may not
24conduct gaming pursuant to its organization gaming license for
25the calendar year of such requested live races.
26 (e-4.5) The Board shall award the minimum live racing

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1guarantees contained in subsections (e-1), (e-2), and (e-3) to
2ensure that each organization licensee shall individually run a
3sufficient number of races per year to qualify for an
4organization gaming license under this Act. The General
5Assembly finds that the minimum live racing guarantees
6contained in subsections (e-1), (e-2), and (e-3) are in the
7best interest of the sport of horse racing, and that such
8guarantees may only be reduced in the calendar year in which
9they will be conducted in the limited circumstances described
10in this subsection. The Board may decrease the number of racing
11days without affecting an organization licensee's ability to
12conduct gaming pursuant to an organization gaming license
13issued under the Illinois Gambling Act only if the Board
14determines, after notice and hearing, that:
15 (i) a decrease is necessary to maintain a sufficient
16 number of betting interests per race to ensure the
17 integrity of racing;
18 (ii) there are unsafe track conditions due to weather
19 or acts of God;
20 (iii) there is an agreement between an organization
21 licensee and the breed association that is applicable to
22 the involved live racing guarantee, such association
23 representing either the largest number of thoroughbred
24 owners and trainers or the largest number of standardbred
25 owners, trainers and drivers who race horses at the
26 involved organization licensee's racing meeting, so long

HB5561- 458 -LRB101 17547 JWD 66965 b
1 as the agreement does not compromise the integrity of the
2 sport of horse racing; or
3 (iv) the horse population or purse levels are
4 insufficient to provide the number of racing opportunities
5 otherwise required in this Act.
6 In decreasing the number of racing dates in accordance with
7this subsection, the Board shall hold a hearing and shall
8provide the public and all interested parties notice and an
9opportunity to be heard. The Board shall accept testimony from
10all interested parties, including any association representing
11owners, trainers, jockeys, or drivers who will be affected by
12the decrease in racing dates. The Board shall provide a written
13explanation of the reasons for the decrease and the Board's
14findings. The written explanation shall include a listing and
15content of all communication between any party and any Illinois
16Racing Board member or staff that does not take place at a
17public meeting of the Board.
18 (e-5) In reviewing an application for the purpose of
19granting an organization license consistent with the best
20interests of the public and the sport of horse racing, the
21Board shall consider:
22 (1) the character, reputation, experience, and
23 financial integrity of the applicant and of any other
24 separate person that either:
25 (i) controls the applicant, directly or
26 indirectly, or

HB5561- 459 -LRB101 17547 JWD 66965 b
1 (ii) is controlled, directly or indirectly, by
2 that applicant or by a person who controls, directly or
3 indirectly, that applicant;
4 (2) the applicant's facilities or proposed facilities
5 for conducting horse racing;
6 (3) the total revenue without regard to Section 32.1 to
7 be derived by the State and horsemen from the applicant's
8 conducting a race meeting;
9 (4) the applicant's good faith affirmative action plan
10 to recruit, train, and upgrade minorities in all employment
11 classifications;
12 (5) the applicant's financial ability to purchase and
13 maintain adequate liability and casualty insurance;
14 (6) the applicant's proposed and prior year's
15 promotional and marketing activities and expenditures of
16 the applicant associated with those activities;
17 (7) an agreement, if any, among organization licensees
18 as provided in subsection (b) of Section 21 of this Act;
19 and
20 (8) the extent to which the applicant exceeds or meets
21 other standards for the issuance of an organization license
22 that the Board shall adopt by rule.
23 In granting organization licenses and allocating dates for
24horse race meetings, the Board shall have discretion to
25determine an overall schedule, including required simulcasts
26of Illinois races by host tracks that will, in its judgment, be

HB5561- 460 -LRB101 17547 JWD 66965 b
1conducive to the best interests of the public and the sport of
2horse racing.
3 (e-10) The Illinois Administrative Procedure Act shall
4apply to administrative procedures of the Board under this Act
5for the granting of an organization license, except that (1)
6notwithstanding the provisions of subsection (b) of Section
710-40 of the Illinois Administrative Procedure Act regarding
8cross-examination, the Board may prescribe rules limiting the
9right of an applicant or participant in any proceeding to award
10an organization license to conduct cross-examination of
11witnesses at that proceeding where that cross-examination
12would unduly obstruct the timely award of an organization
13license under subsection (e) of Section 20 of this Act; (2) the
14provisions of Section 10-45 of the Illinois Administrative
15Procedure Act regarding proposals for decision are excluded
16under this Act; (3) notwithstanding the provisions of
17subsection (a) of Section 10-60 of the Illinois Administrative
18Procedure Act regarding ex parte communications, the Board may
19prescribe rules allowing ex parte communications with
20applicants or participants in a proceeding to award an
21organization license where conducting those communications
22would be in the best interest of racing, provided all those
23communications are made part of the record of that proceeding
24pursuant to subsection (c) of Section 10-60 of the Illinois
25Administrative Procedure Act; (4) the provisions of Section 14a
26of this Act and the rules of the Board promulgated under that

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1Section shall apply instead of the provisions of Article 10 of
2the Illinois Administrative Procedure Act regarding
3administrative law judges; and (5) the provisions of subsection
4(d) of Section 10-65 of the Illinois Administrative Procedure
5Act that prevent summary suspension of a license pending
6revocation or other action shall not apply.
7 (f) The Board may allot racing dates to an organization
8licensee for more than one calendar year but for no more than 3
9successive calendar years in advance, provided that the Board
10shall review such allotment for more than one calendar year
11prior to each year for which such allotment has been made. The
12granting of an organization license to a person constitutes a
13privilege to conduct a horse race meeting under the provisions
14of this Act, and no person granted an organization license
15shall be deemed to have a vested interest, property right, or
16future expectation to receive an organization license in any
17subsequent year as a result of the granting of an organization
18license. Organization licenses shall be subject to revocation
19if the organization licensee has violated any provision of this
20Act or the rules and regulations promulgated under this Act or
21has been convicted of a crime or has failed to disclose or has
22stated falsely any information called for in the application
23for an organization license. Any organization license
24revocation proceeding shall be in accordance with Section 16
25regarding suspension and revocation of occupation licenses.
26 (f-5) If, (i) an applicant does not file an acceptance of

HB5561- 462 -LRB101 17547 JWD 66965 b
1the racing dates awarded by the Board as required under part
2(1) of subsection (h) of this Section 20, or (ii) an
3organization licensee has its license suspended or revoked
4under this Act, the Board, upon conducting an emergency hearing
5as provided for in this Act, may reaward on an emergency basis
6pursuant to rules established by the Board, racing dates not
7accepted or the racing dates associated with any suspension or
8revocation period to one or more organization licensees, new
9applicants, or any combination thereof, upon terms and
10conditions that the Board determines are in the best interest
11of racing, provided, the organization licensees or new
12applicants receiving the awarded racing dates file an
13acceptance of those reawarded racing dates as required under
14paragraph (1) of subsection (h) of this Section 20 and comply
15with the other provisions of this Act. The Illinois
16Administrative Procedure Act shall not apply to the
17administrative procedures of the Board in conducting the
18emergency hearing and the reallocation of racing dates on an
19emergency basis.
20 (g) (Blank).
21 (h) The Board shall send the applicant a copy of its
22formally executed order by certified mail addressed to the
23applicant at the address stated in his application, which
24notice shall be mailed within 5 days of the date the formal
25order is executed.
26 Each applicant notified shall, within 10 days after receipt

HB5561- 463 -LRB101 17547 JWD 66965 b
1of the final executed order of the Board awarding racing dates:
2 (1) file with the Board an acceptance of such award in
3 the form prescribed by the Board;
4 (2) pay to the Board an additional amount equal to $110
5 for each racing date awarded; and
6 (3) file with the Board the bonds required in Sections
7 21 and 25 at least 20 days prior to the first day of each
8 race meeting.
9Upon compliance with the provisions of paragraphs (1), (2), and
10(3) of this subsection (h), the applicant shall be issued an
11organization license.
12 If any applicant fails to comply with this Section or fails
13to pay the organization license fees herein provided, no
14organization license shall be issued to such applicant.
15(Source: P.A. 101-31, eff. 6-28-19.)
16 (230 ILCS 5/21) (from Ch. 8, par. 37-21)
17 Sec. 21. (a) Applications for organization licenses must be
18filed with the Board at a time and place prescribed by the
19rules and regulations of the Board. The Board shall examine the
20applications within 21 days after the date allowed for filing
21with respect to their conformity with this Act and such rules
22and regulations as may be prescribed by the Board. If any
23application does not comply with this Act or the rules and
24regulations prescribed by the Board, such application may be
25rejected and an organization license refused to the applicant,

HB5561- 464 -LRB101 17547 JWD 66965 b
1or the Board may, within 21 days of the receipt of such
2application, advise the applicant of the deficiencies of the
3application under the Act or the rules and regulations of the
4Board, and require the submittal of an amended application
5within a reasonable time determined by the Board; and upon
6submittal of the amended application by the applicant, the
7Board may consider the application consistent with the process
8described in subsection (e-5) of Section 20 of this Act. If it
9is found to be in compliance with this Act and the rules and
10regulations of the Board, the Board may then issue an
11organization license to such applicant.
12 (b) The Board may exercise discretion in granting racing
13dates to qualified applicants different from those requested by
14the applicants in their applications. However, if all eligible
15applicants for organization licenses whose tracks are located
16within 100 miles of each other execute and submit to the Board
17a written agreement among such applicants as to the award of
18racing dates, including where applicable racing programs, for
19up to 3 consecutive years, then subject to annual review of
20each applicant's compliance with Board rules and regulations,
21provisions of this Act and conditions contained in annual dates
22orders issued by the Board, the Board may grant such dates and
23programs to such applicants as so agreed by them if the Board
24determines that the grant of these racing dates is in the best
25interests of racing. The Board shall treat any such agreement
26as the agreement signatories' joint and several application for

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1racing dates during the term of the agreement.
2 (c) Where 2 or more applicants propose to conduct horse
3race meetings within 35 miles of each other, as certified to
4the Board under Section 19 (a) (1) of this Act, on conflicting
5dates, the Board may determine and grant the number of racing
6days to be awarded to the several applicants in accordance with
7the provisions of subsection (e-5) of Section 20 of this Act.
8 (d) (Blank).
9 (e) Prior to the issuance of an organization license, the
10applicant shall file with the Board a bond payable to the State
11of Illinois in the sum of $200,000, executed by the applicant
12and a surety company or companies authorized to do business in
13this State, and conditioned upon the payment by the
14organization licensee of all taxes due under Section 27, other
15monies due and payable under this Act, all purses due and
16payable, and that the organization licensee will upon
17presentation of the winning ticket or tickets distribute all
18sums due to the patrons of pari-mutuel pools. Beginning on the
19date when any organization licensee begins conducting gaming
20pursuant to an organization gaming license issued under the
21Illinois Gambling Act, the amount of the bond required under
22this subsection (e) shall be $500,000.
23 (f) Each organization license shall specify the person to
24whom it is issued, the dates upon which horse racing is
25permitted, and the location, place, track, or enclosure where
26the horse race meeting is to be held.

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1 (g) Any person who owns one or more race tracks within the
2State may seek, in its own name, a separate organization
3license for each race track.
4 (h) All racing conducted under such organization license is
5subject to this Act and to the rules and regulations from time
6to time prescribed by the Board, and every such organization
7license issued by the Board shall contain a recital to that
8effect.
9 (i) Each such organization licensee may provide that at
10least one race per day may be devoted to the racing of quarter
11horses, appaloosas, arabians, or paints.
12 (j) In acting on applications for organization licenses,
13the Board shall give weight to an organization license which
14has implemented a good faith affirmative action effort to
15recruit, train and upgrade minorities in all classifications
16within the organization license.
17(Source: P.A. 101-31, eff. 6-28-19.)
18 (230 ILCS 5/24) (from Ch. 8, par. 37-24)
19 Sec. 24. (a) No license shall be issued to or held by an
20organization licensee unless all of its officers, directors,
21and holders of ownership interests of at least 5% are first
22approved by the Board. The Board shall not give approval of an
23organization license application to any person who has been
24convicted of or is under an indictment for a crime of moral
25turpitude or has violated any provision of the racing law of

HB5561- 467 -LRB101 17547 JWD 66965 b
1this State or any rules of the Board.
2 (b) An organization licensee must notify the Board within
310 days of any change in the holders of a direct or indirect
4interest in the ownership of the organization licensee. The
5Board may, after hearing, revoke the organization license of
6any person who registers on its books or knowingly permits a
7direct or indirect interest in the ownership of that person
8without notifying the Board of the name of the holder in
9interest within this period.
10 (c) In addition to the provisions of subsection (a) of this
11Section, no person shall be granted an organization license if
12any public official of the State or member of his or her family
13holds any ownership or financial interest, directly or
14indirectly, in the person.
15 (d) No person which has been granted an organization
16license to hold a race meeting shall give to any public
17official or member of his family, directly or indirectly, for
18or without consideration, any interest in the person. The Board
19shall, after hearing, revoke the organization license granted
20to a person which has violated this subsection.
21 (e) (Blank).
22 (f) No organization licensee or concessionaire or officer,
23director or holder or controller of 5% or more legal or
24beneficial interest in any organization licensee or concession
25shall make any sort of gift or contribution that is prohibited
26under Article 10 of the State Officials and Employees Ethics

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1Act of any kind or pay or give any money or other thing of value
2to any person who is a public official, or a candidate or
3nominee for public office if that payment or gift is prohibited
4under Article 10 of the State Officials and Employees Ethics
5Act.
6(Source: P.A. 101-31, eff. 6-28-19.)
7 (230 ILCS 5/25) (from Ch. 8, par. 37-25)
8 Sec. 25. Admission charge; bond; fine.
9 (a) There shall be paid to the Board at such time or times
10as it shall prescribe, the sum of fifteen cents (15¢) for each
11person entering the grounds or enclosure of each organization
12licensee and inter-track wagering licensee upon a ticket of
13admission except as provided in subsection (g) of Section 27 of
14this Act. If tickets are issued for more than one day then the
15sum of fifteen cents (15¢) shall be paid for each person using
16such ticket on each day that the same shall be used. Provided,
17however, that no charge shall be made on tickets of admission
18issued to and in the name of directors, officers, agents or
19employees of the organization licensee, or inter-track
20wagering licensee, or to owners, trainers, jockeys, drivers and
21their employees or to any person or persons entering the
22grounds or enclosure for the transaction of business in
23connection with such race meeting. The organization licensee or
24inter-track wagering licensee may, if it desires, collect such
25amount from each ticket holder in addition to the amount or

HB5561- 469 -LRB101 17547 JWD 66965 b
1amounts charged for such ticket of admission. Beginning on the
2date when any organization licensee begins conducting gaming
3pursuant to an organization gaming license issued under the
4Illinois Gambling Act, the admission charge imposed by this
5subsection (a) shall be 40 cents for each person entering the
6grounds or enclosure of each organization licensee and
7inter-track wagering licensee upon a ticket of admission, and
8if such tickets are issued for more than one day, 40 cents
9shall be paid for each person using such ticket on each day
10that the same shall be used.
11 (b) Accurate records and books shall at all times be kept
12and maintained by the organization licensees and inter-track
13wagering licensees showing the admission tickets issued and
14used on each racing day and the attendance thereat of each
15horse racing meeting. The Board or its duly authorized
16representative or representatives shall at all reasonable
17times have access to the admission records of any organization
18licensee and inter-track wagering licensee for the purpose of
19examining and checking the same and ascertaining whether or not
20the proper amount has been or is being paid the State of
21Illinois as herein provided. The Board shall also require,
22before issuing any license, that the licensee shall execute and
23deliver to it a bond, payable to the State of Illinois, in such
24sum as it shall determine, not, however, in excess of fifty
25thousand dollars ($50,000), with a surety or sureties to be
26approved by it, conditioned for the payment of all sums due and

HB5561- 470 -LRB101 17547 JWD 66965 b
1payable or collected by it under this Section upon admission
2fees received for any particular racing meetings. The Board may
3also from time to time require sworn statements of the number
4or numbers of such admissions and may prescribe blanks upon
5which such reports shall be made. Any organization licensee or
6inter-track wagering licensee failing or refusing to pay the
7amount found to be due as herein provided, shall be deemed
8guilty of a business offense and upon conviction shall be
9punished by a fine of not more than five thousand dollars
10($5,000) in addition to the amount due from such organization
11licensee or inter-track wagering licensee as herein provided.
12All fines paid into court by an organization licensee or
13inter-track wagering licensee found guilty of violating this
14Section shall be transmitted and paid over by the clerk of the
15court to the Board. Beginning on the date when any organization
16licensee begins conducting gaming pursuant to an organization
17gaming license issued under the Illinois Gambling Act, any fine
18imposed pursuant to this subsection (b) shall not exceed
19$10,000.
20(Source: P.A. 101-31, eff. 6-28-19.)
21 (230 ILCS 5/26) (from Ch. 8, par. 37-26)
22 Sec. 26. Wagering.
23 (a) Any licensee may conduct and supervise the pari-mutuel
24system of wagering, as defined in Section 3.12 of this Act, on
25horse races conducted by an Illinois organization licensee or

HB5561- 471 -LRB101 17547 JWD 66965 b
1conducted at a racetrack located in another state or country
2and televised in Illinois in accordance with subsection (g) of
3Section 26 of this Act. Subject to the prior consent of the
4Board, licensees may supplement any pari-mutuel pool in order
5to guarantee a minimum distribution. Such pari-mutuel method of
6wagering shall not, under any circumstances if conducted under
7the provisions of this Act, be held or construed to be
8unlawful, other statutes of this State to the contrary
9notwithstanding. Subject to rules for advance wagering
10promulgated by the Board, any licensee may accept wagers in
11advance of the day of the race wagered upon occurs.
12 (b) No Except for those gaming activities for which a
13license is obtained and authorized under the Illinois Lottery
14Law, the Charitable Games Act, the Raffles and Poker Runs Act,
15or the Illinois Gambling Act, no other method of betting, pool
16making, wagering or gambling shall be used or permitted by the
17licensee. Each licensee may retain, subject to the payment of
18all applicable taxes and purses, an amount not to exceed 17% of
19all money wagered under subsection (a) of this Section, except
20as may otherwise be permitted under this Act.
21 (b-5) An individual may place a wager under the pari-mutuel
22system from any licensed location authorized under this Act
23provided that wager is electronically recorded in the manner
24described in Section 3.12 of this Act. Any wager made
25electronically by an individual while physically on the
26premises of a licensee shall be deemed to have been made at the

HB5561- 472 -LRB101 17547 JWD 66965 b
1premises of that licensee.
2 (c) Until January 1, 2000, the sum held by any licensee for
3payment of outstanding pari-mutuel tickets, if unclaimed prior
4to December 31 of the next year, shall be retained by the
5licensee for payment of such tickets until that date. Within 10
6days thereafter, the balance of such sum remaining unclaimed,
7less any uncashed supplements contributed by such licensee for
8the purpose of guaranteeing minimum distributions of any
9pari-mutuel pool, shall be paid to the Illinois Veterans'
10Rehabilitation Fund of the State treasury, except as provided
11in subsection (g) of Section 27 of this Act. (Blank).
12 (c-5) The Beginning January 1, 2000, the sum held by any
13licensee for payment of outstanding pari-mutuel tickets, if
14unclaimed prior to December 31 of the next year, shall be
15retained by the licensee for payment of such tickets until that
16date. Within 10 days thereafter, the balance of such sum
17remaining unclaimed, less any uncashed supplements contributed
18by such licensee for the purpose of guaranteeing minimum
19distributions of any pari-mutuel pool, shall be evenly
20distributed to the purse account of the organization licensee
21and the organization licensee, except that the balance of the
22sum of all outstanding pari-mutuel tickets generated from
23simulcast wagering and inter-track wagering by an organization
24licensee located in a county with a population in excess of
25230,000 and borders the Mississippi River or any licensee that
26derives its license from that organization licensee shall be

HB5561- 473 -LRB101 17547 JWD 66965 b
1evenly distributed to the purse account of the organization
2licensee and the organization licensee.
3 (d) A pari-mutuel ticket shall be honored until December 31
4of the next calendar year, and the licensee shall pay the same
5and may charge the amount thereof against unpaid money
6similarly accumulated on account of pari-mutuel tickets not
7presented for payment.
8 (e) No licensee shall knowingly permit any minor, other
9than an employee of such licensee or an owner, trainer, jockey,
10driver, or employee thereof, to be admitted during a racing
11program unless accompanied by a parent or guardian, or any
12minor to be a patron of the pari-mutuel system of wagering
13conducted or supervised by it. The admission of any
14unaccompanied minor, other than an employee of the licensee or
15an owner, trainer, jockey, driver, or employee thereof at a
16race track is a Class C misdemeanor.
17 (f) Notwithstanding the other provisions of this Act, an
18organization licensee may contract with an entity in another
19state or country to permit any legal wagering entity in another
20state or country to accept wagers solely within such other
21state or country on races conducted by the organization
22licensee in this State. Beginning January 1, 2000, these wagers
23shall not be subject to State taxation. Until January 1, 2000,
24when the out-of-State entity conducts a pari-mutuel pool
25separate from the organization licensee, a privilege tax equal
26to 7 1/2% of all monies received by the organization licensee

HB5561- 474 -LRB101 17547 JWD 66965 b
1from entities in other states or countries pursuant to such
2contracts is imposed on the organization licensee, and such
3privilege tax shall be remitted to the Department of Revenue
4within 48 hours of receipt of the moneys from the simulcast.
5When the out-of-State entity conducts a combined pari-mutuel
6pool with the organization licensee, the tax shall be 10% of
7all monies received by the organization licensee with 25% of
8the receipts from this 10% tax to be distributed to the county
9in which the race was conducted.
10 An organization licensee may permit one or more of its
11races to be utilized for pari-mutuel wagering at one or more
12locations in other states and may transmit audio and visual
13signals of races the organization licensee conducts to one or
14more locations outside the State or country and may also permit
15pari-mutuel pools in other states or countries to be combined
16with its gross or net wagering pools or with wagering pools
17established by other states.
18 (g) A host track may accept interstate simulcast wagers on
19horse races conducted in other states or countries and shall
20control the number of signals and types of breeds of racing in
21its simulcast program, subject to the disapproval of the Board.
22The Board may prohibit a simulcast program only if it finds
23that the simulcast program is clearly adverse to the integrity
24of racing. The host track simulcast program shall include the
25signal of live racing of all organization licensees. All
26non-host licensees and advance deposit wagering licensees

HB5561- 475 -LRB101 17547 JWD 66965 b
1shall carry the signal of and accept wagers on live racing of
2all organization licensees. Advance deposit wagering licensees
3shall not be permitted to accept out-of-state wagers on any
4Illinois signal provided pursuant to this Section without the
5approval and consent of the organization licensee providing the
6signal. For one year after August 15, 2014 (the effective date
7of Public Act 98-968), non-host licensees may carry the host
8track simulcast program and shall accept wagers on all races
9included as part of the simulcast program of horse races
10conducted at race tracks located within North America upon
11which wagering is permitted. For a period of one year after
12August 15, 2014 (the effective date of Public Act 98-968), on
13horse races conducted at race tracks located outside of North
14America, non-host licensees may accept wagers on all races
15included as part of the simulcast program upon which wagering
16is permitted. Beginning August 15, 2015 (one year after the
17effective date of Public Act 98-968), non-host licensees may
18carry the host track simulcast program and shall accept wagers
19on all races included as part of the simulcast program upon
20which wagering is permitted. All organization licensees shall
21provide their live signal to all advance deposit wagering
22licensees for a simulcast commission fee not to exceed 6% of
23the advance deposit wagering licensee's Illinois handle on the
24organization licensee's signal without prior approval by the
25Board. The Board may adopt rules under which it may permit
26simulcast commission fees in excess of 6%. The Board shall

HB5561- 476 -LRB101 17547 JWD 66965 b
1adopt rules limiting the interstate commission fees charged to
2an advance deposit wagering licensee. The Board shall adopt
3rules regarding advance deposit wagering on interstate
4simulcast races that shall reflect, among other things, the
5General Assembly's desire to maximize revenues to the State,
6horsemen purses, and organization licensees. However,
7organization licensees providing live signals pursuant to the
8requirements of this subsection (g) may petition the Board to
9withhold their live signals from an advance deposit wagering
10licensee if the organization licensee discovers and the Board
11finds reputable or credible information that the advance
12deposit wagering licensee is under investigation by another
13state or federal governmental agency, the advance deposit
14wagering licensee's license has been suspended in another
15state, or the advance deposit wagering licensee's license is in
16revocation proceedings in another state. The organization
17licensee's provision of their live signal to an advance deposit
18wagering licensee under this subsection (g) pertains to wagers
19placed from within Illinois. Advance deposit wagering
20licensees may place advance deposit wagering terminals at
21wagering facilities as a convenience to customers. The advance
22deposit wagering licensee shall not charge or collect any fee
23from purses for the placement of the advance deposit wagering
24terminals. The costs and expenses of the host track and
25non-host licensees associated with interstate simulcast
26wagering, other than the interstate commission fee, shall be

HB5561- 477 -LRB101 17547 JWD 66965 b
1borne by the host track and all non-host licensees incurring
2these costs. The interstate commission fee shall not exceed 5%
3of Illinois handle on the interstate simulcast race or races
4without prior approval of the Board. The Board shall promulgate
5rules under which it may permit interstate commission fees in
6excess of 5%. The interstate commission fee and other fees
7charged by the sending racetrack, including, but not limited
8to, satellite decoder fees, shall be uniformly applied to the
9host track and all non-host licensees.
10 Notwithstanding any other provision of this Act, through
11December 31, 2020, an organization licensee, with the consent
12of the horsemen association representing the largest number of
13owners, trainers, jockeys, or standardbred drivers who race
14horses at that organization licensee's racing meeting, may
15maintain a system whereby advance deposit wagering may take
16place or an organization licensee, with the consent of the
17horsemen association representing the largest number of
18owners, trainers, jockeys, or standardbred drivers who race
19horses at that organization licensee's racing meeting, may
20contract with another person to carry out a system of advance
21deposit wagering. Such consent may not be unreasonably
22withheld. Only with respect to an appeal to the Board that
23consent for an organization licensee that maintains its own
24advance deposit wagering system is being unreasonably
25withheld, the Board shall issue a final order within 30 days
26after initiation of the appeal, and the organization licensee's

HB5561- 478 -LRB101 17547 JWD 66965 b
1advance deposit wagering system may remain operational during
2that 30-day period. The actions of any organization licensee
3who conducts advance deposit wagering or any person who has a
4contract with an organization licensee to conduct advance
5deposit wagering who conducts advance deposit wagering on or
6after January 1, 2013 and prior to June 7, 2013 (the effective
7date of Public Act 98-18) taken in reliance on the changes made
8to this subsection (g) by Public Act 98-18 are hereby
9validated, provided payment of all applicable pari-mutuel
10taxes are remitted to the Board. All advance deposit wagers
11placed from within Illinois must be placed through a
12Board-approved advance deposit wagering licensee; no other
13entity may accept an advance deposit wager from a person within
14Illinois. All advance deposit wagering is subject to any rules
15adopted by the Board. The Board may adopt rules necessary to
16regulate advance deposit wagering through the use of emergency
17rulemaking in accordance with Section 5-45 of the Illinois
18Administrative Procedure Act. The General Assembly finds that
19the adoption of rules to regulate advance deposit wagering is
20deemed an emergency and necessary for the public interest,
21safety, and welfare. An advance deposit wagering licensee may
22retain all moneys as agreed to by contract with an organization
23licensee. Any moneys retained by the organization licensee from
24advance deposit wagering, not including moneys retained by the
25advance deposit wagering licensee, shall be paid 50% to the
26organization licensee's purse account and 50% to the

HB5561- 479 -LRB101 17547 JWD 66965 b
1organization licensee. With the exception of any organization
2licensee that is owned by a publicly traded company that is
3incorporated in a state other than Illinois and advance deposit
4wagering licensees under contract with such organization
5licensees, organization licensees that maintain advance
6deposit wagering systems and advance deposit wagering
7licensees that contract with organization licensees shall
8provide sufficiently detailed monthly accountings to the
9horsemen association representing the largest number of
10owners, trainers, jockeys, or standardbred drivers who race
11horses at that organization licensee's racing meeting so that
12the horsemen association, as an interested party, can confirm
13the accuracy of the amounts paid to the purse account at the
14horsemen association's affiliated organization licensee from
15advance deposit wagering. If more than one breed races at the
16same race track facility, then the 50% of the moneys to be paid
17to an organization licensee's purse account shall be allocated
18among all organization licensees' purse accounts operating at
19that race track facility proportionately based on the actual
20number of host days that the Board grants to that breed at that
21race track facility in the current calendar year. To the extent
22any fees from advance deposit wagering conducted in Illinois
23for wagers in Illinois or other states have been placed in
24escrow or otherwise withheld from wagers pending a
25determination of the legality of advance deposit wagering, no
26action shall be brought to declare such wagers or the

HB5561- 480 -LRB101 17547 JWD 66965 b
1disbursement of any fees previously escrowed illegal.
2 (1) Between the hours of 6:30 a.m. and 6:30 p.m. an
3 inter-track wagering licensee other than the host track may
4 supplement the host track simulcast program with
5 additional simulcast races or race programs, provided that
6 between January 1 and the third Friday in February of any
7 year, inclusive, if no live thoroughbred racing is
8 occurring in Illinois during this period, only
9 thoroughbred races may be used for supplemental interstate
10 simulcast purposes. The Board shall withhold approval for a
11 supplemental interstate simulcast only if it finds that the
12 simulcast is clearly adverse to the integrity of racing. A
13 supplemental interstate simulcast may be transmitted from
14 an inter-track wagering licensee to its affiliated
15 non-host licensees. The interstate commission fee for a
16 supplemental interstate simulcast shall be paid by the
17 non-host licensee and its affiliated non-host licensees
18 receiving the simulcast.
19 (2) Between the hours of 6:30 p.m. and 6:30 a.m. an
20 inter-track wagering licensee other than the host track may
21 receive supplemental interstate simulcasts only with the
22 consent of the host track, except when the Board finds that
23 the simulcast is clearly adverse to the integrity of
24 racing. Consent granted under this paragraph (2) to any
25 inter-track wagering licensee shall be deemed consent to
26 all non-host licensees. The interstate commission fee for

HB5561- 481 -LRB101 17547 JWD 66965 b
1 the supplemental interstate simulcast shall be paid by all
2 participating non-host licensees.
3 (3) Each licensee conducting interstate simulcast
4 wagering may retain, subject to the payment of all
5 applicable taxes and the purses, an amount not to exceed
6 17% of all money wagered. If any licensee conducts the
7 pari-mutuel system wagering on races conducted at
8 racetracks in another state or country, each such race or
9 race program shall be considered a separate racing day for
10 the purpose of determining the daily handle and computing
11 the privilege tax of that daily handle as provided in
12 subsection (a) of Section 27. Until January 1, 2000, from
13 the sums permitted to be retained pursuant to this
14 subsection, each inter-track wagering location licensee
15 shall pay 1% of the pari-mutuel handle wagered on simulcast
16 wagering to the Horse Racing Tax Allocation Fund, subject
17 to the provisions of subparagraph (B) of paragraph (11) of
18 subsection (h) of Section 26 of this Act.
19 (4) A licensee who receives an interstate simulcast may
20 combine its gross or net pools with pools at the sending
21 racetracks pursuant to rules established by the Board. All
22 licensees combining their gross pools at a sending
23 racetrack shall adopt the takeout percentages of the
24 sending racetrack. A licensee may also establish a separate
25 pool and takeout structure for wagering purposes on races
26 conducted at race tracks outside of the State of Illinois.

HB5561- 482 -LRB101 17547 JWD 66965 b
1 The licensee may permit pari-mutuel wagers placed in other
2 states or countries to be combined with its gross or net
3 wagering pools or other wagering pools.
4 (5) After the payment of the interstate commission fee
5 (except for the interstate commission fee on a supplemental
6 interstate simulcast, which shall be paid by the host track
7 and by each non-host licensee through the host track) and
8 all applicable State and local taxes, except as provided in
9 subsection (g) of Section 27 of this Act, the remainder of
10 moneys retained from simulcast wagering pursuant to this
11 subsection (g), and Section 26.2 shall be divided as
12 follows:
13 (A) For interstate simulcast wagers made at a host
14 track, 50% to the host track and 50% to purses at the
15 host track.
16 (B) For wagers placed on interstate simulcast
17 races, supplemental simulcasts as defined in
18 subparagraphs (1) and (2), and separately pooled races
19 conducted outside of the State of Illinois made at a
20 non-host licensee, 25% to the host track, 25% to the
21 non-host licensee, and 50% to the purses at the host
22 track.
23 (6) Notwithstanding any provision in this Act to the
24 contrary, non-host licensees who derive their licenses
25 from a track located in a county with a population in
26 excess of 230,000 and that borders the Mississippi River

HB5561- 483 -LRB101 17547 JWD 66965 b
1 may receive supplemental interstate simulcast races at all
2 times subject to Board approval, which shall be withheld
3 only upon a finding that a supplemental interstate
4 simulcast is clearly adverse to the integrity of racing.
5 (7) Effective January 1, 2017, notwithstanding any
6 provision of this Act to the contrary, after payment of all
7 applicable State and local taxes and interstate commission
8 fees, non-host licensees who derive their licenses from a
9 track located in a county with a population in excess of
10 230,000 and that borders the Mississippi River shall retain
11 50% of the retention from interstate simulcast wagers and
12 shall pay 50% to purses at the track from which the
13 non-host licensee derives its license.
14 (7.1) Notwithstanding any other provision of this Act
15 to the contrary, if no standardbred racing is conducted at
16 a racetrack located in Madison County during any calendar
17 year beginning on or after January 1, 2002, all moneys
18 derived by that racetrack from simulcast wagering and
19 inter-track wagering that (1) are to be used for purses and
20 (2) are generated between the hours of 6:30 p.m. and 6:30
21 a.m. during that calendar year shall be paid as follows:
22 (A) If the licensee that conducts horse racing at
23 that racetrack requests from the Board at least as many
24 racing dates as were conducted in calendar year 2000,
25 80% shall be paid to its thoroughbred purse account;
26 and

HB5561- 484 -LRB101 17547 JWD 66965 b
1 (B) Twenty percent shall be deposited into the
2 Illinois Colt Stakes Purse Distribution Fund and shall
3 be paid to purses for standardbred races for Illinois
4 conceived and foaled horses conducted at any county
5 fairgrounds. The moneys deposited into the Fund
6 pursuant to this subparagraph (B) shall be deposited
7 within 2 weeks after the day they were generated, shall
8 be in addition to and not in lieu of any other moneys
9 paid to standardbred purses under this Act, and shall
10 not be commingled with other moneys paid into that
11 Fund. The moneys deposited pursuant to this
12 subparagraph (B) shall be allocated as provided by the
13 Department of Agriculture, with the advice and
14 assistance of the Illinois Standardbred Breeders Fund
15 Advisory Board.
16 (7.2) Notwithstanding any other provision of this Act
17 to the contrary, if no thoroughbred racing is conducted at
18 a racetrack located in Madison County during any calendar
19 year beginning on or after January 1, 2002, all moneys
20 derived by that racetrack from simulcast wagering and
21 inter-track wagering that (1) are to be used for purses and
22 (2) are generated between the hours of 6:30 a.m. and 6:30
23 p.m. during that calendar year shall be deposited as
24 follows:
25 (A) If the licensee that conducts horse racing at
26 that racetrack requests from the Board at least as many

HB5561- 485 -LRB101 17547 JWD 66965 b
1 racing dates as were conducted in calendar year 2000,
2 80% shall be deposited into its standardbred purse
3 account; and
4 (B) Twenty percent shall be deposited into the
5 Illinois Colt Stakes Purse Distribution Fund. Moneys
6 deposited into the Illinois Colt Stakes Purse
7 Distribution Fund pursuant to this subparagraph (B)
8 shall be paid to Illinois conceived and foaled
9 thoroughbred breeders' programs and to thoroughbred
10 purses for races conducted at any county fairgrounds
11 for Illinois conceived and foaled horses at the
12 discretion of the Department of Agriculture, with the
13 advice and assistance of the Illinois Thoroughbred
14 Breeders Fund Advisory Board. The moneys deposited
15 into the Illinois Colt Stakes Purse Distribution Fund
16 pursuant to this subparagraph (B) shall be deposited
17 within 2 weeks after the day they were generated, shall
18 be in addition to and not in lieu of any other moneys
19 paid to thoroughbred purses under this Act, and shall
20 not be commingled with other moneys deposited into that
21 Fund.
22 (7.3) (Blank).
23 (7.4) (Blank).
24 (8) Notwithstanding any provision in this Act to the
25 contrary, an organization licensee from a track located in
26 a county with a population in excess of 230,000 and that

HB5561- 486 -LRB101 17547 JWD 66965 b
1 borders the Mississippi River and its affiliated non-host
2 licensees shall not be entitled to share in any retention
3 generated on racing, inter-track wagering, or simulcast
4 wagering at any other Illinois wagering facility.
5 (8.1) Notwithstanding any provisions in this Act to the
6 contrary, if 2 organization licensees are conducting
7 standardbred race meetings concurrently between the hours
8 of 6:30 p.m. and 6:30 a.m., after payment of all applicable
9 State and local taxes and interstate commission fees, the
10 remainder of the amount retained from simulcast wagering
11 otherwise attributable to the host track and to host track
12 purses shall be split daily between the 2 organization
13 licensees and the purses at the tracks of the 2
14 organization licensees, respectively, based on each
15 organization licensee's share of the total live handle for
16 that day, provided that this provision shall not apply to
17 any non-host licensee that derives its license from a track
18 located in a county with a population in excess of 230,000
19 and that borders the Mississippi River.
20 (9) (Blank).
21 (10) (Blank).
22 (11) (Blank).
23 (12) The Board shall have authority to compel all host
24 tracks to receive the simulcast of any or all races
25 conducted at the Springfield or DuQuoin State fairgrounds
26 and include all such races as part of their simulcast

HB5561- 487 -LRB101 17547 JWD 66965 b
1 programs.
2 (13) Notwithstanding any other provision of this Act,
3 in the event that the total Illinois pari-mutuel handle on
4 Illinois horse races at all wagering facilities in any
5 calendar year is less than 75% of the total Illinois
6 pari-mutuel handle on Illinois horse races at all such
7 wagering facilities for calendar year 1994, then each
8 wagering facility that has an annual total Illinois
9 pari-mutuel handle on Illinois horse races that is less
10 than 75% of the total Illinois pari-mutuel handle on
11 Illinois horse races at such wagering facility for calendar
12 year 1994, shall be permitted to receive, from any amount
13 otherwise payable to the purse account at the race track
14 with which the wagering facility is affiliated in the
15 succeeding calendar year, an amount equal to 2% of the
16 differential in total Illinois pari-mutuel handle on
17 Illinois horse races at the wagering facility between that
18 calendar year in question and 1994 provided, however, that
19 a wagering facility shall not be entitled to any such
20 payment until the Board certifies in writing to the
21 wagering facility the amount to which the wagering facility
22 is entitled and a schedule for payment of the amount to the
23 wagering facility, based on: (i) the racing dates awarded
24 to the race track affiliated with the wagering facility
25 during the succeeding year; (ii) the sums available or
26 anticipated to be available in the purse account of the

HB5561- 488 -LRB101 17547 JWD 66965 b
1 race track affiliated with the wagering facility for purses
2 during the succeeding year; and (iii) the need to ensure
3 reasonable purse levels during the payment period. The
4 Board's certification shall be provided no later than
5 January 31 of the succeeding year. In the event a wagering
6 facility entitled to a payment under this paragraph (13) is
7 affiliated with a race track that maintains purse accounts
8 for both standardbred and thoroughbred racing, the amount
9 to be paid to the wagering facility shall be divided
10 between each purse account pro rata, based on the amount of
11 Illinois handle on Illinois standardbred and thoroughbred
12 racing respectively at the wagering facility during the
13 previous calendar year. Annually, the General Assembly
14 shall appropriate sufficient funds from the General
15 Revenue Fund to the Department of Agriculture for payment
16 into the thoroughbred and standardbred horse racing purse
17 accounts at Illinois pari-mutuel tracks. The amount paid to
18 each purse account shall be the amount certified by the
19 Illinois Racing Board in January to be transferred from
20 each account to each eligible racing facility in accordance
21 with the provisions of this Section. Beginning in the
22 calendar year in which an organization licensee that is
23 eligible to receive payment under this paragraph (13)
24 begins to receive funds from gaming pursuant to an
25 organization gaming license issued under the Illinois
26 Gambling Act, the amount of the payment due to all wagering

HB5561- 489 -LRB101 17547 JWD 66965 b
1 facilities licensed under that organization licensee under
2 this paragraph (13) shall be the amount certified by the
3 Board in January of that year. An organization licensee and
4 its related wagering facilities shall no longer be able to
5 receive payments under this paragraph (13) beginning in the
6 year subsequent to the first year in which the organization
7 licensee begins to receive funds from gaming pursuant to an
8 organization gaming license issued under the Illinois
9 Gambling Act.
10 (h) The Board may approve and license the conduct of
11inter-track wagering and simulcast wagering by inter-track
12wagering licensees and inter-track wagering location licensees
13subject to the following terms and conditions:
14 (1) Any person licensed to conduct a race meeting (i)
15 at a track where 60 or more days of racing were conducted
16 during the immediately preceding calendar year or where
17 over the 5 immediately preceding calendar years an average
18 of 30 or more days of racing were conducted annually may be
19 issued an inter-track wagering license; (ii) at a track
20 located in a county that is bounded by the Mississippi
21 River, which has a population of less than 150,000
22 according to the 1990 decennial census, and an average of
23 at least 60 days of racing per year between 1985 and 1993
24 may be issued an inter-track wagering license; or (iii) at
25 a track awarded standardbred racing dates; or (iv) at a
26 track located in Madison County that conducted at least 100

HB5561- 490 -LRB101 17547 JWD 66965 b
1 days of live racing during the immediately preceding
2 calendar year may be issued an inter-track wagering
3 license, unless a lesser schedule of live racing is the
4 result of (A) weather, unsafe track conditions, or other
5 acts of God; (B) an agreement between the organization
6 licensee and the associations representing the largest
7 number of owners, trainers, jockeys, or standardbred
8 drivers who race horses at that organization licensee's
9 racing meeting; or (C) a finding by the Board of
10 extraordinary circumstances and that it was in the best
11 interest of the public and the sport to conduct fewer than
12 100 days of live racing. Any such person having operating
13 control of the racing facility may receive inter-track
14 wagering location licenses. An eligible race track located
15 in a county that has a population of more than 230,000 and
16 that is bounded by the Mississippi River may establish up
17 to 9 inter-track wagering locations, an eligible race track
18 located in Stickney Township in Cook County may establish
19 up to 16 inter-track wagering locations, and an eligible
20 race track located in Palatine Township in Cook County may
21 establish up to 18 inter-track wagering locations. An
22 eligible racetrack conducting standardbred racing may have
23 up to 16 inter-track wagering locations. An application for
24 said license shall be filed with the Board prior to such
25 dates as may be fixed by the Board. With an application for
26 an inter-track wagering location license there shall be

HB5561- 491 -LRB101 17547 JWD 66965 b
1 delivered to the Board a certified check or bank draft
2 payable to the order of the Board for an amount equal to
3 $500. The application shall be on forms prescribed and
4 furnished by the Board. The application shall comply with
5 all other rules, regulations and conditions imposed by the
6 Board in connection therewith.
7 (2) The Board shall examine the applications with
8 respect to their conformity with this Act and the rules and
9 regulations imposed by the Board. If found to be in
10 compliance with the Act and rules and regulations of the
11 Board, the Board may then issue a license to conduct
12 inter-track wagering and simulcast wagering to such
13 applicant. All such applications shall be acted upon by the
14 Board at a meeting to be held on such date as may be fixed
15 by the Board.
16 (3) In granting licenses to conduct inter-track
17 wagering and simulcast wagering, the Board shall give due
18 consideration to the best interests of the public, of horse
19 racing, and of maximizing revenue to the State.
20 (4) Prior to the issuance of a license to conduct
21 inter-track wagering and simulcast wagering, the applicant
22 shall file with the Board a bond payable to the State of
23 Illinois in the sum of $50,000, executed by the applicant
24 and a surety company or companies authorized to do business
25 in this State, and conditioned upon (i) the payment by the
26 licensee of all taxes due under Section 27 or 27.1 and any

HB5561- 492 -LRB101 17547 JWD 66965 b
1 other monies due and payable under this Act, and (ii)
2 distribution by the licensee, upon presentation of the
3 winning ticket or tickets, of all sums payable to the
4 patrons of pari-mutuel pools.
5 (5) Each license to conduct inter-track wagering and
6 simulcast wagering shall specify the person to whom it is
7 issued, the dates on which such wagering is permitted, and
8 the track or location where the wagering is to be
9 conducted.
10 (6) All wagering under such license is subject to this
11 Act and to the rules and regulations from time to time
12 prescribed by the Board, and every such license issued by
13 the Board shall contain a recital to that effect.
14 (7) An inter-track wagering licensee or inter-track
15 wagering location licensee may accept wagers at the track
16 or location where it is licensed, or as otherwise provided
17 under this Act.
18 (8) Inter-track wagering or simulcast wagering shall
19 not be conducted at any track less than 5 4 miles from a
20 track at which a racing meeting is in progress.
21 (8.1) Inter-track wagering location licensees who
22 derive their licenses from a particular organization
23 licensee shall conduct inter-track wagering and simulcast
24 wagering only at locations that are within 160 miles of
25 that race track where the particular organization licensee
26 is licensed to conduct racing. However, inter-track

HB5561- 493 -LRB101 17547 JWD 66965 b
1 wagering and simulcast wagering shall not be conducted by
2 those licensees at any location within 5 miles of any race
3 track at which a horse race meeting has been licensed in
4 the current year, unless the person having operating
5 control of such race track has given its written consent to
6 such inter-track wagering location licensees, which
7 consent must be filed with the Board at or prior to the
8 time application is made. In the case of any inter-track
9 wagering location licensee initially licensed after
10 December 31, 2013, inter-track wagering and simulcast
11 wagering shall not be conducted by those inter-track
12 wagering location licensees that are located outside the
13 City of Chicago at any location within 8 miles of any race
14 track at which a horse race meeting has been licensed in
15 the current year, unless the person having operating
16 control of such race track has given its written consent to
17 such inter-track wagering location licensees, which
18 consent must be filed with the Board at or prior to the
19 time application is made.
20 (8.2) Inter-track wagering or simulcast wagering shall
21 not be conducted by an inter-track wagering location
22 licensee at any location within 500 feet of an existing
23 church, an or existing elementary or secondary public
24 school, or an existing elementary or secondary private
25 school registered with or recognized by the State Board of
26 Education school, nor within 500 feet of the residences of

HB5561- 494 -LRB101 17547 JWD 66965 b
1 more than 50 registered voters without receiving written
2 permission from a majority of the registered voters at such
3 residences. Such written permission statements shall be
4 filed with the Board. The distance of 500 feet shall be
5 measured to the nearest part of any building used for
6 worship services, education programs, residential
7 purposes, or conducting inter-track wagering by an
8 inter-track wagering location licensee, and not to
9 property boundaries. However, inter-track wagering or
10 simulcast wagering may be conducted at a site within 500
11 feet of a church, school or residences of 50 or more
12 registered voters if such church, school or residences have
13 been erected or established, or such voters have been
14 registered, after the Board issues the original
15 inter-track wagering location license at the site in
16 question. Inter-track wagering location licensees may
17 conduct inter-track wagering and simulcast wagering only
18 in areas that are zoned for commercial or manufacturing
19 purposes or in areas for which a special use has been
20 approved by the local zoning authority. However, no license
21 to conduct inter-track wagering and simulcast wagering
22 shall be granted by the Board with respect to any
23 inter-track wagering location within the jurisdiction of
24 any local zoning authority which has, by ordinance or by
25 resolution, prohibited the establishment of an inter-track
26 wagering location within its jurisdiction. However,

HB5561- 495 -LRB101 17547 JWD 66965 b
1 inter-track wagering and simulcast wagering may be
2 conducted at a site if such ordinance or resolution is
3 enacted after the Board licenses the original inter-track
4 wagering location licensee for the site in question.
5 (9) (Blank).
6 (10) An inter-track wagering licensee or an
7 inter-track wagering location licensee may retain, subject
8 to the payment of the privilege taxes and the purses, an
9 amount not to exceed 17% of all money wagered. Each program
10 of racing conducted by each inter-track wagering licensee
11 or inter-track wagering location licensee shall be
12 considered a separate racing day for the purpose of
13 determining the daily handle and computing the privilege
14 tax or pari-mutuel tax on such daily handle as provided in
15 Section 27.
16 (10.1) Except as provided in subsection (g) of Section
17 27 of this Act, inter-track wagering location licensees
18 shall pay 1% of the pari-mutuel handle at each location to
19 the municipality in which such location is situated and 1%
20 of the pari-mutuel handle at each location to the county in
21 which such location is situated. In the event that an
22 inter-track wagering location licensee is situated in an
23 unincorporated area of a county, such licensee shall pay 2%
24 of the pari-mutuel handle from such location to such
25 county. Inter-track wagering location licensees must pay
26 the handle percentage required under this paragraph to the

HB5561- 496 -LRB101 17547 JWD 66965 b
1 municipality and county no later than the 20th of the month
2 following the month such handle was generated.
3 (10.2) Notwithstanding any other provision of this
4 Act, with respect to inter-track wagering at a race track
5 located in a county that has a population of more than
6 230,000 and that is bounded by the Mississippi River ("the
7 first race track"), or at a facility operated by an
8 inter-track wagering licensee or inter-track wagering
9 location licensee that derives its license from the
10 organization licensee that operates the first race track,
11 on races conducted at the first race track or on races
12 conducted at another Illinois race track and
13 simultaneously televised to the first race track or to a
14 facility operated by an inter-track wagering licensee or
15 inter-track wagering location licensee that derives its
16 license from the organization licensee that operates the
17 first race track, those moneys shall be allocated as
18 follows:
19 (A) That portion of all moneys wagered on
20 standardbred racing that is required under this Act to
21 be paid to purses shall be paid to purses for
22 standardbred races.
23 (B) That portion of all moneys wagered on
24 thoroughbred racing that is required under this Act to
25 be paid to purses shall be paid to purses for
26 thoroughbred races.

HB5561- 497 -LRB101 17547 JWD 66965 b
1 (11) (A) After payment of the privilege or pari-mutuel
2 tax, any other applicable taxes, and the costs and expenses
3 in connection with the gathering, transmission, and
4 dissemination of all data necessary to the conduct of
5 inter-track wagering, the remainder of the monies retained
6 under either Section 26 or Section 26.2 of this Act by the
7 inter-track wagering licensee on inter-track wagering
8 shall be allocated with 50% to be split between the 2
9 participating licensees and 50% to purses, except that an
10 inter-track wagering licensee that derives its license
11 from a track located in a county with a population in
12 excess of 230,000 and that borders the Mississippi River
13 shall not divide any remaining retention with the Illinois
14 organization licensee that provides the race or races, and
15 an inter-track wagering licensee that accepts wagers on
16 races conducted by an organization licensee that conducts a
17 race meet in a county with a population in excess of
18 230,000 and that borders the Mississippi River shall not
19 divide any remaining retention with that organization
20 licensee.
21 (B) From the sums permitted to be retained pursuant to
22 this Act each inter-track wagering location licensee shall
23 pay (i) the privilege or pari-mutuel tax to the State; (ii)
24 4.75% of the pari-mutuel handle on inter-track wagering at
25 such location on races as purses, except that an
26 inter-track wagering location licensee that derives its

HB5561- 498 -LRB101 17547 JWD 66965 b
1 license from a track located in a county with a population
2 in excess of 230,000 and that borders the Mississippi River
3 shall retain all purse moneys for its own purse account
4 consistent with distribution set forth in this subsection
5 (h), and inter-track wagering location licensees that
6 accept wagers on races conducted by an organization
7 licensee located in a county with a population in excess of
8 230,000 and that borders the Mississippi River shall
9 distribute all purse moneys to purses at the operating host
10 track; (iii) until January 1, 2000, except as provided in
11 subsection (g) of Section 27 of this Act, 1% of the
12 pari-mutuel handle wagered on inter-track wagering and
13 simulcast wagering at each inter-track wagering location
14 licensee facility to the Horse Racing Tax Allocation Fund,
15 provided that, to the extent the total amount collected and
16 distributed to the Horse Racing Tax Allocation Fund under
17 this subsection (h) during any calendar year exceeds the
18 amount collected and distributed to the Horse Racing Tax
19 Allocation Fund during calendar year 1994, that excess
20 amount shall be redistributed (I) to all inter-track
21 wagering location licensees, based on each licensee's pro
22 rata share of the total handle from inter-track wagering
23 and simulcast wagering for all inter-track wagering
24 location licensees during the calendar year in which this
25 provision is applicable; then (II) the amounts
26 redistributed to each inter-track wagering location

HB5561- 499 -LRB101 17547 JWD 66965 b
1 licensee as described in subpart (I) shall be further
2 redistributed as provided in subparagraph (B) of paragraph
3 (5) of subsection (g) of this Section 26 provided first,
4 that the shares of those amounts, which are to be
5 redistributed to the host track or to purses at the host
6 track under subparagraph (B) of paragraph (5) of subsection
7 (g) of this Section 26 shall be redistributed based on each
8 host track's pro rata share of the total inter-track
9 wagering and simulcast wagering handle at all host tracks
10 during the calendar year in question, and second, that any
11 amounts redistributed as described in part (I) to an
12 inter-track wagering location licensee that accepts wagers
13 on races conducted by an organization licensee that
14 conducts a race meet in a county with a population in
15 excess of 230,000 and that borders the Mississippi River
16 shall be further redistributed, effective January 1, 2017,
17 as provided in paragraph (7) of subsection (g) of this
18 Section 26, with the portion of that further redistribution
19 allocated to purses at that organization licensee to be
20 divided between standardbred purses and thoroughbred
21 purses based on the amounts otherwise allocated to purses
22 at that organization licensee during the calendar year in
23 question; and (iv) 8% of the pari-mutuel handle on
24 inter-track wagering wagered at such location to satisfy
25 all costs and expenses of conducting its wagering. The
26 remainder of the monies retained by the inter-track

HB5561- 500 -LRB101 17547 JWD 66965 b
1 wagering location licensee shall be allocated 40% to the
2 location licensee and 60% to the organization licensee
3 which provides the Illinois races to the location, except
4 that an inter-track wagering location licensee that
5 derives its license from a track located in a county with a
6 population in excess of 230,000 and that borders the
7 Mississippi River shall not divide any remaining retention
8 with the organization licensee that provides the race or
9 races and an inter-track wagering location licensee that
10 accepts wagers on races conducted by an organization
11 licensee that conducts a race meet in a county with a
12 population in excess of 230,000 and that borders the
13 Mississippi River shall not divide any remaining retention
14 with the organization licensee. Notwithstanding the
15 provisions of clauses (ii) and (iv) of this paragraph, in
16 the case of the additional inter-track wagering location
17 licenses authorized under paragraph (1) of this subsection
18 (h) by Public Act 87-110, those licensees shall pay the
19 following amounts as purses: during the first 12 months the
20 licensee is in operation, 5.25% of the pari-mutuel handle
21 wagered at the location on races; during the second 12
22 months, 5.25%; during the third 12 months, 5.75%; during
23 the fourth 12 months, 6.25%; and during the fifth 12 months
24 and thereafter, 6.75%. The following amounts shall be
25 retained by the licensee to satisfy all costs and expenses
26 of conducting its wagering: during the first 12 months the

HB5561- 501 -LRB101 17547 JWD 66965 b
1 licensee is in operation, 8.25% of the pari-mutuel handle
2 wagered at the location; during the second 12 months,
3 8.25%; during the third 12 months, 7.75%; during the fourth
4 12 months, 7.25%; and during the fifth 12 months and
5 thereafter, 6.75%. For additional inter-track wagering
6 location licensees authorized under Public Act 89-16,
7 purses for the first 12 months the licensee is in operation
8 shall be 5.75% of the pari-mutuel wagered at the location,
9 purses for the second 12 months the licensee is in
10 operation shall be 6.25%, and purses thereafter shall be
11 6.75%. For additional inter-track location licensees
12 authorized under Public Act 89-16, the licensee shall be
13 allowed to retain to satisfy all costs and expenses: 7.75%
14 of the pari-mutuel handle wagered at the location during
15 its first 12 months of operation, 7.25% during its second
16 12 months of operation, and 6.75% thereafter.
17 (C) There is hereby created the Horse Racing Tax
18 Allocation Fund which shall remain in existence until
19 December 31, 1999. Moneys remaining in the Fund after
20 December 31, 1999 shall be paid into the General Revenue
21 Fund. Until January 1, 2000, all monies paid into the Horse
22 Racing Tax Allocation Fund pursuant to this paragraph (11)
23 by inter-track wagering location licensees located in park
24 districts of 500,000 population or less, or in a
25 municipality that is not included within any park district
26 but is included within a conservation district and is the

HB5561- 502 -LRB101 17547 JWD 66965 b
1 county seat of a county that (i) is contiguous to the state
2 of Indiana and (ii) has a 1990 population of 88,257
3 according to the United States Bureau of the Census, and
4 operating on May 1, 1994 shall be allocated by
5 appropriation as follows:
6 Two-sevenths to the Department of Agriculture.
7 Fifty percent of this two-sevenths shall be used to
8 promote the Illinois horse racing and breeding
9 industry, and shall be distributed by the Department of
10 Agriculture upon the advice of a 9-member committee
11 appointed by the Governor consisting of the following
12 members: the Director of Agriculture, who shall serve
13 as chairman; 2 representatives of organization
14 licensees conducting thoroughbred race meetings in
15 this State, recommended by those licensees; 2
16 representatives of organization licensees conducting
17 standardbred race meetings in this State, recommended
18 by those licensees; a representative of the Illinois
19 Thoroughbred Breeders and Owners Foundation,
20 recommended by that Foundation; a representative of
21 the Illinois Standardbred Owners and Breeders
22 Association, recommended by that Association; a
23 representative of the Horsemen's Benevolent and
24 Protective Association or any successor organization
25 thereto established in Illinois comprised of the
26 largest number of owners and trainers, recommended by

HB5561- 503 -LRB101 17547 JWD 66965 b
1 that Association or that successor organization; and a
2 representative of the Illinois Harness Horsemen's
3 Association, recommended by that Association.
4 Committee members shall serve for terms of 2 years,
5 commencing January 1 of each even-numbered year. If a
6 representative of any of the above-named entities has
7 not been recommended by January 1 of any even-numbered
8 year, the Governor shall appoint a committee member to
9 fill that position. Committee members shall receive no
10 compensation for their services as members but shall be
11 reimbursed for all actual and necessary expenses and
12 disbursements incurred in the performance of their
13 official duties. The remaining 50% of this
14 two-sevenths shall be distributed to county fairs for
15 premiums and rehabilitation as set forth in the
16 Agricultural Fair Act;
17 Four-sevenths to park districts or municipalities
18 that do not have a park district of 500,000 population
19 or less for museum purposes (if an inter-track wagering
20 location licensee is located in such a park district)
21 or to conservation districts for museum purposes (if an
22 inter-track wagering location licensee is located in a
23 municipality that is not included within any park
24 district but is included within a conservation
25 district and is the county seat of a county that (i) is
26 contiguous to the state of Indiana and (ii) has a 1990

HB5561- 504 -LRB101 17547 JWD 66965 b
1 population of 88,257 according to the United States
2 Bureau of the Census, except that if the conservation
3 district does not maintain a museum, the monies shall
4 be allocated equally between the county and the
5 municipality in which the inter-track wagering
6 location licensee is located for general purposes) or
7 to a municipal recreation board for park purposes (if
8 an inter-track wagering location licensee is located
9 in a municipality that is not included within any park
10 district and park maintenance is the function of the
11 municipal recreation board and the municipality has a
12 1990 population of 9,302 according to the United States
13 Bureau of the Census); provided that the monies are
14 distributed to each park district or conservation
15 district or municipality that does not have a park
16 district in an amount equal to four-sevenths of the
17 amount collected by each inter-track wagering location
18 licensee within the park district or conservation
19 district or municipality for the Fund. Monies that were
20 paid into the Horse Racing Tax Allocation Fund before
21 August 9, 1991 (the effective date of Public Act
22 87-110) by an inter-track wagering location licensee
23 located in a municipality that is not included within
24 any park district but is included within a conservation
25 district as provided in this paragraph shall, as soon
26 as practicable after August 9, 1991 (the effective date

HB5561- 505 -LRB101 17547 JWD 66965 b
1 of Public Act 87-110), be allocated and paid to that
2 conservation district as provided in this paragraph.
3 Any park district or municipality not maintaining a
4 museum may deposit the monies in the corporate fund of
5 the park district or municipality where the
6 inter-track wagering location is located, to be used
7 for general purposes; and
8 One-seventh to the Agricultural Premium Fund to be
9 used for distribution to agricultural home economics
10 extension councils in accordance with "An Act in
11 relation to additional support and finances for the
12 Agricultural and Home Economic Extension Councils in
13 the several counties of this State and making an
14 appropriation therefor", approved July 24, 1967.
15 Until January 1, 2000, all other monies paid into the
16 Horse Racing Tax Allocation Fund pursuant to this paragraph
17 (11) shall be allocated by appropriation as follows:
18 Two-sevenths to the Department of Agriculture.
19 Fifty percent of this two-sevenths shall be used to
20 promote the Illinois horse racing and breeding
21 industry, and shall be distributed by the Department of
22 Agriculture upon the advice of a 9-member committee
23 appointed by the Governor consisting of the following
24 members: the Director of Agriculture, who shall serve
25 as chairman; 2 representatives of organization
26 licensees conducting thoroughbred race meetings in

HB5561- 506 -LRB101 17547 JWD 66965 b
1 this State, recommended by those licensees; 2
2 representatives of organization licensees conducting
3 standardbred race meetings in this State, recommended
4 by those licensees; a representative of the Illinois
5 Thoroughbred Breeders and Owners Foundation,
6 recommended by that Foundation; a representative of
7 the Illinois Standardbred Owners and Breeders
8 Association, recommended by that Association; a
9 representative of the Horsemen's Benevolent and
10 Protective Association or any successor organization
11 thereto established in Illinois comprised of the
12 largest number of owners and trainers, recommended by
13 that Association or that successor organization; and a
14 representative of the Illinois Harness Horsemen's
15 Association, recommended by that Association.
16 Committee members shall serve for terms of 2 years,
17 commencing January 1 of each even-numbered year. If a
18 representative of any of the above-named entities has
19 not been recommended by January 1 of any even-numbered
20 year, the Governor shall appoint a committee member to
21 fill that position. Committee members shall receive no
22 compensation for their services as members but shall be
23 reimbursed for all actual and necessary expenses and
24 disbursements incurred in the performance of their
25 official duties. The remaining 50% of this
26 two-sevenths shall be distributed to county fairs for

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1 premiums and rehabilitation as set forth in the
2 Agricultural Fair Act;
3 Four-sevenths to museums and aquariums located in
4 park districts of over 500,000 population; provided
5 that the monies are distributed in accordance with the
6 previous year's distribution of the maintenance tax
7 for such museums and aquariums as provided in Section 2
8 of the Park District Aquarium and Museum Act; and
9 One-seventh to the Agricultural Premium Fund to be
10 used for distribution to agricultural home economics
11 extension councils in accordance with "An Act in
12 relation to additional support and finances for the
13 Agricultural and Home Economic Extension Councils in
14 the several counties of this State and making an
15 appropriation therefor", approved July 24, 1967. This
16 subparagraph (C) shall be inoperative and of no force
17 and effect on and after January 1, 2000.
18 (D) Except as provided in paragraph (11) of this
19 subsection (h), with respect to purse allocation from
20 inter-track wagering, the monies so retained shall be
21 divided as follows:
22 (i) If the inter-track wagering licensee,
23 except an inter-track wagering licensee that
24 derives its license from an organization licensee
25 located in a county with a population in excess of
26 230,000 and bounded by the Mississippi River, is

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1 not conducting its own race meeting during the same
2 dates, then the entire purse allocation shall be to
3 purses at the track where the races wagered on are
4 being conducted.
5 (ii) If the inter-track wagering licensee,
6 except an inter-track wagering licensee that
7 derives its license from an organization licensee
8 located in a county with a population in excess of
9 230,000 and bounded by the Mississippi River, is
10 also conducting its own race meeting during the
11 same dates, then the purse allocation shall be as
12 follows: 50% to purses at the track where the races
13 wagered on are being conducted; 50% to purses at
14 the track where the inter-track wagering licensee
15 is accepting such wagers.
16 (iii) If the inter-track wagering is being
17 conducted by an inter-track wagering location
18 licensee, except an inter-track wagering location
19 licensee that derives its license from an
20 organization licensee located in a county with a
21 population in excess of 230,000 and bounded by the
22 Mississippi River, the entire purse allocation for
23 Illinois races shall be to purses at the track
24 where the race meeting being wagered on is being
25 held.
26 (12) The Board shall have all powers necessary and

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1 proper to fully supervise and control the conduct of
2 inter-track wagering and simulcast wagering by inter-track
3 wagering licensees and inter-track wagering location
4 licensees, including, but not limited to, the following:
5 (A) The Board is vested with power to promulgate
6 reasonable rules and regulations for the purpose of
7 administering the conduct of this wagering and to
8 prescribe reasonable rules, regulations and conditions
9 under which such wagering shall be held and conducted.
10 Such rules and regulations are to provide for the
11 prevention of practices detrimental to the public
12 interest and for the best interests of said wagering
13 and to impose penalties for violations thereof.
14 (B) The Board, and any person or persons to whom it
15 delegates this power, is vested with the power to enter
16 the facilities of any licensee to determine whether
17 there has been compliance with the provisions of this
18 Act and the rules and regulations relating to the
19 conduct of such wagering.
20 (C) The Board, and any person or persons to whom it
21 delegates this power, may eject or exclude from any
22 licensee's facilities, any person whose conduct or
23 reputation is such that his presence on such premises
24 may, in the opinion of the Board, call into the
25 question the honesty and integrity of, or interfere
26 with the orderly conduct of such wagering; provided,

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1 however, that no person shall be excluded or ejected
2 from such premises solely on the grounds of race,
3 color, creed, national origin, ancestry, or sex.
4 (D) (Blank).
5 (E) The Board is vested with the power to appoint
6 delegates to execute any of the powers granted to it
7 under this Section for the purpose of administering
8 this wagering and any rules and regulations
9 promulgated in accordance with this Act.
10 (F) The Board shall name and appoint a State
11 director of this wagering who shall be a representative
12 of the Board and whose duty it shall be to supervise
13 the conduct of inter-track wagering as may be provided
14 for by the rules and regulations of the Board; such
15 rules and regulation shall specify the method of
16 appointment and the Director's powers, authority and
17 duties.
18 (G) The Board is vested with the power to impose
19 civil penalties of up to $5,000 against individuals and
20 up to $10,000 against licensees for each violation of
21 any provision of this Act relating to the conduct of
22 this wagering, any rules adopted by the Board, any
23 order of the Board or any other action which in the
24 Board's discretion, is a detriment or impediment to
25 such wagering.
26 (13) The Department of Agriculture may enter into

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1 agreements with licensees authorizing such licensees to
2 conduct inter-track wagering on races to be held at the
3 licensed race meetings conducted by the Department of
4 Agriculture. Such agreement shall specify the races of the
5 Department of Agriculture's licensed race meeting upon
6 which the licensees will conduct wagering. In the event
7 that a licensee conducts inter-track pari-mutuel wagering
8 on races from the Illinois State Fair or DuQuoin State Fair
9 which are in addition to the licensee's previously approved
10 racing program, those races shall be considered a separate
11 racing day for the purpose of determining the daily handle
12 and computing the privilege or pari-mutuel tax on that
13 daily handle as provided in Sections 27 and 27.1. Such
14 agreements shall be approved by the Board before such
15 wagering may be conducted. In determining whether to grant
16 approval, the Board shall give due consideration to the
17 best interests of the public and of horse racing. The
18 provisions of paragraphs (1), (8), (8.1), and (8.2) of
19 subsection (h) of this Section which are not specified in
20 this paragraph (13) shall not apply to licensed race
21 meetings conducted by the Department of Agriculture at the
22 Illinois State Fair in Sangamon County or the DuQuoin State
23 Fair in Perry County, or to any wagering conducted on those
24 race meetings.
25 (14) An inter-track wagering location license
26 authorized by the Board in 2016 that is owned and operated

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1 by a race track in Rock Island County shall be transferred
2 to a commonly owned race track in Cook County on August 12,
3 2016 (the effective date of Public Act 99-757). The
4 licensee shall retain its status in relation to purse
5 distribution under paragraph (11) of this subsection (h)
6 following the transfer to the new entity. The pari-mutuel
7 tax credit under Section 32.1 shall not be applied toward
8 any pari-mutuel tax obligation of the inter-track wagering
9 location licensee of the license that is transferred under
10 this paragraph (14).
11 (i) Notwithstanding the other provisions of this Act, the
12conduct of wagering at wagering facilities is authorized on all
13days, except as limited by subsection (b) of Section 19 of this
14Act.
15(Source: P.A. 100-201, eff. 8-18-17; 100-627, eff. 7-20-18;
16100-1152, eff. 12-14-18; 101-31, eff. 6-28-19; 101-52, eff.
177-12-19; 101-81, eff. 7-12-19; 101-109, eff. 7-19-19; revised
189-27-19.)
19 (230 ILCS 5/26.8)
20 Sec. 26.8. Beginning on February 1, 2014 and through
21December 31, 2020, each wagering licensee may impose a
22surcharge of up to 0.5% on winning wagers and winnings from
23wagers. The surcharge shall be deducted from winnings prior to
24payout. All amounts collected from the imposition of this
25surcharge shall be evenly distributed to the organization

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1licensee and the purse account of the organization licensee
2with which the licensee is affiliated. The amounts distributed
3under this Section shall be in addition to the amounts paid
4pursuant to paragraph (10) of subsection (h) of Section 26,
5Section 26.3, Section 26.4, Section 26.5, and Section 26.7.
6(Source: P.A. 101-31, eff. 6-28-19.)
7 (230 ILCS 5/26.9)
8 Sec. 26.9. Beginning on February 1, 2014 and through
9December 31, 2020, in addition to the surcharge imposed in
10Sections 26.3, 26.4, 26.5, 26.7, and 26.8 of this Act, each
11licensee shall impose a surcharge of 0.2% on winning wagers and
12winnings from wagers. The surcharge shall be deducted from
13winnings prior to payout. All amounts collected from the
14surcharges imposed under this Section shall be remitted to the
15Board. From amounts collected under this Section, the Board
16shall deposit an amount not to exceed $100,000 annually into
17the Quarter Horse Purse Fund and all remaining amounts into the
18Horse Racing Fund.
19(Source: P.A. 101-31, eff. 6-28-19.)
20 (230 ILCS 5/27) (from Ch. 8, par. 37-27)
21 Sec. 27. (a) In addition to the organization license fee
22provided by this Act, until January 1, 2000, a graduated
23privilege tax is hereby imposed for conducting the pari-mutuel
24system of wagering permitted under this Act. Until January 1,

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12000, except as provided in subsection (g) of Section 27 of
2this Act, all of the breakage of each racing day held by any
3licensee in the State shall be paid to the State. Until January
41, 2000, such daily graduated privilege tax shall be paid by
5the licensee from the amount permitted to be retained under
6this Act. Until January 1, 2000, each day's graduated privilege
7tax, breakage, and Horse Racing Tax Allocation funds shall be
8remitted to the Department of Revenue within 48 hours after the
9close of the racing day upon which it is assessed or within
10such other time as the Board prescribes. The privilege tax
11hereby imposed, until January 1, 2000, shall be a flat tax at
12the rate of 2% of the daily pari-mutuel handle except as
13provided in Section 27.1.
14 In addition, every organization licensee, except as
15provided in Section 27.1 of this Act, which conducts multiple
16wagering shall pay, until January 1, 2000, as a privilege tax
17on multiple wagers an amount equal to 1.25% of all moneys
18wagered each day on such multiple wagers, plus an additional
19amount equal to 3.5% of the amount wagered each day on any
20other multiple wager which involves a single betting interest
21on 3 or more horses. The licensee shall remit the amount of
22such taxes to the Department of Revenue within 48 hours after
23the close of the racing day on which it is assessed or within
24such other time as the Board prescribes.
25 This subsection (a) shall be inoperative and of no force
26and effect on and after January 1, 2000.

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1 (a-5) Beginning on January 1, 2000, a flat pari-mutuel tax
2at the rate of 1.5% of the daily pari-mutuel handle is imposed
3at all pari-mutuel wagering facilities and on advance deposit
4wagering from a location other than a wagering facility, except
5as otherwise provided for in this subsection (a-5). In addition
6to the pari-mutuel tax imposed on advance deposit wagering
7pursuant to this subsection (a-5), beginning on August 24, 2012
8(the effective date of Public Act 97-1060) and through December
931, 2020, an additional pari-mutuel tax at the rate of 0.25%
10shall be imposed on advance deposit wagering. Until August 25,
112012, the additional 0.25% pari-mutuel tax imposed on advance
12deposit wagering by Public Act 96-972 shall be deposited into
13the Quarter Horse Purse Fund, which shall be created as a
14non-appropriated trust fund administered by the Board for
15grants to thoroughbred organization licensees for payment of
16purses for quarter horse races conducted by the organization
17licensee. Beginning on August 26, 2012, the additional 0.25%
18pari-mutuel tax imposed on advance deposit wagering shall be
19deposited into the Standardbred Purse Fund, which shall be
20created as a non-appropriated trust fund administered by the
21Board, for grants to the standardbred organization licensees
22for payment of purses for standardbred horse races conducted by
23the organization licensee. Thoroughbred organization licensees
24may petition the Board to conduct quarter horse racing and
25receive purse grants from the Quarter Horse Purse Fund. The
26Board shall have complete discretion in distributing the

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1Quarter Horse Purse Fund to the petitioning organization
2licensees. Beginning on July 26, 2010 (the effective date of
3Public Act 96-1287), a pari-mutuel tax at the rate of 0.75% of
4the daily pari-mutuel handle is imposed at a pari-mutuel
5facility whose license is derived from a track located in a
6county that borders the Mississippi River and conducted live
7racing in the previous year. The pari-mutuel tax imposed by
8this subsection (a-5) shall be remitted to the Department of
9Revenue within 48 hours after the close of the racing day upon
10which it is assessed or within such other time as the Board
11prescribes.
12 (a-10) Beginning on the date when an organization licensee
13begins conducting gaming pursuant to an organization gaming
14license, the following pari-mutuel tax is imposed upon an
15organization licensee on Illinois races at the licensee's
16racetrack:
17 1.5% of the pari-mutuel handle at or below the average
18 daily pari-mutuel handle for 2011.
19 2% of the pari-mutuel handle above the average daily
20 pari-mutuel handle for 2011 up to 125% of the average daily
21 pari-mutuel handle for 2011.
22 2.5% of the pari-mutuel handle 125% or more above the
23 average daily pari-mutuel handle for 2011 up to 150% of the
24 average daily pari-mutuel handle for 2011.
25 3% of the pari-mutuel handle 150% or more above the
26 average daily pari-mutuel handle for 2011 up to 175% of the

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1 average daily pari-mutuel handle for 2011.
2 3.5% of the pari-mutuel handle 175% or more above the
3 average daily pari-mutuel handle for 2011.
4 The pari-mutuel tax imposed by this subsection (a-10) shall
5be remitted to the Board within 48 hours after the close of the
6racing day upon which it is assessed or within such other time
7as the Board prescribes.
8 (b) On or before December 31, 1999, in the event that any
9organization licensee conducts 2 separate programs of races on
10any day, each such program shall be considered a separate
11racing day for purposes of determining the daily handle and
12computing the privilege tax on such daily handle as provided in
13subsection (a) of this Section.
14 (c) Licensees shall at all times keep accurate books and
15records of all monies wagered on each day of a race meeting and
16of the taxes paid to the Department of Revenue under the
17provisions of this Section. The Board or its duly authorized
18representative or representatives shall at all reasonable
19times have access to such records for the purpose of examining
20and checking the same and ascertaining whether the proper
21amount of taxes is being paid as provided. The Board shall
22require verified reports and a statement of the total of all
23monies wagered daily at each wagering facility upon which the
24taxes are assessed and may prescribe forms upon which such
25reports and statement shall be made.
26 (d) Any licensee failing or refusing to pay the amount of

HB5561- 518 -LRB101 17547 JWD 66965 b
1any tax due under this Section shall be guilty of a business
2offense and upon conviction shall be fined not more than $5,000
3in addition to the amount found due as tax under this Section.
4Each day's violation shall constitute a separate offense. All
5fines paid into Court by a licensee hereunder shall be
6transmitted and paid over by the Clerk of the Court to the
7Board. Before a license is issued or re-issued, the licensee
8shall post a bond in the sum of $500,000 to the State of
9Illinois. The bond shall be used to guarantee that the licensee
10faithfully makes the payments, keeps the books and records and
11makes reports, and conducts games of chance in conformity with
12this Act and the rules adopted by the Board. The bond shall not
13be canceled by a surety on less than 30 days' notice in writing
14to the Board. If a bond is canceled and the licensee fails to
15file a new bond with the Board in the required amount on or
16before the effective date of cancellation, the licensee's
17license shall be revoked. The total and aggregate liability of
18the surety on the bond is limited to the amount specified in
19the bond.
20 (e) No other license fee, privilege tax, excise tax, or
21racing fee, except as provided in this Act, shall be assessed
22or collected from any such licensee by the State.
23 (f) No other license fee, privilege tax, excise tax or
24racing fee shall be assessed or collected from any such
25licensee by units of local government except as provided in
26paragraph 10.1 of subsection (h) and subsection (f) of Section

HB5561- 519 -LRB101 17547 JWD 66965 b
126 of this Act. However, any municipality that has a Board
2licensed horse race meeting at a race track wholly within its
3corporate boundaries or a township that has a Board licensed
4horse race meeting at a race track wholly within the
5unincorporated area of the township may charge a local
6amusement tax not to exceed 10¢ per admission to such horse
7race meeting by the enactment of an ordinance. However, any
8municipality or county that has a Board licensed inter-track
9wagering location facility wholly within its corporate
10boundaries may each impose an admission fee not to exceed $1.00
11per admission to such inter-track wagering location facility,
12so that a total of not more than $2.00 per admission may be
13imposed. Except as provided in subparagraph (g) of Section 27
14of this Act, the inter-track wagering location licensee shall
15collect any and all such fees. Inter-track wagering location
16licensees must pay the admission fees required under this
17subsection (f) to the municipality and county no later than the
1820th of the month following the month such admission fees were
19imposed. as the Board prescribes
20 (g) Notwithstanding any provision in this Act to the
21contrary, if in any calendar year the total taxes and fees from
22wagering on live racing and from inter-track wagering required
23to be collected from licensees and distributed under this Act
24to all State and local governmental authorities exceeds the
25amount of such taxes and fees distributed to each State and
26local governmental authority to which each State and local

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1governmental authority was entitled under this Act for calendar
2year 1994, then the first $11 million of that excess amount
3shall be allocated at the earliest possible date for
4distribution as purse money for the succeeding calendar year.
5Upon reaching the 1994 level, and until the excess amount of
6taxes and fees exceeds $11 million, the Board shall direct all
7licensees to cease paying the subject taxes and fees and the
8Board shall direct all licensees to allocate any such excess
9amount for purses as follows:
10 (i) the excess amount shall be initially divided
11 between thoroughbred and standardbred purses based on the
12 thoroughbred's and standardbred's respective percentages
13 of total Illinois live wagering in calendar year 1994;
14 (ii) each thoroughbred and standardbred organization
15 licensee issued an organization licensee in that
16 succeeding allocation year shall be allocated an amount
17 equal to the product of its percentage of total Illinois
18 live thoroughbred or standardbred wagering in calendar
19 year 1994 (the total to be determined based on the sum of
20 1994 on-track wagering for all organization licensees
21 issued organization licenses in both the allocation year
22 and the preceding year) multiplied by the total amount
23 allocated for standardbred or thoroughbred purses,
24 provided that the first $1,500,000 of the amount allocated
25 to standardbred purses under item (i) shall be allocated to
26 the Department of Agriculture to be expended with the

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1 assistance and advice of the Illinois Standardbred
2 Breeders Funds Advisory Board for the purposes listed in
3 subsection (g) of Section 31 of this Act, before the amount
4 allocated to standardbred purses under item (i) is
5 allocated to standardbred organization licensees in the
6 succeeding allocation year.
7 To the extent the excess amount of taxes and fees to be
8collected and distributed to State and local governmental
9authorities exceeds $11 million, that excess amount shall be
10collected and distributed to State and local authorities as
11provided for under this Act.
12(Source: P.A. 100-627, eff. 7-20-18; 101-31, eff. 6-28-19;
13101-52, eff. 7-12-19; revised 8-28-19.)
14 (230 ILCS 5/29) (from Ch. 8, par. 37-29)
15 Sec. 29. (a) After the privilege or pari-mutuel tax
16established in Sections 26(f), 27, and 27.1 is paid to the
17State from the monies retained by the organization licensee
18pursuant to Sections 26, 26.2, and 26.3, the remainder of those
19monies retained pursuant to Sections 26 and 26.2, except as
20provided in subsection (g) of Section 27 of this Act, shall be
21allocated evenly to the organization licensee and as purses.
22 (b) (Blank).
23 (c) (Blank).
24 (d) From the amounts generated for purses from all sources,
25including, but not limited to, amounts generated from wagering

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1conducted by organization licensees, organization gaming
2licensees, inter-track wagering licensees, inter-track
3wagering location licensees, and advance deposit wagering
4licensees, an organization licensee shall pay to an
5organization representing the largest number of horse owners
6and trainers in Illinois, for thoroughbred and standardbred
7horses that race at the track of the organization licensee, an
8amount equal to at least 5% of any and all revenue earned by
9the organization licensee for purses for that calendar year. A
10contract with the appropriate thoroughbred or standardbred
11horsemen organization shall be negotiated and signed by the
12organization licensee before the beginning of each calendar
13year. Amounts may be used for any legal purpose, including, but
14not limited to, operational expenses, programs for backstretch
15workers, retirement plans, diversity scholarships, horse
16aftercare programs, workers compensation insurance fees, and
17horse ownership programs. Financial statements highlighting
18how the funding is spent shall be provided upon request to the
19organization licensee. The appropriate thoroughbred or
20standardbred horsemen organization shall make that information
21available on its website.
22 Each organization licensee and inter-track wagering
23licensee from the money retained for purses as set forth in
24subsection (a) of this Section, shall pay to an organization
25representing the largest number of horse owners and trainers
26which has negotiated a contract with the organization licensee

HB5561- 523 -LRB101 17547 JWD 66965 b
1for such purpose an amount equal to at least 1% of the
2organization licensee's and inter-track wagering licensee's
3retention of the pari-mutuel handle for the racing season. Each
4inter-track wagering location licensee, from the 4% of its
5handle required to be paid as purses under paragraph (11) of
6subsection (h) of Section 26 of this Act, shall pay to the
7contractually established representative organization 2% of
8that 4%, provided that the payments so made to the organization
9shall not exceed a total of $125,000 in any calendar year. Such
10contract shall be negotiated and signed prior to the beginning
11of the racing season.
12(Source: P.A. 101-31, eff. 6-28-19.)
13 (230 ILCS 5/30) (from Ch. 8, par. 37-30)
14 Sec. 30. (a) The General Assembly declares that it is the
15policy of this State to encourage the breeding of thoroughbred
16horses in this State and the ownership of such horses by
17residents of this State in order to provide for: sufficient
18numbers of high quality thoroughbred horses to participate in
19thoroughbred racing meetings in this State, and to establish
20and preserve the agricultural and commercial benefits of such
21breeding and racing industries to the State of Illinois. It is
22the intent of the General Assembly to further this policy by
23the provisions of this Act.
24 (b) Each organization licensee conducting a thoroughbred
25racing meeting pursuant to this Act shall provide at least two

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1races each day limited to Illinois conceived and foaled horses
2or Illinois foaled horses or both. A minimum of 6 races shall
3be conducted each week limited to Illinois conceived and foaled
4or Illinois foaled horses or both. No horses shall be permitted
5to start in such races unless duly registered under the rules
6of the Department of Agriculture.
7 (c) Conditions of races under subsection (b) shall be
8commensurate with past performance, quality, and class of
9Illinois conceived and foaled and Illinois foaled horses
10available. If, however, sufficient competition cannot be had
11among horses of that class on any day, the races may, with
12consent of the Board, be eliminated for that day and substitute
13races provided.
14 (d) There is hereby created a special fund of the State
15Treasury to be known as the Illinois Thoroughbred Breeders
16Fund.
17 Beginning on the effective date of this amendatory Act of
18the 101st General Assembly, the Illinois Thoroughbred Breeders
19Fund shall become a non-appropriated trust fund held separate
20from State moneys. Expenditures from this Fund shall no longer
21be subject to appropriation.
22 Except as provided in subsection (g) of Section 27 of this
23Act, 8.5% of all the monies received by the State as privilege
24taxes on Thoroughbred racing meetings shall be paid into the
25Illinois Thoroughbred Breeders Fund.
26 Notwithstanding any provision of law to the contrary,

HB5561- 525 -LRB101 17547 JWD 66965 b
1amounts deposited into the Illinois Thoroughbred Breeders Fund
2from revenues generated by gaming pursuant to an organization
3gaming license issued under the Illinois Gambling Act after the
4effective date of this amendatory Act of the 101st General
5Assembly shall be in addition to tax and fee amounts paid under
6this Section for calendar year 2019 and thereafter.
7 (e) The Illinois Thoroughbred Breeders Fund shall be
8administered by the Department of Agriculture with the advice
9and assistance of the Advisory Board created in subsection (f)
10of this Section.
11 (f) The Illinois Thoroughbred Breeders Fund Advisory Board
12shall consist of the Director of the Department of Agriculture,
13who shall serve as Chairman; a member of the Illinois Racing
14Board, designated by it; 2 representatives of the organization
15licensees conducting thoroughbred racing meetings, recommended
16by them; 2 representatives of the Illinois Thoroughbred
17Breeders and Owners Foundation, recommended by it; one
18representative and 2 representatives of the Horsemen's
19Benevolent Protective Association; and one representative from
20the Illinois Thoroughbred Horsemen's Association or any
21successor organization established in Illinois comprised of
22the largest number of owners and trainers, recommended by it,
23with one representative of the Horsemen's Benevolent and
24Protective Association to come from its Illinois Division, and
25one from its Chicago Division. Advisory Board members shall
26serve for 2 years commencing January 1 of each odd numbered

HB5561- 526 -LRB101 17547 JWD 66965 b
1year. If representatives of the organization licensees
2conducting thoroughbred racing meetings, the Illinois
3Thoroughbred Breeders and Owners Foundation, and the
4Horsemen's Benevolent Protection Association, and the Illinois
5Thoroughbred Horsemen's Association have not been recommended
6by January 1, of each odd numbered year, the Director of the
7Department of Agriculture shall make an appointment for the
8organization failing to so recommend a member of the Advisory
9Board. Advisory Board members shall receive no compensation for
10their services as members but shall be reimbursed for all
11actual and necessary expenses and disbursements incurred in the
12execution of their official duties.
13 (g) No monies shall be expended from the Illinois
14Thoroughbred Breeders Fund except as appropriated by the
15General Assembly. Monies expended appropriated from the
16Illinois Thoroughbred Breeders Fund shall be expended by the
17Department of Agriculture, with the advice and assistance of
18the Illinois Thoroughbred Breeders Fund Advisory Board, for the
19following purposes only:
20 (1) To provide purse supplements to owners of horses
21 participating in races limited to Illinois conceived and
22 foaled and Illinois foaled horses. Any such purse
23 supplements shall not be included in and shall be paid in
24 addition to any purses, stakes, or breeders' awards offered
25 by each organization licensee as determined by agreement
26 between such organization licensee and an organization

HB5561- 527 -LRB101 17547 JWD 66965 b
1 representing the horsemen. No monies from the Illinois
2 Thoroughbred Breeders Fund shall be used to provide purse
3 supplements for claiming races in which the minimum
4 claiming price is less than $7,500.
5 (2) To provide stakes and awards to be paid to the
6 owners of the winning horses in certain races limited to
7 Illinois conceived and foaled and Illinois foaled horses
8 designated as stakes races.
9 (2.5) To provide an award to the owner or owners of an
10 Illinois conceived and foaled or Illinois foaled horse that
11 wins a maiden special weight, an allowance, overnight
12 handicap race, or claiming race with claiming price of
13 $10,000 or more providing the race is not restricted to
14 Illinois conceived and foaled or Illinois foaled horses.
15 Awards shall also be provided to the owner or owners of
16 Illinois conceived and foaled and Illinois foaled horses
17 that place second or third in those races. To the extent
18 that additional moneys are required to pay the minimum
19 additional awards of 40% of the purse the horse earns for
20 placing first, second or third in those races for Illinois
21 foaled horses and of 60% of the purse the horse earns for
22 placing first, second or third in those races for Illinois
23 conceived and foaled horses, those moneys shall be provided
24 from the purse account at the track where earned.
25 (3) To provide stallion awards to the owner or owners
26 of any stallion that is duly registered with the Illinois

HB5561- 528 -LRB101 17547 JWD 66965 b
1 Thoroughbred Breeders Fund Program prior to the effective
2 date of this amendatory Act of 1995 whose duly registered
3 Illinois conceived and foaled offspring wins a race
4 conducted at an Illinois thoroughbred racing meeting other
5 than a claiming race, provided that the stallion stood
6 service within Illinois at the time the offspring was
7 conceived and that the stallion did not stand for service
8 outside of Illinois at any time during the year in which
9 the offspring was conceived. Such award shall not be paid
10 to the owner or owners of an Illinois stallion that served
11 outside this State at any time during the calendar year in
12 which such race was conducted.
13 (4) To provide $75,000 annually for purses to be
14 distributed to county fairs that provide for the running of
15 races during each county fair exclusively for the
16 thoroughbreds conceived and foaled in Illinois. The
17 conditions of the races shall be developed by the county
18 fair association and reviewed by the Department with the
19 advice and assistance of the Illinois Thoroughbred
20 Breeders Fund Advisory Board. There shall be no wagering of
21 any kind on the running of Illinois conceived and foaled
22 races at county fairs.
23 (4.1) To provide purse money for an Illinois stallion
24 stakes program.
25 (5) No less than 90% 80% of all monies expended
26 appropriated from the Illinois Thoroughbred Breeders Fund

HB5561- 529 -LRB101 17547 JWD 66965 b
1 shall be expended for the purposes in (1), (2), (2.5), (3),
2 (4), (4.1), and (5) as shown above.
3 (6) To provide for educational programs regarding the
4 thoroughbred breeding industry.
5 (7) To provide for research programs concerning the
6 health, development and care of the thoroughbred horse.
7 (8) To provide for a scholarship and training program
8 for students of equine veterinary medicine.
9 (9) To provide for dissemination of public information
10 designed to promote the breeding of thoroughbred horses in
11 Illinois.
12 (10) To provide for all expenses incurred in the
13 administration of the Illinois Thoroughbred Breeders Fund.
14 (h) The Illinois Thoroughbred Breeders Fund is not subject
15to administrative charges or chargebacks, including, but not
16limited to, those authorized under Section 8h of the State
17Finance Act. Whenever the Governor finds that the amount in the
18Illinois Thoroughbred Breeders Fund is more than the total of
19the outstanding appropriations from such fund, the Governor
20shall notify the State Comptroller and the State Treasurer of
21such fact. The Comptroller and the State Treasurer, upon
22receipt of such notification, shall transfer such excess amount
23from the Illinois Thoroughbred Breeders Fund to the General
24Revenue Fund.
25 (i) A sum equal to 13% of the first prize money of every
26purse won by an Illinois foaled or Illinois conceived and

HB5561- 530 -LRB101 17547 JWD 66965 b
1foaled horse in races not limited to Illinois foaled horses or
2Illinois conceived and foaled horses, or both, shall be paid by
3the organization licensee conducting the horse race meeting.
4Such sum shall be paid 50% from the organization licensee's
5share of the money wagered and 50% from the purse account as
6follows: 11 1/2% to the breeder of the winning horse and 1 1/2%
7to the organization representing thoroughbred breeders and
8owners who representative serves on the Illinois Thoroughbred
9Breeders Fund Advisory Board for verifying the amounts of
10breeders' awards earned, ensuring their distribution in
11accordance with this Act, and servicing and promoting the
12Illinois thoroughbred horse racing industry. Beginning in the
13calendar year in which an organization licensee that is
14eligible to receive payments under paragraph (13) of subsection
15(g) of Section 26 of this Act begins to receive funds from
16gaming pursuant to an organization gaming license issued under
17the Illinois Gambling Act, a sum equal to 21 1/2% of the first
18prize money of every purse won by an Illinois foaled or an
19Illinois conceived and foaled horse in races not limited to an
20Illinois conceived and foaled horse, or both, shall be paid 30%
21from the organization licensee's account and 70% from the purse
22account as follows: 20% to the breeder of the winning horse and
231 1/2% to the organization representing thoroughbred breeders
24and owners whose representatives serve on the Illinois
25Thoroughbred Breeders Fund Advisory Board for verifying the
26amounts of breeders' awards earned, ensuring their

HB5561- 531 -LRB101 17547 JWD 66965 b
1distribution in accordance with this Act, and servicing and
2promoting the Illinois Thoroughbred racing industry. A sum
3equal to 12 1/2% of the first prize money of every purse won by
4an Illinois foaled or an Illinois conceived and foaled horse in
5races not limited to Illinois foaled horses or Illinois
6conceived and foaled horses, or both, shall be paid by the
7organization licensee conducting the horse race meeting. Such
8sum shall be paid from the organization licensee's share of the
9money wagered as follows: 11 1/2% to the breeder of the winning
10horse and 1% to the organization representing thoroughbred
11breeders and owners whose representative serves on the Illinois
12Thoroughbred Breeders Fund Advisory Board for verifying the
13amounts of breeders' awards earned, assuring their
14distribution in accordance with this Act, and servicing and
15promoting the Illinois thoroughbred horse racing industry. The
16organization representing thoroughbred breeders and owners
17shall cause all expenditures of monies received under this
18subsection (i) to be audited at least annually by a registered
19public accountant. The organization shall file copies of each
20annual audit with the Racing Board, the Clerk of the House of
21Representatives and the Secretary of the Senate, and shall make
22copies of each annual audit available to the public upon
23request and upon payment of the reasonable cost of photocopying
24the requested number of copies. Such payments shall not reduce
25any award to the owner of the horse or reduce the taxes payable
26under this Act. Upon completion of its racing meet, each

HB5561- 532 -LRB101 17547 JWD 66965 b
1organization licensee shall deliver to the organization
2representing thoroughbred breeders and owners whose
3representative serves on the Illinois Thoroughbred Breeders
4Fund Advisory Board a listing of all the Illinois foaled and
5the Illinois conceived and foaled horses which won breeders'
6awards and the amount of such breeders' awards under this
7subsection to verify accuracy of payments and assure proper
8distribution of breeders' awards in accordance with the
9provisions of this Act. Such payments shall be delivered by the
10organization licensee within 30 days of the end of each race
11meeting.
12 (j) A sum equal to 13% of the first prize money won in
13every race limited to Illinois foaled horses or Illinois
14conceived and foaled horses, or both, shall be paid in the
15following manner by the organization licensee conducting the
16horse race meeting, 50% from the organization licensee's share
17of the money wagered and 50% from the purse account as follows:
1811 1/2% to the breeders of the horses in each such race which
19are the official first, second, third, and fourth finishers and
201 1/2% to the organization representing thoroughbred breeders
21and owners whose representatives serve on the Illinois
22Thoroughbred Breeders Fund Advisory Board for verifying the
23amounts of breeders' awards earned, ensuring their proper
24distribution in accordance with this Act, and servicing and
25promoting the Illinois horse racing industry. Beginning in the
26calendar year in which an organization licensee that is

HB5561- 533 -LRB101 17547 JWD 66965 b
1eligible to receive payments under paragraph (13) of subsection
2(g) of Section 26 of this Act begins to receive funds from
3gaming pursuant to an organization gaming license issued under
4the Illinois Gambling Act, a sum of 21 1/2% of every purse in a
5race limited to Illinois foaled horses or Illinois conceived
6and foaled horses, or both, shall be paid by the organization
7licensee conducting the horse race meeting. Such sum shall be
8paid 30% from the organization licensee's account and 70% from
9the purse account as follows: 20% to the breeders of the horses
10in each such race who are official first, second, third and
11fourth finishers and 1 1/2% to the organization representing
12thoroughbred breeders and owners whose representatives serve
13on the Illinois Thoroughbred Breeders Fund Advisory Board for
14verifying the amounts of breeders' awards earned, ensuring
15their proper distribution in accordance with this Act, and
16servicing and promoting the Illinois thoroughbred horse racing
17industry. The organization representing thoroughbred breeders
18and owners shall cause all expenditures of moneys received
19under this subsection (j) to be audited at least annually by a
20registered public accountant. The organization shall file
21copies of each annual audit with the Racing Board, the Clerk of
22the House of Representatives and the Secretary of the Senate,
23and shall make copies of each annual audit available to the
24public upon request and upon payment of the reasonable cost of
25photocopying the requested number of copies. The copies of the
26audit to the General Assembly shall be filed with the Clerk of

HB5561- 534 -LRB101 17547 JWD 66965 b
1the House of Representatives and the Secretary of the Senate in
2electronic form only, in the manner that the Clerk and the
3Secretary shall direct. A sum equal to 12 1/2% of the first
4prize money won in each race limited to Illinois foaled horses
5or Illinois conceived and foaled horses, or both, shall be paid
6in the following manner by the organization licensee conducting
7the horse race meeting, from the organization licensee's share
8of the money wagered: 11 1/2% to the breeders of the horses in
9each such race which are the official first, second, third and
10fourth finishers and 1% to the organization representing
11thoroughbred breeders and owners whose representative serves
12on the Illinois Thoroughbred Breeders Fund Advisory Board for
13verifying the amounts of breeders' awards earned, assuring
14their proper distribution in accordance with this Act, and
15servicing and promoting the Illinois thoroughbred horse racing
16industry. The organization representing thoroughbred breeders
17and owners shall cause all expenditures of monies received
18under this subsection (j) to be audited at least annually by a
19registered public accountant. The organization shall file
20copies of each annual audit with the Racing Board, the Clerk of
21the House of Representatives and the Secretary of the Senate,
22and shall make copies of each annual audit available to the
23public upon request and upon payment of the reasonable cost of
24photocopying the requested number of copies.
25 The amounts 11 1/2% paid to the breeders in accordance with
26this subsection shall be distributed as follows:

HB5561- 535 -LRB101 17547 JWD 66965 b
1 (1) 60% of such sum shall be paid to the breeder of the
2 horse which finishes in the official first position;
3 (2) 20% of such sum shall be paid to the breeder of the
4 horse which finishes in the official second position;
5 (3) 15% of such sum shall be paid to the breeder of the
6 horse which finishes in the official third position; and
7 (4) 5% of such sum shall be paid to the breeder of the
8 horse which finishes in the official fourth position.
9 Such payments shall not reduce any award to the owners of a
10horse or reduce the taxes payable under this Act. Upon
11completion of its racing meet, each organization licensee shall
12deliver to the organization representing thoroughbred breeders
13and owners whose representative serves on the Illinois
14Thoroughbred Breeders Fund Advisory Board a listing of all the
15Illinois foaled and the Illinois conceived and foaled horses
16which won breeders' awards and the amount of such breeders'
17awards in accordance with the provisions of this Act. Such
18payments shall be delivered by the organization licensee within
1930 days of the end of each race meeting.
20 (k) The term "breeder", as used herein, means the owner of
21the mare at the time the foal is dropped. An "Illinois foaled
22horse" is a foal dropped by a mare which enters this State on
23or before December 1, in the year in which the horse is bred,
24provided the mare remains continuously in this State until its
25foal is born. An "Illinois foaled horse" also means a foal born
26of a mare in the same year as the mare enters this State on or

HB5561- 536 -LRB101 17547 JWD 66965 b
1before March 1, and remains in this State at least 30 days
2after foaling, is bred back during the season of the foaling to
3an Illinois Registered Stallion (unless a veterinarian
4certifies that the mare should not be bred for health reasons),
5and is not bred to a stallion standing in any other state
6during the season of foaling. An "Illinois foaled horse" also
7means a foal born in Illinois of a mare purchased at public
8auction subsequent to the mare entering this State on or before
9March 1 prior to February 1 of the foaling year providing the
10mare is owned solely by one or more Illinois residents or an
11Illinois entity that is entirely owned by one or more Illinois
12residents.
13 (l) The Department of Agriculture shall, by rule, with the
14advice and assistance of the Illinois Thoroughbred Breeders
15Fund Advisory Board:
16 (1) Qualify stallions for Illinois breeding; such
17 stallions to stand for service within the State of Illinois
18 at the time of a foal's conception. Such stallion must not
19 stand for service at any place outside the State of
20 Illinois during the calendar year in which the foal is
21 conceived. The Department of Agriculture may assess and
22 collect an application fee of up to $500 fees for the
23 registration of Illinois-eligible stallions. All fees
24 collected are to be held in trust accounts for the purposes
25 set forth in this Act and in accordance with Section 205-15
26 of the Department of Agriculture Law paid into the Illinois

HB5561- 537 -LRB101 17547 JWD 66965 b
1 Thoroughbred Breeders Fund.
2 (2) Provide for the registration of Illinois conceived
3 and foaled horses and Illinois foaled horses. No such horse
4 shall compete in the races limited to Illinois conceived
5 and foaled horses or Illinois foaled horses or both unless
6 registered with the Department of Agriculture. The
7 Department of Agriculture may prescribe such forms as are
8 necessary to determine the eligibility of such horses. The
9 Department of Agriculture may assess and collect
10 application fees for the registration of Illinois-eligible
11 foals. All fees collected are to be held in trust accounts
12 for the purposes set forth in this Act and in accordance
13 with Section 205-15 of the Department of Agriculture Law
14 paid into the Illinois Thoroughbred Breeders Fund. No
15 person shall knowingly prepare or cause preparation of an
16 application for registration of such foals containing
17 false information.
18 (m) The Department of Agriculture, with the advice and
19assistance of the Illinois Thoroughbred Breeders Fund Advisory
20Board, shall provide that certain races limited to Illinois
21conceived and foaled and Illinois foaled horses be stakes races
22and determine the total amount of stakes and awards to be paid
23to the owners of the winning horses in such races.
24 In determining the stakes races and the amount of awards
25for such races, the Department of Agriculture shall consider
26factors, including but not limited to, the amount of money

HB5561- 538 -LRB101 17547 JWD 66965 b
1appropriated for the Illinois Thoroughbred Breeders Fund
2program, organization licensees' contributions, availability
3of stakes caliber horses as demonstrated by past performances,
4whether the race can be coordinated into the proposed racing
5dates within organization licensees' racing dates, opportunity
6for colts and fillies and various age groups to race, public
7wagering on such races, and the previous racing schedule.
8 (n) The Board and the organization organizational licensee
9shall notify the Department of the conditions and minimum
10purses for races limited to Illinois conceived and foaled and
11Illinois foaled horses conducted for each organization
12organizational licensee conducting a thoroughbred racing
13meeting. The Department of Agriculture with the advice and
14assistance of the Illinois Thoroughbred Breeders Fund Advisory
15Board may allocate monies for purse supplements for such races.
16In determining whether to allocate money and the amount, the
17Department of Agriculture shall consider factors, including
18but not limited to, the amount of money appropriated for the
19Illinois Thoroughbred Breeders Fund program, the number of
20races that may occur, and the organization organizational
21licensee's purse structure.
22 (o) (Blank).
23(Source: P.A. 101-31, eff. 6-28-19.)
24 (230 ILCS 5/30.5)
25 Sec. 30.5. Illinois Racing Quarter Horse Breeders Fund.

HB5561- 539 -LRB101 17547 JWD 66965 b
1 (a) The General Assembly declares that it is the policy of
2this State to encourage the breeding of racing quarter horses
3in this State and the ownership of such horses by residents of
4this State in order to provide for sufficient numbers of high
5quality racing quarter horses in this State and to establish
6and preserve the agricultural and commercial benefits of such
7breeding and racing industries to the State of Illinois. It is
8the intent of the General Assembly to further this policy by
9the provisions of this Act.
10 (b) There is hereby created a special fund in the State
11Treasury to be known as the Illinois Racing Quarter Horse
12Breeders Fund. Except as provided in subsection (g) of Section
1327 of this Act, 8.5% of all the moneys received by the State as
14pari-mutuel taxes on quarter horse racing shall be paid into
15the Illinois Racing Quarter Horse Breeders Fund. The Illinois
16Racing Quarter Horse Breeders Fund shall not be subject to
17administrative charges or chargebacks, including, but not
18limited to, those authorized under Section 8h of the State
19Finance Act.
20 (c) The Illinois Racing Quarter Horse Breeders Fund shall
21be administered by the Department of Agriculture with the
22advice and assistance of the Advisory Board created in
23subsection (d) of this Section.
24 (d) The Illinois Racing Quarter Horse Breeders Fund
25Advisory Board shall consist of the Director of the Department
26of Agriculture, who shall serve as Chairman; a member of the

HB5561- 540 -LRB101 17547 JWD 66965 b
1Illinois Racing Board, designated by it; one representative of
2the organization licensees conducting pari-mutuel quarter
3horse racing meetings, recommended by them; 2 representatives
4of the Illinois Running Quarter Horse Association, recommended
5by it; and the Superintendent of Fairs and Promotions from the
6Department of Agriculture. Advisory Board members shall serve
7for 2 years commencing January 1 of each odd numbered year. If
8representatives have not been recommended by January 1 of each
9odd numbered year, the Director of the Department of
10Agriculture may make an appointment for the organization
11failing to so recommend a member of the Advisory Board.
12Advisory Board members shall receive no compensation for their
13services as members but may be reimbursed for all actual and
14necessary expenses and disbursements incurred in the execution
15of their official duties.
16 (e) Moneys in No moneys shall be expended from the Illinois
17Racing Quarter Horse Breeders Fund except as appropriated by
18the General Assembly. Moneys appropriated from the Illinois
19Racing Quarter Horse Breeders Fund shall be expended by the
20Department of Agriculture, with the advice and assistance of
21the Illinois Racing Quarter Horse Breeders Fund Advisory Board,
22for the following purposes only:
23 (1) To provide stakes and awards to be paid to the
24 owners of the winning horses in certain races. This
25 provision is limited to Illinois conceived and foaled
26 horses.

HB5561- 541 -LRB101 17547 JWD 66965 b
1 (2) To provide an award to the owner or owners of an
2 Illinois conceived and foaled horse that wins a race when
3 pari-mutuel wagering is conducted; providing the race is
4 not restricted to Illinois conceived and foaled horses.
5 (3) To provide purse money for an Illinois stallion
6 stakes program.
7 (4) To provide for purses to be distributed for the
8 running of races during the Illinois State Fair and the
9 DuQuoin State Fair exclusively for quarter horses
10 conceived and foaled in Illinois.
11 (5) To provide for purses to be distributed for the
12 running of races at Illinois county fairs exclusively for
13 quarter horses conceived and foaled in Illinois.
14 (6) To provide for purses to be distributed for running
15 races exclusively for quarter horses conceived and foaled
16 in Illinois at locations in Illinois determined by the
17 Department of Agriculture with advice and consent of the
18 Illinois Racing Quarter Horse Breeders Fund Advisory
19 Board.
20 (7) No less than 90% of all moneys appropriated from
21 the Illinois Racing Quarter Horse Breeders Fund shall be
22 expended for the purposes in items (1), (2), (3), (4), and
23 (5) of this subsection (e).
24 (8) To provide for research programs concerning the
25 health, development, and care of racing quarter horses.
26 (9) To provide for dissemination of public information

HB5561- 542 -LRB101 17547 JWD 66965 b
1 designed to promote the breeding of racing quarter horses
2 in Illinois.
3 (10) To provide for expenses incurred in the
4 administration of the Illinois Racing Quarter Horse
5 Breeders Fund.
6 (f) The Department of Agriculture shall, by rule, with the
7advice and assistance of the Illinois Racing Quarter Horse
8Breeders Fund Advisory Board:
9 (1) Qualify stallions for Illinois breeding; such
10 stallions to stand for service within the State of
11 Illinois, at the time of a foal's conception. Such stallion
12 must not stand for service at any place outside the State
13 of Illinois during the calendar year in which the foal is
14 conceived. The Department of Agriculture may assess and
15 collect application fees for the registration of
16 Illinois-eligible stallions. All fees collected are to be
17 paid into the Illinois Racing Quarter Horse Breeders Fund.
18 (2) Provide for the registration of Illinois conceived
19 and foaled horses. No such horse shall compete in the races
20 limited to Illinois conceived and foaled horses unless it
21 is registered with the Department of Agriculture. The
22 Department of Agriculture may prescribe such forms as are
23 necessary to determine the eligibility of such horses. The
24 Department of Agriculture may assess and collect
25 application fees for the registration of Illinois-eligible
26 foals. All fees collected are to be paid into the Illinois

HB5561- 543 -LRB101 17547 JWD 66965 b
1 Racing Quarter Horse Breeders Fund. No person shall
2 knowingly prepare or cause preparation of an application
3 for registration of such foals that contains false
4 information.
5 (g) The Department of Agriculture, with the advice and
6assistance of the Illinois Racing Quarter Horse Breeders Fund
7Advisory Board, shall provide that certain races limited to
8Illinois conceived and foaled be stakes races and determine the
9total amount of stakes and awards to be paid to the owners of
10the winning horses in such races.
11(Source: P.A. 101-31, eff. 6-28-19.)
12 (230 ILCS 5/31) (from Ch. 8, par. 37-31)
13 Sec. 31. (a) The General Assembly declares that it is the
14policy of this State to encourage the breeding of standardbred
15horses in this State and the ownership of such horses by
16residents of this State in order to provide for: sufficient
17numbers of high quality standardbred horses to participate in
18harness racing meetings in this State, and to establish and
19preserve the agricultural and commercial benefits of such
20breeding and racing industries to the State of Illinois. It is
21the intent of the General Assembly to further this policy by
22the provisions of this Section of this Act.
23 (b) Each organization licensee conducting a harness racing
24meeting pursuant to this Act shall provide for at least two
25races each race program limited to Illinois conceived and

HB5561- 544 -LRB101 17547 JWD 66965 b
1foaled horses. A minimum of 6 races shall be conducted each
2week limited to Illinois conceived and foaled horses. No horses
3shall be permitted to start in such races unless duly
4registered under the rules of the Department of Agriculture.
5 (b-5) Organization licensees, not including the Illinois
6State Fair or the DuQuoin State Fair, shall provide stake races
7and early closer races for Illinois conceived and foaled horses
8so that purses distributed for such races shall be no less than
917% of total purses distributed for harness racing in that
10calendar year in addition to any stakes payments and starting
11fees contributed by horse owners.
12 (b-10) Each organization licensee conducting a harness
13racing meeting pursuant to this Act shall provide an owner
14award to be paid from the purse account equal to 12% of the
15amount earned by Illinois conceived and foaled horses finishing
16in the first 3 positions in races that are not restricted to
17Illinois conceived and foaled horses. The owner awards shall
18not be paid on races below the $10,000 claiming class.
19 (c) Conditions of races under subsection (b) shall be
20commensurate with past performance, quality and class of
21Illinois conceived and foaled horses available. If, however,
22sufficient competition cannot be had among horses of that class
23on any day, the races may, with consent of the Board, be
24eliminated for that day and substitute races provided.
25 (d) There is hereby created a special fund of the State
26Treasury to be known as the Illinois Standardbred Breeders

HB5561- 545 -LRB101 17547 JWD 66965 b
1Fund. Beginning on the effective date of this amendatory Act of
2the 101st General Assembly, the Illinois Standardbred Breeders
3Fund shall become a non-appropriated trust fund held separate
4and apart from State moneys. Expenditures from this Fund shall
5no longer be subject to appropriation.
6 During the calendar year 1981, and each year thereafter,
7except as provided in subsection (g) of Section 27 of this Act,
8eight and one-half per cent of all the monies received by the
9State as privilege taxes on harness racing meetings shall be
10paid into the Illinois Standardbred Breeders Fund.
11 (e) Notwithstanding any provision of law to the contrary,
12amounts deposited into the Illinois Standardbred Breeders Fund
13from revenues generated by gaming pursuant to an organization
14gaming license issued under the Illinois Gambling Act after the
15effective date of this amendatory Act of the 101st General
16Assembly shall be in addition to tax and fee amounts paid under
17this Section for calendar year 2019 and thereafter. The
18Illinois Standardbred Breeders Fund shall be administered by
19the Department of Agriculture with the assistance and advice of
20the Advisory Board created in subsection (f) of this Section.
21 (f) The Illinois Standardbred Breeders Fund Advisory Board
22is hereby created. The Advisory Board shall consist of the
23Director of the Department of Agriculture, who shall serve as
24Chairman; the Superintendent of the Illinois State Fair; a
25member of the Illinois Racing Board, designated by it; a
26representative of the largest association of Illinois

HB5561- 546 -LRB101 17547 JWD 66965 b
1standardbred owners and breeders, recommended by it; a
2representative of a statewide association representing
3agricultural fairs in Illinois, recommended by it, such
4representative to be from a fair at which Illinois conceived
5and foaled racing is conducted; a representative of the
6organization licensees conducting harness racing meetings,
7recommended by them; a representative of the Breeder's
8Committee of the association representing the largest number of
9standardbred owners, breeders, trainers, caretakers, and
10drivers, recommended by it; and a representative of the
11association representing the largest number of standardbred
12owners, breeders, trainers, caretakers, and drivers,
13recommended by it. Advisory Board members shall serve for 2
14years commencing January 1 of each odd numbered year. If
15representatives of the largest association of Illinois
16standardbred owners and breeders, a statewide association of
17agricultural fairs in Illinois, the association representing
18the largest number of standardbred owners, breeders, trainers,
19caretakers, and drivers, a member of the Breeder's Committee of
20the association representing the largest number of
21standardbred owners, breeders, trainers, caretakers, and
22drivers, and the organization licensees conducting harness
23racing meetings have not been recommended by January 1 of each
24odd numbered year, the Director of the Department of
25Agriculture shall make an appointment for the organization
26failing to so recommend a member of the Advisory Board.

HB5561- 547 -LRB101 17547 JWD 66965 b
1Advisory Board members shall receive no compensation for their
2services as members but shall be reimbursed for all actual and
3necessary expenses and disbursements incurred in the execution
4of their official duties.
5 (g) No monies shall be expended from the Illinois
6Standardbred Breeders Fund except as appropriated by the
7General Assembly. Monies expended appropriated from the
8Illinois Standardbred Breeders Fund shall be expended by the
9Department of Agriculture, with the assistance and advice of
10the Illinois Standardbred Breeders Fund Advisory Board for the
11following purposes only:
12 1. To provide purses for races limited to Illinois
13 conceived and foaled horses at the State Fair and the
14 DuQuoin State Fair.
15 2. To provide purses for races limited to Illinois
16 conceived and foaled horses at county fairs.
17 3. To provide purse supplements for races limited to
18 Illinois conceived and foaled horses conducted by
19 associations conducting harness racing meetings.
20 4. No less than 75% of all monies in the Illinois
21 Standardbred Breeders Fund shall be expended for purses in
22 1, 2, and 3 as shown above.
23 5. In the discretion of the Department of Agriculture
24 to provide awards to harness breeders of Illinois conceived
25 and foaled horses which win races conducted by organization
26 licensees conducting harness racing meetings. A breeder is

HB5561- 548 -LRB101 17547 JWD 66965 b
1 the owner of a mare at the time of conception. No more than
2 10% of all monies appropriated from the Illinois
3 Standardbred Breeders Fund shall be expended for such
4 harness breeders awards. No more than 25% of the amount
5 expended for harness breeders awards shall be expended for
6 expenses incurred in the administration of such harness
7 breeders awards.
8 6. To pay for the improvement of racing facilities
9 located at the State Fair and County fairs.
10 7. To pay the expenses incurred in the administration
11 of the Illinois Standardbred Breeders Fund.
12 8. To promote the sport of harness racing, including
13 grants up to a maximum of $7,500 per fair per year for
14 conducting pari-mutuel wagering during the advertised
15 dates of a county fair.
16 9. To pay up to $50,000 annually for the Department of
17 Agriculture to conduct drug testing at county fairs racing
18 standardbred horses.
19 (h) The Illinois Standardbred Breeders Fund is not subject
20to administrative charges or chargebacks, including, but not
21limited to, those authorized under Section 8h of the State
22Finance Act. Whenever the Governor finds that the amount in the
23Illinois Standardbred Breeders Fund is more than the total of
24the outstanding appropriations from such fund, the Governor
25shall notify the State Comptroller and the State Treasurer of
26such fact. The Comptroller and the State Treasurer, upon

HB5561- 549 -LRB101 17547 JWD 66965 b
1receipt of such notification, shall transfer such excess amount
2from the Illinois Standardbred Breeders Fund to the General
3Revenue Fund.
4 (i) A sum equal to 13% 12 1/2% of the first prize money of
5the gross every purse won by an Illinois conceived and foaled
6horse shall be paid 50% by the organization licensee conducting
7the horse race meeting to the breeder of such winning horse
8from the organization licensee's account and 50% from the purse
9account of the licensee share of the money wagered. Such
10payment shall not reduce any award to the owner of the horse or
11reduce the taxes payable under this Act. Such payment shall be
12delivered by the organization licensee at the end of each
13quarter race meeting.
14 (j) The Department of Agriculture shall, by rule, with the
15assistance and advice of the Illinois Standardbred Breeders
16Fund Advisory Board:
17 1. Qualify stallions for Illinois Standardbred
18 Breeders Fund breeding; such stallion shall be owned by a
19 resident of the State of Illinois or by an Illinois
20 corporation all of whose shareholders, directors, officers
21 and incorporators are residents of the State of Illinois.
22 Such stallion shall stand for service at and within the
23 State of Illinois at the time of a foal's conception, and
24 such stallion must not stand for service at any place, nor
25 may semen from such stallion be transported, outside the
26 State of Illinois during that calendar year in which the

HB5561- 550 -LRB101 17547 JWD 66965 b
1 foal is conceived and that the owner of the stallion was
2 for the 12 months prior, a resident of Illinois. However,
3 from January 1, 2018 until January 1, 2022, semen from an
4 Illinois stallion may be transported outside the State of
5 Illinois. The articles of agreement of any partnership,
6 joint venture, limited partnership, syndicate, association
7 or corporation and any bylaws and stock certificates must
8 contain a restriction that provides that the ownership or
9 transfer of interest by any one of the persons a party to
10 the agreement can only be made to a person who qualifies as
11 an Illinois resident.
12 2. Provide for the registration of Illinois conceived
13 and foaled horses and no such horse shall compete in the
14 races limited to Illinois conceived and foaled horses
15 unless registered with the Department of Agriculture. The
16 Department of Agriculture may prescribe such forms as may
17 be necessary to determine the eligibility of such horses.
18 No person shall knowingly prepare or cause preparation of
19 an application for registration of such foals containing
20 false information. A mare (dam) must be in the State at
21 least 30 days prior to foaling or remain in the State at
22 least 30 days at the time of foaling. However, the
23 requirement that a mare (dam) must be in the State at least
24 30 days before foaling or remain in the State at least 30
25 days at the time of foaling shall not be in effect from
26 January 1, 2018 until January 1, 2022. Beginning with the

HB5561- 551 -LRB101 17547 JWD 66965 b
1 1996 breeding season and for foals of 1997 and thereafter,
2 a foal conceived by transported semen may be eligible for
3 Illinois conceived and foaled registration provided all
4 breeding and foaling requirements are met. The stallion
5 must be qualified for Illinois Standardbred Breeders Fund
6 breeding at the time of conception and the mare must be
7 inseminated within the State of Illinois. The foal must be
8 dropped in Illinois and properly registered with the
9 Department of Agriculture in accordance with this Act.
10 However, from January 1, 2018 until January 1, 2022, the
11 requirement for a mare to be inseminated within the State
12 of Illinois and the requirement for a foal to be dropped in
13 Illinois are inapplicable.
14 3. Provide that at least a 5-day racing program shall
15 be conducted at the State Fair each year, unless an
16 alternate racing program is requested by the Illinois
17 Standardbred Breeders Fund Advisory Board, which program
18 shall include at least the following races limited to
19 Illinois conceived and foaled horses: (a) a 2-year-old two
20 year old Trot and Pace, and Filly Division of each; (b) a
21 3-year-old three year old Trot and Pace, and Filly Division
22 of each; (c) an aged Trot and Pace, and Mare Division of
23 each.
24 4. Provide for the payment of nominating, sustaining
25 and starting fees for races promoting the sport of harness
26 racing and for the races to be conducted at the State Fair

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1 as provided in subsection (j) 3 of this Section provided
2 that the nominating, sustaining and starting payment
3 required from an entrant shall not exceed 2% of the purse
4 of such race. All nominating, sustaining and starting
5 payments shall be held for the benefit of entrants and
6 shall be paid out as part of the respective purses for such
7 races. Nominating, sustaining and starting fees shall be
8 held in trust accounts for the purposes as set forth in
9 this Act and in accordance with Section 205-15 of the
10 Department of Agriculture Law.
11 5. Provide for the registration with the Department of
12 Agriculture of Colt Associations or county fairs desiring
13 to sponsor races at county fairs.
14 6. Provide for the promotion of producing standardbred
15 racehorses by providing a bonus award program for owners of
16 2-year-old horses that win multiple major stakes races that
17 are limited to Illinois conceived and foaled horses.
18 (k) The Department of Agriculture, with the advice and
19assistance of the Illinois Standardbred Breeders Fund Advisory
20Board, may allocate monies for purse supplements for such
21races. In determining whether to allocate money and the amount,
22the Department of Agriculture shall consider factors,
23including, but not limited to, the amount of money appropriated
24for the Illinois Standardbred Breeders Fund program, the number
25of races that may occur, and an organization licensee's purse
26structure. The organization licensee shall notify the

HB5561- 553 -LRB101 17547 JWD 66965 b
1Department of Agriculture of the conditions and minimum purses
2for races limited to Illinois conceived and foaled horses to be
3conducted by each organization licensee conducting a harness
4racing meeting for which purse supplements have been
5negotiated.
6 (l) All races held at county fairs and the State Fair which
7receive funds from the Illinois Standardbred Breeders Fund
8shall be conducted in accordance with the rules of the United
9States Trotting Association unless otherwise modified by the
10Department of Agriculture.
11 (m) At all standardbred race meetings held or conducted
12under authority of a license granted by the Board, and at all
13standardbred races held at county fairs which are approved by
14the Department of Agriculture or at the Illinois or DuQuoin
15State Fairs, no one shall jog, train, warm up or drive a
16standardbred horse unless he or she is wearing a protective
17safety helmet, with the chin strap fastened and in place, which
18meets the standards and requirements as set forth in the 1984
19Standard for Protective Headgear for Use in Harness Racing and
20Other Equestrian Sports published by the Snell Memorial
21Foundation, or any standards and requirements for headgear the
22Illinois Racing Board may approve. Any other standards and
23requirements so approved by the Board shall equal or exceed
24those published by the Snell Memorial Foundation. Any
25equestrian helmet bearing the Snell label shall be deemed to
26have met those standards and requirements.

HB5561- 554 -LRB101 17547 JWD 66965 b
1(Source: P.A. 100-777, eff. 8-10-18; 101-31, eff. 6-28-19;
2101-157, eff. 7-26-19; revised 9-27-19.)
3 (230 ILCS 5/31.1) (from Ch. 8, par. 37-31.1)
4 Sec. 31.1. (a) Unless subsection (a-5) applies,
5organization Organization licensees collectively shall
6contribute annually to charity the sum of $750,000 to
7non-profit organizations that provide medical and family,
8counseling, and similar services to persons who reside or work
9on the backstretch of Illinois racetracks. Unless subsection
10(a-5) applies, these These contributions shall be collected as
11follows: (i) no later than July 1st of each year the Board
12shall assess each organization licensee, except those tracks
13located in Madison County, which are not within 100 miles of
14each other which tracks shall pay $30,000 annually apiece into
15the Board charity fund, that amount which equals $690,000
16multiplied by the amount of pari-mutuel wagering handled by the
17organization licensee in the year preceding assessment and
18divided by the total pari-mutuel wagering handled by all
19Illinois organization licensees, except those tracks located
20in Madison and Rock Island counties which are not within 100
21miles of each other, in the year preceding assessment; (ii)
22notice of the assessed contribution shall be mailed to each
23organization licensee; (iii) within thirty days of its receipt
24of such notice, each organization licensee shall remit the
25assessed contribution to the Board. Unless subsection (a-5)

HB5561- 555 -LRB101 17547 JWD 66965 b
1applies, if an organization licensee commences operation of
2gaming at its facility pursuant to an organization gaming
3license under the Illinois Gambling Act, then the organization
4licensee shall contribute an additional $83,000 per year
5beginning in the year subsequent to the first year in which the
6organization licensee begins receiving funds from gaming
7pursuant to an organization gaming license. If an organization
8licensee wilfully fails to so remit the contribution, the Board
9may revoke its license to conduct horse racing.
10 (a-5) If (1) an organization licensee that did not operate
11live racing in 2017 is awarded racing dates in 2018 or in any
12subsequent year and (2) all organization licensees are
13operating gaming pursuant to an organization gaming license
14under the Illinois Gambling Act, then subsection (a) does not
15apply and organization licensees collectively shall contribute
16annually to charity the sum of $1,000,000 to non-profit
17organizations that provide medical and family, counseling, and
18similar services to persons who reside or work on the
19backstretch of Illinois racetracks. These contributions shall
20be collected as follows: (i) no later than July 1st of each
21year the Board shall assess each organization licensee an
22amount based on the proportionate amount of live racing days in
23the calendar year for which the Board has awarded to the
24organization licensee out of the total aggregate number of live
25racing days awarded; (ii) notice of the assessed contribution
26shall be mailed to each organization licensee; (iii) within 30

HB5561- 556 -LRB101 17547 JWD 66965 b
1days after its receipt of such notice, each organization
2licensee shall remit the assessed contribution to the Board. If
3an organization licensee willfully fails to so remit the
4contribution, the Board may revoke its license to conduct horse
5racing.
6 (b) No later than October 1st of each year, any qualified
7charitable organization seeking an allotment of contributed
8funds shall submit to the Board an application for those funds,
9using the Board's approved form. No later than December 31st of
10each year, the Board shall distribute all such amounts
11collected that year to such charitable organization
12applicants.
13(Source: P.A. 101-31, eff. 6-28-19.)
14 (230 ILCS 5/32.1)
15 Sec. 32.1. Pari-mutuel tax credit; statewide racetrack
16real estate equalization.
17 (a) In order to encourage new investment in Illinois
18racetrack facilities and mitigate differing real estate tax
19burdens among all racetracks, the licensees affiliated or
20associated with each racetrack that has been awarded live
21racing dates in the current year shall receive an immediate
22pari-mutuel tax credit in an amount equal to the greater of (i)
2350% of the amount of the real estate taxes paid in the prior
24year attributable to that racetrack, or (ii) the amount by
25which the real estate taxes paid in the prior year attributable

HB5561- 557 -LRB101 17547 JWD 66965 b
1to that racetrack exceeds 60% of the average real estate taxes
2paid in the prior year for all racetracks awarded live horse
3racing meets in the current year.
4 Each year, regardless of whether the organization licensee
5conducted live racing in the year of certification, the Board
6shall certify in writing, prior to December 31, the real estate
7taxes paid in that year for each racetrack and the amount of
8the pari-mutuel tax credit that each organization licensee,
9inter-track wagering licensee, and inter-track wagering
10location licensee that derives its license from such racetrack
11is entitled in the succeeding calendar year. The real estate
12taxes considered under this Section for any racetrack shall be
13those taxes on the real estate parcels and related facilities
14used to conduct a horse race meeting and inter-track wagering
15at such racetrack under this Act. In no event shall the amount
16of the tax credit under this Section exceed the amount of
17pari-mutuel taxes otherwise calculated under this Act. The
18amount of the tax credit under this Section shall be retained
19by each licensee and shall not be subject to any reallocation
20or further distribution under this Act. The Board may
21promulgate emergency rules to implement this Section.
22 (b) If the organization licensee is operating gaming
23pursuant to an organization gaming license issued under the
24Illinois Gambling Act, except the organization licensee
25described in Section 19.5, then, for the 5-year period
26beginning on the January 1 of the calendar year immediately

HB5561- 558 -LRB101 17547 JWD 66965 b
1following the calendar year during which an organization
2licensee begins conducting gaming operations pursuant to an
3organization gaming license issued under the Illinois Gambling
4Act, the organization licensee shall make capital
5expenditures, in an amount equal to no less than 50% of the tax
6credit under this Section, to the improvement and maintenance
7of the backstretch, including, but not limited to, backstretch
8barns, dormitories, and services for backstretch workers.
9Those capital expenditures must be in addition to, and not in
10lieu of, the capital expenditures made for backstretch
11improvements in calendar year 2015, as reported to the Board in
12the organization licensee's application for racing dates and as
13certified by the Board. The organization licensee is required
14to annually submit the list and amounts of these capital
15expenditures to the Board by January 30th of the year following
16the expenditure.
17 (c) If the organization licensee is conducting gaming in
18accordance with paragraph (b), then, after the 5-year period
19beginning on January 1 of the calendar year immediately
20following the calendar year during which an organization
21licensee begins conducting gaming operations pursuant to an
22organization gaming license issued under the Illinois Gambling
23Act, the organization license is ineligible to receive a tax
24credit under this Section.
25(Source: P.A. 101-31, eff. 6-28-19.)

HB5561- 559 -LRB101 17547 JWD 66965 b
1 (230 ILCS 5/36) (from Ch. 8, par. 37-36)
2 Sec. 36. (a) Whoever administers or conspires to administer
3to any horse a hypnotic, narcotic, stimulant, depressant or any
4chemical substance which may affect the speed of a horse at any
5time in any race where the purse or any part of the purse is
6made of money authorized by any Section of this Act, except
7those chemical substances permitted by ruling of the Board,
8internally, externally or by hypodermic method in a race or
9prior thereto, or whoever knowingly enters a horse in any race
10within a period of 24 hours after any hypnotic, narcotic,
11stimulant, depressant or any other chemical substance which may
12affect the speed of a horse at any time, except those chemical
13substances permitted by ruling of the Board, has been
14administered to such horse either internally or externally or
15by hypodermic method for the purpose of increasing or retarding
16the speed of such horse shall be guilty of a Class 4 felony.
17The Board shall suspend or revoke such violator's license.
18 (b) The term "hypnotic" as used in this Section includes
19all barbituric acid preparations and derivatives.
20 (c) The term "narcotic" as used in this Section includes
21opium and all its alkaloids, salts, preparations and
22derivatives, cocaine and all its salts, preparations and
23derivatives and substitutes.
24 (d) The provisions of this Section and the treatment
25authorized in this Section apply to horses entered in and
26competing in race meetings as defined in Section 3.07 of this

HB5561- 560 -LRB101 17547 JWD 66965 b
1Act and to horses entered in and competing at any county fair.
2(Source: P.A. 101-31, eff. 6-28-19.)
3 (230 ILCS 5/40) (from Ch. 8, par. 37-40)
4 Sec. 40. (a) The imposition of any fine or penalty provided
5in this Act shall not preclude the Board in its rules and
6regulations from imposing a fine or penalty for any other
7action which, in the Board's discretion, is a detriment or
8impediment to horse racing.
9 (b) The Director of Agriculture or his or her authorized
10representative shall impose the following monetary penalties
11and hold administrative hearings as required for failure to
12submit the following applications, lists, or reports within the
13time period, date or manner required by statute or rule or for
14removing a foal from Illinois prior to inspection:
15 (1) late filing of a renewal application for offering
16 or standing stallion for service:
17 (A) if an application is submitted no more than 30
18 days late, $50;
19 (B) if an application is submitted no more than 45
20 days late, $150; or
21 (C) if an application is submitted more than 45
22 days late, if filing of the application is allowed
23 under an administrative hearing, $250;
24 (2) late filing of list or report of mares bred:
25 (A) if a list or report is submitted no more than

HB5561- 561 -LRB101 17547 JWD 66965 b
1 30 days late, $50;
2 (B) if a list or report is submitted no more than
3 60 days late, $150; or
4 (C) if a list or report is submitted more than 60
5 days late, if filing of the list or report is allowed
6 under an administrative hearing, $250;
7 (3) filing an Illinois foaled thoroughbred mare status
8 report after the statutory deadline as provided in
9 subsection (k) of Section 30 of this Act December 31:
10 (A) if a report is submitted no more than 30 days
11 late, $50;
12 (B) if a report is submitted no more than 90 days
13 late, $150;
14 (C) if a report is submitted no more than 150 days
15 late, $250; or
16 (D) if a report is submitted more than 150 days
17 late, if filing of the report is allowed under an
18 administrative hearing, $500;
19 (4) late filing of application for foal eligibility
20 certificate:
21 (A) if an application is submitted no more than 30
22 days late, $50;
23 (B) if an application is submitted no more than 90
24 days late, $150;
25 (C) if an application is submitted no more than 150
26 days late, $250; or

HB5561- 562 -LRB101 17547 JWD 66965 b
1 (D) if an application is submitted more than 150
2 days late, if filing of the application is allowed
3 under an administrative hearing, $500;
4 (5) failure to report the intent to remove a foal from
5 Illinois prior to inspection, identification and
6 certification by a Department of Agriculture investigator,
7 $50; and
8 (6) if a list or report of mares bred is incomplete,
9 $50 per mare not included on the list or report.
10 Any person upon whom monetary penalties are imposed under
11this Section 3 times within a 5-year period shall have any
12further monetary penalties imposed at double the amounts set
13forth above. All monies assessed and collected for violations
14relating to thoroughbreds shall be paid into the Illinois
15Thoroughbred Breeders Fund. All monies assessed and collected
16for violations relating to standardbreds shall be paid into the
17Illinois Standardbred Breeders Fund.
18(Source: P.A. 101-31, eff. 6-28-19.)
19 (230 ILCS 5/54.75)
20 Sec. 54.75. Horse Racing Equity Trust Fund.
21 (a) There is created a Fund to be known as the Horse Racing
22Equity Trust Fund, which is a non-appropriated trust fund held
23separate and apart from State moneys. The Fund shall consist of
24moneys paid into it by owners licensees under the Illinois
25Riverboat Gambling Act for the purposes described in this

HB5561- 563 -LRB101 17547 JWD 66965 b
1Section. The Fund shall be administered by the Board. Moneys in
2the Fund shall be distributed as directed and certified by the
3Board in accordance with the provisions of subsection (b).
4 (b) The moneys deposited into the Fund, plus any accrued
5interest on those moneys, shall be distributed within 10 days
6after those moneys are deposited into the Fund as follows:
7 (1) Sixty percent of all moneys distributed under this
8 subsection shall be distributed to organization licensees
9 to be distributed at their race meetings as purses.
10 Fifty-seven percent of the amount distributed under this
11 paragraph (1) shall be distributed for thoroughbred race
12 meetings and 43% shall be distributed for standardbred race
13 meetings. Within each breed, moneys shall be allocated to
14 each organization licensee's purse fund in accordance with
15 the ratio between the purses generated for that breed by
16 that licensee during the prior calendar year and the total
17 purses generated throughout the State for that breed during
18 the prior calendar year by licensees in the current
19 calendar year.
20 (2) The remaining 40% of the moneys distributed under
21 this subsection (b) shall be distributed as follows:
22 (A) 11% shall be distributed to any person (or its
23 successors or assigns) who had operating control of a
24 racetrack that conducted live racing in 2002 at a
25 racetrack in a county with at least 230,000 inhabitants
26 that borders the Mississippi River and is a licensee in

HB5561- 564 -LRB101 17547 JWD 66965 b
1 the current year; and
2 (B) the remaining 89% shall be distributed pro rata
3 according to the aggregate proportion of total handle
4 from wagering on live races conducted in Illinois
5 (irrespective of where the wagers are placed) for
6 calendar years 2004 and 2005 to any person (or its
7 successors or assigns) who (i) had majority operating
8 control of a racing facility at which live racing was
9 conducted in calendar year 2002, (ii) is a licensee in
10 the current year, and (iii) is not eligible to receive
11 moneys under subparagraph (A) of this paragraph (2).
12 The moneys received by an organization licensee
13 under this paragraph (2) shall be used by each
14 organization licensee to improve, maintain, market,
15 and otherwise operate its racing facilities to conduct
16 live racing, which shall include backstretch services
17 and capital improvements related to live racing and the
18 backstretch. Any organization licensees sharing common
19 ownership may pool the moneys received and spent at all
20 racing facilities commonly owned in order to meet these
21 requirements.
22 If any person identified in this paragraph (2) becomes
23 ineligible to receive moneys from the Fund, such amount
24 shall be redistributed among the remaining persons in
25 proportion to their percentages otherwise calculated.
26 (c) The Board shall monitor organization licensees to

HB5561- 565 -LRB101 17547 JWD 66965 b
1ensure that moneys paid to organization licensees under this
2Section are distributed by the organization licensees as
3provided in subsection (b).
4(Source: P.A. 101-31, eff. 6-28-19.)
5 (230 ILCS 10/5.3 rep.)
6 (230 ILCS 10/7.7 rep.)
7 (230 ILCS 10/7.8 rep.)
8 (230 ILCS 10/7.10 rep.)
9 (230 ILCS 10/7.11 rep.)
10 (230 ILCS 10/7.12 rep.)
11 (230 ILCS 10/7.13 rep.)
12 (230 ILCS 10/7.14 rep.)
13 (230 ILCS 10/7.15 rep.)
14 Section 10-410. The Illinois Gambling Act is amended by
15repealing Sections 5.3, 7.7, 7.8, 7.10, 7.11, 7.12, 7.13, 7.14,
16and 7.15, all as added by Public Act 101-31.
17 Section 10-415. The Illinois Gambling Act is amended by
18changing Sections 1, 2, 3, 4, 5, 5.1, 6, 7, 7.3, 7.5, 8, 9, 11,
1911.1, 12, 14, 15, 17, 17.1, 18, 18.1, 19, 20, and 24 as
20follows:
21 (230 ILCS 10/1) (from Ch. 120, par. 2401)
22 Sec. 1. Short title. This Act shall be known and may be
23cited as the Illinois Riverboat Gambling Act.

HB5561- 566 -LRB101 17547 JWD 66965 b
1(Source: P.A. 101-31, eff. 6-28-19.)
2 (230 ILCS 10/2) (from Ch. 120, par. 2402)
3 Sec. 2. Legislative Intent.
4 (a) This Act is intended to benefit the people of the State
5of Illinois by assisting economic development, and promoting
6Illinois tourism, and by increasing the amount of revenues
7available to the State to assist and support education, and to
8defray State expenses.
9 (b) While authorization of riverboat and casino gambling
10will enhance investment, beautification, development and
11tourism in Illinois, it is recognized that it will do so
12successfully only if public confidence and trust in the
13credibility and integrity of the gambling operations and the
14regulatory process is maintained. Therefore, regulatory
15provisions of this Act are designed to strictly regulate the
16facilities, persons, associations and practices related to
17gambling operations pursuant to the police powers of the State,
18including comprehensive law enforcement supervision.
19 (c) The Illinois Gaming Board established under this Act
20should, as soon as possible, inform each applicant for an
21owners license of the Board's intent to grant or deny a
22license.
23(Source: P.A. 101-31, eff. 6-28-19.)
24 (230 ILCS 10/3) (from Ch. 120, par. 2403)

HB5561- 567 -LRB101 17547 JWD 66965 b
1 Sec. 3. Riverboat Gambling Authorized.
2 (a) Riverboat and casino gambling operations and gaming
3operations pursuant to an organization gaming license and the
4system of wagering incorporated therein, as defined in this
5Act, are hereby authorized to the extent that they are carried
6out in accordance with the provisions of this Act.
7 (b) This Act does not apply to the pari-mutuel system of
8wagering used or intended to be used in connection with the
9horse-race meetings as authorized under the Illinois Horse
10Racing Act of 1975, lottery games authorized under the Illinois
11Lottery Law, bingo authorized under the Bingo License and Tax
12Act, charitable games authorized under the Charitable Games Act
13or pull tabs and jar games conducted under the Illinois Pull
14Tabs and Jar Games Act. This Act applies to gaming by an
15organization gaming licensee authorized under the Illinois
16Horse Racing Act of 1975 to the extent provided in that Act and
17in this Act.
18 (c) Riverboat gambling conducted pursuant to this Act may
19be authorized upon any water within the State of Illinois or
20any water other than Lake Michigan which constitutes a boundary
21of the State of Illinois. Notwithstanding any provision in this
22subsection (c) to the contrary, a licensee that receives its
23license pursuant to subsection (e-5) of Section 7 may conduct
24riverboat gambling on Lake Michigan from a home dock located on
25Lake Michigan subject to any limitations contained in Section
267. Notwithstanding any provision in this subsection (c) to the

HB5561- 568 -LRB101 17547 JWD 66965 b
1contrary, a licensee may conduct gambling at its home dock
2facility as provided in Sections 7 and 11. A licensee may
3conduct riverboat gambling authorized under this Act
4regardless of whether it conducts excursion cruises. A licensee
5may permit the continuous ingress and egress of passengers for
6the purpose of gambling.
7 (d) Gambling that is conducted in accordance with this Act
8using slot machines and video games of chance and other
9electronic gambling games as defined in both this Act and the
10Illinois Horse Racing Act of 1975 is authorized.
11(Source: P.A. 101-31, eff. 6-28-19.)
12 (230 ILCS 10/4) (from Ch. 120, par. 2404)
13 Sec. 4. Definitions. As used in this Act:
14 (a) "Board" means the Illinois Gaming Board.
15 (b) "Occupational license" means a license issued by the
16Board to a person or entity to perform an occupation which the
17Board has identified as requiring a license to engage in
18riverboat gambling, casino gambling, or gaming pursuant to an
19organization gaming license issued under this Act in Illinois.
20 (c) "Gambling game" includes, but is not limited to,
21baccarat, twenty-one, poker, craps, slot machine, video game of
22chance, roulette wheel, klondike table, punchboard, faro
23layout, keno layout, numbers ticket, push card, jar ticket, or
24pull tab which is authorized by the Board as a wagering device
25under this Act.

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1 (d) "Riverboat" means a self-propelled excursion boat, a
2permanently moored barge, or permanently moored barges that are
3permanently fixed together to operate as one vessel, on which
4lawful gambling is authorized and licensed as provided in this
5Act.
6 "Slot machine" means any mechanical, electrical, or other
7device, contrivance, or machine that is authorized by the Board
8as a wagering device under this Act which, upon insertion of a
9coin, currency, token, or similar object therein, or upon
10payment of any consideration whatsoever, is available to play
11or operate, the play or operation of which may deliver or
12entitle the person playing or operating the machine to receive
13cash, premiums, merchandise, tokens, or anything of value
14whatsoever, whether the payoff is made automatically from the
15machine or in any other manner whatsoever. A slot machine:
16 (1) may utilize spinning reels or video displays or
17 both;
18 (2) may or may not dispense coins, tickets, or tokens
19 to winning patrons;
20 (3) may use an electronic credit system for receiving
21 wagers and making payouts; and
22 (4) may simulate a table game.
23 "Slot machine" does not include table games authorized by
24the Board as a wagering device under this Act.
25 (e) "Managers license" means a license issued by the Board
26to a person or entity to manage gambling operations conducted

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1by the State pursuant to Section 7.3.
2 (f) "Dock" means the location where a riverboat moors for
3the purpose of embarking passengers for and disembarking
4passengers from the riverboat.
5 (g) "Gross receipts" means the total amount of money
6exchanged for the purchase of chips, tokens, or electronic
7cards by riverboat patrons.
8 (h) "Adjusted gross receipts" means the gross receipts less
9winnings paid to wagerers.
10 (i) "Cheat" means to alter the selection of criteria which
11determine the result of a gambling game or the amount or
12frequency of payment in a gambling game.
13 (j) (Blank).
14 (k) "Gambling operation" means the conduct of authorized
15gambling games authorized under this Act upon a riverboat or in
16a casino or authorized under this Act and the Illinois Horse
17Racing Act of 1975 at an organization gaming facility.
18 (l) "License bid" means the lump sum amount of money that
19an applicant bids and agrees to pay the State in return for an
20owners license that is issued or re-issued on or after July 1,
212003.
22 "Table game" means a live gaming apparatus upon which
23gaming is conducted or that determines an outcome that is the
24object of a wager, including, but not limited to, baccarat,
25twenty-one, blackjack, poker, craps, roulette wheel, klondike
26table, punchboard, faro layout, keno layout, numbers ticket,

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1push card, jar ticket, pull tab, or other similar games that
2are authorized by the Board as a wagering device under this
3Act. "Table game" does not include slot machines or video games
4of chance.
5 (m) The terms "minority person", "woman", and "person with
6a disability" shall have the same meaning as defined in Section
72 of the Business Enterprise for Minorities, Women, and Persons
8with Disabilities Act.
9 "Casino" means a facility at which lawful gambling is
10authorized as provided in this Act.
11 "Owners license" means a license to conduct riverboat or
12casino gambling operations, but does not include an
13organization gaming license.
14 "Licensed owner" means a person who holds an owners
15license.
16 "Organization gaming facility" means that portion of an
17organization licensee's racetrack facilities at which gaming
18authorized under Section 7.7 is conducted.
19 "Organization gaming license" means a license issued by the
20Illinois Gaming Board under Section 7.7 of this Act authorizing
21gaming pursuant to that Section at an organization gaming
22facility.
23 "Organization gaming licensee" means an entity that holds
24an organization gaming license.
25 "Organization licensee" means an entity authorized by the
26Illinois Racing Board to conduct pari-mutuel wagering in

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1accordance with the Illinois Horse Racing Act of 1975. With
2respect only to gaming pursuant to an organization gaming
3license, "organization licensee" includes the authorization
4for gaming created under subsection (a) of Section 56 of the
5Illinois Horse Racing Act of 1975.
6(Source: P.A. 101-31, eff. 6-28-19.)
7 (230 ILCS 10/5) (from Ch. 120, par. 2405)
8 Sec. 5. Gaming Board.
9 (a) (1) There is hereby established the Illinois Gaming
10Board, which shall have the powers and duties specified in this
11Act, and all other powers necessary and proper to fully and
12effectively execute this Act for the purpose of administering,
13regulating, and enforcing the system of riverboat and casino
14gambling established by this Act and gaming pursuant to an
15organization gaming license issued under this Act. Its
16jurisdiction shall extend under this Act to every person,
17association, corporation, partnership and trust involved in
18riverboat and casino gambling operations and gaming pursuant to
19an organization gaming license issued under this Act in the
20State of Illinois.
21 (2) The Board shall consist of 5 members to be appointed by
22the Governor with the advice and consent of the Senate, one of
23whom shall be designated by the Governor to be chairperson
24chairman. Each member shall have a reasonable knowledge of the
25practice, procedure and principles of gambling operations.

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1Each member shall either be a resident of Illinois or shall
2certify that he or she will become a resident of Illinois
3before taking office.
4 On and after the effective date of this amendatory Act of
5the 101st General Assembly, new appointees to the Board must
6include the following:
7 (A) One member who has received, at a minimum, a
8 bachelor's degree from an accredited school and at least 10
9 years of verifiable experience in the fields of
10 investigation and law enforcement.
11 (B) One member who is a certified public accountant
12 with experience in auditing and with knowledge of complex
13 corporate structures and transactions.
14 (C) One member who has 5 years' experience as a
15 principal, senior officer, or director of a company or
16 business with either material responsibility for the daily
17 operations and management of the overall company or
18 business or material responsibility for the policy making
19 of the company or business.
20 (D) One member who is an attorney licensed to practice
21 law in Illinois for at least 5 years.
22 Notwithstanding any provision of this subsection (a), the
23requirements of subparagraphs (A) through (D) of this paragraph
24(2) shall not apply to any person reappointed pursuant to
25paragraph (3).
26 No more than 3 members of the Board may be from the same

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1political party. No Board member shall, within a period of one
2year immediately preceding nomination, have been employed or
3received compensation or fees for services from a person or
4entity, or its parent or affiliate, that has engaged in
5business with the Board, a licensee, or a licensee under the
6Illinois Horse Racing Act of 1975. Board members must publicly
7disclose all prior affiliations with gaming interests,
8including any compensation, fees, bonuses, salaries, and other
9reimbursement received from a person or entity, or its parent
10or affiliate, that has engaged in business with the Board, a
11licensee, or a licensee under the Illinois Horse Racing Act of
121975. This disclosure must be made within 30 days after
13nomination but prior to confirmation by the Senate and must be
14made available to the members of the Senate. At least one
15member shall be experienced in law enforcement and criminal
16investigation, at least one member shall be a certified public
17accountant experienced in accounting and auditing, and at least
18one member shall be a lawyer licensed to practice law in
19Illinois.
20 (3) The terms of office of the Board members shall be 3
21years, except that the terms of office of the initial Board
22members appointed pursuant to this Act will commence from the
23effective date of this Act and run as follows: one for a term
24ending July 1, 1991, 2 for a term ending July 1, 1992, and 2 for
25a term ending July 1, 1993. Upon the expiration of the
26foregoing terms, the successors of such members shall serve a

HB5561- 575 -LRB101 17547 JWD 66965 b
1term for 3 years and until their successors are appointed and
2qualified for like terms. Vacancies in the Board shall be
3filled for the unexpired term in like manner as original
4appointments. Each member of the Board shall be eligible for
5reappointment at the discretion of the Governor with the advice
6and consent of the Senate.
7 (4) Each member of the Board shall receive $300 for each
8day the Board meets and for each day the member conducts any
9hearing pursuant to this Act. Each member of the Board shall
10also be reimbursed for all actual and necessary expenses and
11disbursements incurred in the execution of official duties.
12 (5) No person shall be appointed a member of the Board or
13continue to be a member of the Board who is, or whose spouse,
14child or parent is, a member of the board of directors of, or a
15person financially interested in, any gambling operation
16subject to the jurisdiction of this Board, or any race track,
17race meeting, racing association or the operations thereof
18subject to the jurisdiction of the Illinois Racing Board. No
19Board member shall hold any other public office. No person
20shall be a member of the Board who is not of good moral
21character or who has been convicted of, or is under indictment
22for, a felony under the laws of Illinois or any other state, or
23the United States.
24 (5.5) No member of the Board shall engage in any political
25activity. For the purposes of this Section, "political" means
26any activity in support of or in connection with any campaign

HB5561- 576 -LRB101 17547 JWD 66965 b
1for federal, State, or local elective office or any political
2organization, but does not include activities (i) relating to
3the support or opposition of any executive, legislative, or
4administrative action (as those terms are defined in Section 2
5of the Lobbyist Registration Act), (ii) relating to collective
6bargaining, or (iii) that are otherwise in furtherance of the
7person's official State duties or governmental and public
8service functions.
9 (6) Any member of the Board may be removed by the Governor
10for neglect of duty, misfeasance, malfeasance, or nonfeasance
11in office or for engaging in any political activity.
12 (7) Before entering upon the discharge of the duties of his
13office, each member of the Board shall take an oath that he
14will faithfully execute the duties of his office according to
15the laws of the State and the rules and regulations adopted
16therewith and shall give bond to the State of Illinois,
17approved by the Governor, in the sum of $25,000. Every such
18bond, when duly executed and approved, shall be recorded in the
19office of the Secretary of State. Whenever the Governor
20determines that the bond of any member of the Board has become
21or is likely to become invalid or insufficient, he shall
22require such member forthwith to renew his bond, which is to be
23approved by the Governor. Any member of the Board who fails to
24take oath and give bond within 30 days from the date of his
25appointment, or who fails to renew his bond within 30 days
26after it is demanded by the Governor, shall be guilty of

HB5561- 577 -LRB101 17547 JWD 66965 b
1neglect of duty and may be removed by the Governor. The cost of
2any bond given by any member of the Board under this Section
3shall be taken to be a part of the necessary expenses of the
4Board.
5 (7.5) For the examination of all mechanical,
6electromechanical, or electronic table games, slot machines,
7slot accounting systems, sports wagering systems, and other
8electronic gaming equipment, and the field inspection of such
9systems, games, and machines, for compliance with this Act, the
10Board shall may utilize the services of one or more independent
11outside testing laboratories that have been accredited in
12accordance with ISO/IEC 17025 by an accreditation body that is
13a signatory to the International Laboratory Accreditation
14Cooperation Mutual Recognition Agreement signifying they by a
15national accreditation body and that, in the judgment of the
16Board, are qualified to perform such examinations.
17Notwithstanding any law to the contrary, the Board shall
18consider the licensing of independent outside testing
19laboratory applicants in accordance with procedures
20established by the Board by rule. The Board shall not withhold
21its approval of an independent outside testing laboratory
22license applicant that has been accredited as required under
23this paragraph (7.5) and is licensed in gaming jurisdictions
24comparable to Illinois. Upon the finalization of required
25rules, the Board shall license independent testing
26laboratories and accept the test reports of any licensed

HB5561- 578 -LRB101 17547 JWD 66965 b
1testing laboratory of the system's, game's, or machine
2manufacturer's choice, notwithstanding the existence of
3contracts between the Board and any independent testing
4laboratory.
5 (8) The Board shall employ such personnel as may be
6necessary to carry out its functions and shall determine the
7salaries of all personnel, except those personnel whose
8salaries are determined under the terms of a collective
9bargaining agreement. No person shall be employed to serve the
10Board who is, or whose spouse, parent or child is, an official
11of, or has a financial interest in or financial relation with,
12any operator engaged in gambling operations within this State
13or any organization engaged in conducting horse racing within
14this State. For the one year immediately preceding employment,
15an employee shall not have been employed or received
16compensation or fees for services from a person or entity, or
17its parent or affiliate, that has engaged in business with the
18Board, a licensee, or a licensee under the Illinois Horse
19Racing Act of 1975. Any employee violating these prohibitions
20shall be subject to termination of employment.
21 (9) An Administrator shall perform any and all duties that
22the Board shall assign him. The salary of the Administrator
23shall be determined by the Board and, in addition, he shall be
24reimbursed for all actual and necessary expenses incurred by
25him in discharge of his official duties. The Administrator
26shall keep records of all proceedings of the Board and shall

HB5561- 579 -LRB101 17547 JWD 66965 b
1preserve all records, books, documents and other papers
2belonging to the Board or entrusted to its care. The
3Administrator shall devote his full time to the duties of the
4office and shall not hold any other office or employment.
5 (b) The Board shall have general responsibility for the
6implementation of this Act. Its duties include, without
7limitation, the following:
8 (1) To decide promptly and in reasonable order all
9 license applications. Any party aggrieved by an action of
10 the Board denying, suspending, revoking, restricting or
11 refusing to renew a license may request a hearing before
12 the Board. A request for a hearing must be made to the
13 Board in writing within 5 days after service of notice of
14 the action of the Board. Notice of the action of the Board
15 shall be served either by personal delivery or by certified
16 mail, postage prepaid, to the aggrieved party. Notice
17 served by certified mail shall be deemed complete on the
18 business day following the date of such mailing. The Board
19 shall conduct any such all requested hearings promptly and
20 in reasonable order;
21 (2) To conduct all hearings pertaining to civil
22 violations of this Act or rules and regulations promulgated
23 hereunder;
24 (3) To promulgate such rules and regulations as in its
25 judgment may be necessary to protect or enhance the
26 credibility and integrity of gambling operations

HB5561- 580 -LRB101 17547 JWD 66965 b
1 authorized by this Act and the regulatory process
2 hereunder;
3 (4) To provide for the establishment and collection of
4 all license and registration fees and taxes imposed by this
5 Act and the rules and regulations issued pursuant hereto.
6 All such fees and taxes shall be deposited into the State
7 Gaming Fund;
8 (5) To provide for the levy and collection of penalties
9 and fines for the violation of provisions of this Act and
10 the rules and regulations promulgated hereunder. All such
11 fines and penalties shall be deposited into the Education
12 Assistance Fund, created by Public Act 86-0018, of the
13 State of Illinois;
14 (6) To be present through its inspectors and agents any
15 time gambling operations are conducted on any riverboat, in
16 any casino, or at any organization gaming facility for the
17 purpose of certifying the revenue thereof, receiving
18 complaints from the public, and conducting such other
19 investigations into the conduct of the gambling games and
20 the maintenance of the equipment as from time to time the
21 Board may deem necessary and proper;
22 (7) To review and rule upon any complaint by a licensee
23 regarding any investigative procedures of the State which
24 are unnecessarily disruptive of gambling operations. The
25 need to inspect and investigate shall be presumed at all
26 times. The disruption of a licensee's operations shall be

HB5561- 581 -LRB101 17547 JWD 66965 b
1 proved by clear and convincing evidence, and establish
2 that: (A) the procedures had no reasonable law enforcement
3 purposes, and (B) the procedures were so disruptive as to
4 unreasonably inhibit gambling operations;
5 (8) To hold at least one meeting each quarter of the
6 fiscal year. In addition, special meetings may be called by
7 the Chairman or any 2 Board members upon 72 hours written
8 notice to each member. All Board meetings shall be subject
9 to the Open Meetings Act. Three members of the Board shall
10 constitute a quorum, and 3 votes shall be required for any
11 final determination by the Board. The Board shall keep a
12 complete and accurate record of all its meetings. A
13 majority of the members of the Board shall constitute a
14 quorum for the transaction of any business, for the
15 performance of any duty, or for the exercise of any power
16 which this Act requires the Board members to transact,
17 perform or exercise en banc, except that, upon order of the
18 Board, one of the Board members or an administrative law
19 judge designated by the Board may conduct any hearing
20 provided for under this Act or by Board rule and may
21 recommend findings and decisions to the Board. The Board
22 member or administrative law judge conducting such hearing
23 shall have all powers and rights granted to the Board in
24 this Act. The record made at the time of the hearing shall
25 be reviewed by the Board, or a majority thereof, and the
26 findings and decision of the majority of the Board shall

HB5561- 582 -LRB101 17547 JWD 66965 b
1 constitute the order of the Board in such case;
2 (9) To maintain records which are separate and distinct
3 from the records of any other State board or commission.
4 Such records shall be available for public inspection and
5 shall accurately reflect all Board proceedings;
6 (10) To file a written annual report with the Governor
7 on or before July 1 each year and such additional reports
8 as the Governor may request. The annual report shall
9 include a statement of receipts and disbursements by the
10 Board, actions taken by the Board, and any additional
11 information and recommendations which the Board may deem
12 valuable or which the Governor may request;
13 (11) (Blank);
14 (12) (Blank);
15 (13) To assume responsibility for administration and
16 enforcement of the Video Gaming Act; and
17 (13.1) To assume responsibility for the administration
18 and enforcement of operations at organization gaming
19 facilities pursuant to this Act and the Illinois Horse
20 Racing Act of 1975;
21 (13.2) To assume responsibility for the administration
22 and enforcement of the Sports Wagering Act; and
23 (14) To adopt, by rule, a code of conduct governing
24 Board members and employees that ensure, to the maximum
25 extent possible, that persons subject to this Code avoid
26 situations, relationships, or associations that may

HB5561- 583 -LRB101 17547 JWD 66965 b
1 represent or lead to a conflict of interest.
2 Internal controls and changes submitted by licensees must
3be reviewed and either approved or denied with cause within 90
4days after receipt of submission is deemed final by the
5Illinois Gaming Board. In the event an internal control
6submission or change does not meet the standards set by the
7Board, staff of the Board must provide technical assistance to
8the licensee to rectify such deficiencies within 90 days after
9the initial submission and the revised submission must be
10reviewed and approved or denied with cause within 90 days after
11the date the revised submission is deemed final by the Board.
12For the purposes of this paragraph, "with cause" means that the
13approval of the submission would jeopardize the integrity of
14gaming. In the event the Board staff has not acted within the
15timeframe, the submission shall be deemed approved.
16 (c) The Board shall have jurisdiction over and shall
17supervise all gambling operations governed by this Act. The
18Board shall have all powers necessary and proper to fully and
19effectively execute the provisions of this Act, including, but
20not limited to, the following:
21 (1) To investigate applicants and determine the
22 eligibility of applicants for licenses and to select among
23 competing applicants the applicants which best serve the
24 interests of the citizens of Illinois.
25 (2) To have jurisdiction and supervision over all
26 riverboat gambling operations authorized under this Act in

HB5561- 584 -LRB101 17547 JWD 66965 b
1 this State and all persons in places on riverboats where
2 gambling operations are conducted.
3 (3) To promulgate rules and regulations for the purpose
4 of administering the provisions of this Act and to
5 prescribe rules, regulations and conditions under which
6 all riverboat gambling operations subject to this Act in
7 the State shall be conducted. Such rules and regulations
8 are to provide for the prevention of practices detrimental
9 to the public interest and for the best interests of
10 riverboat gambling, including rules and regulations
11 regarding the inspection of organization gaming
12 facilities, casinos, and such riverboats, and the review of
13 any permits or licenses necessary to operate a riverboat,
14 casino, or organization gaming facility under any laws or
15 regulations applicable to riverboats, casinos, or
16 organization gaming facilities and to impose penalties for
17 violations thereof.
18 (4) To enter the office, riverboats, casinos,
19 organization gaming facilities, and other facilities, or
20 other places of business of a licensee, where evidence of
21 the compliance or noncompliance with the provisions of this
22 Act is likely to be found.
23 (5) To investigate alleged violations of this Act or
24 the rules of the Board and to take appropriate disciplinary
25 action against a licensee or a holder of an occupational
26 license for a violation, or institute appropriate legal

HB5561- 585 -LRB101 17547 JWD 66965 b
1 action for enforcement, or both.
2 (6) To adopt standards for the licensing of all persons
3 and entities under this Act, as well as for electronic or
4 mechanical gambling games, and to establish fees for such
5 licenses.
6 (7) To adopt appropriate standards for all
7 organization gaming facilities, riverboats, casinos, and
8 other facilities authorized under this Act.
9 (8) To require that the records, including financial or
10 other statements of any licensee under this Act, shall be
11 kept in such manner as prescribed by the Board and that any
12 such licensee involved in the ownership or management of
13 gambling operations submit to the Board an annual balance
14 sheet and profit and loss statement, list of the
15 stockholders or other persons having a 1% or greater
16 beneficial interest in the gambling activities of each
17 licensee, and any other information the Board deems
18 necessary in order to effectively administer this Act and
19 all rules, regulations, orders and final decisions
20 promulgated under this Act.
21 (9) To conduct hearings, issue subpoenas for the
22 attendance of witnesses and subpoenas duces tecum for the
23 production of books, records and other pertinent documents
24 in accordance with the Illinois Administrative Procedure
25 Act, and to administer oaths and affirmations to the
26 witnesses, when, in the judgment of the Board, it is

HB5561- 586 -LRB101 17547 JWD 66965 b
1 necessary to administer or enforce this Act or the Board
2 rules.
3 (10) To prescribe a form to be used by any licensee
4 involved in the ownership or management of gambling
5 operations as an application for employment for their
6 employees.
7 (11) To revoke or suspend licenses, as the Board may
8 see fit and in compliance with applicable laws of the State
9 regarding administrative procedures, and to review
10 applications for the renewal of licenses. The Board may
11 suspend an owners license or an organization gaming
12 license , without notice or hearing upon a determination
13 that the safety or health of patrons or employees is
14 jeopardized by continuing a gambling operation conducted
15 under that license riverboat's operation. The suspension
16 may remain in effect until the Board determines that the
17 cause for suspension has been abated. The Board may revoke
18 an the owners license or organization gaming license upon a
19 determination that the licensee owner has not made
20 satisfactory progress toward abating the hazard.
21 (12) To eject or exclude or authorize the ejection or
22 exclusion of, any person from riverboat gambling
23 facilities where that such person is in violation of this
24 Act, rules and regulations thereunder, or final orders of
25 the Board, or where such person's conduct or reputation is
26 such that his or her presence within the riverboat gambling

HB5561- 587 -LRB101 17547 JWD 66965 b
1 facilities may, in the opinion of the Board, call into
2 question the honesty and integrity of the gambling
3 operations or interfere with the orderly conduct thereof;
4 provided that the propriety of such ejection or exclusion
5 is subject to subsequent hearing by the Board.
6 (13) To require all licensees of gambling operations to
7 utilize a cashless wagering system whereby all players'
8 money is converted to tokens, electronic cards, or chips
9 which shall be used only for wagering in the gambling
10 establishment.
11 (14) (Blank).
12 (15) To suspend, revoke or restrict licenses, to
13 require the removal of a licensee or an employee of a
14 licensee for a violation of this Act or a Board rule or for
15 engaging in a fraudulent practice, and to impose civil
16 penalties of up to $5,000 against individuals and up to
17 $10,000 or an amount equal to the daily gross receipts,
18 whichever is larger, against licensees for each violation
19 of any provision of the Act, any rules adopted by the
20 Board, any order of the Board or any other action which, in
21 the Board's discretion, is a detriment or impediment to
22 riverboat gambling operations.
23 (16) To hire employees to gather information, conduct
24 investigations and carry out any other tasks contemplated
25 under this Act.
26 (17) To establish minimum levels of insurance to be

HB5561- 588 -LRB101 17547 JWD 66965 b
1 maintained by licensees.
2 (18) To authorize a licensee to sell or serve alcoholic
3 liquors, wine or beer as defined in the Liquor Control Act
4 of 1934 on board a riverboat or in a casino and to have
5 exclusive authority to establish the hours for sale and
6 consumption of alcoholic liquor on board a riverboat or in
7 a casino, notwithstanding any provision of the Liquor
8 Control Act of 1934 or any local ordinance, and regardless
9 of whether the riverboat makes excursions. The
10 establishment of the hours for sale and consumption of
11 alcoholic liquor on board a riverboat or in a casino is an
12 exclusive power and function of the State. A home rule unit
13 may not establish the hours for sale and consumption of
14 alcoholic liquor on board a riverboat or in a casino. This
15 subdivision (18) amendatory Act of 1991 is a denial and
16 limitation of home rule powers and functions under
17 subsection (h) of Section 6 of Article VII of the Illinois
18 Constitution.
19 (19) After consultation with the U.S. Army Corps of
20 Engineers, to establish binding emergency orders upon the
21 concurrence of a majority of the members of the Board
22 regarding the navigability of water, relative to
23 excursions, in the event of extreme weather conditions,
24 acts of God or other extreme circumstances.
25 (20) To delegate the execution of any of its powers
26 under this Act for the purpose of administering and

HB5561- 589 -LRB101 17547 JWD 66965 b
1 enforcing this Act and the its rules adopted by the Board
2 and regulations hereunder.
3 (20.5) To approve any contract entered into on its
4 behalf.
5 (20.6) To appoint investigators to conduct
6 investigations, searches, seizures, arrests, and other
7 duties imposed under this Act, as deemed necessary by the
8 Board. These investigators have and may exercise all of the
9 rights and powers of peace officers, provided that these
10 powers shall be limited to offenses or violations occurring
11 or committed in a casino, in an organization gaming
12 facility, or on a riverboat or dock, as defined in
13 subsections (d) and (f) of Section 4, or as otherwise
14 provided by this Act or any other law.
15 (20.7) To contract with the Department of State Police
16 for the use of trained and qualified State police officers
17 and with the Department of Revenue for the use of trained
18 and qualified Department of Revenue investigators to
19 conduct investigations, searches, seizures, arrests, and
20 other duties imposed under this Act and to exercise all of
21 the rights and powers of peace officers, provided that the
22 powers of Department of Revenue investigators under this
23 subdivision (20.7) shall be limited to offenses or
24 violations occurring or committed in a casino, in an
25 organization gaming facility, or on a riverboat or dock, as
26 defined in subsections (d) and (f) of Section 4, or as

HB5561- 590 -LRB101 17547 JWD 66965 b
1 otherwise provided by this Act or any other law. In the
2 event the Department of State Police or the Department of
3 Revenue is unable to fill contracted police or
4 investigative positions, the Board may appoint
5 investigators to fill those positions pursuant to
6 subdivision (20.6).
7 (21) To adopt rules concerning the conduct of gaming
8 pursuant to an organization gaming license issued under
9 this Act.
10 (22) To have the same jurisdiction and supervision over
11 casinos and organization gaming facilities as the Board has
12 over riverboats, including, but not limited to, the power
13 to (i) investigate, review, and approve contracts as that
14 power is applied to riverboats, (ii) adopt rules for
15 administering the provisions of this Act, (iii) adopt
16 standards for the licensing of all persons involved with a
17 casino or organization gaming facility, (iv) investigate
18 alleged violations of this Act by any person involved with
19 a casino or organization gaming facility, and (v) require
20 that records, including financial or other statements of
21 any casino or organization gaming facility, shall be kept
22 in such manner as prescribed by the Board.
23 (23) (21) To take any other action as may be reasonable
24 or appropriate to enforce this Act and the rules adopted by
25 the Board and regulations hereunder.
26 (d) The Board may seek and shall receive the cooperation of

HB5561- 591 -LRB101 17547 JWD 66965 b
1the Department of State Police in conducting background
2investigations of applicants and in fulfilling its
3responsibilities under this Section. Costs incurred by the
4Department of State Police as a result of such cooperation
5shall be paid by the Board in conformance with the requirements
6of Section 2605-400 of the Department of State Police Law (20
7ILCS 2605/2605-400).
8 (e) The Board must authorize to each investigator and to
9any other employee of the Board exercising the powers of a
10peace officer a distinct badge that, on its face, (i) clearly
11states that the badge is authorized by the Board and (ii)
12contains a unique identifying number. No other badge shall be
13authorized by the Board.
14(Source: P.A. 101-31, eff. 6-28-19.)
15 (230 ILCS 10/5.1) (from Ch. 120, par. 2405.1)
16 Sec. 5.1. Disclosure of records.
17 (a) Notwithstanding any applicable statutory provision to
18the contrary, the Board shall, on written request from any
19person, provide information furnished by an applicant or
20licensee concerning the applicant or licensee, his products,
21services or gambling enterprises and his business holdings, as
22follows:
23 (1) The name, business address and business telephone
24 number of any applicant or licensee.
25 (2) An identification of any applicant or licensee

HB5561- 592 -LRB101 17547 JWD 66965 b
1 including, if an applicant or licensee is not an
2 individual, the names and addresses of all stockholders and
3 directors, if the entity is a corporation; the names and
4 addresses of all members, if the entity is a limited
5 liability company; the names and addresses of all partners,
6 both general and limited, if the entity is a partnership;
7 and the names and addresses of all beneficiaries, if the
8 entity is a trust the state of incorporation or
9 registration, the corporate officers, and the identity of
10 all shareholders or participants. If an applicant or
11 licensee has a pending registration statement filed with
12 the Securities and Exchange Commission, only the names of
13 those persons or entities holding interest of 5% or more
14 must be provided.
15 (3) An identification of any business, including, if
16 applicable, the state of incorporation or registration, in
17 which an applicant or licensee or an applicant's or
18 licensee's spouse or children has an equity interest of
19 more than 1%. If an applicant or licensee is a corporation,
20 partnership or other business entity, the applicant or
21 licensee shall identify any other corporation, partnership
22 or business entity in which it has an equity interest of 1%
23 or more, including, if applicable, the state of
24 incorporation or registration. This information need not
25 be provided by a corporation, partnership or other business
26 entity that has a pending registration statement filed with

HB5561- 593 -LRB101 17547 JWD 66965 b
1 the Securities and Exchange Commission.
2 (4) Whether an applicant or licensee has been indicted,
3 convicted, pleaded guilty or nolo contendere, or forfeited
4 bail concerning any criminal offense under the laws of any
5 jurisdiction, either felony or misdemeanor (except for
6 traffic violations), including the date, the name and
7 location of the court, arresting agency and prosecuting
8 agency, the case number, the offense, the disposition and
9 the location and length of incarceration.
10 (5) Whether an applicant or licensee has had any
11 license or certificate issued by a licensing authority in
12 Illinois or any other jurisdiction denied, restricted,
13 suspended, revoked or not renewed and a statement
14 describing the facts and circumstances concerning the
15 denial, restriction, suspension, revocation or
16 non-renewal, including the licensing authority, the date
17 each such action was taken, and the reason for each such
18 action.
19 (6) Whether an applicant or licensee has ever filed or
20 had filed against it a proceeding in bankruptcy or has ever
21 been involved in any formal process to adjust, defer,
22 suspend or otherwise work out the payment of any debt
23 including the date of filing, the name and location of the
24 court, the case and number of the disposition.
25 (7) Whether an applicant or licensee has filed, or been
26 served with a complaint or other notice filed with any

HB5561- 594 -LRB101 17547 JWD 66965 b
1 public body, regarding the delinquency in the payment of,
2 or a dispute over the filings concerning the payment of,
3 any tax required under federal, State or local law,
4 including the amount, type of tax, the taxing agency and
5 time periods involved.
6 (8) A statement listing the names and titles of all
7 public officials or officers of any unit of government, and
8 relatives of said public officials or officers who,
9 directly or indirectly, own any financial interest in, have
10 any beneficial interest in, are the creditors of or hold
11 any debt instrument issued by, or hold or have any interest
12 in any contractual or service relationship with, an
13 applicant or licensee.
14 (9) Whether an applicant or licensee has made, directly
15 or indirectly, any political contribution, or any loans,
16 donations or other payments, to any candidate or office
17 holder, within 5 years from the date of filing the
18 application, including the amount and the method of
19 payment.
20 (10) The name and business telephone number of the
21 counsel representing an applicant or licensee in matters
22 before the Board.
23 (11) A description of any proposed or approved gambling
24 riverboat gaming operation, including the type of boat,
25 home dock, or casino or gaming location, expected economic
26 benefit to the community, anticipated or actual number of

HB5561- 595 -LRB101 17547 JWD 66965 b
1 employees, any statement from an applicant or licensee
2 regarding compliance with federal and State affirmative
3 action guidelines, projected or actual admissions and
4 projected or actual adjusted gross gaming receipts.
5 (12) A description of the product or service to be
6 supplied by an applicant for a supplier's license.
7 (b) Notwithstanding any applicable statutory provision to
8the contrary, the Board shall, on written request from any
9person, also provide the following information:
10 (1) The amount of the wagering tax and admission tax
11 paid daily to the State of Illinois by the holder of an
12 owner's license.
13 (2) Whenever the Board finds an applicant for an
14 owner's license unsuitable for licensing, a copy of the
15 written letter outlining the reasons for the denial.
16 (3) Whenever the Board has refused to grant leave for
17 an applicant to withdraw his application, a copy of the
18 letter outlining the reasons for the refusal.
19 (c) Subject to the above provisions, the Board shall not
20disclose any information which would be barred by:
21 (1) Section 7 of the Freedom of Information Act; or
22 (2) The statutes, rules, regulations or
23 intergovernmental agreements of any jurisdiction.
24 (d) The Board may assess fees for the copying of
25information in accordance with Section 6 of the Freedom of
26Information Act.

HB5561- 596 -LRB101 17547 JWD 66965 b
1(Source: P.A. 101-31, eff. 6-28-19.)
2 (230 ILCS 10/6) (from Ch. 120, par. 2406)
3 Sec. 6. Application for Owners License.
4 (a) A qualified person may apply to the Board for an owners
5license to conduct a riverboat gambling operation as provided
6in this Act. The application shall be made on forms provided by
7the Board and shall contain such information as the Board
8prescribes, including but not limited to the identity of the
9riverboat on which such gambling operation is to be conducted,
10if applicable, and the exact location where such riverboat or
11casino will be located docked, a certification that the
12riverboat will be registered under this Act at all times during
13which gambling operations are conducted on board, detailed
14information regarding the ownership and management of the
15applicant, and detailed personal information regarding the
16applicant. Any application for an owners license to be
17re-issued on or after June 1, 2003 shall also include the
18applicant's license bid in a form prescribed by the Board.
19Information provided on the application shall be used as a
20basis for a thorough background investigation which the Board
21shall conduct with respect to each applicant. An incomplete
22application shall be cause for denial of a license by the
23Board.
24 (a-5) In addition to any other information required under
25this Section, each application for an owners license must

HB5561- 597 -LRB101 17547 JWD 66965 b
1include the following information:
2 (1) The history and success of the applicant and each
3 person and entity disclosed under subsection (c) of this
4 Section in developing tourism facilities ancillary to
5 gaming, if applicable.
6 (2) The likelihood that granting a license to the
7 applicant will lead to the creation of quality, living wage
8 jobs and permanent, full-time jobs for residents of the
9 State and residents of the unit of local government that is
10 designated as the home dock of the proposed facility where
11 gambling is to be conducted by the applicant.
12 (3) The projected number of jobs that would be created
13 if the license is granted and the projected number of new
14 employees at the proposed facility where gambling is to be
15 conducted by the applicant.
16 (4) The record, if any, of the applicant and its
17 developer in meeting commitments to local agencies,
18 community-based organizations, and employees at other
19 locations where the applicant or its developer has
20 performed similar functions as they would perform if the
21 applicant were granted a license.
22 (5) Identification of adverse effects that might be
23 caused by the proposed facility where gambling is to be
24 conducted by the applicant, including the costs of meeting
25 increased demand for public health care, child care, public
26 transportation, affordable housing, and social services,

HB5561- 598 -LRB101 17547 JWD 66965 b
1 and a plan to mitigate those adverse effects.
2 (6) The record, if any, of the applicant and its
3 developer regarding compliance with:
4 (A) federal, state, and local discrimination, wage
5 and hour, disability, and occupational and
6 environmental health and safety laws; and
7 (B) state and local labor relations and employment
8 laws.
9 (7) The applicant's record, if any, in dealing with its
10 employees and their representatives at other locations.
11 (8) A plan concerning the utilization of
12 minority-owned and women-owned businesses and concerning
13 the hiring of minorities and women.
14 (9) Evidence the applicant used its best efforts to
15 reach a goal of 25% ownership representation by minority
16 persons and 5% ownership representation by women.
17 (b) Applicants shall submit with their application all
18documents, resolutions, and letters of support from the
19governing body that represents the municipality or county
20wherein the licensee will be located dock.
21 (c) Each applicant shall disclose the identity of every
22person or entity , association, trust or corporation having a
23greater than 1% direct or indirect pecuniary interest in the
24riverboat gambling operation with respect to which the license
25is sought. If the disclosed entity is a trust, the application
26shall disclose the names and addresses of all the

HB5561- 599 -LRB101 17547 JWD 66965 b
1beneficiaries; if a corporation, the names and addresses of all
2stockholders and directors; if a partnership, the names and
3addresses of all partners, both general and limited.
4 (d) An application shall be filed and considered in
5accordance with the rules of the Board. Each application shall
6be accompanied by a nonrefundable An application fee of
7$250,000. In addition, a nonrefundable fee of $50,000 shall be
8paid at the time of filing to defray the costs associated with
9the background investigation conducted by the Board. If the
10costs of the investigation exceed $50,000, the applicant shall
11pay the additional amount to the Board within 7 days after
12requested by the Board. If the costs of the investigation are
13less than $50,000, the applicant shall receive a refund of the
14remaining amount. All information, records, interviews,
15reports, statements, memoranda or other data supplied to or
16used by the Board in the course of its review or investigation
17of an application for a license or a renewal under this Act
18shall be privileged, strictly confidential and shall be used
19only for the purpose of evaluating an applicant for a license
20or a renewal. Such information, records, interviews, reports,
21statements, memoranda or other data shall not be admissible as
22evidence, nor discoverable in any action of any kind in any
23court or before any tribunal, board, agency or person, except
24for any action deemed necessary by the Board. The application
25fee shall be deposited into the State Gaming Fund.
26 (e) The Board shall charge each applicant a fee set by the

HB5561- 600 -LRB101 17547 JWD 66965 b
1Department of State Police to defray the costs associated with
2the search and classification of fingerprints obtained by the
3Board with respect to the applicant's application. These fees
4shall be paid into the State Police Services Fund. In order to
5expedite the application process, the Board may establish rules
6allowing applicants to acquire criminal background checks and
7financial integrity reviews as part of the initial application
8process from a list of vendors approved by the Board.
9 (f) The licensed owner shall be the person primarily
10responsible for the boat or casino itself. Only one riverboat
11gambling operation may be authorized by the Board on any
12riverboat or in any casino. The applicant must identify the
13each riverboat or premises it intends to use and certify that
14the riverboat or premises: (1) has the authorized capacity
15required in this Act; (2) is accessible to persons with
16disabilities; and (3) is fully registered and licensed in
17accordance with any applicable laws.
18 (g) A person who knowingly makes a false statement on an
19application is guilty of a Class A misdemeanor.
20(Source: P.A. 101-31, eff. 6-28-19.)
21 (230 ILCS 10/7) (from Ch. 120, par. 2407)
22 Sec. 7. Owners licenses.
23 (a) The Board shall issue owners licenses to persons or
24entities that , firms or corporations which apply for such
25licenses upon payment to the Board of the non-refundable

HB5561- 601 -LRB101 17547 JWD 66965 b
1license fee as provided in subsection (e) or (e-5) set by the
2Board, upon payment of a $25,000 license fee for the first year
3of operation and a $5,000 license fee for each succeeding year
4and upon a determination by the Board that the applicant is
5eligible for an owners license pursuant to this Act and the
6rules of the Board. From the effective date of this amendatory
7Act of the 95th General Assembly until (i) 3 years after the
8effective date of this amendatory Act of the 95th General
9Assembly, (ii) the date any organization licensee begins to
10operate a slot machine or video game of chance under the
11Illinois Horse Racing Act of 1975 or this Act, (iii) the date
12that payments begin under subsection (c-5) of Section 13 of the
13Act, or (iv) the wagering tax imposed under Section 13 of this
14Act is increased by law to reflect a tax rate that is at least
15as stringent or more stringent than the tax rate contained in
16subsection (a-3) of Section 13, or (v) when an owners licensee
17holding a license issued pursuant to Section 7.1 of this Act
18begins conducting gaming, whichever occurs first, as a
19condition of licensure and as an alternative source of payment
20for those funds payable under subsection (c-5) of Section 13 of
21this the Riverboat Gambling Act, any owners licensee that holds
22or receives its owners license on or after the effective date
23of this amendatory Act of the 94th General Assembly, other than
24an owners licensee operating a riverboat with adjusted gross
25receipts in calendar year 2004 of less than $200,000,000, must
26pay into the Horse Racing Equity Trust Fund, in addition to any

HB5561- 602 -LRB101 17547 JWD 66965 b
1other payments required under this Act, an amount equal to 3%
2of the adjusted gross receipts received by the owners licensee.
3The payments required under this Section shall be made by the
4owners licensee to the State Treasurer no later than 3:00
5o'clock p.m. of the day after the day when the adjusted gross
6receipts were received by the owners licensee. A person, firm
7or entity corporation is ineligible to receive an owners
8license if:
9 (1) the person has been convicted of a felony under the
10 laws of this State, any other state, or the United States;
11 (2) the person has been convicted of any violation of
12 Article 28 of the Criminal Code of 1961 or the Criminal
13 Code of 2012, or substantially similar laws of any other
14 jurisdiction;
15 (3) the person has submitted an application for a
16 license under this Act which contains false information;
17 (4) the person is a member of the Board;
18 (5) a person defined in (1), (2), (3) or (4) is an
19 officer, director or managerial employee of the entity firm
20 or corporation;
21 (6) the entity firm or corporation employs a person
22 defined in (1), (2), (3) or (4) who participates in the
23 management or operation of gambling operations authorized
24 under this Act;
25 (7) (blank); or
26 (8) a license of the person or entity , firm or

HB5561- 603 -LRB101 17547 JWD 66965 b
1 corporation issued under this Act, or a license to own or
2 operate gambling facilities in any other jurisdiction, has
3 been revoked.
4 The Board is expressly prohibited from making changes to
5the requirement that licensees make payment into the Horse
6Racing Equity Trust Fund without the express authority of the
7Illinois General Assembly and making any other rule to
8implement or interpret this amendatory Act of the 95th General
9Assembly. For the purposes of this paragraph, "rules" is given
10the meaning given to that term in Section 1-70 of the Illinois
11Administrative Procedure Act.
12 (b) In determining whether to grant an owners license to an
13applicant, the Board shall consider:
14 (1) the character, reputation, experience and
15 financial integrity of the applicants and of any other or
16 separate person that either:
17 (A) controls, directly or indirectly, such
18 applicant, or
19 (B) is controlled, directly or indirectly, by such
20 applicant or by a person which controls, directly or
21 indirectly, such applicant;
22 (2) the facilities or proposed facilities for the
23 conduct of riverboat gambling;
24 (3) the highest prospective total revenue to be derived
25 by the State from the conduct of riverboat gambling;
26 (4) the extent to which the ownership of the applicant

HB5561- 604 -LRB101 17547 JWD 66965 b
1 reflects the diversity of the State by including minority
2 persons, women, and persons with a disability and the good
3 faith affirmative action plan of each applicant to recruit,
4 train and upgrade minority persons, women, and persons with
5 a disability in all employment classifications; the Board
6 shall further consider granting an owners license and
7 giving preference to an applicant under this Section to
8 applicants in which minority persons and women hold
9 ownership interest of at least 16% and 4%, respectively.
10 (4.5) the extent to which the ownership of the
11 applicant includes veterans of service in the armed forces
12 of the United States, and the good faith affirmative action
13 plan of each applicant to recruit, train, and upgrade
14 veterans of service in the armed forces of the United
15 States in all employment classifications;
16 (5) the financial ability of the applicant to purchase
17 and maintain adequate liability and casualty insurance;
18 (6) whether the applicant has adequate capitalization
19 to provide and maintain, for the duration of a license, a
20 riverboat or casino;
21 (7) the extent to which the applicant exceeds or meets
22 other standards for the issuance of an owners license which
23 the Board may adopt by rule; and
24 (8) the The amount of the applicant's license bid; .
25 (9) the extent to which the applicant or the proposed
26 host municipality plans to enter into revenue sharing

HB5561- 605 -LRB101 17547 JWD 66965 b
1 agreements with communities other than the host
2 municipality; and
3 (10) the extent to which the ownership of an applicant
4 includes the most qualified number of minority persons,
5 women, and persons with a disability.
6 (c) Each owners license shall specify the place where the
7casino riverboats shall operate or the riverboat shall operate
8and dock.
9 (d) Each applicant shall submit with his application, on
10forms provided by the Board, 2 sets of his fingerprints.
11 (e) In addition to any licenses authorized under subsection
12(e-5) of this Section, the The Board may issue up to 10
13licenses authorizing the holders of such licenses to own
14riverboats. In the application for an owners license, the
15applicant shall state the dock at which the riverboat is based
16and the water on which the riverboat will be located. The Board
17shall issue 5 licenses to become effective not earlier than
18January 1, 1991. Three of such licenses shall authorize
19riverboat gambling on the Mississippi River, or, with approval
20by the municipality in which the riverboat was docked on August
217, 2003 and with Board approval, be authorized to relocate to a
22new location, in a municipality that (1) borders on the
23Mississippi River or is within 5 miles of the city limits of a
24municipality that borders on the Mississippi River and (2), on
25August 7, 2003, had a riverboat conducting riverboat gambling
26operations pursuant to a license issued under this Act; one of

HB5561- 606 -LRB101 17547 JWD 66965 b
1which shall authorize riverboat gambling from a home dock in
2the city of East St. Louis; and one of which shall authorize
3riverboat gambling from a home dock in the City of Alton. One
4other license shall authorize riverboat gambling on the
5Illinois River in the City of East Peoria or, with Board
6approval, shall authorize land-based gambling operations
7anywhere within the corporate limits of the City of Peoria
8south of Marshall County. The Board shall issue one additional
9license to become effective not earlier than March 1, 1992,
10which shall authorize riverboat gambling on the Des Plaines
11River in Will County. The Board may issue 4 additional licenses
12to become effective not earlier than March 1, 1992. In
13determining the water upon which riverboats will operate, the
14Board shall consider the economic benefit which riverboat
15gambling confers on the State, and shall seek to assure that
16all regions of the State share in the economic benefits of
17riverboat gambling.
18 In granting all licenses, the Board may give favorable
19consideration to economically depressed areas of the State, to
20applicants presenting plans which provide for significant
21economic development over a large geographic area, and to
22applicants who currently operate non-gambling riverboats in
23Illinois. The Board shall review all applications for owners
24licenses, and shall inform each applicant of the Board's
25decision. The Board may grant an owners license to an applicant
26that has not submitted the highest license bid, but if it does

HB5561- 607 -LRB101 17547 JWD 66965 b
1not select the highest bidder, the Board shall issue a written
2decision explaining why another applicant was selected and
3identifying the factors set forth in this Section that favored
4the winning bidder. The fee for issuance or renewal of a
5license pursuant to this subsection (e) shall be $250,000.
6 (e-5) In addition to licenses authorized under subsection
7(e) of this Section:
8 (1) the Board may issue one owners license authorizing
9 the conduct of casino gambling in the City of Chicago;
10 (2) the Board may issue one owners license authorizing
11 the conduct of riverboat gambling in the City of Danville;
12 (3) the Board may issue one owners license authorizing
13 the conduct of riverboat gambling located in the City of
14 Waukegan;
15 (4) the Board may issue one owners license authorizing
16 the conduct of riverboat gambling in the City of Rockford;
17 (5) the Board may issue one owners license authorizing
18 the conduct of riverboat gambling in a municipality that is
19 wholly or partially located in one of the following
20 townships of Cook County: Bloom, Bremen, Calumet, Rich,
21 Thornton, or Worth Township; and
22 (6) the Board may issue one owners license authorizing
23 the conduct of riverboat gambling in the unincorporated
24 area of Williamson County adjacent to the Big Muddy River.
25 Except for the license authorized under paragraph (1), each
26application for a license pursuant to this subsection (e-5)

HB5561- 608 -LRB101 17547 JWD 66965 b
1shall be submitted to the Board no later than 120 days after
2the effective date of this amendatory Act of the 101st General
3Assembly. All applications for a license under this subsection
4(e-5) shall include the nonrefundable application fee and the
5nonrefundable background investigation fee as provided in
6subsection (d) of Section 6 of this Act. In the event that an
7applicant submits an application for a license pursuant to this
8subsection (e-5) prior to the effective date of this amendatory
9Act of the 101st General Assembly, such applicant shall submit
10the nonrefundable application fee and background investigation
11fee as provided in subsection (d) of Section 6 of this Act no
12later than 6 months after the effective date of this amendatory
13Act of the 101st General Assembly.
14 The Board shall consider issuing a license pursuant to
15paragraphs (1) through (6) of this subsection only after the
16corporate authority of the municipality or the county board of
17the county in which the riverboat or casino shall be located
18has certified to the Board the following:
19 (i) that the applicant has negotiated with the
20 corporate authority or county board in good faith;
21 (ii) that the applicant and the corporate authority or
22 county board have mutually agreed on the permanent location
23 of the riverboat or casino;
24 (iii) that the applicant and the corporate authority or
25 county board have mutually agreed on the temporary location
26 of the riverboat or casino;

HB5561- 609 -LRB101 17547 JWD 66965 b
1 (iv) that the applicant and the corporate authority or
2 the county board have mutually agreed on the percentage of
3 revenues that will be shared with the municipality or
4 county, if any;
5 (v) that the applicant and the corporate authority or
6 county board have mutually agreed on any zoning, licensing,
7 public health, or other issues that are within the
8 jurisdiction of the municipality or county; and
9 (vi) that the corporate authority or county board has
10 passed a resolution or ordinance in support of the
11 riverboat or casino in the municipality or county.
12 At least 7 days before the corporate authority of a
13municipality or county board of the county submits a
14certification to the Board concerning items (i) through (vi) of
15this subsection, it shall hold a public hearing to discuss
16items (i) through (vi), as well as any other details concerning
17the proposed riverboat or casino in the municipality or county.
18The corporate authority or county board must subsequently
19memorialize the details concerning the proposed riverboat or
20casino in a resolution that must be adopted by a majority of
21the corporate authority or county board before any
22certification is sent to the Board. The Board shall not alter,
23amend, change, or otherwise interfere with any agreement
24between the applicant and the corporate authority of the
25municipality or county board of the county regarding the
26location of any temporary or permanent facility.

HB5561- 610 -LRB101 17547 JWD 66965 b
1 In addition, within 10 days after the effective date of
2this amendatory Act of the 101st General Assembly, the Board,
3with consent and at the expense of the City of Chicago, shall
4select and retain the services of a nationally recognized
5casino gaming feasibility consultant. Within 45 days after the
6effective date of this amendatory Act of the 101st General
7Assembly, the consultant shall prepare and deliver to the Board
8a study concerning the feasibility of, and the ability to
9finance, a casino in the City of Chicago. The feasibility study
10shall be delivered to the Mayor of the City of Chicago, the
11Governor, the President of the Senate, and the Speaker of the
12House of Representatives. Ninety days after receipt of the
13feasibility study, the Board shall make a determination, based
14on the results of the feasibility study, whether to recommend
15to the General Assembly that the terms of the license under
16paragraph (1) of this subsection (e-5) should be modified. The
17Board may begin accepting applications for the owners license
18under paragraph (1) of this subsection (e-5) upon the
19determination to issue such an owners license.
20 In addition, prior to the Board issuing the owners license
21authorized under paragraph (4) of subsection (e-5), an impact
22study shall be completed to determine what location in the city
23will provide the greater impact to the region, including the
24creation of jobs and the generation of tax revenue.
25 (e-10) The licenses authorized under subsection (e-5) of
26this Section shall be issued within 12 months after the date

HB5561- 611 -LRB101 17547 JWD 66965 b
1the license application is submitted. If the Board does not
2issue the licenses within that time period, then the Board
3shall give a written explanation to the applicant as to why it
4has not reached a determination and when it reasonably expects
5to make a determination. The fee for the issuance or renewal of
6a license issued pursuant to this subsection (e-10) shall be
7$250,000. Additionally, a licensee located outside of Cook
8County shall pay a minimum initial fee of $17,500 per gaming
9position, and a licensee located in Cook County shall pay a
10minimum initial fee of $30,000 per gaming position. The initial
11fees payable under this subsection (e-10) shall be deposited
12into the Rebuild Illinois Projects Fund.
13 (e-15) Each licensee of a license authorized under
14subsection (e-5) of this Section shall make a reconciliation
15payment 3 years after the date the licensee begins operating in
16an amount equal to 75% of the adjusted gross receipts for the
17most lucrative 12-month period of operations, minus an amount
18equal to the initial payment per gaming position paid by the
19specific licensee. Each licensee shall pay a $15,000,000
20reconciliation fee upon issuance of an owners license. If this
21calculation results in a negative amount, then the licensee is
22not entitled to any reimbursement of fees previously paid. This
23reconciliation payment may be made in installments over a
24period of no more than 2 years, subject to Board approval. Any
25installment payments shall include an annual market interest
26rate as determined by the Board. All payments by licensees

HB5561- 612 -LRB101 17547 JWD 66965 b
1under this subsection (e-15) shall be deposited into the
2Rebuild Illinois Projects Fund.
3 (e-20) In addition to any other revocation powers granted
4to the Board under this Act, the Board may revoke the owners
5license of a licensee which fails to begin conducting gambling
6within 15 months of receipt of the Board's approval of the
7application if the Board determines that license revocation is
8in the best interests of the State.
9 (f) The first 10 owners licenses issued under this Act
10shall permit the holder to own up to 2 riverboats and equipment
11thereon for a period of 3 years after the effective date of the
12license. Holders of the first 10 owners licenses must pay the
13annual license fee for each of the 3 years during which they
14are authorized to own riverboats.
15 (g) Upon the termination, expiration, or revocation of each
16of the first 10 licenses, which shall be issued for a 3 year
17period, all licenses are renewable annually upon payment of the
18fee and a determination by the Board that the licensee
19continues to meet all of the requirements of this Act and the
20Board's rules. However, for licenses renewed on or after May 1,
211998, renewal shall be for a period of 4 years, unless the
22Board sets a shorter period.
23 (h) An owners license, except for an owners license issued
24under subsection (e-5) of this Section, shall entitle the
25licensee to own up to 2 riverboats.
26 An owners licensee of a casino or riverboat that is located

HB5561- 613 -LRB101 17547 JWD 66965 b
1in the City of Chicago pursuant to paragraph (1) of subsection
2(e-5) of this Section shall limit the number of gaming
3positions to 4,000 for such owner. An owners licensee
4authorized under subsection (e) or paragraph (2), (3), (4), or
5(5) of subsection (e-5) of this Section shall limit the number
6of gaming positions to 2,000 for any such owners license. An
7owners licensee authorized under paragraph (6) of subsection
8(e-5) of this Section A licensee shall limit the number of
9gaming positions gambling participants to 1,200 for any such
10owner. The initial fee for each gaming position obtained on or
11after the effective date of this amendatory Act of the 101st
12General Assembly shall be a minimum of $17,500 for licensees
13not located in Cook County and a minimum of $30,000 for
14licensees located in Cook County, in addition to the
15reconciliation payment, as set forth in subsection (e-15) of
16this Section owners license. The fees under this subsection (h)
17shall be deposited into the Rebuild Illinois Projects Fund. The
18fees under this subsection (h) that are paid by an owners
19licensee authorized under subsection (e) shall be paid by July
201, 2020.
21 Each owners licensee under subsection (e) of this Section
22shall reserve its gaming positions within 30 days after the
23effective date of this amendatory Act of the 101st General
24Assembly. The Board may grant an extension to this 30-day
25period, provided that the owners licensee submits a written
26request and explanation as to why it is unable to reserve its

HB5561- 614 -LRB101 17547 JWD 66965 b
1positions within the 30-day period.
2 Each owners licensee under subsection (e-5) of this
3Section shall reserve its gaming positions within 30 days after
4issuance of its owners license. The Board may grant an
5extension to this 30-day period, provided that the owners
6licensee submits a written request and explanation as to why it
7is unable to reserve its positions within the 30-day period.
8 A licensee may operate both of its riverboats concurrently,
9provided that the total number of gaming positions gambling
10participants on both riverboats does not exceed the limit
11established pursuant to this subsection 1,200. Riverboats
12licensed to operate on the Mississippi River and the Illinois
13River south of Marshall County shall have an authorized
14capacity of at least 500 persons. Any other riverboat licensed
15under this Act shall have an authorized capacity of at least
16400 persons.
17 (h-5) An owners licensee who conducted gambling operations
18prior to January 1, 2012 and obtains positions pursuant to this
19amendatory Act of the 101st General Assembly shall make a
20reconciliation payment 3 years after any additional gaming
21positions begin operating in an amount equal to 75% of the
22owners licensee's average gross receipts for the most lucrative
2312-month period of operations minus an amount equal to the
24initial fee that the owners licensee paid per additional gaming
25position. For purposes of this subsection (h-5), "average gross
26receipts" means (i) the increase in adjusted gross receipts for

HB5561- 615 -LRB101 17547 JWD 66965 b
1the most lucrative 12-month period of operations over the
2adjusted gross receipts for 2019, multiplied by (ii) the
3percentage derived by dividing the number of additional gaming
4positions that an owners licensee had obtained by the total
5number of gaming positions operated by the owners licensee. If
6this calculation results in a negative amount, then the owners
7licensee is not entitled to any reimbursement of fees
8previously paid. This reconciliation payment may be made in
9installments over a period of no more than 2 years, subject to
10Board approval. Any installment payments shall include an
11annual market interest rate as determined by the Board. These
12reconciliation payments shall be deposited into the Rebuild
13Illinois Projects Fund.
14 (i) A licensed owner is authorized to apply to the Board
15for and, if approved therefor, to receive all licenses from the
16Board necessary for the operation of a riverboat or casino,
17including a liquor license, a license to prepare and serve food
18for human consumption, and other necessary licenses. All use,
19occupation and excise taxes which apply to the sale of food and
20beverages in this State and all taxes imposed on the sale or
21use of tangible personal property apply to such sales aboard
22the riverboat or in the casino.
23 (j) The Board may issue or re-issue a license authorizing a
24riverboat to dock in a municipality or approve a relocation
25under Section 11.2 only if, prior to the issuance or
26re-issuance of the license or approval, the governing body of

HB5561- 616 -LRB101 17547 JWD 66965 b
1the municipality in which the riverboat will dock has by a
2majority vote approved the docking of riverboats in the
3municipality. The Board may issue or re-issue a license
4authorizing a riverboat to dock in areas of a county outside
5any municipality or approve a relocation under Section 11.2
6only if, prior to the issuance or re-issuance of the license or
7approval, the governing body of the county has by a majority
8vote approved of the docking of riverboats within such areas.
9 (k) An owners licensee may conduct land-based gambling
10operations upon approval by the Board and payment of a fee of
11$250,000, which shall be deposited into the State Gaming Fund.
12 (l) An owners licensee may conduct gaming at a temporary
13facility pending the construction of a permanent facility or
14the remodeling or relocation of an existing facility to
15accommodate gaming participants for up to 24 months after the
16temporary facility begins to conduct gaming. Upon request by an
17owners licensee and upon a showing of good cause by the owners
18licensee, the Board shall extend the period during which the
19licensee may conduct gaming at a temporary facility by up to 12
20months. The Board shall make rules concerning the conduct of
21gaming from temporary facilities.
22(Source: P.A. 101-31, eff. 6-28-19.)
23 (230 ILCS 10/7.3)
24 Sec. 7.3. State conduct of gambling operations.
25 (a) If, after reviewing each application for a re-issued

HB5561- 617 -LRB101 17547 JWD 66965 b
1license, the Board determines that the highest prospective
2total revenue to the State would be derived from State conduct
3of the gambling operation in lieu of re-issuing the license,
4the Board shall inform each applicant of its decision. The
5Board shall thereafter have the authority, without obtaining an
6owners license, to conduct casino or riverboat gambling
7operations as previously authorized by the terminated,
8expired, revoked, or nonrenewed license through a licensed
9manager selected pursuant to an open and competitive bidding
10process as set forth in Section 7.5 and as provided in Section
117.4.
12 (b) The Board may locate any casino or riverboat on which a
13gambling operation is conducted by the State in any home dock
14or other location authorized by Section 3(c) upon receipt of
15approval from a majority vote of the governing body of the
16municipality or county, as the case may be, in which the
17riverboat will dock.
18 (c) The Board shall have jurisdiction over and shall
19supervise all gambling operations conducted by the State
20provided for in this Act and shall have all powers necessary
21and proper to fully and effectively execute the provisions of
22this Act relating to gambling operations conducted by the
23State.
24 (d) The maximum number of owners licenses authorized under
25Section 7 7(e) shall be reduced by one for each instance in
26which the Board authorizes the State to conduct a casino or

HB5561- 618 -LRB101 17547 JWD 66965 b
1riverboat gambling operation under subsection (a) in lieu of
2re-issuing a license to an applicant under Section 7.1.
3(Source: P.A. 101-31, eff. 6-28-19.)
4 (230 ILCS 10/7.5)
5 Sec. 7.5. Competitive Bidding. When the Board determines
6that (i) it will re-issue an owners license pursuant to an open
7and competitive bidding process, as set forth in Section 7.1,
8(ii) or that it will issue a managers license pursuant to an
9open and competitive bidding process, as set forth in Section
107.4, or (iii) it will issue an owners license pursuant to an
11open and competitive bidding process, as set forth in Section
127.12, the open and competitive bidding process shall adhere to
13the following procedures:
14 (1) The Board shall make applications for owners and
15managers licenses available to the public and allow a
16reasonable time for applicants to submit applications to the
17Board.
18 (2) During the filing period for owners or managers license
19applications, the Board may retain the services of an
20investment banking firm to assist the Board in conducting the
21open and competitive bidding process.
22 (3) After receiving all of the bid proposals, the Board
23shall open all of the proposals in a public forum and disclose
24the prospective owners or managers names, venture partners, if
25any, and, in the case of applicants for owners licenses, the

HB5561- 619 -LRB101 17547 JWD 66965 b
1locations of the proposed development sites.
2 (4) The Board shall summarize the terms of the proposals
3and may make this summary available to the public.
4 (5) The Board shall evaluate the proposals within a
5reasonable time and select no more than 3 final applicants to
6make presentations of their proposals to the Board.
7 (6) The final applicants shall make their presentations to
8the Board on the same day during an open session of the Board.
9 (7) As soon as practicable after the public presentations
10by the final applicants, the Board, in its discretion, may
11conduct further negotiations among the 3 final applicants.
12During such negotiations, each final applicant may increase its
13license bid or otherwise enhance its bid proposal. At the
14conclusion of such negotiations, the Board shall select the
15winning proposal. In the case of negotiations for an owners
16license, the Board may, at the conclusion of such negotiations,
17make the determination allowed under Section 7.3(a).
18 (8) Upon selection of a winning bid, the Board shall
19evaluate the winning bid within a reasonable period of time for
20licensee suitability in accordance with all applicable
21statutory and regulatory criteria.
22 (9) If the winning bidder is unable or otherwise fails to
23consummate the transaction, (including if the Board determines
24that the winning bidder does not satisfy the suitability
25requirements), the Board may, on the same criteria, select from
26the remaining bidders or make the determination allowed under

HB5561- 620 -LRB101 17547 JWD 66965 b
1Section 7.3(a).
2(Source: P.A. 101-31, eff. 6-28-19.)
3 (230 ILCS 10/8) (from Ch. 120, par. 2408)
4 Sec. 8. Suppliers licenses.
5 (a) The Board may issue a suppliers license to such
6persons, firms or corporations which apply therefor upon the
7payment of a non-refundable application fee set by the Board,
8upon a determination by the Board that the applicant is
9eligible for a suppliers license and upon payment of a $5,000
10annual license fee.
11 (b) The holder of a suppliers license is authorized to sell
12or lease, and to contract to sell or lease, gambling equipment
13and supplies to any licensee involved in the ownership or
14management of gambling operations.
15 (c) Gambling supplies and equipment may not be distributed
16unless supplies and equipment conform to standards adopted by
17rules of the Board.
18 (d) A person, firm or corporation is ineligible to receive
19a suppliers license if:
20 (1) the person has been convicted of a felony under the
21 laws of this State, any other state, or the United States;
22 (2) the person has been convicted of any violation of
23 Article 28 of the Criminal Code of 1961 or the Criminal
24 Code of 2012, or substantially similar laws of any other
25 jurisdiction;

HB5561- 621 -LRB101 17547 JWD 66965 b
1 (3) the person has submitted an application for a
2 license under this Act which contains false information;
3 (4) the person is a member of the Board;
4 (5) the entity firm or corporation is one in which a
5 person defined in (1), (2), (3) or (4), is an officer,
6 director or managerial employee;
7 (6) the firm or corporation employs a person who
8 participates in the management or operation of riverboat
9 gambling authorized under this Act;
10 (7) the license of the person, firm or corporation
11 issued under this Act, or a license to own or operate
12 gambling facilities in any other jurisdiction, has been
13 revoked.
14 (e) Any person that supplies any equipment, devices, or
15supplies to a licensed riverboat gambling operation must first
16obtain a suppliers license. A supplier shall furnish to the
17Board a list of all equipment, devices and supplies offered for
18sale or lease in connection with gambling games authorized
19under this Act. A supplier shall keep books and records for the
20furnishing of equipment, devices and supplies to gambling
21operations separate and distinct from any other business that
22the supplier might operate. A supplier shall file a quarterly
23return with the Board listing all sales and leases. A supplier
24shall permanently affix its name or a distinctive logo or other
25mark or design element identifying the manufacturer or supplier
26to all its equipment, devices, and supplies, except gaming

HB5561- 622 -LRB101 17547 JWD 66965 b
1chips without a value impressed, engraved, or imprinted on it,
2for gambling operations. The Board may waive this requirement
3for any specific product or products if it determines that the
4requirement is not necessary to protect the integrity of the
5game. Items purchased from a licensed supplier may continue to
6be used even though the supplier subsequently changes its name,
7distinctive logo, or other mark or design element; undergoes a
8change in ownership; or ceases to be licensed as a supplier for
9any reason. Any supplier's equipment, devices or supplies which
10are used by any person in an unauthorized gambling operation
11shall be forfeited to the State. A holder of an owners license
12or an organization gaming license A licensed owner may own its
13own equipment, devices and supplies. Each holder of an owners
14license or an organization gaming license under the Act shall
15file an annual report listing its inventories of gambling
16equipment, devices and supplies.
17 (f) Any person who knowingly makes a false statement on an
18application is guilty of a Class A misdemeanor.
19 (g) Any gambling equipment, devices and supplies provided
20by any licensed supplier may either be repaired on the
21riverboat, in the casino, or at the organization gaming
22facility or removed from the riverboat, casino, or organization
23gaming facility to a an on-shore facility owned by the holder
24of an owners license, organization gaming license, or suppliers
25license for repair.
26(Source: P.A. 101-31, eff. 6-28-19.)

HB5561- 623 -LRB101 17547 JWD 66965 b
1 (230 ILCS 10/9) (from Ch. 120, par. 2409)
2 Sec. 9. Occupational licenses.
3 (a) The Board may issue an occupational license to an
4applicant upon the payment of a non-refundable fee set by the
5Board, upon a determination by the Board that the applicant is
6eligible for an occupational license and upon payment of an
7annual license fee in an amount to be established. To be
8eligible for an occupational license, an applicant must:
9 (1) be at least 21 years of age if the applicant will
10 perform any function involved in gaming by patrons. Any
11 applicant seeking an occupational license for a non-gaming
12 function shall be at least 18 years of age;
13 (2) not have been convicted of a felony offense, a
14 violation of Article 28 of the Criminal Code of 1961 or the
15 Criminal Code of 2012, or a similar statute of any other
16 jurisdiction;
17 (2.5) not have been convicted of a crime, other than a
18 crime described in item (2) of this subsection (a),
19 involving dishonesty or moral turpitude, except that the
20 Board may, in its discretion, issue an occupational license
21 to a person who has been convicted of a crime described in
22 this item (2.5) more than 10 years prior to his or her
23 application and has not subsequently been convicted of any
24 other crime;
25 (3) have demonstrated a level of skill or knowledge

HB5561- 624 -LRB101 17547 JWD 66965 b
1 which the Board determines to be necessary in order to
2 operate gambling aboard a riverboat, in a casino, or at an
3 organization gaming facility; and
4 (4) have met standards for the holding of an
5 occupational license as adopted by rules of the Board. Such
6 rules shall provide that any person or entity seeking an
7 occupational license to manage gambling operations under
8 this Act hereunder shall be subject to background inquiries
9 and further requirements similar to those required of
10 applicants for an owners license. Furthermore, such rules
11 shall provide that each such entity shall be permitted to
12 manage gambling operations for only one licensed owner.
13 (b) Each application for an occupational license shall be
14on forms prescribed by the Board and shall contain all
15information required by the Board. The applicant shall set
16forth in the application: whether he has been issued prior
17gambling related licenses; whether he has been licensed in any
18other state under any other name, and, if so, such name and his
19age; and whether or not a permit or license issued to him in
20any other state has been suspended, restricted or revoked, and,
21if so, for what period of time.
22 (c) Each applicant shall submit with his application, on
23forms provided by the Board, 2 sets of his fingerprints. The
24Board shall charge each applicant a fee set by the Department
25of State Police to defray the costs associated with the search
26and classification of fingerprints obtained by the Board with

HB5561- 625 -LRB101 17547 JWD 66965 b
1respect to the applicant's application. These fees shall be
2paid into the State Police Services Fund.
3 (d) The Board may in its discretion refuse an occupational
4license to any person: (1) who is unqualified to perform the
5duties required of such applicant; (2) who fails to disclose or
6states falsely any information called for in the application;
7(3) who has been found guilty of a violation of this Act or
8whose prior gambling related license or application therefor
9has been suspended, restricted, revoked or denied for just
10cause in any other state; or (4) for any other just cause.
11 (e) The Board may suspend, revoke or restrict any
12occupational licensee: (1) for violation of any provision of
13this Act; (2) for violation of any of the rules and regulations
14of the Board; (3) for any cause which, if known to the Board,
15would have disqualified the applicant from receiving such
16license; or (4) for default in the payment of any obligation or
17debt due to the State of Illinois; or (5) for any other just
18cause.
19 (f) A person who knowingly makes a false statement on an
20application is guilty of a Class A misdemeanor.
21 (g) Any license issued pursuant to this Section shall be
22valid for a period of one year from the date of issuance.
23 (h) Nothing in this Act shall be interpreted to prohibit a
24licensed owner or organization gaming licensee from entering
25into an agreement with a public community college or a school
26approved under the Private Business and Vocational Schools Act

HB5561- 626 -LRB101 17547 JWD 66965 b
1of 2012 for the training of any occupational licensee. Any
2training offered by such a school shall be in accordance with a
3written agreement between the licensed owner or organization
4gaming licensee and the school.
5 (i) Any training provided for occupational licensees may be
6conducted either at the site of the gambling facility on the
7riverboat or at a school with which a licensed owner or
8organization gaming licensee has entered into an agreement
9pursuant to subsection (h).
10(Source: P.A. 101-31, eff. 6-28-19.)
11 (230 ILCS 10/11) (from Ch. 120, par. 2411)
12 Sec. 11. Conduct of gambling. Gambling may be conducted by
13licensed owners or licensed managers on behalf of the State
14aboard riverboats. Gambling may be conducted by organization
15gaming licensees at organization gaming facilities. Gambling
16authorized under this Section is , subject to the following
17standards:
18 (1) A licensee may conduct riverboat gambling
19 authorized under this Act regardless of whether it conducts
20 excursion cruises. A licensee may permit the continuous
21 ingress and egress of patrons passengers on a riverboat not
22 used for excursion cruises for the purpose of gambling.
23 Excursion cruises shall not exceed 4 hours for a round
24 trip. However, the Board may grant express approval for an
25 extended cruise on a case-by-case basis.

HB5561- 627 -LRB101 17547 JWD 66965 b
1 (1.5) An owners licensee may conduct gambling
2 operations authorized under this Act 24 hours a day.
3 (2) (Blank).
4 (3) Minimum and maximum wagers on games shall be set by
5 the licensee.
6 (4) Agents of the Board and the Department of State
7 Police may board and inspect any riverboat, enter and
8 inspect any portion of a casino, or enter and inspect any
9 portion of an organization gaming facility at any time for
10 the purpose of determining whether this Act is being
11 complied with. Every riverboat, if under way and being
12 hailed by a law enforcement officer or agent of the Board,
13 must stop immediately and lay to.
14 (5) Employees of the Board shall have the right to be
15 present on the riverboat or in the casino or on adjacent
16 facilities under the control of the licensee and at the
17 organization gaming facility under the control of the
18 organization gaming licensee.
19 (6) Gambling equipment and supplies customarily used
20 in conducting riverboat gambling must be purchased or
21 leased only from suppliers licensed for such purpose under
22 this Act. The Board may approve the transfer, sale, or
23 lease of gambling equipment and supplies by a licensed
24 owner from or to an affiliate of the licensed owner as long
25 as the gambling equipment and supplies were initially
26 acquired from a supplier licensed in Illinois.

HB5561- 628 -LRB101 17547 JWD 66965 b
1 (7) Persons licensed under this Act shall permit no
2 form of wagering on gambling games except as permitted by
3 this Act.
4 (8) Wagers may be received only from a person present
5 on a licensed riverboat, in a casino, or at an organization
6 gaming facility. No person present on a licensed riverboat,
7 in a casino, or at an organization gaming facility shall
8 place or attempt to place a wager on behalf of another
9 person who is not present on the riverboat, in a casino, or
10 at the organization gaming facility.
11 (9) Wagering, including gaming authorized under
12 Section 7.7, shall not be conducted with money or other
13 negotiable currency.
14 (10) A person under age 21 shall not be permitted on an
15 area of a riverboat or casino where gambling is being
16 conducted or at an organization gaming facility where
17 gambling is being conducted, except for a person at least
18 18 years of age who is an employee of the riverboat or
19 casino gambling operation or gaming operation. No employee
20 under age 21 shall perform any function involved in
21 gambling by the patrons. No person under age 21 shall be
22 permitted to make a wager under this Act, and any winnings
23 that are a result of a wager by a person under age 21,
24 whether or not paid by a licensee, shall be treated as
25 winnings for the privilege tax purposes, confiscated, and
26 forfeited to the State and deposited into the Education

HB5561- 629 -LRB101 17547 JWD 66965 b
1 Assistance Fund.
2 (11) Gambling excursion cruises are permitted only
3 when the waterway for which the riverboat is licensed is
4 navigable, as determined by the Board in consultation with
5 the U.S. Army Corps of Engineers. This paragraph (11) does
6 not limit the ability of a licensee to conduct gambling
7 authorized under this Act when gambling excursion cruises
8 are not permitted.
9 (12) All tickets tokens, chips, or electronic cards
10 used to make wagers must be purchased (i) from a licensed
11 owner or manager, in the case of a riverboat, either aboard
12 a riverboat or at an onshore facility which has been
13 approved by the Board and which is located where the
14 riverboat docks, (ii) in the case of a casino, from a
15 licensed owner at the casino, or (iii) from an organization
16 gaming licensee at the organization gaming facility. The
17 tickets tokens, chips, or electronic cards may be purchased
18 by means of an agreement under which the owner or manager
19 extends credit to the patron. Such tickets tokens, chips,
20 or electronic cards may be used while aboard the riverboat,
21 in the casino, or at the organization gaming facility only
22 for the purpose of making wagers on gambling games.
23 (13) Notwithstanding any other Section of this Act, in
24 addition to the other licenses authorized under this Act,
25 the Board may issue special event licenses allowing persons
26 who are not otherwise licensed to conduct riverboat

HB5561- 630 -LRB101 17547 JWD 66965 b
1 gambling to conduct such gambling on a specified date or
2 series of dates. Riverboat gambling under such a license
3 may take place on a riverboat not normally used for
4 riverboat gambling. The Board shall establish standards,
5 fees and fines for, and limitations upon, such licenses,
6 which may differ from the standards, fees, fines and
7 limitations otherwise applicable under this Act. All such
8 fees shall be deposited into the State Gaming Fund. All
9 such fines shall be deposited into the Education Assistance
10 Fund, created by Public Act 86-0018, of the State of
11 Illinois.
12 (14) In addition to the above, gambling must be
13 conducted in accordance with all rules adopted by the
14 Board.
15(Source: P.A. 101-31, eff. 6-28-19.)
16 (230 ILCS 10/11.1) (from Ch. 120, par. 2411.1)
17 Sec. 11.1. Collection of amounts owing under credit
18agreements. Notwithstanding any applicable statutory provision
19to the contrary, a licensed owner, licensed or manager, or
20organization gaming licensee who extends credit to a riverboat
21gambling patron pursuant to paragraph (12) of Section 11
22Section 11 (a) (12) of this Act is expressly authorized to
23institute a cause of action to collect any amounts due and
24owing under the extension of credit, as well as the licensed
25owner's, licensed or manager's, or organization gaming

HB5561- 631 -LRB101 17547 JWD 66965 b
1licensee's costs, expenses and reasonable attorney's fees
2incurred in collection.
3(Source: P.A. 101-31, eff. 6-28-19.)
4 (230 ILCS 10/12) (from Ch. 120, par. 2412)
5 Sec. 12. Admission tax; fees.
6 (a) A tax is hereby imposed upon admissions to riverboat
7and casino gambling facilities riverboats operated by licensed
8owners authorized pursuant to this Act. Until July 1, 2002, the
9rate is $2 per person admitted. From July 1, 2002 until July 1,
102003, the rate is $3 per person admitted. From July 1, 2003
11until August 23, 2005 (the effective date of Public Act
1294-673), for a licensee that admitted 1,000,000 persons or
13fewer in the previous calendar year, the rate is $3 per person
14admitted; for a licensee that admitted more than 1,000,000 but
15no more than 2,300,000 persons in the previous calendar year,
16the rate is $4 per person admitted; and for a licensee that
17admitted more than 2,300,000 persons in the previous calendar
18year, the rate is $5 per person admitted. Beginning on August
1923, 2005 (the effective date of Public Act 94-673), for a
20licensee that admitted 1,000,000 persons or fewer in calendar
21year 2004, the rate is $2 per person admitted, and for all
22other licensees, including licensees that were not conducting
23gambling operations in 2004, the rate is $3 per person
24admitted. This admission tax is imposed upon the licensed owner
25conducting gambling.

HB5561- 632 -LRB101 17547 JWD 66965 b
1 (1) The admission tax shall be paid for each admission,
2 except that a person who exits a riverboat gambling
3 facility and reenters that riverboat gambling facility
4 within the same gaming day shall be subject only to the
5 initial admission tax.
6 (2) (Blank).
7 (3) The riverboat licensee may issue tax-free passes to
8 actual and necessary officials and employees of the
9 licensee or other persons actually working on the
10 riverboat.
11 (4) The number and issuance of tax-free passes is
12 subject to the rules of the Board, and a list of all
13 persons to whom the tax-free passes are issued shall be
14 filed with the Board.
15 (a-5) A fee is hereby imposed upon admissions operated by
16licensed managers on behalf of the State pursuant to Section
177.3 at the rates provided in this subsection (a-5). For a
18licensee that admitted 1,000,000 persons or fewer in the
19previous calendar year, the rate is $3 per person admitted; for
20a licensee that admitted more than 1,000,000 but no more than
212,300,000 persons in the previous calendar year, the rate is $4
22per person admitted; and for a licensee that admitted more than
232,300,000 persons in the previous calendar year, the rate is $5
24per person admitted.
25 (1) The admission fee shall be paid for each admission.
26 (2) (Blank).

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1 (3) The licensed manager may issue fee-free passes to
2 actual and necessary officials and employees of the manager
3 or other persons actually working on the riverboat.
4 (4) The number and issuance of fee-free passes is
5 subject to the rules of the Board, and a list of all
6 persons to whom the fee-free passes are issued shall be
7 filed with the Board.
8 (b) Except as provided in subsection (b-5), from From the
9tax imposed under subsection (a) and the fee imposed under
10subsection (a-5), a municipality shall receive from the State
11$1 for each person embarking on a riverboat docked within the
12municipality or entering a casino located within the
13municipality, and a county shall receive $1 for each person
14entering a casino or embarking on a riverboat docked within the
15county but outside the boundaries of any municipality. The
16municipality's or county's share shall be collected by the
17Board on behalf of the State and remitted quarterly by the
18State, subject to appropriation, to the treasurer of the unit
19of local government for deposit in the general fund.
20 (b-5) From the tax imposed under subsection (a) and the fee
21imposed under subsection (a-5), $1 for each person embarking on
22a riverboat designated in paragraph (4) of subsection (e-5) of
23Section 7 shall be divided as follows: $0.70 to the City of
24Rockford, $0.05 to the City of Loves Park, $0.05 to the Village
25of Machesney Park, and $0.20 to Winnebago County.
26 The municipality's or county's share shall be collected by

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1the Board on behalf of the State and remitted monthly by the
2State, subject to appropriation, to the treasurer of the unit
3of local government for deposit in the general fund.
4 (b-10) From the tax imposed under subsection (a) and the
5fee imposed under subsection (a-5), $1 for each person
6embarking on a riverboat or entering a casino designated in
7paragraph (1) of subsection (e-5) of Section 7 shall be divided
8as follows: $0.70 to the City of Chicago, $0.15 to the Village
9of Maywood, and $0.15 to the Village of Summit.
10 The municipality's or county's share shall be collected by
11the Board on behalf of the State and remitted monthly by the
12State, subject to appropriation, to the treasurer of the unit
13of local government for deposit in the general fund.
14 (b-15) From the tax imposed under subsection (a) and the
15fee imposed under subsection (a-5), $1 for each person
16embarking on a riverboat or entering a casino designated in
17paragraph (2) of subsection (e-5) of Section 7 shall be divided
18as follows: $0.70 to the City of Danville and $0.30 to
19Vermilion County.
20 The municipality's or county's share shall be collected by
21the Board on behalf of the State and remitted monthly by the
22State, subject to appropriation, to the treasurer of the unit
23of local government for deposit in the general fund.
24 (c) The licensed owner shall pay the entire admission tax
25to the Board and the licensed manager shall pay the entire
26admission fee to the Board. Such payments shall be made daily.

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1Accompanying each payment shall be a return on forms provided
2by the Board which shall include other information regarding
3admissions as the Board may require. Failure to submit either
4the payment or the return within the specified time may result
5in suspension or revocation of the owners or managers license.
6 (c-5) A tax is imposed on admissions to organization gaming
7facilities at the rate of $3 per person admitted by an
8organization gaming licensee. The tax is imposed upon the
9organization gaming licensee.
10 (1) The admission tax shall be paid for each admission,
11 except that a person who exits an organization gaming
12 facility and reenters that organization gaming facility
13 within the same gaming day, as the term "gaming day" is
14 defined by the Board by rule, shall be subject only to the
15 initial admission tax. The Board shall establish, by rule,
16 a procedure to determine whether a person admitted to an
17 organization gaming facility has paid the admission tax.
18 (2) An organization gaming licensee may issue tax-free
19 passes to actual and necessary officials and employees of
20 the licensee and other persons associated with its gaming
21 operations.
22 (3) The number and issuance of tax-free passes is
23 subject to the rules of the Board, and a list of all
24 persons to whom the tax-free passes are issued shall be
25 filed with the Board.
26 (4) The organization gaming licensee shall pay the

HB5561- 636 -LRB101 17547 JWD 66965 b
1 entire admission tax to the Board.
2 Such payments shall be made daily. Accompanying each
3payment shall be a return on forms provided by the Board, which
4shall include other information regarding admission as the
5Board may require. Failure to submit either the payment or the
6return within the specified time may result in suspension or
7revocation of the organization gaming license.
8 From the tax imposed under this subsection (c-5), a
9municipality other than the Village of Stickney or the City of
10Collinsville in which an organization gaming facility is
11located, or if the organization gaming facility is not located
12within a municipality, then the county in which the
13organization gaming facility is located, except as otherwise
14provided in this Section, shall receive, subject to
15appropriation, $1 for each person who enters the organization
16gaming facility. For each admission to the organization gaming
17facility in excess of 1,500,000 in a year, from the tax imposed
18under this subsection (c-5), the county in which the
19organization gaming facility is located shall receive, subject
20to appropriation, $0.30, which shall be in addition to any
21other moneys paid to the county under this Section.
22 From the tax imposed under this subsection (c-5) on an
23organization gaming facility located in the Village of
24Stickney, $1 for each person who enters the organization gaming
25facility shall be distributed as follows, subject to
26appropriation: $0.24 to the Village of Stickney, $0.49 to the

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1Town of Cicero, $0.05 to the City of Berwyn, and $0.17 to the
2Stickney Public Health District, and $0.05 to the City of
3Bridgeview.
4 From the tax imposed under this subsection (c-5) on an
5organization gaming facility located in the City of
6Collinsville, the following shall each receive 10 cents for
7each person who enters the organization gaming facility,
8subject to appropriation: the Village of Alorton; the Village
9of Washington Park; State Park Place; the Village of Fairmont
10City; the City of Centreville; the Village of Brooklyn; the
11City of Venice; the City of Madison; the Village of Caseyville;
12and the Village of Pontoon Beach.
13 On the 25th day of each month, all amounts remaining after
14payments required under this subsection (c-5) have been made
15shall be transferred into the Capital Projects Fund.
16 (d) The Board shall administer and collect the admission
17tax imposed by this Section, to the extent practicable, in a
18manner consistent with the provisions of Sections 4, 5, 5a, 5b,
195c, 5d, 5e, 5f, 5g, 5i, 5j, 6, 6a, 6b, 6c, 8, 9 and 10 of the
20Retailers' Occupation Tax Act and Section 3-7 of the Uniform
21Penalty and Interest Act.
22(Source: P.A. 101-31, eff. 6-28-19.)
23 (230 ILCS 10/14) (from Ch. 120, par. 2414)
24 Sec. 14. Licensees - Records - Reports - Supervision.
25 (a) Licensed owners and organization gaming licensees A

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1licensed owner shall keep his books and records so as to
2clearly show the following:
3 (1) The amount received daily from admission fees.
4 (2) The total amount of gross receipts.
5 (3) The total amount of the adjusted gross receipts.
6 (b) Licensed owners and organization gaming licensees The
7licensed owner shall furnish to the Board reports and
8information as the Board may require with respect to its
9activities on forms designed and supplied for such purpose by
10the Board.
11 (c) The books and records kept by a licensed owner as
12provided by this Section are public records and the
13examination, publication, and dissemination of the books and
14records are governed by the provisions of The Freedom of
15Information Act.
16(Source: P.A. 101-31, eff. 6-28-19.)
17 (230 ILCS 10/15) (from Ch. 120, par. 2415)
18 Sec. 15. Audit of Licensee Operations. Annually, the
19licensed owner, or manager, or organization gaming licensee
20shall transmit to the Board an audit of the financial
21transactions and condition of the licensee's or manager's total
22operations. Additionally, within 90 days after the end of each
23quarter of each fiscal year, the licensed owner, or manager, or
24organization gaming licensee shall transmit to the Board a
25compliance report on engagement procedures determined by the

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1Board. All audits and compliance engagements shall be conducted
2by certified public accountants selected by the Board. Each
3certified public accountant must be registered in the State of
4Illinois under the Illinois Public Accounting Act. The
5compensation for each certified public accountant shall be paid
6directly by the licensed owner, or manager, or organization
7gaming licensee to the certified public accountant.
8(Source: P.A. 101-31, eff. 6-28-19.)
9 (230 ILCS 10/17) (from Ch. 120, par. 2417)
10 Sec. 17. Administrative Procedures. The Illinois
11Administrative Procedure Act shall apply to all administrative
12rules and procedures of the Board under this Act and or the
13Video Gaming Act, except that: (1) subsection (b) of Section
145-10 of the Illinois Administrative Procedure Act does not
15apply to final orders, decisions and opinions of the Board; (2)
16subsection (a) of Section 5-10 of the Illinois Administrative
17Procedure Act does not apply to forms established by the Board
18for use under this Act and or the Video Gaming Act; (3) the
19provisions of Section 10-45 of the Illinois Administrative
20Procedure Act regarding proposals for decision are excluded
21under this Act and or the Video Gaming Act; and (4) the
22provisions of subsection (d) of Section 10-65 of the Illinois
23Administrative Procedure Act do not apply so as to prevent
24summary suspension of any license pending revocation or other
25action, which suspension shall remain in effect unless modified

HB5561- 640 -LRB101 17547 JWD 66965 b
1by the Board or unless the Board's decision is reversed on the
2merits upon judicial review.
3(Source: P.A. 101-31, eff. 6-28-19.)
4 (230 ILCS 10/17.1) (from Ch. 120, par. 2417.1)
5 Sec. 17.1. Judicial Review.
6 (a) Jurisdiction and venue for the judicial review of a
7final order of the Board relating to licensed owners,
8suppliers, organization gaming licensees, and or special event
9licenses is vested in the Appellate Court of the judicial
10district in which Sangamon County is located. A petition for
11judicial review of a final order of the Board must be filed in
12the Appellate Court, within 35 days from the date that a copy
13of the decision sought to be reviewed was served upon the party
14affected by the decision.
15 (b) Judicial review of all other final orders of the Board
16shall be conducted in accordance with the Administrative Review
17Law.
18(Source: P.A. 101-31, eff. 6-28-19.)
19 (230 ILCS 10/18) (from Ch. 120, par. 2418)
20 Sec. 18. Prohibited Activities - Penalty.
21 (a) A person is guilty of a Class A misdemeanor for doing
22any of the following:
23 (1) Conducting gambling where wagering is used or to be
24 used without a license issued by the Board.

HB5561- 641 -LRB101 17547 JWD 66965 b
1 (2) Conducting gambling where wagering is permitted
2 other than in the manner specified by Section 11.
3 (b) A person is guilty of a Class B misdemeanor for doing
4any of the following:
5 (1) permitting a person under 21 years to make a wager;
6 or
7 (2) violating paragraph (12) of subsection (a) of
8 Section 11 of this Act.
9 (c) A person wagering or accepting a wager at any location
10outside the riverboat, casino, or organization gaming facility
11in violation of paragraph is subject to the penalties in
12paragraphs (1) or (2) of subsection (a) of Section 28-1 of the
13Criminal Code of 2012 is subject to the penalties provided in
14that Section.
15 (d) A person commits a Class 4 felony and, in addition,
16shall be barred for life from gambling operations riverboats
17under the jurisdiction of the Board, if the person does any of
18the following:
19 (1) Offers, promises, or gives anything of value or
20 benefit to a person who is connected with a riverboat or
21 casino owner or organization gaming licensee, including,
22 but not limited to, an officer or employee of a licensed
23 owner, organization gaming licensee, or holder of an
24 occupational license pursuant to an agreement or
25 arrangement or with the intent that the promise or thing of
26 value or benefit will influence the actions of the person

HB5561- 642 -LRB101 17547 JWD 66965 b
1 to whom the offer, promise, or gift was made in order to
2 affect or attempt to affect the outcome of a gambling game,
3 or to influence official action of a member of the Board.
4 (2) Solicits or knowingly accepts or receives a promise
5 of anything of value or benefit while the person is
6 connected with a riverboat, casino, or organization gaming
7 facility, including, but not limited to, an officer or
8 employee of a licensed owner or organization gaming
9 licensee, or the holder of an occupational license,
10 pursuant to an understanding or arrangement or with the
11 intent that the promise or thing of value or benefit will
12 influence the actions of the person to affect or attempt to
13 affect the outcome of a gambling game, or to influence
14 official action of a member of the Board.
15 (3) Uses or possesses with the intent to use a device
16 to assist:
17 (i) In projecting the outcome of the game.
18 (ii) In keeping track of the cards played.
19 (iii) In analyzing the probability of the
20 occurrence of an event relating to the gambling game.
21 (iv) In analyzing the strategy for playing or
22 betting to be used in the game except as permitted by
23 the Board.
24 (4) Cheats at a gambling game.
25 (5) Manufactures, sells, or distributes any cards,
26 chips, dice, game or device which is intended to be used to

HB5561- 643 -LRB101 17547 JWD 66965 b
1 violate any provision of this Act.
2 (6) Alters or misrepresents the outcome of a gambling
3 game on which wagers have been made after the outcome is
4 made sure but before it is revealed to the players.
5 (7) Places a bet after acquiring knowledge, not
6 available to all players, of the outcome of the gambling
7 game which is subject of the bet or to aid a person in
8 acquiring the knowledge for the purpose of placing a bet
9 contingent on that outcome.
10 (8) Claims, collects, or takes, or attempts to claim,
11 collect, or take, money or anything of value in or from the
12 gambling games, with intent to defraud, without having made
13 a wager contingent on winning a gambling game, or claims,
14 collects, or takes an amount of money or thing of value of
15 greater value than the amount won.
16 (9) Uses counterfeit chips or tokens in a gambling
17 game.
18 (10) Possesses any key or device designed for the
19 purpose of opening, entering, or affecting the operation of
20 a gambling game, drop box, or an electronic or mechanical
21 device connected with the gambling game or for removing
22 coins, tokens, chips or other contents of a gambling game.
23 This paragraph (10) does not apply to a gambling licensee
24 or employee of a gambling licensee acting in furtherance of
25 the employee's employment.
26 (e) The possession of more than one of the devices

HB5561- 644 -LRB101 17547 JWD 66965 b
1described in subsection (d), paragraphs (3), (5), or (10)
2permits a rebuttable presumption that the possessor intended to
3use the devices for cheating.
4 (f) A person under the age of 21 who, except as authorized
5under paragraph (10) of Section 11, enters upon a riverboat or
6in a casino or organization gaming facility commits a petty
7offense and is subject to a fine of not less than $100 or more
8than $250 for a first offense and of not less than $200 or more
9than $500 for a second or subsequent offense.
10 An action to prosecute any crime occurring on a riverboat
11shall be tried in the county of the dock at which the riverboat
12is based. An action to prosecute any crime occurring in a
13casino or organization gaming facility shall be tried in the
14county in which the casino or organization gaming facility is
15located.
16(Source: P.A. 101-31, eff. 6-28-19.)
17 (230 ILCS 10/18.1)
18 Sec. 18.1. Distribution of certain fines. If a fine is
19imposed on an owners owner licensee or an organization gaming
20licensee for knowingly sending marketing or promotional
21materials to any person placed on the self-exclusion list, then
22the Board shall distribute an amount equal to 15% of the fine
23imposed to the unit of local government in which the casino,
24riverboat, or organization gaming facility is located for the
25purpose of awarding grants to non-profit entities that assist

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1gambling addicts.
2(Source: P.A. 101-31, eff. 6-28-19.)
3 (230 ILCS 10/19) (from Ch. 120, par. 2419)
4 Sec. 19. Forfeiture of property.
5 (a) Except as provided in subsection (b), any riverboat,
6casino, or organization gaming facility used for the conduct of
7gambling games in violation of this Act shall be considered a
8gambling place in violation of Section 28-3 of the Criminal
9Code of 2012. Every gambling device found on a riverboat, in a
10casino, or at an organization gaming facility operating
11gambling games in violation of this Act and every slot machine
12and video game of chance found at an organization gaming
13facility operating gambling games in violation of this Act
14shall be subject to seizure, confiscation and destruction as
15provided in Section 28-5 of the Criminal Code of 2012.
16 (b) It is not a violation of this Act for a riverboat or
17other watercraft which is licensed for gaming by a contiguous
18state to dock on the shores of this State if the municipality
19having jurisdiction of the shores, or the county in the case of
20unincorporated areas, has granted permission for docking and no
21gaming is conducted on the riverboat or other watercraft while
22it is docked on the shores of this State. No gambling device
23shall be subject to seizure, confiscation or destruction if the
24gambling device is located on a riverboat or other watercraft
25which is licensed for gaming by a contiguous state and which is

HB5561- 646 -LRB101 17547 JWD 66965 b
1docked on the shores of this State if the municipality having
2jurisdiction of the shores, or the county in the case of
3unincorporated areas, has granted permission for docking and no
4gaming is conducted on the riverboat or other watercraft while
5it is docked on the shores of this State.
6(Source: P.A. 101-31, eff. 6-28-19.)
7 (230 ILCS 10/20) (from Ch. 120, par. 2420)
8 Sec. 20. Prohibited activities - civil penalties. Any
9person who conducts a gambling operation without first
10obtaining a license to do so, or who continues to conduct such
11games after revocation of his license, or any licensee who
12conducts or allows to be conducted any unauthorized gambling
13games on a riverboat, in a casino, or at an organization gaming
14facility where it is authorized to conduct its riverboat
15gambling operation, in addition to other penalties provided,
16shall be subject to a civil penalty equal to the amount of
17gross receipts derived from wagering on the gambling games,
18whether unauthorized or authorized, conducted on that day as
19well as confiscation and forfeiture of all gambling game
20equipment used in the conduct of unauthorized gambling games.
21(Source: P.A. 101-31, eff. 6-28-19.)
22 (230 ILCS 10/24)
23 Sec. 24. Applicability of this Illinois Riverboat Gambling
24Act. The provisions of this the Illinois Riverboat Gambling

HB5561- 647 -LRB101 17547 JWD 66965 b
1Act, and all rules promulgated thereunder, shall apply to the
2Video Gaming Act, except where there is a conflict between the
32 Acts. In the event of a conflict between this Act and the
4Video Gaming Act, the terms of this Act shall prevail.
5(Source: P.A. 101-31, eff. 6-28-19.)
6 Section 10-430. The Video Gaming Act is amended by changing
7Sections 5, 15, 20, 25, 30, 35, 45, 55, 58, 60, 79, and 80 as
8follows:
9 (230 ILCS 40/5)
10 Sec. 5. Definitions. As used in this Act:
11 "Board" means the Illinois Gaming Board.
12 "Credit" means one, 5, 10, or 25 cents either won or
13purchased by a player.
14 "Distributor" means an individual, partnership,
15corporation, or limited liability company licensed under this
16Act to buy, sell, lease, or distribute video gaming terminals
17or major components or parts of video gaming terminals to or
18from terminal operators.
19 "Electronic card" means a card purchased from a licensed
20establishment, licensed fraternal establishment, licensed
21veterans establishment, or licensed truck stop establishment,
22or licensed large truck stop establishment for use in that
23establishment as a substitute for cash in the conduct of gaming
24on a video gaming terminal.

HB5561- 648 -LRB101 17547 JWD 66965 b
1 "Electronic voucher" means a voucher printed by an
2electronic video game machine that is redeemable in the
3licensed establishment for which it was issued.
4 "In-location bonus jackpot" means one or more video gaming
5terminals at a single licensed establishment that allows for
6wagers placed on such video gaming terminals to contribute to a
7cumulative maximum jackpot of up to $10,000.
8 "Terminal operator" means an individual, partnership,
9corporation, or limited liability company that is licensed
10under this Act and that owns, services, and maintains video
11gaming terminals for placement in licensed establishments,
12licensed truck stop establishments, licensed large truck stop
13establishments, licensed fraternal establishments, or licensed
14veterans establishments.
15 "Licensed technician" means an individual who is licensed
16under this Act to repair, service, and maintain video gaming
17terminals.
18 "Licensed terminal handler" means a person, including but
19not limited to an employee or independent contractor working
20for a manufacturer, distributor, supplier, technician, or
21terminal operator, who is licensed under this Act to possess or
22control a video gaming terminal or to have access to the inner
23workings of a video gaming terminal. A licensed terminal
24handler does not include an individual, partnership,
25corporation, or limited liability company defined as a
26manufacturer, distributor, supplier, technician, or terminal

HB5561- 649 -LRB101 17547 JWD 66965 b
1operator under this Act.
2 "Manufacturer" means an individual, partnership,
3corporation, or limited liability company that is licensed
4under this Act and that manufactures or assembles video gaming
5terminals.
6 "Supplier" means an individual, partnership, corporation,
7or limited liability company that is licensed under this Act to
8supply major components or parts to video gaming terminals to
9licensed terminal operators.
10 "Net terminal income" means money put into a video gaming
11terminal minus credits paid out to players.
12 "Video gaming terminal" means any electronic video game
13machine that, upon insertion of cash, electronic cards or
14vouchers, or any combination thereof, is available to play or
15simulate the play of a video game, including but not limited to
16video poker, line up, and blackjack, as authorized by the Board
17utilizing a video display and microprocessors in which the
18player may receive free games or credits that can be redeemed
19for cash. The term does not include a machine that directly
20dispenses coins, cash, or tokens or is for amusement purposes
21only.
22 "Licensed establishment" means any licensed retail
23establishment where alcoholic liquor is drawn, poured, mixed,
24or otherwise served for consumption on the premises, whether
25the establishment operates on a nonprofit or for-profit basis.
26"Licensed establishment" includes any such establishment that

HB5561- 650 -LRB101 17547 JWD 66965 b
1has a contractual relationship with an inter-track wagering
2location licensee licensed under the Illinois Horse Racing Act
3of 1975, provided any contractual relationship shall not
4include any transfer or offer of revenue from the operation of
5video gaming under this Act to any licensee licensed under the
6Illinois Horse Racing Act of 1975. Provided, however, that the
7licensed establishment that has such a contractual
8relationship with an inter-track wagering location licensee
9may not, itself, be (i) an inter-track wagering location
10licensee, (ii) the corporate parent or subsidiary of any
11licensee licensed under the Illinois Horse Racing Act of 1975,
12or (iii) the corporate subsidiary of a corporation that is also
13the corporate parent or subsidiary of any licensee licensed
14under the Illinois Horse Racing Act of 1975. "Licensed
15establishment" does not include a facility operated by an
16organization licensee, an inter-track wagering licensee, or an
17inter-track wagering location licensee licensed under the
18Illinois Horse Racing Act of 1975 or a riverboat licensed under
19the Illinois Riverboat Gambling Act, except as provided in this
20paragraph. The changes made to this definition by Public Act
2198-587 are declarative of existing law.
22 "Licensed fraternal establishment" means the location
23where a qualified fraternal organization that derives its
24charter from a national fraternal organization regularly
25meets.
26 "Licensed veterans establishment" means the location where

HB5561- 651 -LRB101 17547 JWD 66965 b
1a qualified veterans organization that derives its charter from
2a national veterans organization regularly meets.
3 "Licensed truck stop establishment" means a facility (i)
4that is at least a 3-acre facility with a convenience store,
5(ii) with separate diesel islands for fueling commercial motor
6vehicles, (iii) that sells at retail more than 10,000 gallons
7of diesel or biodiesel fuel per month, and (iv) with parking
8spaces for commercial motor vehicles. "Commercial motor
9vehicles" has the same meaning as defined in Section 18b-101 of
10the Illinois Vehicle Code. The requirement of item (iii) of
11this paragraph may be met by showing that estimated future
12sales or past sales average at least 10,000 gallons per month.
13 "Licensed large truck stop establishment" means a facility
14located within 3 road miles from a freeway interchange, as
15measured in accordance with the Department of Transportation's
16rules regarding the criteria for the installation of business
17signs: (i) that is at least a 3-acre facility with a
18convenience store, (ii) with separate diesel islands for
19fueling commercial motor vehicles, (iii) that sells at retail
20more than 50,000 gallons of diesel or biodiesel fuel per month,
21and (iv) with parking spaces for commercial motor vehicles.
22"Commercial motor vehicles" has the same meaning as defined in
23Section 18b-101 of the Illinois Vehicle Code. The requirement
24of item (iii) of this paragraph may be met by showing that
25estimated future sales or past sales average at least 50,000
26gallons per month.

HB5561- 652 -LRB101 17547 JWD 66965 b
1(Source: P.A. 101-31, eff. 6-28-19.)
2 (230 ILCS 40/15)
3 Sec. 15. Minimum requirements for licensing and
4registration. Every video gaming terminal offered for play
5shall first be tested and approved pursuant to the rules of the
6Board, and each video gaming terminal offered in this State for
7play shall conform to an approved model. For the examination of
8video gaming machines and associated equipment as required by
9this Section, the Board shall may utilize the services of one
10or more independent outside testing laboratories that have been
11accredited in accordance with ISO/IEC 17025 by an accreditation
12body that is a signatory to the International Laboratory
13Accreditation Cooperation Mutual Recognition Agreement
14signifying they are qualified to by a national accreditation
15body and that, in the judgment of the Board, are qualified to
16perform such examinations. Notwithstanding any law to the
17contrary, the Board shall consider the licensing of independent
18outside testing laboratory applicants in accordance with
19procedures established by the Board by rule. The Board shall
20not withhold its approval of an independent outside testing
21laboratory license applicant that has been accredited as
22required by this Section and is licensed in gaming
23jurisdictions comparable to Illinois. Upon the finalization of
24required rules, the Board shall license independent testing
25laboratories and accept the test reports of any licensed

HB5561- 653 -LRB101 17547 JWD 66965 b
1testing laboratory of the video gaming machine's or associated
2equipment manufacturer's choice, notwithstanding the existence
3of contracts between the Board and any independent testing
4laboratory. Every video gaming terminal offered in this State
5for play must meet minimum standards set by an independent
6outside testing laboratory approved by the Board. Each approved
7model shall, at a minimum, meet the following criteria:
8 (1) It must conform to all requirements of federal law
9 and regulations, including FCC Class A Emissions
10 Standards.
11 (2) It must theoretically pay out a mathematically
12 demonstrable percentage during the expected lifetime of
13 the machine of all amounts played, which must not be less
14 than 80%. The Board shall establish a maximum payout
15 percentage for approved models by rule. Video gaming
16 terminals that may be affected by skill must meet this
17 standard when using a method of play that will provide the
18 greatest return to the player over a period of continuous
19 play.
20 (3) It must use a random selection process to determine
21 the outcome of each play of a game. The random selection
22 process must meet 99% confidence limits using a standard
23 chi-squared test for (randomness) goodness of fit.
24 (4) It must display an accurate representation of the
25 game outcome.
26 (5) It must not automatically alter pay tables or any

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1 function of the video gaming terminal based on internal
2 computation of hold percentage or have any means of
3 manipulation that affects the random selection process or
4 probabilities of winning a game.
5 (6) It must not be adversely affected by static
6 discharge or other electromagnetic interference.
7 (7) It must be capable of detecting and displaying the
8 following conditions during idle states or on demand: power
9 reset; door open; and door just closed.
10 (8) It must have the capacity to display complete play
11 history (outcome, intermediate play steps, credits
12 available, bets placed, credits paid, and credits cashed
13 out) for the most recent game played and 10 games prior
14 thereto.
15 (9) The theoretical payback percentage of a video
16 gaming terminal must not be capable of being changed
17 without making a hardware or software change in the video
18 gaming terminal, either on site or via the central
19 communications system.
20 (10) Video gaming terminals must be designed so that
21 replacement of parts or modules required for normal
22 maintenance does not necessitate replacement of the
23 electromechanical meters.
24 (11) It must have nonresettable meters housed in a
25 locked area of the terminal that keep a permanent record of
26 all cash inserted into the machine, all winnings made by

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1 the terminal printer, credits played in for video gaming
2 terminals, and credits won by video gaming players. The
3 video gaming terminal must provide the means for on-demand
4 display of stored information as determined by the Board.
5 (12) Electronically stored meter information required
6 by this Section must be preserved for a minimum of 180 days
7 after a power loss to the service.
8 (13) It must have one or more mechanisms that accept
9 cash in the form of bills. The mechanisms shall be designed
10 to prevent obtaining credits without paying by stringing,
11 slamming, drilling, or other means. If such attempts at
12 physical tampering are made, the video gaming terminal
13 shall suspend itself from operating until reset.
14 (14) It shall have accounting software that keeps an
15 electronic record which includes, but is not limited to,
16 the following: total cash inserted into the video gaming
17 terminal; the value of winning tickets claimed by players;
18 the total credits played; the total credits awarded by a
19 video gaming terminal; and pay back percentage credited to
20 players of each video game.
21 (15) It shall be linked by a central communications
22 system to provide auditing program information as approved
23 by the Board. The central communications system shall use a
24 standard industry protocol, as defined by the Gaming
25 Standards Association, and shall have the functionality to
26 enable the Board or its designee to activate or deactivate

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1 individual gaming devices from the central communications
2 system. In no event may the communications system approved
3 by the Board limit participation to only one manufacturer
4 of video gaming terminals by either the cost in
5 implementing the necessary program modifications to
6 communicate or the inability to communicate with the
7 central communications system.
8 (16) The Board, in its discretion, may require video
9 gaming terminals to display Amber Alert messages if the
10 Board makes a finding that it would be economically and
11 technically feasible and pose no risk to the integrity and
12 security of the central communications system and video
13 gaming terminals.
14 Licensed terminal handlers shall have access to video
15gaming terminals, including, but not limited to, logic door
16access, without the physical presence or supervision of the
17Board or its agent to perform, in coordination with and with
18project approval from the central communication system
19provider:
20 (i) the clearing of the random access memory and
21 reprogramming of the video gaming terminal;
22 (ii) the installation of new video gaming terminal
23 software and software upgrades that have been approved by
24 the Board;
25 (iii) the placement, connection to the central
26 communication system, and go-live operation of video

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1 gaming terminals at a licensed establishment, licensed
2 truck stop establishment, licensed large truck stop
3 establishment, licensed fraternal establishment, or
4 licensed veterans establishment;
5 (iv) the repair and maintenance of a video gaming
6 terminal located at a licensed establishment, licensed
7 truck stop establishment, licensed large truck stop
8 establishment, licensed fraternal establishment, or
9 licensed veterans establishment, including, but not
10 limited to, the replacement of the video gaming terminal
11 with a new video gaming terminal;
12 (v) the temporary movement, disconnection,
13 replacement, and reconnection of video gaming terminals to
14 allow for physical improvements and repairs at a licensed
15 establishment, licensed truck stop establishment, licensed
16 large truck stop establishment, licensed fraternal
17 establishment, or licensed veterans establishment, such as
18 replacement of flooring, interior repairs, and other
19 similar activities; and
20 (vi) such other functions as the Board may otherwise
21 authorize.
22 The Board shall, at a licensed terminal operator's expense,
23cause all keys and other required devices to be provided to a
24terminal operator necessary to allow the licensed terminal
25handler access to the logic door to the terminal operator's
26video gaming terminals.

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1 The Board may adopt rules to establish additional criteria
2to preserve the integrity and security of video gaming in this
3State. The central communications system vendor may be licensed
4as a video gaming terminal manufacturer or a video gaming
5terminal distributor, or both, but in no event shall the
6central communications system vendor be licensed as a video
7gaming terminal operator.
8 The Board shall not permit the development of information
9or the use by any licensee of gaming device or individual game
10performance data. Nothing in this Act shall inhibit or prohibit
11the Board from the use of gaming device or individual game
12performance data in its regulatory duties. The Board shall
13adopt rules to ensure that all licensees are treated and all
14licensees act in a non-discriminatory manner and develop
15processes and penalties to enforce those rules.
16(Source: P.A. 101-31, eff. 6-28-19.)
17 (230 ILCS 40/20)
18 Sec. 20. Video gaming terminal payouts Direct dispensing of
19receipt tickets only.
20 (a) A video gaming terminal may not directly dispense
21coins, cash, tokens, or any other article of exchange or value
22except for receipt tickets. Tickets shall be dispensed by
23pressing the ticket dispensing button on the video gaming
24terminal at the end of one's turn or play. The ticket shall
25indicate the total amount of credits and the cash award, the

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1time of day in a 24-hour format showing hours and minutes, the
2date, the terminal serial number, the sequential number of the
3ticket, and an encrypted validation number from which the
4validity of the prize may be determined. The player shall turn
5in this ticket to the appropriate person at the licensed
6establishment, licensed truck stop establishment, licensed
7large truck stop establishment, licensed fraternal
8establishment, or licensed veterans establishment to receive
9the cash award.
10 (b) The cost of the credit shall be one cent, 5 cents, 10
11cents, or 25 cents, or $1, and the maximum wager played per
12hand shall not exceed $4 $2. No cash award for the maximum
13wager on any individual hand shall exceed $1,199 $500. No cash
14award for the maximum wager on a jackpot, progressive or
15otherwise, shall exceed $10,000.
16 (c) In-location bonus jackpot games are hereby authorized.
17The Board shall adopt emergency rules pursuant to Section 5-45
18of the Illinois Administrative Procedure Act to implement this
19subsection (c) within 90 days after the effective date of this
20amendatory Act of the 101st General Assembly. Jackpot winnings
21from in-location progressive games shall be paid by the
22terminal operator to the player not later than 3 days after
23winning such a jackpot.
24(Source: P.A. 101-31, eff. 6-28-19.)
25 (230 ILCS 40/25)

HB5561- 660 -LRB101 17547 JWD 66965 b
1 Sec. 25. Restriction of licensees.
2 (a) Manufacturer. A person may not be licensed as a
3manufacturer of a video gaming terminal in Illinois unless the
4person has a valid manufacturer's license issued under this
5Act. A manufacturer may only sell video gaming terminals for
6use in Illinois to persons having a valid distributor's
7license.
8 (b) Distributor. A person may not sell, distribute, or
9lease or market a video gaming terminal in Illinois unless the
10person has a valid distributor's license issued under this Act.
11A distributor may only sell video gaming terminals for use in
12Illinois to persons having a valid distributor's or terminal
13operator's license.
14 (c) Terminal operator. A person may not own, maintain, or
15place a video gaming terminal unless he has a valid terminal
16operator's license issued under this Act. A terminal operator
17may only place video gaming terminals for use in Illinois in
18licensed establishments, licensed truck stop establishments,
19licensed large truck stop establishments, licensed fraternal
20establishments, and licensed veterans establishments. No
21terminal operator may give anything of value, including but not
22limited to a loan or financing arrangement, to a licensed
23establishment, licensed truck stop establishment, licensed
24large truck stop establishment, licensed fraternal
25establishment, or licensed veterans establishment as any
26incentive or inducement to locate video terminals in that

HB5561- 661 -LRB101 17547 JWD 66965 b
1establishment. Of the after-tax profits from a video gaming
2terminal, 50% shall be paid to the terminal operator and 50%
3shall be paid to the licensed establishment, licensed truck
4stop establishment, licensed large truck stop establishment,
5licensed fraternal establishment, or licensed veterans
6establishment, notwithstanding any agreement to the contrary.
7A video terminal operator that violates one or more
8requirements of this subsection is guilty of a Class 4 felony
9and is subject to termination of his or her license by the
10Board.
11 (d) Licensed technician. A person may not service,
12maintain, or repair a video gaming terminal in this State
13unless he or she (1) has a valid technician's license issued
14under this Act, (2) is a terminal operator, or (3) is employed
15by a terminal operator, distributor, or manufacturer.
16 (d-5) Licensed terminal handler. No person, including, but
17not limited to, an employee or independent contractor working
18for a manufacturer, distributor, supplier, technician, or
19terminal operator licensed pursuant to this Act, shall have
20possession or control of a video gaming terminal, or access to
21the inner workings of a video gaming terminal, unless that
22person possesses a valid terminal handler's license issued
23under this Act.
24 (e) Licensed establishment. No video gaming terminal may be
25placed in any licensed establishment, licensed veterans
26establishment, licensed truck stop establishment, licensed

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1large truck stop establishment, or licensed fraternal
2establishment unless the owner or agent of the owner of the
3licensed establishment, licensed veterans establishment,
4licensed truck stop establishment, licensed large truck stop
5establishment, or licensed fraternal establishment has entered
6into a written use agreement with the terminal operator for
7placement of the terminals. A copy of the use agreement shall
8be on file in the terminal operator's place of business and
9available for inspection by individuals authorized by the
10Board. A licensed establishment, licensed truck stop
11establishment, licensed veterans establishment, or licensed
12fraternal establishment may operate up to 6 5 video gaming
13terminals on its premises at any time. A licensed large truck
14stop establishment may operate up to 10 video gaming terminals
15on its premises at any time.
16 (f) (Blank).
17 (g) Financial interest restrictions. As used in this Act,
18"substantial interest" in a partnership, a corporation, an
19organization, an association, a business, or a limited
20liability company means:
21 (A) When, with respect to a sole proprietorship, an
22 individual or his or her spouse owns, operates, manages, or
23 conducts, directly or indirectly, the organization,
24 association, or business, or any part thereof; or
25 (B) When, with respect to a partnership, the individual
26 or his or her spouse shares in any of the profits, or

HB5561- 663 -LRB101 17547 JWD 66965 b
1 potential profits, of the partnership activities; or
2 (C) When, with respect to a corporation, an individual
3 or his or her spouse is an officer or director, or the
4 individual or his or her spouse is a holder, directly or
5 beneficially, of 5% or more of any class of stock of the
6 corporation; or
7 (D) When, with respect to an organization not covered
8 in (A), (B) or (C) above, an individual or his or her
9 spouse is an officer or manages the business affairs, or
10 the individual or his or her spouse is the owner of or
11 otherwise controls 10% or more of the assets of the
12 organization; or
13 (E) When an individual or his or her spouse furnishes
14 5% or more of the capital, whether in cash, goods, or
15 services, for the operation of any business, association,
16 or organization during any calendar year; or
17 (F) When, with respect to a limited liability company,
18 an individual or his or her spouse is a member, or the
19 individual or his or her spouse is a holder, directly or
20 beneficially, of 5% or more of the membership interest of
21 the limited liability company.
22 For purposes of this subsection (g), "individual" includes
23all individuals or their spouses whose combined interest would
24qualify as a substantial interest under this subsection (g) and
25whose activities with respect to an organization, association,
26or business are so closely aligned or coordinated as to

HB5561- 664 -LRB101 17547 JWD 66965 b
1constitute the activities of a single entity.
2 (h) Location restriction. A licensed establishment,
3licensed truck stop establishment, licensed large truck stop
4establishment, licensed fraternal establishment, or licensed
5veterans establishment that is (i) located within 1,000 feet of
6a facility operated by an organization licensee licensed under
7the Illinois Horse Racing Act of 1975 or the home dock of a
8riverboat licensed under the Illinois Riverboat Gambling Act or
9(ii) located within 100 feet of a school or a place of worship
10under the Religious Corporation Act, is ineligible to operate a
11video gaming terminal. The location restrictions in this
12subsection (h) do not apply if (A) a facility operated by an
13organization licensee, a school, or a place of worship moves to
14or is established within the restricted area after a licensed
15establishment, licensed truck stop establishment, licensed
16large truck stop establishment, licensed fraternal
17establishment, or licensed veterans establishment becomes
18licensed under this Act or (B) a school or place of worship
19moves to or is established within the restricted area after a
20licensed establishment, licensed truck stop establishment,
21licensed large truck stop establishment, licensed fraternal
22establishment, or licensed veterans establishment obtains its
23original liquor license. For the purpose of this subsection,
24"school" means an elementary or secondary public school, or an
25elementary or secondary private school registered with or
26recognized by the State Board of Education.

HB5561- 665 -LRB101 17547 JWD 66965 b
1 Notwithstanding the provisions of this subsection (h), the
2Board may waive the requirement that a licensed establishment,
3licensed truck stop establishment, licensed large truck stop
4establishment, licensed fraternal establishment, or licensed
5veterans establishment not be located within 1,000 feet from a
6facility operated by an organization licensee licensed under
7the Illinois Horse Racing Act of 1975 or the home dock of a
8riverboat licensed under the Illinois Riverboat Gambling Act.
9The Board shall not grant such waiver if there is any common
10ownership or control, shared business activity, or contractual
11arrangement of any type between the establishment and the
12organization licensee or owners licensee of a riverboat. The
13Board shall adopt rules to implement the provisions of this
14paragraph.
15 (h-5) Restrictions on licenses in malls. The Board shall
16not grant an application to become a licensed video gaming
17location if the Board determines that granting the application
18would more likely than not cause a terminal operator,
19individually or in combination with other terminal operators,
20licensed video gaming location, or other person or entity, to
21operate the video gaming terminals in 2 or more licensed video
22gaming locations as a single video gaming operation.
23 (1) In making determinations under this subsection
24 (h-5), factors to be considered by the Board shall include,
25 but not be limited to, the following:
26 (A) the physical aspects of the location;

HB5561- 666 -LRB101 17547 JWD 66965 b
1 (B) the ownership, control, or management of the
2 location;
3 (C) any arrangements, understandings, or
4 agreements, written or otherwise, among or involving
5 any persons or entities that involve the conducting of
6 any video gaming business or the sharing of costs or
7 revenues; and
8 (D) the manner in which any terminal operator or
9 other related entity markets, advertises, or otherwise
10 describes any location or locations to any other person
11 or entity or to the public.
12 (2) The Board shall presume, subject to rebuttal, that
13 the granting of an application to become a licensed video
14 gaming location within a mall will cause a terminal
15 operator, individually or in combination with other
16 persons or entities, to operate the video gaming terminals
17 in 2 or more licensed video gaming locations as a single
18 video gaming operation if the Board determines that
19 granting the license would create a local concentration of
20 licensed video gaming locations.
21 For the purposes of this subsection (h-5):
22 "Mall" means a building, or adjoining or connected
23buildings, containing 4 or more separate locations.
24 "Video gaming operation" means the conducting of video
25gaming and all related activities.
26 "Location" means a space within a mall containing a

HB5561- 667 -LRB101 17547 JWD 66965 b
1separate business, a place for a separate business, or a place
2subject to a separate leasing arrangement by the mall owner.
3 "Licensed video gaming location" means a licensed
4establishment, licensed fraternal establishment, licensed
5veterans establishment, licensed truck stop establishment, or
6licensed large truck stop.
7 "Local concentration of licensed video gaming locations"
8means that the combined number of licensed video gaming
9locations within a mall exceed half of the separate locations
10within the mall.
11 (i) Undue economic concentration. In addition to
12considering all other requirements under this Act, in deciding
13whether to approve the operation of video gaming terminals by a
14terminal operator in a location, the Board shall consider the
15impact of any economic concentration of such operation of video
16gaming terminals. The Board shall not allow a terminal operator
17to operate video gaming terminals if the Board determines such
18operation will result in undue economic concentration. For
19purposes of this Section, "undue economic concentration" means
20that a terminal operator would have such actual or potential
21influence over video gaming terminals in Illinois as to:
22 (1) substantially impede or suppress competition among
23 terminal operators;
24 (2) adversely impact the economic stability of the
25 video gaming industry in Illinois; or
26 (3) negatively impact the purposes of the Video Gaming

HB5561- 668 -LRB101 17547 JWD 66965 b
1 Act.
2 The Board shall adopt rules concerning undue economic
3concentration with respect to the operation of video gaming
4terminals in Illinois. The rules shall include, but not be
5limited to, (i) limitations on the number of video gaming
6terminals operated by any terminal operator within a defined
7geographic radius and (ii) guidelines on the discontinuation of
8operation of any such video gaming terminals the Board
9determines will cause undue economic concentration.
10 (j) The provisions of the Illinois Antitrust Act are fully
11and equally applicable to the activities of any licensee under
12this Act.
13(Source: P.A. 101-31, eff. 6-28-19.)
14 (230 ILCS 40/30)
15 Sec. 30. Multiple types of licenses prohibited. A video
16gaming terminal manufacturer may not be licensed as a video
17gaming terminal operator or own, manage, or control a licensed
18establishment, licensed truck stop establishment, licensed
19large truck stop establishment, licensed fraternal
20establishment, or licensed veterans establishment, and shall
21be licensed to sell only to persons having a valid
22distributor's license or, if the manufacturer also holds a
23valid distributor's license, to sell, distribute, lease, or
24market to persons having a valid terminal operator's license. A
25video gaming terminal distributor may not be licensed as a

HB5561- 669 -LRB101 17547 JWD 66965 b
1video gaming terminal operator or own, manage, or control a
2licensed establishment, licensed truck stop establishment,
3licensed large truck stop establishment, licensed fraternal
4establishment, or licensed veterans establishment, and shall
5only contract with a licensed terminal operator. A video gaming
6terminal operator may not be licensed as a video gaming
7terminal manufacturer or distributor or own, manage, or control
8a licensed establishment, licensed truck stop establishment,
9licensed large truck stop establishment, licensed fraternal
10establishment, or licensed veterans establishment, and shall
11be licensed only to contract with licensed distributors and
12licensed establishments, licensed truck stop establishments,
13licensed large truck stop establishments, licensed fraternal
14establishments, and licensed veterans establishments. An owner
15or manager of a licensed establishment, licensed truck stop
16establishment, licensed large truck stop establishment,
17licensed fraternal establishment, or licensed veterans
18establishment may not be licensed as a video gaming terminal
19manufacturer, distributor, or operator, and shall only
20contract with a licensed operator to place and service this
21equipment.
22(Source: P.A. 101-31, eff. 6-28-19.)
23 (230 ILCS 40/35)
24 Sec. 35. Display of license; confiscation; violation as
25felony.

HB5561- 670 -LRB101 17547 JWD 66965 b
1 (a) Each video gaming terminal shall be licensed by the
2Board before placement or operation on the premises of a
3licensed establishment, licensed truck stop establishment,
4licensed large truck stop establishment, licensed fraternal
5establishment, or licensed veterans establishment. The license
6of each video gaming terminal shall be maintained at the
7location where the video gaming terminal is operated. Failure
8to do so is a petty offense with a fine not to exceed $100. Any
9licensed establishment, licensed truck stop establishment,
10licensed large truck stop establishment, licensed fraternal
11establishment, or licensed veterans establishment used for the
12conduct of gambling games in violation of this Act shall be
13considered a gambling place in violation of Section 28-3 of the
14Criminal Code of 2012. Every gambling device found in a
15licensed establishment, licensed truck stop establishment,
16licensed large truck stop establishment, licensed fraternal
17establishment, or licensed veterans establishment operating
18gambling games in violation of this Act shall be subject to
19seizure, confiscation, and destruction as provided in Section
2028-5 of the Criminal Code of 2012. Any license issued under the
21Liquor Control Act of 1934 to any owner or operator of a
22licensed establishment, licensed truck stop establishment,
23licensed large truck stop establishment, licensed fraternal
24establishment, or licensed veterans establishment that
25operates or permits the operation of a video gaming terminal
26within its establishment in violation of this Act shall be

HB5561- 671 -LRB101 17547 JWD 66965 b
1immediately revoked. No person may own, operate, have in his or
2her possession or custody or under his or her control, or
3permit to be kept in any place under his or her possession or
4control, any device that awards credits and contains a circuit,
5meter, or switch capable of removing and recording the removal
6of credits when the award of credits is dependent upon chance.
7 Nothing in this Section shall be deemed to prohibit the use
8of a game device only if the game device is used in an activity
9that is not gambling under subsection (b) of Section 28-1 of
10the Criminal Code of 2012.
11 A violation of this Section is a Class 4 felony. All
12devices that are owned, operated, or possessed in violation of
13this Section are hereby declared to be public nuisances and
14shall be subject to seizure, confiscation, and destruction as
15provided in Section 28-5 of the Criminal Code of 2012.
16 The provisions of this Section do not apply to devices or
17electronic video game terminals licensed pursuant to this Act.
18A video gaming terminal operated for amusement only and bearing
19a valid amusement tax sticker shall not be subject to this
20Section until 30 days after the Board establishes that the
21central communications system is functional.
22 (b) (1) The odds of winning each video game shall be posted
23on or near each video gaming terminal. The manner in which the
24odds are calculated and how they are posted shall be determined
25by the Board by rule.
26 (2) No video gaming terminal licensed under this Act may be

HB5561- 672 -LRB101 17547 JWD 66965 b
1played except during the legal hours of operation allowed for
2the consumption of alcoholic beverages at the licensed
3establishment, licensed fraternal establishment, or licensed
4veterans establishment. A licensed establishment, licensed
5fraternal establishment, or licensed veterans establishment
6that violates this subsection is subject to termination of its
7license by the Board.
8(Source: P.A. 101-31, eff. 6-28-19.)
9 (230 ILCS 40/45)
10 Sec. 45. Issuance of license.
11 (a) The burden is upon each applicant to demonstrate his
12suitability for licensure. Each video gaming terminal
13manufacturer, distributor, supplier, operator, handler,
14licensed establishment, licensed truck stop establishment,
15licensed large truck stop establishment, licensed fraternal
16establishment, and licensed veterans establishment shall be
17licensed by the Board. The Board may issue or deny a license
18under this Act to any person pursuant to the same criteria set
19forth in Section 9 of the Illinois Riverboat Gambling Act.
20 (a-5) The Board shall not grant a license to a person who
21has facilitated, enabled, or participated in the use of
22coin-operated devices for gambling purposes or who is under the
23significant influence or control of such a person. For the
24purposes of this Act, "facilitated, enabled, or participated in
25the use of coin-operated amusement devices for gambling

HB5561- 673 -LRB101 17547 JWD 66965 b
1purposes" means that the person has been convicted of any
2violation of Article 28 of the Criminal Code of 1961 or the
3Criminal Code of 2012. If there is pending legal action against
4a person for any such violation, then the Board shall delay the
5licensure of that person until the legal action is resolved.
6 (b) Each person seeking and possessing a license as a video
7gaming terminal manufacturer, distributor, supplier, operator,
8handler, licensed establishment, licensed truck stop
9establishment, licensed large truck stop establishment,
10licensed fraternal establishment, or licensed veterans
11establishment shall submit to a background investigation
12conducted by the Board with the assistance of the State Police
13or other law enforcement. To the extent that the corporate
14structure of the applicant allows, the background
15investigation shall include any or all of the following as the
16Board deems appropriate or as provided by rule for each
17category of licensure: (i) each beneficiary of a trust, (ii)
18each partner of a partnership, (iii) each member of a limited
19liability company, (iv) each director and officer of a publicly
20or non-publicly held corporation, (v) each stockholder of a
21non-publicly held corporation, (vi) each stockholder of 5% or
22more of a publicly held corporation, or (vii) each stockholder
23of 5% or more in a parent or subsidiary corporation.
24 (c) Each person seeking and possessing a license as a video
25gaming terminal manufacturer, distributor, supplier, operator,
26handler, licensed establishment, licensed truck stop

HB5561- 674 -LRB101 17547 JWD 66965 b
1establishment, licensed large truck stop establishment,
2licensed fraternal establishment, or licensed veterans
3establishment shall disclose the identity of every person,
4association, trust, corporation, or limited liability company
5having a greater than 1% direct or indirect pecuniary interest
6in the video gaming terminal operation for which the license is
7sought. If the disclosed entity is a trust, the application
8shall disclose the names and addresses of the beneficiaries; if
9a corporation, the names and addresses of all stockholders and
10directors; if a limited liability company, the names and
11addresses of all members; or if a partnership, the names and
12addresses of all partners, both general and limited.
13 (d) No person may be licensed as a video gaming terminal
14manufacturer, distributor, supplier, operator, handler,
15licensed establishment, licensed truck stop establishment,
16licensed large truck stop establishment, licensed fraternal
17establishment, or licensed veterans establishment if that
18person has been found by the Board to:
19 (1) have a background, including a criminal record,
20 reputation, habits, social or business associations, or
21 prior activities that pose a threat to the public interests
22 of the State or to the security and integrity of video
23 gaming;
24 (2) create or enhance the dangers of unsuitable,
25 unfair, or illegal practices, methods, and activities in
26 the conduct of video gaming; or

HB5561- 675 -LRB101 17547 JWD 66965 b
1 (3) present questionable business practices and
2 financial arrangements incidental to the conduct of video
3 gaming activities.
4 (e) Any applicant for any license under this Act has the
5burden of proving his or her qualifications to the satisfaction
6of the Board. The Board may adopt rules to establish additional
7qualifications and requirements to preserve the integrity and
8security of video gaming in this State.
9 (f) A non-refundable application fee shall be paid at the
10time an application for a license is filed with the Board in
11the following amounts:
12 (1) Manufacturer..........................$5,000
13 (2) Distributor...........................$5,000
14 (3) Terminal operator.....................$5,000
15 (4) Supplier..............................$2,500
16 (5) Technician..............................$100
17 (6) Terminal Handler........................$100
18 (7) Licensed establishment, licensed truck stop
19 establishment, licensed large truck stop establishment,
20 licensed fraternal establishment, or licensed
21 veterans establishment...............................$100
22 (g) The Board shall establish an annual fee for each
23license not to exceed the following:
24 (1) Manufacturer.........................$10,000
25 (2) Distributor..........................$10,000
26 (3) Terminal operator.....................$5,000

HB5561- 676 -LRB101 17547 JWD 66965 b
1 (4) Supplier..............................$2,000
2 (5) Technician..............................$100
3 (6) Licensed establishment, licensed truck stop
4 establishment, licensed large truck stop establishment,
5 licensed fraternal establishment, or licensed
6 veterans establishment..........................$100
7 (7) Video gaming terminal...................$100
8 (8) Terminal Handler............................$100
9 (h) A terminal operator and a licensed establishment,
10licensed truck stop establishment, licensed large truck stop
11establishment, licensed fraternal establishment, or licensed
12veterans establishment shall equally split the fees specified
13in item (7) of subsection (g).
14(Source: P.A. 101-31, eff. 6-28-19.)
15 (230 ILCS 40/55)
16 Sec. 55. Precondition for licensed location. In all cases
17of application for a licensed location, to operate a video
18gaming terminal, each licensed establishment, licensed
19fraternal establishment, or licensed veterans establishment
20shall possess a valid liquor license issued by the Illinois
21Liquor Control Commission in effect at the time of application
22and at all times thereafter during which a video gaming
23terminal is made available to the public for play at that
24location. Video gaming terminals in a licensed location shall
25be operated only during the same hours of operation generally

HB5561- 677 -LRB101 17547 JWD 66965 b
1permitted to holders of a license under the Liquor Control Act
2of 1934 within the unit of local government in which they are
3located. A licensed truck stop establishment or licensed large
4truck stop establishment that does not hold a liquor license
5may operate video gaming terminals on a continuous basis. A
6licensed fraternal establishment or licensed veterans
7establishment that does not hold a liquor license may operate
8video gaming terminals if (i) the establishment is located in a
9county with a population between 6,500 and 7,000, based on the
102000 U.S. Census, (ii) the county prohibits by ordinance the
11sale of alcohol, and (iii) the establishment is in a portion of
12the county where the sale of alcohol is prohibited. A licensed
13fraternal establishment or licensed veterans establishment
14that does not hold a liquor license may operate video gaming
15terminals if (i) the establishment is located in a municipality
16within a county with a population between 8,500 and 9,000 based
17on the 2000 U.S. Census and (ii) the municipality or county
18prohibits or limits the sale of alcohol by ordinance in a way
19that prohibits the establishment from selling alcohol.
20(Source: P.A. 101-31, eff. 6-28-19.)
21 (230 ILCS 40/58)
22 Sec. 58. Location of terminals. Video gaming terminals
23must be located in an area restricted to persons over 21 years
24of age the entrance to which is within the view of at least one
25employee, who is over 21 years of age, of the establishment in

HB5561- 678 -LRB101 17547 JWD 66965 b
1which they are located. The placement of video gaming terminals
2in licensed establishments, licensed truck stop
3establishments, licensed large truck stop establishments,
4licensed fraternal establishments, and licensed veterans
5establishments shall be subject to the rules promulgated by the
6Board pursuant to the Illinois Administrative Procedure Act.
7(Source: P.A. 101-31, eff. 6-28-19.)
8 (230 ILCS 40/60)
9 Sec. 60. Imposition and distribution of tax.
10 (a) A tax of 30% is imposed on net terminal income and
11shall be collected by the Board.
12 (b) Of the tax collected under this subsection (a) Section,
13five-sixths shall be deposited into the Capital Projects Fund
14and one-sixth shall be deposited into the Local Government
15Video Gaming Distributive Fund.
16 (b) Beginning on July 1, 2019, an additional tax of 3% is
17imposed on net terminal income and shall be collected by the
18Board.
19 Beginning on July 1, 2020, an additional tax of 1% is
20imposed on net terminal income and shall be collected by the
21Board.
22 The tax collected under this subsection (b) shall be
23deposited into the Capital Projects Fund.
24 (c) Revenues generated from the play of video gaming
25terminals shall be deposited by the terminal operator, who is

HB5561- 679 -LRB101 17547 JWD 66965 b
1responsible for tax payments, in a specially created, separate
2bank account maintained by the video gaming terminal operator
3to allow for electronic fund transfers of moneys for tax
4payment.
5 (d) Each licensed establishment, licensed truck stop
6establishment, licensed large truck stop establishment,
7licensed fraternal establishment, and licensed veterans
8establishment shall maintain an adequate video gaming fund,
9with the amount to be determined by the Board.
10 (e) The State's percentage of net terminal income shall be
11reported and remitted to the Board within 15 days after the
1215th day of each month and within 15 days after the end of each
13month by the video terminal operator. A video terminal operator
14who falsely reports or fails to report the amount due required
15by this Section is guilty of a Class 4 felony and is subject to
16termination of his or her license by the Board. Each video
17terminal operator shall keep a record of net terminal income in
18such form as the Board may require. All payments not remitted
19when due shall be paid together with a penalty assessment on
20the unpaid balance at a rate of 1.5% per month.
21(Source: P.A. 101-31, eff. 6-28-19.)
22 (230 ILCS 40/79)
23 Sec. 79. Investigators. Investigators appointed by the
24Board pursuant to the powers conferred upon the Board by
25paragraph (20.6) of subsection (c) of Section 5 of the Illinois

HB5561- 680 -LRB101 17547 JWD 66965 b
1Riverboat Gambling Act and Section 80 of this Act shall have
2authority to conduct investigations, searches, seizures,
3arrests, and other duties imposed under this Act and the
4Illinois Riverboat Gambling Act, as deemed necessary by the
5Board. These investigators have and may exercise all of the
6rights and powers of peace officers, provided that these powers
7shall be (1) limited to offenses or violations occurring or
8committed in connection with conduct subject to this Act,
9including, but not limited to, the manufacture, distribution,
10supply, operation, placement, service, maintenance, or play of
11video gaming terminals and the distribution of profits and
12collection of revenues resulting from such play, and (2)
13exercised, to the fullest extent practicable, in cooperation
14with the local police department of the applicable municipality
15or, if these powers are exercised outside the boundaries of an
16incorporated municipality or within a municipality that does
17not have its own police department, in cooperation with the
18police department whose jurisdiction encompasses the
19applicable locality.
20(Source: P.A. 101-31, eff. 6-28-19.)
21 (230 ILCS 40/80)
22 Sec. 80. Applicability of Illinois Riverboat Gambling Act.
23The provisions of the Illinois Riverboat Gambling Act, and all
24rules promulgated thereunder, shall apply to the Video Gaming
25Act, except where there is a conflict between the 2 Acts. In

HB5561- 681 -LRB101 17547 JWD 66965 b
1the event of a conflict between the 2 Acts, the provisions of
2the Illinois Gambling Act shall prevail. All current supplier
3licensees under the Illinois Riverboat Gambling Act shall be
4entitled to licensure under the Video Gaming Act as
5manufacturers, distributors, or suppliers without additional
6Board investigation or approval, except by vote of the Board;
7however, they are required to pay application and annual fees
8under this Act. All provisions of the Uniform Penalty and
9Interest Act shall apply, as far as practicable, to the subject
10matter of this Act to the same extent as if such provisions
11were included herein.
12(Source: P.A. 101-31, eff. 6-28-19.)
13 Section 10-440. The Liquor Control Act of 1934 is amended
14by changing Sections 5-1 and 6-30 as follows:
15 (235 ILCS 5/5-1) (from Ch. 43, par. 115)
16 Sec. 5-1. Licenses issued by the Illinois Liquor Control
17Commission shall be of the following classes:
18 (a) Manufacturer's license - Class 1. Distiller, Class 2.
19Rectifier, Class 3. Brewer, Class 4. First Class Wine
20Manufacturer, Class 5. Second Class Wine Manufacturer, Class 6.
21First Class Winemaker, Class 7. Second Class Winemaker, Class
228. Limited Wine Manufacturer, Class 9. Craft Distiller, Class
2310. Class 1 Craft Distiller, Class 11. Class 2 Craft Distiller,
24Class 12. Class 1 Brewer, Class 13. Class 2 Brewer,

HB5561- 682 -LRB101 17547 JWD 66965 b
1 (b) Distributor's license,
2 (c) Importing Distributor's license,
3 (d) Retailer's license,
4 (e) Special Event Retailer's license (not-for-profit),
5 (f) Railroad license,
6 (g) Boat license,
7 (h) Non-Beverage User's license,
8 (i) Wine-maker's premises license,
9 (j) Airplane license,
10 (k) Foreign importer's license,
11 (l) Broker's license,
12 (m) Non-resident dealer's license,
13 (n) Brew Pub license,
14 (o) Auction liquor license,
15 (p) Caterer retailer license,
16 (q) Special use permit license,
17 (r) Winery shipper's license,
18 (s) Craft distiller tasting permit,
19 (t) Brewer warehouse permit,
20 (u) Distilling pub license,
21 (v) Craft distiller warehouse permit.
22 No person, firm, partnership, corporation, or other legal
23business entity that is engaged in the manufacturing of wine
24may concurrently obtain and hold a wine-maker's license and a
25wine manufacturer's license.
26 (a) A manufacturer's license shall allow the manufacture,

HB5561- 683 -LRB101 17547 JWD 66965 b
1importation in bulk, storage, distribution and sale of
2alcoholic liquor to persons without the State, as may be
3permitted by law and to licensees in this State as follows:
4 Class 1. A Distiller may make sales and deliveries of
5alcoholic liquor to distillers, rectifiers, importing
6distributors, distributors and non-beverage users and to no
7other licensees.
8 Class 2. A Rectifier, who is not a distiller, as defined
9herein, may make sales and deliveries of alcoholic liquor to
10rectifiers, importing distributors, distributors, retailers
11and non-beverage users and to no other licensees.
12 Class 3. A Brewer may make sales and deliveries of beer to
13importing distributors and distributors and may make sales as
14authorized under subsection (e) of Section 6-4 of this Act.
15 Class 4. A first class wine-manufacturer may make sales and
16deliveries of up to 50,000 gallons of wine to manufacturers,
17importing distributors and distributors, and to no other
18licensees.
19 Class 5. A second class Wine manufacturer may make sales
20and deliveries of more than 50,000 gallons of wine to
21manufacturers, importing distributors and distributors and to
22no other licensees.
23 Class 6. A first-class wine-maker's license shall allow the
24manufacture of up to 50,000 gallons of wine per year, and the
25storage and sale of such wine to distributors in the State and
26to persons without the State, as may be permitted by law. A

HB5561- 684 -LRB101 17547 JWD 66965 b
1person who, prior to June 1, 2008 (the effective date of Public
2Act 95-634), is a holder of a first-class wine-maker's license
3and annually produces more than 25,000 gallons of its own wine
4and who distributes its wine to licensed retailers shall cease
5this practice on or before July 1, 2008 in compliance with
6Public Act 95-634.
7 Class 7. A second-class wine-maker's license shall allow
8the manufacture of between 50,000 and 150,000 gallons of wine
9per year, and the storage and sale of such wine to distributors
10in this State and to persons without the State, as may be
11permitted by law. A person who, prior to June 1, 2008 (the
12effective date of Public Act 95-634), is a holder of a
13second-class wine-maker's license and annually produces more
14than 25,000 gallons of its own wine and who distributes its
15wine to licensed retailers shall cease this practice on or
16before July 1, 2008 in compliance with Public Act 95-634.
17 Class 8. A limited wine-manufacturer may make sales and
18deliveries not to exceed 40,000 gallons of wine per year to
19distributors, and to non-licensees in accordance with the
20provisions of this Act.
21 Class 9. A craft distiller license, which may only be held
22by a class 1 craft distiller licensee or class 2 craft
23distiller licensee but not held by both a class 1 craft
24distiller licensee and a class 2 craft distiller licensee,
25shall grant all rights conveyed by either: (i) a class 1 craft
26distiller license if the craft distiller holds a class 1 craft

HB5561- 685 -LRB101 17547 JWD 66965 b
1distiller license; or (ii) a class 2 craft distiller licensee
2if the craft distiller holds a class 2 craft distiller license.
3 Class 10. A class 1 craft distiller license, which may only
4be issued to a licensed craft distiller or licensed
5non-resident dealer, shall allow the manufacture of up to
650,000 gallons of spirits per year provided that the class 1
7craft distiller licensee does not manufacture more than a
8combined 50,000 gallons of spirits per year and is not a member
9of or affiliated with, directly or indirectly, a manufacturer
10that produces more than 50,000 gallons of spirits per year or
11any other alcoholic liquor. A class 1 craft distiller licensee
12may make sales and deliveries to importing distributors and
13distributors and to retail licensees in accordance with the
14conditions set forth in paragraph (19) of subsection (a) of
15Section 3-12 of this Act. However, the aggregate amount of
16spirits sold to non-licensees and sold or delivered to retail
17licensees may not exceed 5,000 gallons per year.
18 A class 1 craft distiller licensee may sell up to 5,000
19gallons of such spirits to non-licensees to the extent
20permitted by any exemption approved by the State Commission
21pursuant to Section 6-4 of this Act. A class 1 craft distiller
22license holder may store such spirits at a non-contiguous
23licensed location, but at no time shall a class 1 craft
24distiller license holder directly or indirectly produce in the
25aggregate more than 50,000 gallons of spirits per year.
26 A class 1 craft distiller licensee may hold more than one

HB5561- 686 -LRB101 17547 JWD 66965 b
1class 1 craft distiller's license. However, a class 1 craft
2distiller that holds more than one class 1 craft distiller
3license shall not manufacture, in the aggregate, more than
450,000 gallons of spirits by distillation per year and shall
5not sell, in the aggregate, more than 5,000 gallons of such
6spirits to non-licensees in accordance with an exemption
7approved by the State Commission pursuant to Section 6-4 of
8this Act.
9 Class 11. A class 2 craft distiller license, which may only
10be issued to a licensed craft distiller or licensed
11non-resident dealer, shall allow the manufacture of up to
12100,000 gallons of spirits per year provided that the class 2
13craft distiller licensee does not manufacture more than a
14combined 100,000 gallons of spirits per year and is not a
15member of or affiliated with, directly or indirectly, a
16manufacturer that produces more than 100,000 gallons of spirits
17per year or any other alcoholic liquor. A class 2 craft
18distiller licensee may make sales and deliveries to importing
19distributors and distributors, but shall not make sales or
20deliveries to any other licensee. If the State Commission
21provides prior approval, a class 2 craft distiller licensee may
22annually transfer up to 100,000 gallons of spirits manufactured
23by that class 2 craft distiller licensee to the premises of a
24licensed class 2 craft distiller wholly owned and operated by
25the same licensee. A class 2 craft distiller may transfer
26spirits to a distilling pub wholly owned and operated by the

HB5561- 687 -LRB101 17547 JWD 66965 b
1class 2 craft distiller subject to the following limitations
2and restrictions: (i) the transfer shall not annually exceed
3more than 5,000 gallons; (ii) the annual amount transferred
4shall reduce the distilling pub's annual permitted production
5limit; (iii) all spirits transferred shall be subject to
6Article VIII of this Act; (iv) a written record shall be
7maintained by the distiller and distilling pub specifying the
8amount, date of delivery, and receipt of the product by the
9distilling pub; and (v) the distilling pub shall be located no
10farther than 80 miles from the class 2 craft distiller's
11licensed location.
12 A class 2 craft distiller shall, prior to transferring
13spirits to a distilling pub wholly owned by the class 2 craft
14distiller, furnish a written notice to the State Commission of
15intent to transfer spirits setting forth the name and address
16of the distilling pub and shall annually submit to the State
17Commission a verified report identifying the total gallons of
18spirits transferred to the distilling pub wholly owned by the
19class 2 craft distiller.
20 A class 2 craft distiller license holder may store such
21spirits at a non-contiguous licensed location, but at no time
22shall a class 2 craft distiller license holder directly or
23indirectly produce in the aggregate more than 100,000 gallons
24of spirits per year.
25 Class 12. A class 1 brewer license, which may only be
26issued to a licensed brewer or licensed non-resident dealer,

HB5561- 688 -LRB101 17547 JWD 66965 b
1shall allow the manufacture of up to 930,000 gallons of beer
2per year provided that the class 1 brewer licensee does not
3manufacture more than a combined 930,000 gallons of beer per
4year and is not a member of or affiliated with, directly or
5indirectly, a manufacturer that produces more than 930,000
6gallons of beer per year or any other alcoholic liquor. A class
71 brewer licensee may make sales and deliveries to importing
8distributors and distributors and to retail licensees in
9accordance with the conditions set forth in paragraph (18) of
10subsection (a) of Section 3-12 of this Act. If the State
11Commission provides prior approval, a class 1 brewer may
12annually transfer up to 930,000 gallons of beer manufactured by
13that class 1 brewer to the premises of a licensed class 1
14brewer wholly owned and operated by the same licensee.
15 Class 13. A class 2 brewer license, which may only be
16issued to a licensed brewer or licensed non-resident dealer,
17shall allow the manufacture of up to 3,720,000 gallons of beer
18per year provided that the class 2 brewer licensee does not
19manufacture more than a combined 3,720,000 gallons of beer per
20year and is not a member of or affiliated with, directly or
21indirectly, a manufacturer that produces more than 3,720,000
22gallons of beer per year or any other alcoholic liquor. A class
232 brewer licensee may make sales and deliveries to importing
24distributors and distributors, but shall not make sales or
25deliveries to any other licensee. If the State Commission
26provides prior approval, a class 2 brewer licensee may annually

HB5561- 689 -LRB101 17547 JWD 66965 b
1transfer up to 3,720,000 gallons of beer manufactured by that
2class 2 brewer licensee to the premises of a licensed class 2
3brewer wholly owned and operated by the same licensee.
4 A class 2 brewer may transfer beer to a brew pub wholly
5owned and operated by the class 2 brewer subject to the
6following limitations and restrictions: (i) the transfer shall
7not annually exceed more than 31,000 gallons; (ii) the annual
8amount transferred shall reduce the brew pub's annual permitted
9production limit; (iii) all beer transferred shall be subject
10to Article VIII of this Act; (iv) a written record shall be
11maintained by the brewer and brew pub specifying the amount,
12date of delivery, and receipt of the product by the brew pub;
13and (v) the brew pub shall be located no farther than 80 miles
14from the class 2 brewer's licensed location.
15 A class 2 brewer shall, prior to transferring beer to a
16brew pub wholly owned by the class 2 brewer, furnish a written
17notice to the State Commission of intent to transfer beer
18setting forth the name and address of the brew pub and shall
19annually submit to the State Commission a verified report
20identifying the total gallons of beer transferred to the brew
21pub wholly owned by the class 2 brewer.
22 (a-1) A manufacturer which is licensed in this State to
23make sales or deliveries of alcoholic liquor to licensed
24distributors or importing distributors and which enlists
25agents, representatives, or individuals acting on its behalf
26who contact licensed retailers on a regular and continual basis

HB5561- 690 -LRB101 17547 JWD 66965 b
1in this State must register those agents, representatives, or
2persons acting on its behalf with the State Commission.
3 Registration of agents, representatives, or persons acting
4on behalf of a manufacturer is fulfilled by submitting a form
5to the Commission. The form shall be developed by the
6Commission and shall include the name and address of the
7applicant, the name and address of the manufacturer he or she
8represents, the territory or areas assigned to sell to or
9discuss pricing terms of alcoholic liquor, and any other
10questions deemed appropriate and necessary. All statements in
11the forms required to be made by law or by rule shall be deemed
12material, and any person who knowingly misstates any material
13fact under oath in an application is guilty of a Class B
14misdemeanor. Fraud, misrepresentation, false statements,
15misleading statements, evasions, or suppression of material
16facts in the securing of a registration are grounds for
17suspension or revocation of the registration. The State
18Commission shall post a list of registered agents on the
19Commission's website.
20 (b) A distributor's license shall allow (i) the wholesale
21purchase and storage of alcoholic liquors and sale of alcoholic
22liquors to licensees in this State and to persons without the
23State, as may be permitted by law; (ii) the sale of beer,
24cider, or both beer and cider to brewers, class 1 brewers, and
25class 2 brewers that, pursuant to subsection (e) of Section 6-4
26of this Act, sell beer, cider, or both beer and cider to

HB5561- 691 -LRB101 17547 JWD 66965 b
1non-licensees at their breweries; and (iii) the sale of
2vermouth to class 1 craft distillers and class 2 craft
3distillers that, pursuant to subsection (e) of Section 6-4 of
4this Act, sell spirits, vermouth, or both spirits and vermouth
5to non-licensees at their distilleries. No person licensed as a
6distributor shall be granted a non-resident dealer's license.
7 (c) An importing distributor's license may be issued to and
8held by those only who are duly licensed distributors, upon the
9filing of an application by a duly licensed distributor, with
10the Commission and the Commission shall, without the payment of
11any fee, immediately issue such importing distributor's
12license to the applicant, which shall allow the importation of
13alcoholic liquor by the licensee into this State from any point
14in the United States outside this State, and the purchase of
15alcoholic liquor in barrels, casks or other bulk containers and
16the bottling of such alcoholic liquors before resale thereof,
17but all bottles or containers so filled shall be sealed,
18labeled, stamped and otherwise made to comply with all
19provisions, rules and regulations governing manufacturers in
20the preparation and bottling of alcoholic liquors. The
21importing distributor's license shall permit such licensee to
22purchase alcoholic liquor from Illinois licensed non-resident
23dealers and foreign importers only. No person licensed as an
24importing distributor shall be granted a non-resident dealer's
25license.
26 (d) A retailer's license shall allow the licensee to sell

HB5561- 692 -LRB101 17547 JWD 66965 b
1and offer for sale at retail, only in the premises specified in
2the license, alcoholic liquor for use or consumption, but not
3for resale in any form. Nothing in Public Act 95-634 shall
4deny, limit, remove, or restrict the ability of a holder of a
5retailer's license to transfer, deliver, or ship alcoholic
6liquor to the purchaser for use or consumption subject to any
7applicable local law or ordinance. Any retail license issued to
8a manufacturer shall only permit the manufacturer to sell beer
9at retail on the premises actually occupied by the
10manufacturer. For the purpose of further describing the type of
11business conducted at a retail licensed premises, a retailer's
12licensee may be designated by the State Commission as (i) an on
13premise consumption retailer, (ii) an off premise sale
14retailer, or (iii) a combined on premise consumption and off
15premise sale retailer.
16 Notwithstanding any other provision of this subsection
17(d), a retail licensee may sell alcoholic liquors to a special
18event retailer licensee for resale to the extent permitted
19under subsection (e).
20 (e) A special event retailer's license (not-for-profit)
21shall permit the licensee to purchase alcoholic liquors from an
22Illinois licensed distributor (unless the licensee purchases
23less than $500 of alcoholic liquors for the special event, in
24which case the licensee may purchase the alcoholic liquors from
25a licensed retailer) and shall allow the licensee to sell and
26offer for sale, at retail, alcoholic liquors for use or

HB5561- 693 -LRB101 17547 JWD 66965 b
1consumption, but not for resale in any form and only at the
2location and on the specific dates designated for the special
3event in the license. An applicant for a special event retailer
4license must (i) furnish with the application: (A) a resale
5number issued under Section 2c of the Retailers' Occupation Tax
6Act or evidence that the applicant is registered under Section
72a of the Retailers' Occupation Tax Act, (B) a current, valid
8exemption identification number issued under Section 1g of the
9Retailers' Occupation Tax Act, and a certification to the
10Commission that the purchase of alcoholic liquors will be a
11tax-exempt purchase, or (C) a statement that the applicant is
12not registered under Section 2a of the Retailers' Occupation
13Tax Act, does not hold a resale number under Section 2c of the
14Retailers' Occupation Tax Act, and does not hold an exemption
15number under Section 1g of the Retailers' Occupation Tax Act,
16in which event the Commission shall set forth on the special
17event retailer's license a statement to that effect; (ii)
18submit with the application proof satisfactory to the State
19Commission that the applicant will provide dram shop liability
20insurance in the maximum limits; and (iii) show proof
21satisfactory to the State Commission that the applicant has
22obtained local authority approval.
23 Nothing in this Act prohibits an Illinois licensed
24distributor from offering credit or a refund for unused,
25salable alcoholic liquors to a holder of a special event
26retailer's license or the special event retailer's licensee

HB5561- 694 -LRB101 17547 JWD 66965 b
1from accepting the credit or refund of alcoholic liquors at the
2conclusion of the event specified in the license.
3 (f) A railroad license shall permit the licensee to import
4alcoholic liquors into this State from any point in the United
5States outside this State and to store such alcoholic liquors
6in this State; to make wholesale purchases of alcoholic liquors
7directly from manufacturers, foreign importers, distributors
8and importing distributors from within or outside this State;
9and to store such alcoholic liquors in this State; provided
10that the above powers may be exercised only in connection with
11the importation, purchase or storage of alcoholic liquors to be
12sold or dispensed on a club, buffet, lounge or dining car
13operated on an electric, gas or steam railway in this State;
14and provided further, that railroad licensees exercising the
15above powers shall be subject to all provisions of Article VIII
16of this Act as applied to importing distributors. A railroad
17license shall also permit the licensee to sell or dispense
18alcoholic liquors on any club, buffet, lounge or dining car
19operated on an electric, gas or steam railway regularly
20operated by a common carrier in this State, but shall not
21permit the sale for resale of any alcoholic liquors to any
22licensee within this State. A license shall be obtained for
23each car in which such sales are made.
24 (g) A boat license shall allow the sale of alcoholic liquor
25in individual drinks, on any passenger boat regularly operated
26as a common carrier on navigable waters in this State or on any

HB5561- 695 -LRB101 17547 JWD 66965 b
1riverboat operated under the Riverboat Illinois Gambling Act,
2which boat or riverboat maintains a public dining room or
3restaurant thereon.
4 (h) A non-beverage user's license shall allow the licensee
5to purchase alcoholic liquor from a licensed manufacturer or
6importing distributor, without the imposition of any tax upon
7the business of such licensed manufacturer or importing
8distributor as to such alcoholic liquor to be used by such
9licensee solely for the non-beverage purposes set forth in
10subsection (a) of Section 8-1 of this Act, and such licenses
11shall be divided and classified and shall permit the purchase,
12possession and use of limited and stated quantities of
13alcoholic liquor as follows:
14Class 1, not to exceed ......................... 500 gallons
15Class 2, not to exceed ....................... 1,000 gallons
16Class 3, not to exceed ....................... 5,000 gallons
17Class 4, not to exceed ...................... 10,000 gallons
18Class 5, not to exceed ....................... 50,000 gallons
19 (i) A wine-maker's premises license shall allow a licensee
20that concurrently holds a first-class wine-maker's license to
21sell and offer for sale at retail in the premises specified in
22such license not more than 50,000 gallons of the first-class
23wine-maker's wine that is made at the first-class wine-maker's
24licensed premises per year for use or consumption, but not for
25resale in any form. A wine-maker's premises license shall allow
26a licensee who concurrently holds a second-class wine-maker's

HB5561- 696 -LRB101 17547 JWD 66965 b
1license to sell and offer for sale at retail in the premises
2specified in such license up to 100,000 gallons of the
3second-class wine-maker's wine that is made at the second-class
4wine-maker's licensed premises per year for use or consumption
5but not for resale in any form. A wine-maker's premises license
6shall allow a licensee that concurrently holds a first-class
7wine-maker's license or a second-class wine-maker's license to
8sell and offer for sale at retail at the premises specified in
9the wine-maker's premises license, for use or consumption but
10not for resale in any form, any beer, wine, and spirits
11purchased from a licensed distributor. Upon approval from the
12State Commission, a wine-maker's premises license shall allow
13the licensee to sell and offer for sale at (i) the wine-maker's
14licensed premises and (ii) at up to 2 additional locations for
15use and consumption and not for resale. Each location shall
16require additional licensing per location as specified in
17Section 5-3 of this Act. A wine-maker's premises licensee shall
18secure liquor liability insurance coverage in an amount at
19least equal to the maximum liability amounts set forth in
20subsection (a) of Section 6-21 of this Act.
21 (j) An airplane license shall permit the licensee to import
22alcoholic liquors into this State from any point in the United
23States outside this State and to store such alcoholic liquors
24in this State; to make wholesale purchases of alcoholic liquors
25directly from manufacturers, foreign importers, distributors
26and importing distributors from within or outside this State;

HB5561- 697 -LRB101 17547 JWD 66965 b
1and to store such alcoholic liquors in this State; provided
2that the above powers may be exercised only in connection with
3the importation, purchase or storage of alcoholic liquors to be
4sold or dispensed on an airplane; and provided further, that
5airplane licensees exercising the above powers shall be subject
6to all provisions of Article VIII of this Act as applied to
7importing distributors. An airplane licensee shall also permit
8the sale or dispensing of alcoholic liquors on any passenger
9airplane regularly operated by a common carrier in this State,
10but shall not permit the sale for resale of any alcoholic
11liquors to any licensee within this State. A single airplane
12license shall be required of an airline company if liquor
13service is provided on board aircraft in this State. The annual
14fee for such license shall be as determined in Section 5-3.
15 (k) A foreign importer's license shall permit such licensee
16to purchase alcoholic liquor from Illinois licensed
17non-resident dealers only, and to import alcoholic liquor other
18than in bulk from any point outside the United States and to
19sell such alcoholic liquor to Illinois licensed importing
20distributors and to no one else in Illinois; provided that (i)
21the foreign importer registers with the State Commission every
22brand of alcoholic liquor that it proposes to sell to Illinois
23licensees during the license period, (ii) the foreign importer
24complies with all of the provisions of Section 6-9 of this Act
25with respect to registration of such Illinois licensees as may
26be granted the right to sell such brands at wholesale, and

HB5561- 698 -LRB101 17547 JWD 66965 b
1(iii) the foreign importer complies with the provisions of
2Sections 6-5 and 6-6 of this Act to the same extent that these
3provisions apply to manufacturers.
4 (l) (i) A broker's license shall be required of all persons
5who solicit orders for, offer to sell or offer to supply
6alcoholic liquor to retailers in the State of Illinois, or who
7offer to retailers to ship or cause to be shipped or to make
8contact with distillers, craft distillers, rectifiers, brewers
9or manufacturers or any other party within or without the State
10of Illinois in order that alcoholic liquors be shipped to a
11distributor, importing distributor or foreign importer,
12whether such solicitation or offer is consummated within or
13without the State of Illinois.
14 No holder of a retailer's license issued by the Illinois
15Liquor Control Commission shall purchase or receive any
16alcoholic liquor, the order for which was solicited or offered
17for sale to such retailer by a broker unless the broker is the
18holder of a valid broker's license.
19 The broker shall, upon the acceptance by a retailer of the
20broker's solicitation of an order or offer to sell or supply or
21deliver or have delivered alcoholic liquors, promptly forward
22to the Illinois Liquor Control Commission a notification of
23said transaction in such form as the Commission may by
24regulations prescribe.
25 (ii) A broker's license shall be required of a person
26within this State, other than a retail licensee, who, for a fee

HB5561- 699 -LRB101 17547 JWD 66965 b
1or commission, promotes, solicits, or accepts orders for
2alcoholic liquor, for use or consumption and not for resale, to
3be shipped from this State and delivered to residents outside
4of this State by an express company, common carrier, or
5contract carrier. This Section does not apply to any person who
6promotes, solicits, or accepts orders for wine as specifically
7authorized in Section 6-29 of this Act.
8 A broker's license under this subsection (l) shall not
9entitle the holder to buy or sell any alcoholic liquors for his
10own account or to take or deliver title to such alcoholic
11liquors.
12 This subsection (l) shall not apply to distributors,
13employees of distributors, or employees of a manufacturer who
14has registered the trademark, brand or name of the alcoholic
15liquor pursuant to Section 6-9 of this Act, and who regularly
16sells such alcoholic liquor in the State of Illinois only to
17its registrants thereunder.
18 Any agent, representative, or person subject to
19registration pursuant to subsection (a-1) of this Section shall
20not be eligible to receive a broker's license.
21 (m) A non-resident dealer's license shall permit such
22licensee to ship into and warehouse alcoholic liquor into this
23State from any point outside of this State, and to sell such
24alcoholic liquor to Illinois licensed foreign importers and
25importing distributors and to no one else in this State;
26provided that (i) said non-resident dealer shall register with

HB5561- 700 -LRB101 17547 JWD 66965 b
1the Illinois Liquor Control Commission each and every brand of
2alcoholic liquor which it proposes to sell to Illinois
3licensees during the license period, (ii) it shall comply with
4all of the provisions of Section 6-9 hereof with respect to
5registration of such Illinois licensees as may be granted the
6right to sell such brands at wholesale by duly filing such
7registration statement, thereby authorizing the non-resident
8dealer to proceed to sell such brands at wholesale, and (iii)
9the non-resident dealer shall comply with the provisions of
10Sections 6-5 and 6-6 of this Act to the same extent that these
11provisions apply to manufacturers. No person licensed as a
12non-resident dealer shall be granted a distributor's or
13importing distributor's license.
14 (n) A brew pub license shall allow the licensee to only (i)
15manufacture up to 155,000 gallons of beer per year only on the
16premises specified in the license, (ii) make sales of the beer
17manufactured on the premises or, with the approval of the
18Commission, beer manufactured on another brew pub licensed
19premises that is wholly owned and operated by the same licensee
20to importing distributors, distributors, and to non-licensees
21for use and consumption, (iii) store the beer upon the
22premises, (iv) sell and offer for sale at retail from the
23licensed premises for off-premises consumption no more than
24155,000 gallons per year so long as such sales are only made
25in-person, (v) sell and offer for sale at retail for use and
26consumption on the premises specified in the license any form

HB5561- 701 -LRB101 17547 JWD 66965 b
1of alcoholic liquor purchased from a licensed distributor or
2importing distributor, (vi) with the prior approval of the
3Commission, annually transfer no more than 155,000 gallons of
4beer manufactured on the premises to a licensed brew pub wholly
5owned and operated by the same licensee, and (vii)
6notwithstanding item (i) of this subsection, brew pubs wholly
7owned and operated by the same licensee may combine each
8location's production limit of 155,000 gallons of beer per year
9and allocate the aggregate total between the wholly owned,
10operated, and licensed locations.
11 A brew pub licensee shall not under any circumstance sell
12or offer for sale beer manufactured by the brew pub licensee to
13retail licensees.
14 A person who holds a class 2 brewer license may
15simultaneously hold a brew pub license if the class 2 brewer
16(i) does not, under any circumstance, sell or offer for sale
17beer manufactured by the class 2 brewer to retail licensees;
18(ii) does not hold more than 3 brew pub licenses in this State;
19(iii) does not manufacture more than a combined 3,720,000
20gallons of beer per year, including the beer manufactured at
21the brew pub; and (iv) is not a member of or affiliated with,
22directly or indirectly, a manufacturer that produces more than
233,720,000 gallons of beer per year or any other alcoholic
24liquor.
25 Notwithstanding any other provision of this Act, a licensed
26brewer, class 2 brewer, or non-resident dealer who before July

HB5561- 702 -LRB101 17547 JWD 66965 b
11, 2015 manufactured less than 3,720,000 gallons of beer per
2year and held a brew pub license on or before July 1, 2015 may
3(i) continue to qualify for and hold that brew pub license for
4the licensed premises and (ii) manufacture more than 3,720,000
5gallons of beer per year and continue to qualify for and hold
6that brew pub license if that brewer, class 2 brewer, or
7non-resident dealer does not simultaneously hold a class 1
8brewer license and is not a member of or affiliated with,
9directly or indirectly, a manufacturer that produces more than
103,720,000 gallons of beer per year or that produces any other
11alcoholic liquor.
12 (o) A caterer retailer license shall allow the holder to
13serve alcoholic liquors as an incidental part of a food service
14that serves prepared meals which excludes the serving of snacks
15as the primary meal, either on or off-site whether licensed or
16unlicensed. A caterer retailer license shall allow the holder,
17a distributor, or an importing distributor to transfer any
18inventory to and from the holder's retail premises and shall
19allow the holder to purchase alcoholic liquor from a
20distributor or importing distributor to be delivered directly
21to an off-site event.
22 Nothing in this Act prohibits a distributor or importing
23distributor from offering credit or a refund for unused,
24salable beer to a holder of a caterer retailer license or a
25caterer retailer licensee from accepting a credit or refund for
26unused, salable beer, in the event an act of God is the sole

HB5561- 703 -LRB101 17547 JWD 66965 b
1reason an off-site event is cancelled and if: (i) the holder of
2a caterer retailer license has not transferred alcoholic liquor
3from its caterer retailer premises to an off-site location;
4(ii) the distributor or importing distributor offers the credit
5or refund for the unused, salable beer that it delivered to the
6off-site premises and not for any unused, salable beer that the
7distributor or importing distributor delivered to the caterer
8retailer's premises; and (iii) the unused, salable beer would
9likely spoil if transferred to the caterer retailer's premises.
10A caterer retailer license shall allow the holder to transfer
11any inventory from any off-site location to its caterer
12retailer premises at the conclusion of an off-site event or
13engage a distributor or importing distributor to transfer any
14inventory from any off-site location to its caterer retailer
15premises at the conclusion of an off-site event, provided that
16the distributor or importing distributor issues bona fide
17charges to the caterer retailer licensee for fuel, labor, and
18delivery and the distributor or importing distributor collects
19payment from the caterer retailer licensee prior to the
20distributor or importing distributor transferring inventory to
21the caterer retailer premises.
22 For purposes of this subsection (o), an "act of God" means
23an unforeseeable event, such as a rain or snow storm, hail, a
24flood, or a similar event, that is the sole cause of the
25cancellation of an off-site, outdoor event.
26 (p) An auction liquor license shall allow the licensee to

HB5561- 704 -LRB101 17547 JWD 66965 b
1sell and offer for sale at auction wine and spirits for use or
2consumption, or for resale by an Illinois liquor licensee in
3accordance with provisions of this Act. An auction liquor
4license will be issued to a person and it will permit the
5auction liquor licensee to hold the auction anywhere in the
6State. An auction liquor license must be obtained for each
7auction at least 14 days in advance of the auction date.
8 (q) A special use permit license shall allow an Illinois
9licensed retailer to transfer a portion of its alcoholic liquor
10inventory from its retail licensed premises to the premises
11specified in the license hereby created; to purchase alcoholic
12liquor from a distributor or importing distributor to be
13delivered directly to the location specified in the license
14hereby created; and to sell or offer for sale at retail, only
15in the premises specified in the license hereby created, the
16transferred or delivered alcoholic liquor for use or
17consumption, but not for resale in any form. A special use
18permit license may be granted for the following time periods:
19one day or less; 2 or more days to a maximum of 15 days per
20location in any 12-month period. An applicant for the special
21use permit license must also submit with the application proof
22satisfactory to the State Commission that the applicant will
23provide dram shop liability insurance to the maximum limits and
24have local authority approval.
25 A special use permit license shall allow the holder to
26transfer any inventory from the holder's special use premises

HB5561- 705 -LRB101 17547 JWD 66965 b
1to its retail premises at the conclusion of the special use
2event or engage a distributor or importing distributor to
3transfer any inventory from the holder's special use premises
4to its retail premises at the conclusion of an off-site event,
5provided that the distributor or importing distributor issues
6bona fide charges to the special use permit licensee for fuel,
7labor, and delivery and the distributor or importing
8distributor collects payment from the retail licensee prior to
9the distributor or importing distributor transferring
10inventory to the retail premises.
11 Nothing in this Act prohibits a distributor or importing
12distributor from offering credit or a refund for unused,
13salable beer to a special use permit licensee or a special use
14permit licensee from accepting a credit or refund for unused,
15salable beer at the conclusion of the event specified in the
16license if: (i) the holder of the special use permit license
17has not transferred alcoholic liquor from its retail licensed
18premises to the premises specified in the special use permit
19license; (ii) the distributor or importing distributor offers
20the credit or refund for the unused, salable beer that it
21delivered to the premises specified in the special use permit
22license and not for any unused, salable beer that the
23distributor or importing distributor delivered to the
24retailer's premises; and (iii) the unused, salable beer would
25likely spoil if transferred to the retailer premises.
26 (r) A winery shipper's license shall allow a person with a

HB5561- 706 -LRB101 17547 JWD 66965 b
1first-class or second-class wine manufacturer's license, a
2first-class or second-class wine-maker's license, or a limited
3wine manufacturer's license or who is licensed to make wine
4under the laws of another state to ship wine made by that
5licensee directly to a resident of this State who is 21 years
6of age or older for that resident's personal use and not for
7resale. Prior to receiving a winery shipper's license, an
8applicant for the license must provide the Commission with a
9true copy of its current license in any state in which it is
10licensed as a manufacturer of wine. An applicant for a winery
11shipper's license must also complete an application form that
12provides any other information the Commission deems necessary.
13The application form shall include all addresses from which the
14applicant for a winery shipper's license intends to ship wine,
15including the name and address of any third party, except for a
16common carrier, authorized to ship wine on behalf of the
17manufacturer. The application form shall include an
18acknowledgement consenting to the jurisdiction of the
19Commission, the Illinois Department of Revenue, and the courts
20of this State concerning the enforcement of this Act and any
21related laws, rules, and regulations, including authorizing
22the Department of Revenue and the Commission to conduct audits
23for the purpose of ensuring compliance with Public Act 95-634,
24and an acknowledgement that the wine manufacturer is in
25compliance with Section 6-2 of this Act. Any third party,
26except for a common carrier, authorized to ship wine on behalf

HB5561- 707 -LRB101 17547 JWD 66965 b
1of a first-class or second-class wine manufacturer's licensee,
2a first-class or second-class wine-maker's licensee, a limited
3wine manufacturer's licensee, or a person who is licensed to
4make wine under the laws of another state shall also be
5disclosed by the winery shipper's licensee, and a copy of the
6written appointment of the third-party wine provider, except
7for a common carrier, to the wine manufacturer shall be filed
8with the State Commission as a supplement to the winery
9shipper's license application or any renewal thereof. The
10winery shipper's license holder shall affirm under penalty of
11perjury, as part of the winery shipper's license application or
12renewal, that he or she only ships wine, either directly or
13indirectly through a third-party provider, from the licensee's
14own production.
15 Except for a common carrier, a third-party provider
16shipping wine on behalf of a winery shipper's license holder is
17the agent of the winery shipper's license holder and, as such,
18a winery shipper's license holder is responsible for the acts
19and omissions of the third-party provider acting on behalf of
20the license holder. A third-party provider, except for a common
21carrier, that engages in shipping wine into Illinois on behalf
22of a winery shipper's license holder shall consent to the
23jurisdiction of the State Commission and the State. Any
24third-party, except for a common carrier, holding such an
25appointment shall, by February 1 of each calendar year and upon
26request by the State Commission or the Department of Revenue,

HB5561- 708 -LRB101 17547 JWD 66965 b
1file with the State Commission a statement detailing each
2shipment made to an Illinois resident. The statement shall
3include the name and address of the third-party provider filing
4the statement, the time period covered by the statement, and
5the following information:
6 (1) the name, address, and license number of the winery
7 shipper on whose behalf the shipment was made;
8 (2) the quantity of the products delivered; and
9 (3) the date and address of the shipment.
10If the Department of Revenue or the State Commission requests a
11statement under this paragraph, the third-party provider must
12provide that statement no later than 30 days after the request
13is made. Any books, records, supporting papers, and documents
14containing information and data relating to a statement under
15this paragraph shall be kept and preserved for a period of 3
16years, unless their destruction sooner is authorized, in
17writing, by the Director of Revenue, and shall be open and
18available to inspection by the Director of Revenue or the State
19Commission or any duly authorized officer, agent, or employee
20of the State Commission or the Department of Revenue, at all
21times during business hours of the day. Any person who violates
22any provision of this paragraph or any rule of the State
23Commission for the administration and enforcement of the
24provisions of this paragraph is guilty of a Class C
25misdemeanor. In case of a continuing violation, each day's
26continuance thereof shall be a separate and distinct offense.

HB5561- 709 -LRB101 17547 JWD 66965 b
1 The State Commission shall adopt rules as soon as
2practicable to implement the requirements of Public Act 99-904
3and shall adopt rules prohibiting any such third-party
4appointment of a third-party provider, except for a common
5carrier, that has been deemed by the State Commission to have
6violated the provisions of this Act with regard to any winery
7shipper licensee.
8 A winery shipper licensee must pay to the Department of
9Revenue the State liquor gallonage tax under Section 8-1 for
10all wine that is sold by the licensee and shipped to a person
11in this State. For the purposes of Section 8-1, a winery
12shipper licensee shall be taxed in the same manner as a
13manufacturer of wine. A licensee who is not otherwise required
14to register under the Retailers' Occupation Tax Act must
15register under the Use Tax Act to collect and remit use tax to
16the Department of Revenue for all gallons of wine that are sold
17by the licensee and shipped to persons in this State. If a
18licensee fails to remit the tax imposed under this Act in
19accordance with the provisions of Article VIII of this Act, the
20winery shipper's license shall be revoked in accordance with
21the provisions of Article VII of this Act. If a licensee fails
22to properly register and remit tax under the Use Tax Act or the
23Retailers' Occupation Tax Act for all wine that is sold by the
24winery shipper and shipped to persons in this State, the winery
25shipper's license shall be revoked in accordance with the
26provisions of Article VII of this Act.

HB5561- 710 -LRB101 17547 JWD 66965 b
1 A winery shipper licensee must collect, maintain, and
2submit to the Commission on a semi-annual basis the total
3number of cases per resident of wine shipped to residents of
4this State. A winery shipper licensed under this subsection (r)
5must comply with the requirements of Section 6-29 of this Act.
6 Pursuant to paragraph (5.1) or (5.3) of subsection (a) of
7Section 3-12, the State Commission may receive, respond to, and
8investigate any complaint and impose any of the remedies
9specified in paragraph (1) of subsection (a) of Section 3-12.
10 As used in this subsection, "third-party provider" means
11any entity that provides fulfillment house services, including
12warehousing, packaging, distribution, order processing, or
13shipment of wine, but not the sale of wine, on behalf of a
14licensed winery shipper.
15 (s) A craft distiller tasting permit license shall allow an
16Illinois licensed class 1 craft distiller or class 2 craft
17distiller to transfer a portion of its alcoholic liquor
18inventory from its class 1 craft distiller or class 2 craft
19distiller licensed premises to the premises specified in the
20license hereby created and to conduct a sampling, only in the
21premises specified in the license hereby created, of the
22transferred alcoholic liquor in accordance with subsection (c)
23of Section 6-31 of this Act. The transferred alcoholic liquor
24may not be sold or resold in any form. An applicant for the
25craft distiller tasting permit license must also submit with
26the application proof satisfactory to the State Commission that

HB5561- 711 -LRB101 17547 JWD 66965 b
1the applicant will provide dram shop liability insurance to the
2maximum limits and have local authority approval.
3 (t) A brewer warehouse permit may be issued to the holder
4of a class 1 brewer license or a class 2 brewer license. If the
5holder of the permit is a class 1 brewer licensee, the brewer
6warehouse permit shall allow the holder to store or warehouse
7up to 930,000 gallons of tax-determined beer manufactured by
8the holder of the permit at the premises specified on the
9permit. If the holder of the permit is a class 2 brewer
10licensee, the brewer warehouse permit shall allow the holder to
11store or warehouse up to 3,720,000 gallons of tax-determined
12beer manufactured by the holder of the permit at the premises
13specified on the permit. Sales to non-licensees are prohibited
14at the premises specified in the brewer warehouse permit.
15 (u) A distilling pub license shall allow the licensee to
16only (i) manufacture up to 5,000 gallons of spirits per year
17only on the premises specified in the license, (ii) make sales
18of the spirits manufactured on the premises or, with the
19approval of the State Commission, spirits manufactured on
20another distilling pub licensed premises that is wholly owned
21and operated by the same licensee to importing distributors and
22distributors and to non-licensees for use and consumption,
23(iii) store the spirits upon the premises, (iv) sell and offer
24for sale at retail from the licensed premises for off-premises
25consumption no more than 5,000 gallons per year so long as such
26sales are only made in-person, (v) sell and offer for sale at

HB5561- 712 -LRB101 17547 JWD 66965 b
1retail for use and consumption on the premises specified in the
2license any form of alcoholic liquor purchased from a licensed
3distributor or importing distributor, and (vi) with the prior
4approval of the State Commission, annually transfer no more
5than 5,000 gallons of spirits manufactured on the premises to a
6licensed distilling pub wholly owned and operated by the same
7licensee.
8 A distilling pub licensee shall not under any circumstance
9sell or offer for sale spirits manufactured by the distilling
10pub licensee to retail licensees.
11 A person who holds a class 2 craft distiller license may
12simultaneously hold a distilling pub license if the class 2
13craft distiller (i) does not, under any circumstance, sell or
14offer for sale spirits manufactured by the class 2 craft
15distiller to retail licensees; (ii) does not hold more than 3
16distilling pub licenses in this State; (iii) does not
17manufacture more than a combined 100,000 gallons of spirits per
18year, including the spirits manufactured at the distilling pub;
19and (iv) is not a member of or affiliated with, directly or
20indirectly, a manufacturer that produces more than 100,000
21gallons of spirits per year or any other alcoholic liquor.
22 (v) A craft distiller warehouse permit may be issued to the
23holder of a class 1 craft distiller or class 2 craft distiller
24license. The craft distiller warehouse permit shall allow the
25holder to store or warehouse up to 500,000 gallons of spirits
26manufactured by the holder of the permit at the premises

HB5561- 713 -LRB101 17547 JWD 66965 b
1specified on the permit. Sales to non-licensees are prohibited
2at the premises specified in the craft distiller warehouse
3permit.
4(Source: P.A. 100-17, eff. 6-30-17; 100-201, eff. 8-18-17;
5100-816, eff. 8-13-18; 100-885, eff. 8-14-18; 100-1050, eff.
68-23-18; 101-16, eff. 6-14-19; 101-31, eff. 6-28-19; 101-81,
7eff. 7-12-19; 101-482, eff. 8-23-19; 101-517, eff. 8-23-19;
8101-615, eff. 12-20-19.)
9 (235 ILCS 5/6-30) (from Ch. 43, par. 144f)
10 Sec. 6-30. Notwithstanding any other provision of this Act,
11the Illinois Gaming Board shall have exclusive authority to
12establish the hours for sale and consumption of alcoholic
13liquor on board a riverboat during riverboat gambling
14excursions and in a casino conducted in accordance with the
15Illinois Riverboat Gambling Act.
16(Source: P.A. 101-31, eff. 6-28-19.)
17 Section 10-450. The Illinois Public Aid Code is amended by
18changing Section 10-17.15 as follows:
19 (305 ILCS 5/10-17.15)
20 Sec. 10-17.15. Certification of information to State
21gaming licensees.
22 (a) For purposes of this Section, "State gaming licensee"
23means, as applicable, an organization licensee or advance

HB5561- 714 -LRB101 17547 JWD 66965 b
1deposit wagering licensee licensed under the Illinois Horse
2Racing Act of 1975, an owners licensee licensed under the
3Illinois Riverboat Gambling Act, or a licensee that operates,
4under any law of this State, one or more facilities or gaming
5locations at which lawful gambling is authorized and licensed
6as provided in the Illinois Riverboat Gambling Act.
7 (b) The Department may provide, by rule, for certification
8to any State gaming licensee of past due child support owed by
9a responsible relative under a support order entered by a court
10or administrative body of this or any other State on behalf of
11a resident or non-resident receiving child support services
12under this Article in accordance with the requirements of Title
13IV-D, Part D, of the Social Security Act. The State gaming
14licensee shall have the ability to withhold from winnings
15required to be reported to the Internal Revenue Service on Form
16W-2G, up to the full amount of winnings necessary to pay the
17winner's past due child support. The rule shall provide for
18notice to and an opportunity to be heard by each responsible
19relative affected and any final administrative decision
20rendered by the Department shall be reviewed only under and in
21accordance with the Administrative Review Law.
22 (c) For withholding of winnings, the State gaming licensee
23shall be entitled to an administrative fee not to exceed the
24lesser of 4% of the total amount of cash winnings paid to the
25gambling winner or $150.
26 (d) In no event may the total amount withheld from the cash

HB5561- 715 -LRB101 17547 JWD 66965 b
1payout, including the administrative fee, exceed the total cash
2winnings claimed by the obligor. If the cash payout claimed is
3greater than the amount sufficient to satisfy the obligor's
4delinquent child support payments, the State gaming licensee
5shall pay the obligor the remaining balance of the payout, less
6the administrative fee authorized by subsection (c) of this
7Section, at the time it is claimed.
8 (e) A State gaming licensee who in good faith complies with
9the requirements of this Section shall not be liable to the
10gaming winner or any other individual or entity.
11(Source: P.A. 101-31, eff. 6-28-19.)
12 Section 10-460. The Firearm Concealed Carry Act is amended
13by changing Section 65 as follows:
14 (430 ILCS 66/65)
15 Sec. 65. Prohibited areas.
16 (a) A licensee under this Act shall not knowingly carry a
17firearm on or into:
18 (1) Any building, real property, and parking area under
19 the control of a public or private elementary or secondary
20 school.
21 (2) Any building, real property, and parking area under
22 the control of a pre-school or child care facility,
23 including any room or portion of a building under the
24 control of a pre-school or child care facility. Nothing in

HB5561- 716 -LRB101 17547 JWD 66965 b
1 this paragraph shall prevent the operator of a child care
2 facility in a family home from owning or possessing a
3 firearm in the home or license under this Act, if no child
4 under child care at the home is present in the home or the
5 firearm in the home is stored in a locked container when a
6 child under child care at the home is present in the home.
7 (3) Any building, parking area, or portion of a
8 building under the control of an officer of the executive
9 or legislative branch of government, provided that nothing
10 in this paragraph shall prohibit a licensee from carrying a
11 concealed firearm onto the real property, bikeway, or trail
12 in a park regulated by the Department of Natural Resources
13 or any other designated public hunting area or building
14 where firearm possession is permitted as established by the
15 Department of Natural Resources under Section 1.8 of the
16 Wildlife Code.
17 (4) Any building designated for matters before a
18 circuit court, appellate court, or the Supreme Court, or
19 any building or portion of a building under the control of
20 the Supreme Court.
21 (5) Any building or portion of a building under the
22 control of a unit of local government.
23 (6) Any building, real property, and parking area under
24 the control of an adult or juvenile detention or
25 correctional institution, prison, or jail.
26 (7) Any building, real property, and parking area under

HB5561- 717 -LRB101 17547 JWD 66965 b
1 the control of a public or private hospital or hospital
2 affiliate, mental health facility, or nursing home.
3 (8) Any bus, train, or form of transportation paid for
4 in whole or in part with public funds, and any building,
5 real property, and parking area under the control of a
6 public transportation facility paid for in whole or in part
7 with public funds.
8 (9) Any building, real property, and parking area under
9 the control of an establishment that serves alcohol on its
10 premises, if more than 50% of the establishment's gross
11 receipts within the prior 3 months is from the sale of
12 alcohol. The owner of an establishment who knowingly fails
13 to prohibit concealed firearms on its premises as provided
14 in this paragraph or who knowingly makes a false statement
15 or record to avoid the prohibition on concealed firearms
16 under this paragraph is subject to the penalty under
17 subsection (c-5) of Section 10-1 of the Liquor Control Act
18 of 1934.
19 (10) Any public gathering or special event conducted on
20 property open to the public that requires the issuance of a
21 permit from the unit of local government, provided this
22 prohibition shall not apply to a licensee who must walk
23 through a public gathering in order to access his or her
24 residence, place of business, or vehicle.
25 (11) Any building or real property that has been issued
26 a Special Event Retailer's license as defined in Section

HB5561- 718 -LRB101 17547 JWD 66965 b
1 1-3.17.1 of the Liquor Control Act during the time
2 designated for the sale of alcohol by the Special Event
3 Retailer's license, or a Special use permit license as
4 defined in subsection (q) of Section 5-1 of the Liquor
5 Control Act during the time designated for the sale of
6 alcohol by the Special use permit license.
7 (12) Any public playground.
8 (13) Any public park, athletic area, or athletic
9 facility under the control of a municipality or park
10 district, provided nothing in this Section shall prohibit a
11 licensee from carrying a concealed firearm while on a trail
12 or bikeway if only a portion of the trail or bikeway
13 includes a public park.
14 (14) Any real property under the control of the Cook
15 County Forest Preserve District.
16 (15) Any building, classroom, laboratory, medical
17 clinic, hospital, artistic venue, athletic venue,
18 entertainment venue, officially recognized
19 university-related organization property, whether owned or
20 leased, and any real property, including parking areas,
21 sidewalks, and common areas under the control of a public
22 or private community college, college, or university.
23 (16) Any building, real property, or parking area under
24 the control of a gaming facility licensed under the
25 Illinois Riverboat Gambling Act or the Illinois Horse
26 Racing Act of 1975, including an inter-track wagering

HB5561- 719 -LRB101 17547 JWD 66965 b
1 location licensee.
2 (17) Any stadium, arena, or the real property or
3 parking area under the control of a stadium, arena, or any
4 collegiate or professional sporting event.
5 (18) Any building, real property, or parking area under
6 the control of a public library.
7 (19) Any building, real property, or parking area under
8 the control of an airport.
9 (20) Any building, real property, or parking area under
10 the control of an amusement park.
11 (21) Any building, real property, or parking area under
12 the control of a zoo or museum.
13 (22) Any street, driveway, parking area, property,
14 building, or facility, owned, leased, controlled, or used
15 by a nuclear energy, storage, weapons, or development site
16 or facility regulated by the federal Nuclear Regulatory
17 Commission. The licensee shall not under any circumstance
18 store a firearm or ammunition in his or her vehicle or in a
19 compartment or container within a vehicle located anywhere
20 in or on the street, driveway, parking area, property,
21 building, or facility described in this paragraph.
22 (23) Any area where firearms are prohibited under
23 federal law.
24 (a-5) Nothing in this Act shall prohibit a public or
25private community college, college, or university from:
26 (1) prohibiting persons from carrying a firearm within

HB5561- 720 -LRB101 17547 JWD 66965 b
1 a vehicle owned, leased, or controlled by the college or
2 university;
3 (2) developing resolutions, regulations, or policies
4 regarding student, employee, or visitor misconduct and
5 discipline, including suspension and expulsion;
6 (3) developing resolutions, regulations, or policies
7 regarding the storage or maintenance of firearms, which
8 must include designated areas where persons can park
9 vehicles that carry firearms; and
10 (4) permitting the carrying or use of firearms for the
11 purpose of instruction and curriculum of officially
12 recognized programs, including but not limited to military
13 science and law enforcement training programs, or in any
14 designated area used for hunting purposes or target
15 shooting.
16 (a-10) The owner of private real property of any type may
17prohibit the carrying of concealed firearms on the property
18under his or her control. The owner must post a sign in
19accordance with subsection (d) of this Section indicating that
20firearms are prohibited on the property, unless the property is
21a private residence.
22 (b) Notwithstanding subsections (a), (a-5), and (a-10) of
23this Section except under paragraph (22) or (23) of subsection
24(a), any licensee prohibited from carrying a concealed firearm
25into the parking area of a prohibited location specified in
26subsection (a), (a-5), or (a-10) of this Section shall be

HB5561- 721 -LRB101 17547 JWD 66965 b
1permitted to carry a concealed firearm on or about his or her
2person within a vehicle into the parking area and may store a
3firearm or ammunition concealed in a case within a locked
4vehicle or locked container out of plain view within the
5vehicle in the parking area. A licensee may carry a concealed
6firearm in the immediate area surrounding his or her vehicle
7within a prohibited parking lot area only for the limited
8purpose of storing or retrieving a firearm within the vehicle's
9trunk. For purposes of this subsection, "case" includes a glove
10compartment or console that completely encloses the concealed
11firearm or ammunition, the trunk of the vehicle, or a firearm
12carrying box, shipping box, or other container.
13 (c) A licensee shall not be in violation of this Section
14while he or she is traveling along a public right of way that
15touches or crosses any of the premises under subsection (a),
16(a-5), or (a-10) of this Section if the concealed firearm is
17carried on his or her person in accordance with the provisions
18of this Act or is being transported in a vehicle by the
19licensee in accordance with all other applicable provisions of
20law.
21 (d) Signs stating that the carrying of firearms is
22prohibited shall be clearly and conspicuously posted at the
23entrance of a building, premises, or real property specified in
24this Section as a prohibited area, unless the building or
25premises is a private residence. Signs shall be of a uniform
26design as established by the Department and shall be 4 inches

HB5561- 722 -LRB101 17547 JWD 66965 b
1by 6 inches in size. The Department shall adopt rules for
2standardized signs to be used under this subsection.
3(Source: P.A. 101-31, eff. 6-28-19.)
4 Section 10-470. The Criminal Code of 2012 is amended by
5changing Sections 28-1.1, 28-2, and 28-7 as follows:
6 (720 ILCS 5/28-1.1) (from Ch. 38, par. 28-1.1)
7 Sec. 28-1.1. Syndicated gambling.
8 (a) Declaration of Purpose. Recognizing the close
9relationship between professional gambling and other organized
10crime, it is declared to be the policy of the legislature to
11restrain persons from engaging in the business of gambling for
12profit in this State. This Section shall be liberally construed
13and administered with a view to carrying out this policy.
14 (b) A person commits syndicated gambling when he or she
15operates a "policy game" or engages in the business of
16bookmaking.
17 (c) A person "operates a policy game" when he or she
18knowingly uses any premises or property for the purpose of
19receiving or knowingly does receive from what is commonly
20called "policy":
21 (1) money from a person other than the bettor or player
22 whose bets or plays are represented by the money; or
23 (2) written "policy game" records, made or used over
24 any period of time, from a person other than the bettor or

HB5561- 723 -LRB101 17547 JWD 66965 b
1 player whose bets or plays are represented by the written
2 record.
3 (d) A person engages in bookmaking when he or she knowingly
4receives or accepts more than five bets or wagers upon the
5result of any trials or contests of skill, speed or power of
6endurance or upon any lot, chance, casualty, unknown or
7contingent event whatsoever, which bets or wagers shall be of
8such size that the total of the amounts of money paid or
9promised to be paid to the bookmaker on account thereof shall
10exceed $2,000. Bookmaking is the receiving or accepting of bets
11or wagers regardless of the form or manner in which the
12bookmaker records them.
13 (e) Participants in any of the following activities shall
14not be convicted of syndicated gambling:
15 (1) Agreements to compensate for loss caused by the
16 happening of chance including without limitation contracts
17 of indemnity or guaranty and life or health or accident
18 insurance;
19 (2) Offers of prizes, award or compensation to the
20 actual contestants in any bona fide contest for the
21 determination of skill, speed, strength or endurance or to
22 the owners of animals or vehicles entered in the contest;
23 (3) Pari-mutuel betting as authorized by law of this
24 State;
25 (4) Manufacture of gambling devices, including the
26 acquisition of essential parts therefor and the assembly

HB5561- 724 -LRB101 17547 JWD 66965 b
1 thereof, for transportation in interstate or foreign
2 commerce to any place outside this State when the
3 transportation is not prohibited by any applicable Federal
4 law;
5 (5) Raffles and poker runs when conducted in accordance
6 with the Raffles and Poker Runs Act;
7 (6) Gambling games conducted on riverboats, in
8 casinos, or at organization gaming facilities when
9 authorized by the Illinois Riverboat Gambling Act;
10 (7) Video gaming terminal games at a licensed
11 establishment, licensed truck stop establishment, licensed
12 large truck stop establishment, licensed fraternal
13 establishment, or licensed veterans establishment when
14 conducted in accordance with the Video Gaming Act; and
15 (8) Savings promotion raffles authorized under Section
16 5g of the Illinois Banking Act, Section 7008 of the Savings
17 Bank Act, Section 42.7 of the Illinois Credit Union Act,
18 Section 5136B of the National Bank Act (12 U.S.C. 25a), or
19 Section 4 of the Home Owners' Loan Act (12 U.S.C. 1463).
20 (f) Sentence. Syndicated gambling is a Class 3 felony.
21(Source: P.A. 101-31, eff. 6-28-19.)
22 (720 ILCS 5/28-2) (from Ch. 38, par. 28-2)
23 Sec. 28-2. Definitions.
24 (a) A "gambling device" is any clock, tape machine, slot
25machine or other machines or device for the reception of money

HB5561- 725 -LRB101 17547 JWD 66965 b
1or other thing of value on chance or skill or upon the action
2of which money or other thing of value is staked, hazarded,
3bet, won, or lost; or any mechanism, furniture, fixture,
4equipment, or other device designed primarily for use in a
5gambling place. A "gambling device" does not include:
6 (1) A coin-in-the-slot operated mechanical device
7 played for amusement which rewards the player with the
8 right to replay such mechanical device, which device is so
9 constructed or devised as to make such result of the
10 operation thereof depend in part upon the skill of the
11 player and which returns to the player thereof no money,
12 property, or right to receive money or property.
13 (2) Vending machines by which full and adequate return
14 is made for the money invested and in which there is no
15 element of chance or hazard.
16 (3) A crane game. For the purposes of this paragraph
17 (3), a "crane game" is an amusement device involving skill,
18 if it rewards the player exclusively with merchandise
19 contained within the amusement device proper and limited to
20 toys, novelties, and prizes other than currency, each
21 having a wholesale value which is not more than $25.
22 (4) A redemption machine. For the purposes of this
23 paragraph (4), a "redemption machine" is a single-player or
24 multi-player amusement device involving a game, the object
25 of which is throwing, rolling, bowling, shooting, placing,
26 or propelling a ball or other object that is either

HB5561- 726 -LRB101 17547 JWD 66965 b
1 physical or computer generated on a display or with lights
2 into, upon, or against a hole or other target that is
3 either physical or computer generated on a display or with
4 lights, or stopping, by physical, mechanical, or
5 electronic means, a moving object that is either physical
6 or computer generated on a display or with lights into,
7 upon, or against a hole or other target that is either
8 physical or computer generated on a display or with lights,
9 provided that all of the following conditions are met:
10 (A) The outcome of the game is predominantly
11 determined by the skill of the player.
12 (B) The award of the prize is based solely upon the
13 player's achieving the object of the game or otherwise
14 upon the player's score.
15 (C) Only merchandise prizes are awarded.
16 (D) The wholesale value of prizes awarded in lieu
17 of tickets or tokens for single play of the device does
18 not exceed $25.
19 (E) The redemption value of tickets, tokens, and
20 other representations of value, which may be
21 accumulated by players to redeem prizes of greater
22 value, for a single play of the device does not exceed
23 $25.
24 (5) Video gaming terminals at a licensed
25 establishment, licensed truck stop establishment, licensed
26 large truck stop establishment, licensed fraternal

HB5561- 727 -LRB101 17547 JWD 66965 b
1 establishment, or licensed veterans establishment licensed
2 in accordance with the Video Gaming Act.
3 (a-5) "Internet" means an interactive computer service or
4system or an information service, system, or access software
5provider that provides or enables computer access by multiple
6users to a computer server, and includes, but is not limited
7to, an information service, system, or access software provider
8that provides access to a network system commonly known as the
9Internet, or any comparable system or service and also
10includes, but is not limited to, a World Wide Web page,
11newsgroup, message board, mailing list, or chat area on any
12interactive computer service or system or other online service.
13 (a-6) "Access" has the meaning ascribed to the term in
14Section 17-55.
15 (a-7) "Computer" has the meaning ascribed to the term in
16Section 17-0.5.
17 (b) A "lottery" is any scheme or procedure whereby one or
18more prizes are distributed by chance among persons who have
19paid or promised consideration for a chance to win such prizes,
20whether such scheme or procedure is called a lottery, raffle,
21gift, sale, or some other name, excluding savings promotion
22raffles authorized under Section 5g of the Illinois Banking
23Act, Section 7008 of the Savings Bank Act, Section 42.7 of the
24Illinois Credit Union Act, Section 5136B of the National Bank
25Act (12 U.S.C. 25a), or Section 4 of the Home Owners' Loan Act
26(12 U.S.C. 1463).

HB5561- 728 -LRB101 17547 JWD 66965 b
1 (c) A "policy game" is any scheme or procedure whereby a
2person promises or guarantees by any instrument, bill,
3certificate, writing, token, or other device that any
4particular number, character, ticket, or certificate shall in
5the event of any contingency in the nature of a lottery entitle
6the purchaser or holder to receive money, property, or evidence
7of debt.
8(Source: P.A. 101-31, eff. 6-28-19; 101-87, eff. 1-1-20;
9revised 8-6-19.)
10 (720 ILCS 5/28-7) (from Ch. 38, par. 28-7)
11 Sec. 28-7. Gambling contracts void.
12 (a) All promises, notes, bills, bonds, covenants,
13contracts, agreements, judgments, mortgages, or other
14securities or conveyances made, given, granted, drawn, or
15entered into, or executed by any person whatsoever, where the
16whole or any part of the consideration thereof is for any money
17or thing of value, won or obtained in violation of any Section
18of this Article are null and void.
19 (b) Any obligation void under this Section may be set aside
20and vacated by any court of competent jurisdiction, upon a
21complaint filed for that purpose, by the person so granting,
22giving, entering into, or executing the same, or by his
23executors or administrators, or by any creditor, heir, legatee,
24purchaser or other person interested therein; or if a judgment,
25the same may be set aside on motion of any person stated above,

HB5561- 729 -LRB101 17547 JWD 66965 b
1on due notice thereof given.
2 (c) No assignment of any obligation void under this Section
3may in any manner affect the defense of the person giving,
4granting, drawing, entering into or executing such obligation,
5or the remedies of any person interested therein.
6 (d) This Section shall not prevent a licensed owner of a
7riverboat gambling operation, a casino gambling operation, or
8an organization gaming licensee under the Illinois Gambling Act
9and the Illinois Horse Racing Act of 1975 from instituting a
10cause of action to collect any amount due and owing under an
11extension of credit to a riverboat gambling patron as
12authorized under Section 11.1 of the Illinois Riverboat
13Gambling Act.
14(Source: P.A. 101-31, eff. 6-28-19.)
15 Section 10-480. The Payday Loan Reform Act is amended by
16changing Section 3-5 as follows:
17 (815 ILCS 122/3-5)
18 Sec. 3-5. Licensure.
19 (a) A license to make a payday loan shall state the
20address, including city and state, at which the business is to
21be conducted and shall state fully the name of the licensee.
22The license shall be conspicuously posted in the place of
23business of the licensee and shall not be transferable or
24assignable.

HB5561- 730 -LRB101 17547 JWD 66965 b
1 (b) An application for a license shall be in writing and in
2a form prescribed by the Secretary. The Secretary may not issue
3a payday loan license unless and until the following findings
4are made:
5 (1) that the financial responsibility, experience,
6 character, and general fitness of the applicant are such as
7 to command the confidence of the public and to warrant the
8 belief that the business will be operated lawfully and
9 fairly and within the provisions and purposes of this Act;
10 and
11 (2) that the applicant has submitted such other
12 information as the Secretary may deem necessary.
13 (c) A license shall be issued for no longer than one year,
14and no renewal of a license may be provided if a licensee has
15substantially violated this Act and has not cured the violation
16to the satisfaction of the Department.
17 (d) A licensee shall appoint, in writing, the Secretary as
18attorney-in-fact upon whom all lawful process against the
19licensee may be served with the same legal force and validity
20as if served on the licensee. A copy of the written
21appointment, duly certified, shall be filed in the office of
22the Secretary, and a copy thereof certified by the Secretary
23shall be sufficient evidence to subject a licensee to
24jurisdiction in a court of law. This appointment shall remain
25in effect while any liability remains outstanding in this State
26against the licensee. When summons is served upon the Secretary

HB5561- 731 -LRB101 17547 JWD 66965 b
1as attorney-in-fact for a licensee, the Secretary shall
2immediately notify the licensee by registered mail, enclosing
3the summons and specifying the hour and day of service.
4 (e) A licensee must pay an annual fee of $1,000. In
5addition to the license fee, the reasonable expense of any
6examination or hearing by the Secretary under any provisions of
7this Act shall be borne by the licensee. If a licensee fails to
8renew its license by December 1, its license shall
9automatically expire; however, the Secretary, in his or her
10discretion, may reinstate an expired license upon:
11 (1) payment of the annual fee within 30 days of the
12 date of expiration; and
13 (2) proof of good cause for failure to renew.
14 (f) Not more than one place of business shall be maintained
15under the same license, but the Secretary may issue more than
16one license to the same licensee upon compliance with all the
17provisions of this Act governing issuance of a single license.
18The location, except those locations already in existence as of
19June 1, 2005, may not be within one mile of a horse race track
20subject to the Illinois Horse Racing Act of 1975, within one
21mile of a facility at which gambling is conducted under the
22Illinois Riverboat Gambling Act, within one mile of the
23location at which a riverboat subject to the Illinois Riverboat
24Gambling Act docks, or within one mile of any State of Illinois
25or United States military base or naval installation.
26 (g) No licensee shall conduct the business of making loans

HB5561- 732 -LRB101 17547 JWD 66965 b
1under this Act within any office, suite, room, or place of
2business in which (1) any loans are offered or made under the
3Consumer Installment Loan Act other than title secured loans as
4defined in subsection (a) of Section 15 of the Consumer
5Installment Loan Act and governed by Title 38, Section 110.330
6of the Illinois Administrative Code or (2) any other business
7is solicited or engaged in unless the other business is
8licensed by the Department or, in the opinion of the Secretary,
9the other business would not be contrary to the best interests
10of consumers and is authorized by the Secretary in writing.
11 (g-5) Notwithstanding subsection (g) of this Section, a
12licensee may obtain a license under the Consumer Installment
13Loan Act (CILA) for the exclusive purpose and use of making
14title secured loans, as defined in subsection (a) of Section 15
15of CILA and governed by Title 38, Section 110.300 of the
16Illinois Administrative Code. A licensee may continue to
17service Consumer Installment Loan Act loans that were
18outstanding as of the effective date of this amendatory Act of
19the 96th General Assembly.
20 (h) The Secretary shall maintain a list of licensees that
21shall be available to interested consumers and lenders and the
22public. The Secretary shall maintain a toll-free number whereby
23consumers may obtain information about licensees. The
24Secretary shall also establish a complaint process under which
25an aggrieved consumer may file a complaint against a licensee
26or non-licensee who violates any provision of this Act.

HB5561- 733 -LRB101 17547 JWD 66965 b
1(Source: P.A. 101-31, eff. 6-28-19.)
2 Section 10-500. The Travel Promotion Consumer Protection
3Act is amended by changing Section 2 as follows:
4 (815 ILCS 420/2) (from Ch. 121 1/2, par. 1852)
5 Sec. 2. Definitions.
6 (a) "Travel promoter" means a person, including a tour
7operator, who sells, provides, furnishes, contracts for,
8arranges or advertises that he or she will arrange wholesale or
9retail transportation by air, land, sea or navigable stream,
10either separately or in conjunction with other services.
11"Travel promoter" does not include (1) an air carrier; (2) a
12sea carrier; (3) an officially appointed agent of an air
13carrier who is a member in good standing of the Airline
14Reporting Corporation; (4) a travel promoter who has in force
15$1,000,000 or more of liability insurance coverage for
16professional errors and omissions and a surety bond or
17equivalent surety in the amount of $100,000 or more for the
18benefit of consumers in the event of a bankruptcy on the part
19of the travel promoter; or (5) a riverboat subject to
20regulation under the Illinois Riverboat Gambling Act.
21 (b) "Advertise" means to make any representation in the
22solicitation of passengers and includes communication with
23other members of the same partnership, corporation, joint
24venture, association, organization, group or other entity.

HB5561- 734 -LRB101 17547 JWD 66965 b
1 (c) "Passenger" means a person on whose behalf money or
2other consideration has been given or is to be given to
3another, including another member of the same partnership,
4corporation, joint venture, association, organization, group
5or other entity, for travel.
6 (d) "Ticket or voucher" means a writing or combination of
7writings which is itself good and sufficient to obtain
8transportation and other services for which the passenger has
9contracted.
10(Source: P.A. 101-31, eff. 6-28-19.)
11 Section 10-505. The State Finance Act is amended by adding
12Section 5.490a as follows:
13 (30 ILCS 105/5.490a new)
14 Sec. 5.490a. The Horse Racing Equity Fund.
15 Section 10-510. The Illinois Horse Racing Act of 1975 is
16amended by adding Sections 2.1a and 54a as follows:
17 (230 ILCS 5/2.1a new)
18 Sec. 2.1a. Before the Governor or any executive agency of
19State government makes any commitment, whether or not legally
20binding, with respect to a proposed project for the development
21or construction of any new horse racing facility, or for any
22development or construction on the site of a former horse

HB5561- 735 -LRB101 17547 JWD 66965 b
1racing facility, which commitment will require legislative
2action by the General Assembly for its implementation, the
3Governor or agency shall first report to the General Assembly
4on the nature of the proposed project and commitment, including
5an indication of the type of legislative action likely to be
6required.
7 In considering such report, the General Assembly may adopt
8a joint resolution indicating the sense of the legislature with
9respect to the proposal, and the likelihood of its undertaking
10the legislative action that will be needed, but such resolution
11shall not be deemed to bind the General Assembly, the Governor,
12or the State of Illinois in any way.
13 (230 ILCS 5/54a new)
14 Sec. 54a. Horse Racing Equity Fund.
15 (a) There is created in the State Treasury a Fund to be
16known as the Horse Racing Equity Fund. The Fund shall consist
17of moneys paid into it pursuant to subsection (c-5) of Section
1813 of the Riverboat Gambling Act. The Fund shall be
19administered by the Racing Board.
20 (b) The moneys deposited into the Fund shall be distributed
21by the Racing Board within 10 days after those moneys are
22deposited into the Fund as follows:
23 (1) Fifty percent of all moneys distributed under this
24 subsection shall be distributed to organization licensees
25 to be distributed at their race meetings as purses.

HB5561- 736 -LRB101 17547 JWD 66965 b
1 Fifty-seven percent of the amount distributed under this
2 paragraph (1) shall be distributed for thoroughbred race
3 meetings and 43% shall be distributed for standardbred race
4 meetings. Within each breed, moneys shall be allocated to
5 each organization licensee's purse fund in accordance with
6 the ratio between the purses generated for that breed by
7 that licensee during the prior calendar year and the total
8 purses generated throughout the State for that breed during
9 the prior calendar year.
10 (2) The remaining 50% of the moneys distributed under
11 this subsection (b) shall be distributed pro rata according
12 to the aggregate proportion of state-wide handle at the
13 racetrack, inter-track, and inter-track wagering locations
14 that derive their licenses from a racetrack identified in
15 this paragraph (2) for calendar years 1994, 1996, and 1997
16 to (i) any person (or its successors or assigns) who had
17 operating control of a racing facility at which live racing
18 was conducted in calendar year 1997 and who has operating
19 control of an organization licensee that conducted racing
20 in calendar year 1997 and is a licensee in the current
21 year, or (ii) any person (or its successors or assigns) who
22 has operating control of a racing facility located in a
23 county that is bounded by the Mississippi River that has a
24 population of less than 150,000 according to the 1990
25 decennial census and conducted an average of 60 days of
26 racing per year between 1985 and 1993 and has been awarded

HB5561- 737 -LRB101 17547 JWD 66965 b
1 an inter-track wagering license in the current year.
2 If any person identified in this paragraph (2) becomes
3 ineligible to receive moneys from the Fund, such amount
4 shall be redistributed among the remaining persons in
5 proportion to their percentages otherwise calculated.
6
Article 15.
7 (30 ILCS 178/Act rep.)
8 Section 15-1. The Transportation Funding Protection Act is
9repealed.
10 Section 15-10. The Use Tax Act is amended by changing
11Section 9 as follows:
12 (35 ILCS 105/9) (from Ch. 120, par. 439.9)
13 Sec. 9. Except as to motor vehicles, watercraft, aircraft,
14and trailers that are required to be registered with an agency
15of this State, each retailer required or authorized to collect
16the tax imposed by this Act shall pay to the Department the
17amount of such tax (except as otherwise provided) at the time
18when he is required to file his return for the period during
19which such tax was collected, less a discount of 2.1% prior to
20January 1, 1990, and 1.75% on and after January 1, 1990, or $5
21per calendar year, whichever is greater, which is allowed to
22reimburse the retailer for expenses incurred in collecting the

HB5561- 738 -LRB101 17547 JWD 66965 b
1tax, keeping records, preparing and filing returns, remitting
2the tax and supplying data to the Department on request. The
3discount under this Section is not allowed for the 1.25%
4portion of taxes paid on aviation fuel that is subject to the
5revenue use requirements of 49 U.S.C. 47107(b) and 49 U.S.C.
647133. In the case of retailers who report and pay the tax on a
7transaction by transaction basis, as provided in this Section,
8such discount shall be taken with each such tax remittance
9instead of when such retailer files his periodic return. The
10discount allowed under this Section is allowed only for returns
11that are filed in the manner required by this Act. The
12Department may disallow the discount for retailers whose
13certificate of registration is revoked at the time the return
14is filed, but only if the Department's decision to revoke the
15certificate of registration has become final. A retailer need
16not remit that part of any tax collected by him to the extent
17that he is required to remit and does remit the tax imposed by
18the Retailers' Occupation Tax Act, with respect to the sale of
19the same property.
20 Where such tangible personal property is sold under a
21conditional sales contract, or under any other form of sale
22wherein the payment of the principal sum, or a part thereof, is
23extended beyond the close of the period for which the return is
24filed, the retailer, in collecting the tax (except as to motor
25vehicles, watercraft, aircraft, and trailers that are required
26to be registered with an agency of this State), may collect for

HB5561- 739 -LRB101 17547 JWD 66965 b
1each tax return period, only the tax applicable to that part of
2the selling price actually received during such tax return
3period.
4 Except as provided in this Section, on or before the
5twentieth day of each calendar month, such retailer shall file
6a return for the preceding calendar month. Such return shall be
7filed on forms prescribed by the Department and shall furnish
8such information as the Department may reasonably require. On
9and after January 1, 2018, except for returns for motor
10vehicles, watercraft, aircraft, and trailers that are required
11to be registered with an agency of this State, with respect to
12retailers whose annual gross receipts average $20,000 or more,
13all returns required to be filed pursuant to this Act shall be
14filed electronically. Retailers who demonstrate that they do
15not have access to the Internet or demonstrate hardship in
16filing electronically may petition the Department to waive the
17electronic filing requirement.
18 The Department may require returns to be filed on a
19quarterly basis. If so required, a return for each calendar
20quarter shall be filed on or before the twentieth day of the
21calendar month following the end of such calendar quarter. The
22taxpayer shall also file a return with the Department for each
23of the first two months of each calendar quarter, on or before
24the twentieth day of the following calendar month, stating:
25 1. The name of the seller;
26 2. The address of the principal place of business from

HB5561- 740 -LRB101 17547 JWD 66965 b
1 which he engages in the business of selling tangible
2 personal property at retail in this State;
3 3. The total amount of taxable receipts received by him
4 during the preceding calendar month from sales of tangible
5 personal property by him during such preceding calendar
6 month, including receipts from charge and time sales, but
7 less all deductions allowed by law;
8 4. The amount of credit provided in Section 2d of this
9 Act;
10 5. The amount of tax due;
11 5-5. The signature of the taxpayer; and
12 6. Such other reasonable information as the Department
13 may require.
14 Each retailer required or authorized to collect the tax
15imposed by this Act on aviation fuel sold at retail in this
16State during the preceding calendar month shall, instead of
17reporting and paying tax on aviation fuel as otherwise required
18by this Section, report and pay such tax on a separate aviation
19fuel tax return. The requirements related to the return shall
20be as otherwise provided in this Section. Notwithstanding any
21other provisions of this Act to the contrary, retailers
22collecting tax on aviation fuel shall file all aviation fuel
23tax returns and shall make all aviation fuel tax payments by
24electronic means in the manner and form required by the
25Department. For purposes of this Section, "aviation fuel" means
26jet fuel and aviation gasoline.

HB5561- 741 -LRB101 17547 JWD 66965 b
1 If a taxpayer fails to sign a return within 30 days after
2the proper notice and demand for signature by the Department,
3the return shall be considered valid and any amount shown to be
4due on the return shall be deemed assessed.
5 Notwithstanding any other provision of this Act to the
6contrary, retailers subject to tax on cannabis shall file all
7cannabis tax returns and shall make all cannabis tax payments
8by electronic means in the manner and form required by the
9Department.
10 Beginning October 1, 1993, a taxpayer who has an average
11monthly tax liability of $150,000 or more shall make all
12payments required by rules of the Department by electronic
13funds transfer. Beginning October 1, 1994, a taxpayer who has
14an average monthly tax liability of $100,000 or more shall make
15all payments required by rules of the Department by electronic
16funds transfer. Beginning October 1, 1995, a taxpayer who has
17an average monthly tax liability of $50,000 or more shall make
18all payments required by rules of the Department by electronic
19funds transfer. Beginning October 1, 2000, a taxpayer who has
20an annual tax liability of $200,000 or more shall make all
21payments required by rules of the Department by electronic
22funds transfer. The term "annual tax liability" shall be the
23sum of the taxpayer's liabilities under this Act, and under all
24other State and local occupation and use tax laws administered
25by the Department, for the immediately preceding calendar year.
26The term "average monthly tax liability" means the sum of the

HB5561- 742 -LRB101 17547 JWD 66965 b
1taxpayer's liabilities under this Act, and under all other
2State and local occupation and use tax laws administered by the
3Department, for the immediately preceding calendar year
4divided by 12. Beginning on October 1, 2002, a taxpayer who has
5a tax liability in the amount set forth in subsection (b) of
6Section 2505-210 of the Department of Revenue Law shall make
7all payments required by rules of the Department by electronic
8funds transfer.
9 Before August 1 of each year beginning in 1993, the
10Department shall notify all taxpayers required to make payments
11by electronic funds transfer. All taxpayers required to make
12payments by electronic funds transfer shall make those payments
13for a minimum of one year beginning on October 1.
14 Any taxpayer not required to make payments by electronic
15funds transfer may make payments by electronic funds transfer
16with the permission of the Department.
17 All taxpayers required to make payment by electronic funds
18transfer and any taxpayers authorized to voluntarily make
19payments by electronic funds transfer shall make those payments
20in the manner authorized by the Department.
21 The Department shall adopt such rules as are necessary to
22effectuate a program of electronic funds transfer and the
23requirements of this Section.
24 Before October 1, 2000, if the taxpayer's average monthly
25tax liability to the Department under this Act, the Retailers'
26Occupation Tax Act, the Service Occupation Tax Act, the Service

HB5561- 743 -LRB101 17547 JWD 66965 b
1Use Tax Act was $10,000 or more during the preceding 4 complete
2calendar quarters, he shall file a return with the Department
3each month by the 20th day of the month next following the
4month during which such tax liability is incurred and shall
5make payments to the Department on or before the 7th, 15th,
622nd and last day of the month during which such liability is
7incurred. On and after October 1, 2000, if the taxpayer's
8average monthly tax liability to the Department under this Act,
9the Retailers' Occupation Tax Act, the Service Occupation Tax
10Act, and the Service Use Tax Act was $20,000 or more during the
11preceding 4 complete calendar quarters, he shall file a return
12with the Department each month by the 20th day of the month
13next following the month during which such tax liability is
14incurred and shall make payment to the Department on or before
15the 7th, 15th, 22nd and last day of the month during which such
16liability is incurred. If the month during which such tax
17liability is incurred began prior to January 1, 1985, each
18payment shall be in an amount equal to 1/4 of the taxpayer's
19actual liability for the month or an amount set by the
20Department not to exceed 1/4 of the average monthly liability
21of the taxpayer to the Department for the preceding 4 complete
22calendar quarters (excluding the month of highest liability and
23the month of lowest liability in such 4 quarter period). If the
24month during which such tax liability is incurred begins on or
25after January 1, 1985, and prior to January 1, 1987, each
26payment shall be in an amount equal to 22.5% of the taxpayer's

HB5561- 744 -LRB101 17547 JWD 66965 b
1actual liability for the month or 27.5% of the taxpayer's
2liability for the same calendar month of the preceding year. If
3the month during which such tax liability is incurred begins on
4or after January 1, 1987, and prior to January 1, 1988, each
5payment shall be in an amount equal to 22.5% of the taxpayer's
6actual liability for the month or 26.25% of the taxpayer's
7liability for the same calendar month of the preceding year. If
8the month during which such tax liability is incurred begins on
9or after January 1, 1988, and prior to January 1, 1989, or
10begins on or after January 1, 1996, each payment shall be in an
11amount equal to 22.5% of the taxpayer's actual liability for
12the month or 25% of the taxpayer's liability for the same
13calendar month of the preceding year. If the month during which
14such tax liability is incurred begins on or after January 1,
151989, and prior to January 1, 1996, each payment shall be in an
16amount equal to 22.5% of the taxpayer's actual liability for
17the month or 25% of the taxpayer's liability for the same
18calendar month of the preceding year or 100% of the taxpayer's
19actual liability for the quarter monthly reporting period. The
20amount of such quarter monthly payments shall be credited
21against the final tax liability of the taxpayer's return for
22that month. Before October 1, 2000, once applicable, the
23requirement of the making of quarter monthly payments to the
24Department shall continue until such taxpayer's average
25monthly liability to the Department during the preceding 4
26complete calendar quarters (excluding the month of highest

HB5561- 745 -LRB101 17547 JWD 66965 b
1liability and the month of lowest liability) is less than
2$9,000, or until such taxpayer's average monthly liability to
3the Department as computed for each calendar quarter of the 4
4preceding complete calendar quarter period is less than
5$10,000. However, if a taxpayer can show the Department that a
6substantial change in the taxpayer's business has occurred
7which causes the taxpayer to anticipate that his average
8monthly tax liability for the reasonably foreseeable future
9will fall below the $10,000 threshold stated above, then such
10taxpayer may petition the Department for change in such
11taxpayer's reporting status. On and after October 1, 2000, once
12applicable, the requirement of the making of quarter monthly
13payments to the Department shall continue until such taxpayer's
14average monthly liability to the Department during the
15preceding 4 complete calendar quarters (excluding the month of
16highest liability and the month of lowest liability) is less
17than $19,000 or until such taxpayer's average monthly liability
18to the Department as computed for each calendar quarter of the
194 preceding complete calendar quarter period is less than
20$20,000. However, if a taxpayer can show the Department that a
21substantial change in the taxpayer's business has occurred
22which causes the taxpayer to anticipate that his average
23monthly tax liability for the reasonably foreseeable future
24will fall below the $20,000 threshold stated above, then such
25taxpayer may petition the Department for a change in such
26taxpayer's reporting status. The Department shall change such

HB5561- 746 -LRB101 17547 JWD 66965 b
1taxpayer's reporting status unless it finds that such change is
2seasonal in nature and not likely to be long term. If any such
3quarter monthly payment is not paid at the time or in the
4amount required by this Section, then the taxpayer shall be
5liable for penalties and interest on the difference between the
6minimum amount due and the amount of such quarter monthly
7payment actually and timely paid, except insofar as the
8taxpayer has previously made payments for that month to the
9Department in excess of the minimum payments previously due as
10provided in this Section. The Department shall make reasonable
11rules and regulations to govern the quarter monthly payment
12amount and quarter monthly payment dates for taxpayers who file
13on other than a calendar monthly basis.
14 If any such payment provided for in this Section exceeds
15the taxpayer's liabilities under this Act, the Retailers'
16Occupation Tax Act, the Service Occupation Tax Act and the
17Service Use Tax Act, as shown by an original monthly return,
18the Department shall issue to the taxpayer a credit memorandum
19no later than 30 days after the date of payment, which
20memorandum may be submitted by the taxpayer to the Department
21in payment of tax liability subsequently to be remitted by the
22taxpayer to the Department or be assigned by the taxpayer to a
23similar taxpayer under this Act, the Retailers' Occupation Tax
24Act, the Service Occupation Tax Act or the Service Use Tax Act,
25in accordance with reasonable rules and regulations to be
26prescribed by the Department, except that if such excess

HB5561- 747 -LRB101 17547 JWD 66965 b
1payment is shown on an original monthly return and is made
2after December 31, 1986, no credit memorandum shall be issued,
3unless requested by the taxpayer. If no such request is made,
4the taxpayer may credit such excess payment against tax
5liability subsequently to be remitted by the taxpayer to the
6Department under this Act, the Retailers' Occupation Tax Act,
7the Service Occupation Tax Act or the Service Use Tax Act, in
8accordance with reasonable rules and regulations prescribed by
9the Department. If the Department subsequently determines that
10all or any part of the credit taken was not actually due to the
11taxpayer, the taxpayer's 2.1% or 1.75% vendor's discount shall
12be reduced by 2.1% or 1.75% of the difference between the
13credit taken and that actually due, and the taxpayer shall be
14liable for penalties and interest on such difference.
15 If the retailer is otherwise required to file a monthly
16return and if the retailer's average monthly tax liability to
17the Department does not exceed $200, the Department may
18authorize his returns to be filed on a quarter annual basis,
19with the return for January, February, and March of a given
20year being due by April 20 of such year; with the return for
21April, May and June of a given year being due by July 20 of such
22year; with the return for July, August and September of a given
23year being due by October 20 of such year, and with the return
24for October, November and December of a given year being due by
25January 20 of the following year.
26 If the retailer is otherwise required to file a monthly or

HB5561- 748 -LRB101 17547 JWD 66965 b
1quarterly return and if the retailer's average monthly tax
2liability to the Department does not exceed $50, the Department
3may authorize his returns to be filed on an annual basis, with
4the return for a given year being due by January 20 of the
5following year.
6 Such quarter annual and annual returns, as to form and
7substance, shall be subject to the same requirements as monthly
8returns.
9 Notwithstanding any other provision in this Act concerning
10the time within which a retailer may file his return, in the
11case of any retailer who ceases to engage in a kind of business
12which makes him responsible for filing returns under this Act,
13such retailer shall file a final return under this Act with the
14Department not more than one month after discontinuing such
15business.
16 In addition, with respect to motor vehicles, watercraft,
17aircraft, and trailers that are required to be registered with
18an agency of this State, except as otherwise provided in this
19Section, every retailer selling this kind of tangible personal
20property shall file, with the Department, upon a form to be
21prescribed and supplied by the Department, a separate return
22for each such item of tangible personal property which the
23retailer sells, except that if, in the same transaction, (i) a
24retailer of aircraft, watercraft, motor vehicles or trailers
25transfers more than one aircraft, watercraft, motor vehicle or
26trailer to another aircraft, watercraft, motor vehicle or

HB5561- 749 -LRB101 17547 JWD 66965 b
1trailer retailer for the purpose of resale or (ii) a retailer
2of aircraft, watercraft, motor vehicles, or trailers transfers
3more than one aircraft, watercraft, motor vehicle, or trailer
4to a purchaser for use as a qualifying rolling stock as
5provided in Section 3-55 of this Act, then that seller may
6report the transfer of all the aircraft, watercraft, motor
7vehicles or trailers involved in that transaction to the
8Department on the same uniform invoice-transaction reporting
9return form. For purposes of this Section, "watercraft" means a
10Class 2, Class 3, or Class 4 watercraft as defined in Section
113-2 of the Boat Registration and Safety Act, a personal
12watercraft, or any boat equipped with an inboard motor.
13 In addition, with respect to motor vehicles, watercraft,
14aircraft, and trailers that are required to be registered with
15an agency of this State, every person who is engaged in the
16business of leasing or renting such items and who, in
17connection with such business, sells any such item to a
18retailer for the purpose of resale is, notwithstanding any
19other provision of this Section to the contrary, authorized to
20meet the return-filing requirement of this Act by reporting the
21transfer of all the aircraft, watercraft, motor vehicles, or
22trailers transferred for resale during a month to the
23Department on the same uniform invoice-transaction reporting
24return form on or before the 20th of the month following the
25month in which the transfer takes place. Notwithstanding any
26other provision of this Act to the contrary, all returns filed

HB5561- 750 -LRB101 17547 JWD 66965 b
1under this paragraph must be filed by electronic means in the
2manner and form as required by the Department.
3 The transaction reporting return in the case of motor
4vehicles or trailers that are required to be registered with an
5agency of this State, shall be the same document as the Uniform
6Invoice referred to in Section 5-402 of the Illinois Vehicle
7Code and must show the name and address of the seller; the name
8and address of the purchaser; the amount of the selling price
9including the amount allowed by the retailer for traded-in
10property, if any; the amount allowed by the retailer for the
11traded-in tangible personal property, if any, to the extent to
12which Section 2 of this Act allows an exemption for the value
13of traded-in property; the balance payable after deducting such
14trade-in allowance from the total selling price; the amount of
15tax due from the retailer with respect to such transaction; the
16amount of tax collected from the purchaser by the retailer on
17such transaction (or satisfactory evidence that such tax is not
18due in that particular instance, if that is claimed to be the
19fact); the place and date of the sale; a sufficient
20identification of the property sold; such other information as
21is required in Section 5-402 of the Illinois Vehicle Code, and
22such other information as the Department may reasonably
23require.
24 The transaction reporting return in the case of watercraft
25and aircraft must show the name and address of the seller; the
26name and address of the purchaser; the amount of the selling

HB5561- 751 -LRB101 17547 JWD 66965 b
1price including the amount allowed by the retailer for
2traded-in property, if any; the amount allowed by the retailer
3for the traded-in tangible personal property, if any, to the
4extent to which Section 2 of this Act allows an exemption for
5the value of traded-in property; the balance payable after
6deducting such trade-in allowance from the total selling price;
7the amount of tax due from the retailer with respect to such
8transaction; the amount of tax collected from the purchaser by
9the retailer on such transaction (or satisfactory evidence that
10such tax is not due in that particular instance, if that is
11claimed to be the fact); the place and date of the sale, a
12sufficient identification of the property sold, and such other
13information as the Department may reasonably require.
14 Such transaction reporting return shall be filed not later
15than 20 days after the date of delivery of the item that is
16being sold, but may be filed by the retailer at any time sooner
17than that if he chooses to do so. The transaction reporting
18return and tax remittance or proof of exemption from the tax
19that is imposed by this Act may be transmitted to the
20Department by way of the State agency with which, or State
21officer with whom, the tangible personal property must be
22titled or registered (if titling or registration is required)
23if the Department and such agency or State officer determine
24that this procedure will expedite the processing of
25applications for title or registration.
26 With each such transaction reporting return, the retailer

HB5561- 752 -LRB101 17547 JWD 66965 b
1shall remit the proper amount of tax due (or shall submit
2satisfactory evidence that the sale is not taxable if that is
3the case), to the Department or its agents, whereupon the
4Department shall issue, in the purchaser's name, a tax receipt
5(or a certificate of exemption if the Department is satisfied
6that the particular sale is tax exempt) which such purchaser
7may submit to the agency with which, or State officer with
8whom, he must title or register the tangible personal property
9that is involved (if titling or registration is required) in
10support of such purchaser's application for an Illinois
11certificate or other evidence of title or registration to such
12tangible personal property.
13 No retailer's failure or refusal to remit tax under this
14Act precludes a user, who has paid the proper tax to the
15retailer, from obtaining his certificate of title or other
16evidence of title or registration (if titling or registration
17is required) upon satisfying the Department that such user has
18paid the proper tax (if tax is due) to the retailer. The
19Department shall adopt appropriate rules to carry out the
20mandate of this paragraph.
21 If the user who would otherwise pay tax to the retailer
22wants the transaction reporting return filed and the payment of
23tax or proof of exemption made to the Department before the
24retailer is willing to take these actions and such user has not
25paid the tax to the retailer, such user may certify to the fact
26of such delay by the retailer, and may (upon the Department

HB5561- 753 -LRB101 17547 JWD 66965 b
1being satisfied of the truth of such certification) transmit
2the information required by the transaction reporting return
3and the remittance for tax or proof of exemption directly to
4the Department and obtain his tax receipt or exemption
5determination, in which event the transaction reporting return
6and tax remittance (if a tax payment was required) shall be
7credited by the Department to the proper retailer's account
8with the Department, but without the 2.1% or 1.75% discount
9provided for in this Section being allowed. When the user pays
10the tax directly to the Department, he shall pay the tax in the
11same amount and in the same form in which it would be remitted
12if the tax had been remitted to the Department by the retailer.
13 Where a retailer collects the tax with respect to the
14selling price of tangible personal property which he sells and
15the purchaser thereafter returns such tangible personal
16property and the retailer refunds the selling price thereof to
17the purchaser, such retailer shall also refund, to the
18purchaser, the tax so collected from the purchaser. When filing
19his return for the period in which he refunds such tax to the
20purchaser, the retailer may deduct the amount of the tax so
21refunded by him to the purchaser from any other use tax which
22such retailer may be required to pay or remit to the
23Department, as shown by such return, if the amount of the tax
24to be deducted was previously remitted to the Department by
25such retailer. If the retailer has not previously remitted the
26amount of such tax to the Department, he is entitled to no

HB5561- 754 -LRB101 17547 JWD 66965 b
1deduction under this Act upon refunding such tax to the
2purchaser.
3 Any retailer filing a return under this Section shall also
4include (for the purpose of paying tax thereon) the total tax
5covered by such return upon the selling price of tangible
6personal property purchased by him at retail from a retailer,
7but as to which the tax imposed by this Act was not collected
8from the retailer filing such return, and such retailer shall
9remit the amount of such tax to the Department when filing such
10return.
11 If experience indicates such action to be practicable, the
12Department may prescribe and furnish a combination or joint
13return which will enable retailers, who are required to file
14returns hereunder and also under the Retailers' Occupation Tax
15Act, to furnish all the return information required by both
16Acts on the one form.
17 Where the retailer has more than one business registered
18with the Department under separate registration under this Act,
19such retailer may not file each return that is due as a single
20return covering all such registered businesses, but shall file
21separate returns for each such registered business.
22 Beginning January 1, 1990, each month the Department shall
23pay into the State and Local Sales Tax Reform Fund, a special
24fund in the State Treasury which is hereby created, the net
25revenue realized for the preceding month from the 1% tax
26imposed under this Act.

HB5561- 755 -LRB101 17547 JWD 66965 b
1 Beginning January 1, 1990, each month the Department shall
2pay into the County and Mass Transit District Fund 4% of the
3net revenue realized for the preceding month from the 6.25%
4general rate on the selling price of tangible personal property
5which is purchased outside Illinois at retail from a retailer
6and which is titled or registered by an agency of this State's
7government.
8 Beginning January 1, 1990, each month the Department shall
9pay into the State and Local Sales Tax Reform Fund, a special
10fund in the State Treasury, 20% of the net revenue realized for
11the preceding month from the 6.25% general rate on the selling
12price of tangible personal property, other than (i) tangible
13personal property which is purchased outside Illinois at retail
14from a retailer and which is titled or registered by an agency
15of this State's government and (ii) aviation fuel sold on or
16after December 1, 2019. This exception for aviation fuel only
17applies for so long as the revenue use requirements of 49
18U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
19 For aviation fuel sold on or after December 1, 2019, each
20month the Department shall pay into the State Aviation Program
21Fund 20% of the net revenue realized for the preceding month
22from the 6.25% general rate on the selling price of aviation
23fuel, less an amount estimated by the Department to be required
24for refunds of the 20% portion of the tax on aviation fuel
25under this Act, which amount shall be deposited into the
26Aviation Fuel Sales Tax Refund Fund. The Department shall only

HB5561- 756 -LRB101 17547 JWD 66965 b
1pay moneys into the State Aviation Program Fund and the
2Aviation Fuels Sales Tax Refund Fund under this Act for so long
3as the revenue use requirements of 49 U.S.C. 47107(b) and 49
4U.S.C. 47133 are binding on the State.
5 Beginning August 1, 2000, each month the Department shall
6pay into the State and Local Sales Tax Reform Fund 100% of the
7net revenue realized for the preceding month from the 1.25%
8rate on the selling price of motor fuel and gasohol. Beginning
9September 1, 2010, each month the Department shall pay into the
10State and Local Sales Tax Reform Fund 100% of the net revenue
11realized for the preceding month from the 1.25% rate on the
12selling price of sales tax holiday items.
13 Beginning January 1, 1990, each month the Department shall
14pay into the Local Government Tax Fund 16% of the net revenue
15realized for the preceding month from the 6.25% general rate on
16the selling price of tangible personal property which is
17purchased outside Illinois at retail from a retailer and which
18is titled or registered by an agency of this State's
19government.
20 Beginning October 1, 2009, each month the Department shall
21pay into the Capital Projects Fund an amount that is equal to
22an amount estimated by the Department to represent 80% of the
23net revenue realized for the preceding month from the sale of
24candy, grooming and hygiene products, and soft drinks that had
25been taxed at a rate of 1% prior to September 1, 2009 but that
26are now taxed at 6.25%.

HB5561- 757 -LRB101 17547 JWD 66965 b
1 Beginning July 1, 2011, each month the Department shall pay
2into the Clean Air Act Permit Fund 80% of the net revenue
3realized for the preceding month from the 6.25% general rate on
4the selling price of sorbents used in Illinois in the process
5of sorbent injection as used to comply with the Environmental
6Protection Act or the federal Clean Air Act, but the total
7payment into the Clean Air Act Permit Fund under this Act and
8the Retailers' Occupation Tax Act shall not exceed $2,000,000
9in any fiscal year.
10 Beginning July 1, 2013, each month the Department shall pay
11into the Underground Storage Tank Fund from the proceeds
12collected under this Act, the Service Use Tax Act, the Service
13Occupation Tax Act, and the Retailers' Occupation Tax Act an
14amount equal to the average monthly deficit in the Underground
15Storage Tank Fund during the prior year, as certified annually
16by the Illinois Environmental Protection Agency, but the total
17payment into the Underground Storage Tank Fund under this Act,
18the Service Use Tax Act, the Service Occupation Tax Act, and
19the Retailers' Occupation Tax Act shall not exceed $18,000,000
20in any State fiscal year. As used in this paragraph, the
21"average monthly deficit" shall be equal to the difference
22between the average monthly claims for payment by the fund and
23the average monthly revenues deposited into the fund, excluding
24payments made pursuant to this paragraph.
25 Beginning July 1, 2015, of the remainder of the moneys
26received by the Department under this Act, the Service Use Tax

HB5561- 758 -LRB101 17547 JWD 66965 b
1Act, the Service Occupation Tax Act, and the Retailers'
2Occupation Tax Act, each month the Department shall deposit
3$500,000 into the State Crime Laboratory Fund.
4 Of the remainder of the moneys received by the Department
5pursuant to this Act, (a) 1.75% thereof shall be paid into the
6Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
7and after July 1, 1989, 3.8% thereof shall be paid into the
8Build Illinois Fund; provided, however, that if in any fiscal
9year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
10may be, of the moneys received by the Department and required
11to be paid into the Build Illinois Fund pursuant to Section 3
12of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
13Act, Section 9 of the Service Use Tax Act, and Section 9 of the
14Service Occupation Tax Act, such Acts being hereinafter called
15the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
16may be, of moneys being hereinafter called the "Tax Act
17Amount", and (2) the amount transferred to the Build Illinois
18Fund from the State and Local Sales Tax Reform Fund shall be
19less than the Annual Specified Amount (as defined in Section 3
20of the Retailers' Occupation Tax Act), an amount equal to the
21difference shall be immediately paid into the Build Illinois
22Fund from other moneys received by the Department pursuant to
23the Tax Acts; and further provided, that if on the last
24business day of any month the sum of (1) the Tax Act Amount
25required to be deposited into the Build Illinois Bond Account
26in the Build Illinois Fund during such month and (2) the amount

HB5561- 759 -LRB101 17547 JWD 66965 b
1transferred during such month to the Build Illinois Fund from
2the State and Local Sales Tax Reform Fund shall have been less
3than 1/12 of the Annual Specified Amount, an amount equal to
4the difference shall be immediately paid into the Build
5Illinois Fund from other moneys received by the Department
6pursuant to the Tax Acts; and, further provided, that in no
7event shall the payments required under the preceding proviso
8result in aggregate payments into the Build Illinois Fund
9pursuant to this clause (b) for any fiscal year in excess of
10the greater of (i) the Tax Act Amount or (ii) the Annual
11Specified Amount for such fiscal year; and, further provided,
12that the amounts payable into the Build Illinois Fund under
13this clause (b) shall be payable only until such time as the
14aggregate amount on deposit under each trust indenture securing
15Bonds issued and outstanding pursuant to the Build Illinois
16Bond Act is sufficient, taking into account any future
17investment income, to fully provide, in accordance with such
18indenture, for the defeasance of or the payment of the
19principal of, premium, if any, and interest on the Bonds
20secured by such indenture and on any Bonds expected to be
21issued thereafter and all fees and costs payable with respect
22thereto, all as certified by the Director of the Bureau of the
23Budget (now Governor's Office of Management and Budget). If on
24the last business day of any month in which Bonds are
25outstanding pursuant to the Build Illinois Bond Act, the
26aggregate of the moneys deposited in the Build Illinois Bond

HB5561- 760 -LRB101 17547 JWD 66965 b
1Account in the Build Illinois Fund in such month shall be less
2than the amount required to be transferred in such month from
3the Build Illinois Bond Account to the Build Illinois Bond
4Retirement and Interest Fund pursuant to Section 13 of the
5Build Illinois Bond Act, an amount equal to such deficiency
6shall be immediately paid from other moneys received by the
7Department pursuant to the Tax Acts to the Build Illinois Fund;
8provided, however, that any amounts paid to the Build Illinois
9Fund in any fiscal year pursuant to this sentence shall be
10deemed to constitute payments pursuant to clause (b) of the
11preceding sentence and shall reduce the amount otherwise
12payable for such fiscal year pursuant to clause (b) of the
13preceding sentence. The moneys received by the Department
14pursuant to this Act and required to be deposited into the
15Build Illinois Fund are subject to the pledge, claim and charge
16set forth in Section 12 of the Build Illinois Bond Act.
17 Subject to payment of amounts into the Build Illinois Fund
18as provided in the preceding paragraph or in any amendment
19thereto hereafter enacted, the following specified monthly
20installment of the amount requested in the certificate of the
21Chairman of the Metropolitan Pier and Exposition Authority
22provided under Section 8.25f of the State Finance Act, but not
23in excess of the sums designated as "Total Deposit", shall be
24deposited in the aggregate from collections under Section 9 of
25the Use Tax Act, Section 9 of the Service Use Tax Act, Section
269 of the Service Occupation Tax Act, and Section 3 of the

HB5561- 761 -LRB101 17547 JWD 66965 b
1Retailers' Occupation Tax Act into the McCormick Place
2Expansion Project Fund in the specified fiscal years.
3Fiscal YearTotal Deposit
41993 $0
51994 53,000,000
61995 58,000,000
71996 61,000,000
81997 64,000,000
91998 68,000,000
101999 71,000,000
112000 75,000,000
122001 80,000,000
132002 93,000,000
142003 99,000,000
152004103,000,000
162005108,000,000
172006113,000,000
182007119,000,000
192008126,000,000
202009132,000,000
212010139,000,000
222011146,000,000
232012153,000,000
242013161,000,000
252014170,000,000
262015179,000,000

HB5561- 762 -LRB101 17547 JWD 66965 b
12016189,000,000
22017199,000,000
32018210,000,000
42019221,000,000
52020233,000,000
62021246,000,000
72022260,000,000
82023275,000,000
92024 275,000,000
102025 275,000,000
112026 279,000,000
122027 292,000,000
132028 307,000,000
142029 322,000,000
152030 338,000,000
162031 350,000,000
172032 350,000,000
18and
19each fiscal year
20thereafter that bonds
21are outstanding under
22Section 13.2 of the
23Metropolitan Pier and
24Exposition Authority Act,
25but not after fiscal year 2060.
26 Beginning July 20, 1993 and in each month of each fiscal

HB5561- 763 -LRB101 17547 JWD 66965 b
1year thereafter, one-eighth of the amount requested in the
2certificate of the Chairman of the Metropolitan Pier and
3Exposition Authority for that fiscal year, less the amount
4deposited into the McCormick Place Expansion Project Fund by
5the State Treasurer in the respective month under subsection
6(g) of Section 13 of the Metropolitan Pier and Exposition
7Authority Act, plus cumulative deficiencies in the deposits
8required under this Section for previous months and years,
9shall be deposited into the McCormick Place Expansion Project
10Fund, until the full amount requested for the fiscal year, but
11not in excess of the amount specified above as "Total Deposit",
12has been deposited.
13 Subject to payment of amounts into the Capital Projects
14Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
15and the McCormick Place Expansion Project Fund pursuant to the
16preceding paragraphs or in any amendments thereto hereafter
17enacted, for aviation fuel sold on or after December 1, 2019,
18the Department shall each month deposit into the Aviation Fuel
19Sales Tax Refund Fund an amount estimated by the Department to
20be required for refunds of the 80% portion of the tax on
21aviation fuel under this Act. The Department shall only deposit
22moneys into the Aviation Fuel Sales Tax Refund Fund under this
23paragraph for so long as the revenue use requirements of 49
24U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
25 Subject to payment of amounts into the Build Illinois Fund
26and the McCormick Place Expansion Project Fund pursuant to the

HB5561- 764 -LRB101 17547 JWD 66965 b
1preceding paragraphs or in any amendments thereto hereafter
2enacted, beginning July 1, 1993 and ending on September 30,
32013, the Department shall each month pay into the Illinois Tax
4Increment Fund 0.27% of 80% of the net revenue realized for the
5preceding month from the 6.25% general rate on the selling
6price of tangible personal property.
7 Subject to payment of amounts into the Build Illinois Fund
8and the McCormick Place Expansion Project Fund pursuant to the
9preceding paragraphs or in any amendments thereto hereafter
10enacted, beginning with the receipt of the first report of
11taxes paid by an eligible business and continuing for a 25-year
12period, the Department shall each month pay into the Energy
13Infrastructure Fund 80% of the net revenue realized from the
146.25% general rate on the selling price of Illinois-mined coal
15that was sold to an eligible business. For purposes of this
16paragraph, the term "eligible business" means a new electric
17generating facility certified pursuant to Section 605-332 of
18the Department of Commerce and Economic Opportunity Law of the
19Civil Administrative Code of Illinois.
20 Subject to payment of amounts into the Build Illinois Fund,
21the McCormick Place Expansion Project Fund, the Illinois Tax
22Increment Fund, and the Energy Infrastructure Fund pursuant to
23the preceding paragraphs or in any amendments to this Section
24hereafter enacted, beginning on the first day of the first
25calendar month to occur on or after August 26, 2014 (the
26effective date of Public Act 98-1098), each month, from the

HB5561- 765 -LRB101 17547 JWD 66965 b
1collections made under Section 9 of the Use Tax Act, Section 9
2of the Service Use Tax Act, Section 9 of the Service Occupation
3Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
4the Department shall pay into the Tax Compliance and
5Administration Fund, to be used, subject to appropriation, to
6fund additional auditors and compliance personnel at the
7Department of Revenue, an amount equal to 1/12 of 5% of 80% of
8the cash receipts collected during the preceding fiscal year by
9the Audit Bureau of the Department under the Use Tax Act, the
10Service Use Tax Act, the Service Occupation Tax Act, the
11Retailers' Occupation Tax Act, and associated local occupation
12and use taxes administered by the Department.
13 Subject to payments of amounts into the Build Illinois
14Fund, the McCormick Place Expansion Project Fund, the Illinois
15Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
16Compliance and Administration Fund as provided in this Section,
17beginning on July 1, 2018 the Department shall pay each month
18into the Downstate Public Transportation Fund the moneys
19required to be so paid under Section 2-3 of the Downstate
20Public Transportation Act.
21 Subject to successful execution and delivery of a
22public-private agreement between the public agency and private
23entity and completion of the civic build, beginning on July 1,
242023, of the remainder of the moneys received by the Department
25under the Use Tax Act, the Service Use Tax Act, the Service
26Occupation Tax Act, and this Act, the Department shall deposit

HB5561- 766 -LRB101 17547 JWD 66965 b
1the following specified deposits in the aggregate from
2collections under the Use Tax Act, the Service Use Tax Act, the
3Service Occupation Tax Act, and the Retailers' Occupation Tax
4Act, as required under Section 8.25g of the State Finance Act
5for distribution consistent with the Public-Private
6Partnership for Civic and Transit Infrastructure Project Act.
7The moneys received by the Department pursuant to this Act and
8required to be deposited into the Civic and Transit
9Infrastructure Fund are subject to the pledge, claim, and
10charge set forth in Section 25-55 of the Public-Private
11Partnership for Civic and Transit Infrastructure Project Act.
12As used in this paragraph, "civic build", "private entity",
13"public-private agreement", and "public agency" have the
14meanings provided in Section 25-10 of the Public-Private
15Partnership for Civic and Transit Infrastructure Project Act.
16 Fiscal Year............................Total Deposit
17 2024....................................$200,000,000
18 2025....................................$206,000,000
19 2026....................................$212,200,000
20 2027....................................$218,500,000
21 2028....................................$225,100,000
22 2029....................................$288,700,000
23 2030....................................$298,900,000
24 2031....................................$309,300,000
25 2032....................................$320,100,000
26 2033....................................$331,200,000

HB5561- 767 -LRB101 17547 JWD 66965 b
1 2034....................................$341,200,000
2 2035....................................$351,400,000
3 2036....................................$361,900,000
4 2037....................................$372,800,000
5 2038....................................$384,000,000
6 2039....................................$395,500,000
7 2040....................................$407,400,000
8 2041....................................$419,600,000
9 2042....................................$432,200,000
10 2043....................................$445,100,000
11 Beginning July 1, 2021 and until July 1, 2022, subject to
12the payment of amounts into the State and Local Sales Tax
13Reform Fund, the Build Illinois Fund, the McCormick Place
14Expansion Project Fund, the Illinois Tax Increment Fund, the
15Energy Infrastructure Fund, and the Tax Compliance and
16Administration Fund as provided in this Section, the Department
17shall pay each month into the Road Fund the amount estimated to
18represent 16% of the net revenue realized from the taxes
19imposed on motor fuel and gasohol. Beginning July 1, 2022 and
20until July 1, 2023, subject to the payment of amounts into the
21State and Local Sales Tax Reform Fund, the Build Illinois Fund,
22the McCormick Place Expansion Project Fund, the Illinois Tax
23Increment Fund, the Energy Infrastructure Fund, and the Tax
24Compliance and Administration Fund as provided in this Section,
25the Department shall pay each month into the Road Fund the
26amount estimated to represent 32% of the net revenue realized

HB5561- 768 -LRB101 17547 JWD 66965 b
1from the taxes imposed on motor fuel and gasohol. Beginning
2July 1, 2023 and until July 1, 2024, subject to the payment of
3amounts into the State and Local Sales Tax Reform Fund, the
4Build Illinois Fund, the McCormick Place Expansion Project
5Fund, the Illinois Tax Increment Fund, the Energy
6Infrastructure Fund, and the Tax Compliance and Administration
7Fund as provided in this Section, the Department shall pay each
8month into the Road Fund the amount estimated to represent 48%
9of the net revenue realized from the taxes imposed on motor
10fuel and gasohol. Beginning July 1, 2024 and until July 1,
112025, subject to the payment of amounts into the State and
12Local Sales Tax Reform Fund, the Build Illinois Fund, the
13McCormick Place Expansion Project Fund, the Illinois Tax
14Increment Fund, the Energy Infrastructure Fund, and the Tax
15Compliance and Administration Fund as provided in this Section,
16the Department shall pay each month into the Road Fund the
17amount estimated to represent 64% of the net revenue realized
18from the taxes imposed on motor fuel and gasohol. Beginning on
19July 1, 2025, subject to the payment of amounts into the State
20and Local Sales Tax Reform Fund, the Build Illinois Fund, the
21McCormick Place Expansion Project Fund, the Illinois Tax
22Increment Fund, the Energy Infrastructure Fund, and the Tax
23Compliance and Administration Fund as provided in this Section,
24the Department shall pay each month into the Road Fund the
25amount estimated to represent 80% of the net revenue realized
26from the taxes imposed on motor fuel and gasohol. As used in

HB5561- 769 -LRB101 17547 JWD 66965 b
1this paragraph "motor fuel" has the meaning given to that term
2in Section 1.1 of the Motor Fuel Tax Act, and "gasohol" has the
3meaning given to that term in Section 3-40 of this Act.
4 Of the remainder of the moneys received by the Department
5pursuant to this Act, 75% thereof shall be paid into the State
6Treasury and 25% shall be reserved in a special account and
7used only for the transfer to the Common School Fund as part of
8the monthly transfer from the General Revenue Fund in
9accordance with Section 8a of the State Finance Act.
10 As soon as possible after the first day of each month, upon
11certification of the Department of Revenue, the Comptroller
12shall order transferred and the Treasurer shall transfer from
13the General Revenue Fund to the Motor Fuel Tax Fund an amount
14equal to 1.7% of 80% of the net revenue realized under this Act
15for the second preceding month. Beginning April 1, 2000, this
16transfer is no longer required and shall not be made.
17 Net revenue realized for a month shall be the revenue
18collected by the State pursuant to this Act, less the amount
19paid out during that month as refunds to taxpayers for
20overpayment of liability.
21 For greater simplicity of administration, manufacturers,
22importers and wholesalers whose products are sold at retail in
23Illinois by numerous retailers, and who wish to do so, may
24assume the responsibility for accounting and paying to the
25Department all tax accruing under this Act with respect to such
26sales, if the retailers who are affected do not make written

HB5561- 770 -LRB101 17547 JWD 66965 b
1objection to the Department to this arrangement.
2(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
3100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
415, Section 15-10, eff. 6-5-19; 101-10, Article 25, Section
525-105, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
66-28-19; 101-604, eff. 12-13-19.)
7 Section 15-15. The Service Use Tax Act is amended by
8changing Section 9 as follows:
9 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
10 Sec. 9. Each serviceman required or authorized to collect
11the tax herein imposed shall pay to the Department the amount
12of such tax (except as otherwise provided) at the time when he
13is required to file his return for the period during which such
14tax was collected, less a discount of 2.1% prior to January 1,
151990 and 1.75% on and after January 1, 1990, or $5 per calendar
16year, whichever is greater, which is allowed to reimburse the
17serviceman for expenses incurred in collecting the tax, keeping
18records, preparing and filing returns, remitting the tax and
19supplying data to the Department on request. The discount under
20this Section is not allowed for the 1.25% portion of taxes paid
21on aviation fuel that is subject to the revenue use
22requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133. The
23discount allowed under this Section is allowed only for returns
24that are filed in the manner required by this Act. The

HB5561- 771 -LRB101 17547 JWD 66965 b
1Department may disallow the discount for servicemen whose
2certificate of registration is revoked at the time the return
3is filed, but only if the Department's decision to revoke the
4certificate of registration has become final. A serviceman need
5not remit that part of any tax collected by him to the extent
6that he is required to pay and does pay the tax imposed by the
7Service Occupation Tax Act with respect to his sale of service
8involving the incidental transfer by him of the same property.
9 Except as provided hereinafter in this Section, on or
10before the twentieth day of each calendar month, such
11serviceman shall file a return for the preceding calendar month
12in accordance with reasonable Rules and Regulations to be
13promulgated by the Department. Such return shall be filed on a
14form prescribed by the Department and shall contain such
15information as the Department may reasonably require. On and
16after January 1, 2018, with respect to servicemen whose annual
17gross receipts average $20,000 or more, all returns required to
18be filed pursuant to this Act shall be filed electronically.
19Servicemen who demonstrate that they do not have access to the
20Internet or demonstrate hardship in filing electronically may
21petition the Department to waive the electronic filing
22requirement.
23 The Department may require returns to be filed on a
24quarterly basis. If so required, a return for each calendar
25quarter shall be filed on or before the twentieth day of the
26calendar month following the end of such calendar quarter. The

HB5561- 772 -LRB101 17547 JWD 66965 b
1taxpayer shall also file a return with the Department for each
2of the first two months of each calendar quarter, on or before
3the twentieth day of the following calendar month, stating:
4 1. The name of the seller;
5 2. The address of the principal place of business from
6 which he engages in business as a serviceman in this State;
7 3. The total amount of taxable receipts received by him
8 during the preceding calendar month, including receipts
9 from charge and time sales, but less all deductions allowed
10 by law;
11 4. The amount of credit provided in Section 2d of this
12 Act;
13 5. The amount of tax due;
14 5-5. The signature of the taxpayer; and
15 6. Such other reasonable information as the Department
16 may require.
17 Each serviceman required or authorized to collect the tax
18imposed by this Act on aviation fuel transferred as an incident
19of a sale of service in this State during the preceding
20calendar month shall, instead of reporting and paying tax on
21aviation fuel as otherwise required by this Section, report and
22pay such tax on a separate aviation fuel tax return. The
23requirements related to the return shall be as otherwise
24provided in this Section. Notwithstanding any other provisions
25of this Act to the contrary, servicemen collecting tax on
26aviation fuel shall file all aviation fuel tax returns and

HB5561- 773 -LRB101 17547 JWD 66965 b
1shall make all aviation fuel tax payments by electronic means
2in the manner and form required by the Department. For purposes
3of this Section, "aviation fuel" means jet fuel and aviation
4gasoline.
5 If a taxpayer fails to sign a return within 30 days after
6the proper notice and demand for signature by the Department,
7the return shall be considered valid and any amount shown to be
8due on the return shall be deemed assessed.
9 Notwithstanding any other provision of this Act to the
10contrary, servicemen subject to tax on cannabis shall file all
11cannabis tax returns and shall make all cannabis tax payments
12by electronic means in the manner and form required by the
13Department.
14 Beginning October 1, 1993, a taxpayer who has an average
15monthly tax liability of $150,000 or more shall make all
16payments required by rules of the Department by electronic
17funds transfer. Beginning October 1, 1994, a taxpayer who has
18an average monthly tax liability of $100,000 or more shall make
19all payments required by rules of the Department by electronic
20funds transfer. Beginning October 1, 1995, a taxpayer who has
21an average monthly tax liability of $50,000 or more shall make
22all payments required by rules of the Department by electronic
23funds transfer. Beginning October 1, 2000, a taxpayer who has
24an annual tax liability of $200,000 or more shall make all
25payments required by rules of the Department by electronic
26funds transfer. The term "annual tax liability" shall be the

HB5561- 774 -LRB101 17547 JWD 66965 b
1sum of the taxpayer's liabilities under this Act, and under all
2other State and local occupation and use tax laws administered
3by the Department, for the immediately preceding calendar year.
4The term "average monthly tax liability" means the sum of the
5taxpayer's liabilities under this Act, and under all other
6State and local occupation and use tax laws administered by the
7Department, for the immediately preceding calendar year
8divided by 12. Beginning on October 1, 2002, a taxpayer who has
9a tax liability in the amount set forth in subsection (b) of
10Section 2505-210 of the Department of Revenue Law shall make
11all payments required by rules of the Department by electronic
12funds transfer.
13 Before August 1 of each year beginning in 1993, the
14Department shall notify all taxpayers required to make payments
15by electronic funds transfer. All taxpayers required to make
16payments by electronic funds transfer shall make those payments
17for a minimum of one year beginning on October 1.
18 Any taxpayer not required to make payments by electronic
19funds transfer may make payments by electronic funds transfer
20with the permission of the Department.
21 All taxpayers required to make payment by electronic funds
22transfer and any taxpayers authorized to voluntarily make
23payments by electronic funds transfer shall make those payments
24in the manner authorized by the Department.
25 The Department shall adopt such rules as are necessary to
26effectuate a program of electronic funds transfer and the

HB5561- 775 -LRB101 17547 JWD 66965 b
1requirements of this Section.
2 If the serviceman is otherwise required to file a monthly
3return and if the serviceman's average monthly tax liability to
4the Department does not exceed $200, the Department may
5authorize his returns to be filed on a quarter annual basis,
6with the return for January, February and March of a given year
7being due by April 20 of such year; with the return for April,
8May and June of a given year being due by July 20 of such year;
9with the return for July, August and September of a given year
10being due by October 20 of such year, and with the return for
11October, November and December of a given year being due by
12January 20 of the following year.
13 If the serviceman is otherwise required to file a monthly
14or quarterly return and if the serviceman's average monthly tax
15liability to the Department does not exceed $50, the Department
16may authorize his returns to be filed on an annual basis, with
17the return for a given year being due by January 20 of the
18following year.
19 Such quarter annual and annual returns, as to form and
20substance, shall be subject to the same requirements as monthly
21returns.
22 Notwithstanding any other provision in this Act concerning
23the time within which a serviceman may file his return, in the
24case of any serviceman who ceases to engage in a kind of
25business which makes him responsible for filing returns under
26this Act, such serviceman shall file a final return under this

HB5561- 776 -LRB101 17547 JWD 66965 b
1Act with the Department not more than 1 month after
2discontinuing such business.
3 Where a serviceman collects the tax with respect to the
4selling price of property which he sells and the purchaser
5thereafter returns such property and the serviceman refunds the
6selling price thereof to the purchaser, such serviceman shall
7also refund, to the purchaser, the tax so collected from the
8purchaser. When filing his return for the period in which he
9refunds such tax to the purchaser, the serviceman may deduct
10the amount of the tax so refunded by him to the purchaser from
11any other Service Use Tax, Service Occupation Tax, retailers'
12occupation tax or use tax which such serviceman may be required
13to pay or remit to the Department, as shown by such return,
14provided that the amount of the tax to be deducted shall
15previously have been remitted to the Department by such
16serviceman. If the serviceman shall not previously have
17remitted the amount of such tax to the Department, he shall be
18entitled to no deduction hereunder upon refunding such tax to
19the purchaser.
20 Any serviceman filing a return hereunder shall also include
21the total tax upon the selling price of tangible personal
22property purchased for use by him as an incident to a sale of
23service, and such serviceman shall remit the amount of such tax
24to the Department when filing such return.
25 If experience indicates such action to be practicable, the
26Department may prescribe and furnish a combination or joint

HB5561- 777 -LRB101 17547 JWD 66965 b
1return which will enable servicemen, who are required to file
2returns hereunder and also under the Service Occupation Tax
3Act, to furnish all the return information required by both
4Acts on the one form.
5 Where the serviceman has more than one business registered
6with the Department under separate registration hereunder,
7such serviceman shall not file each return that is due as a
8single return covering all such registered businesses, but
9shall file separate returns for each such registered business.
10 Beginning January 1, 1990, each month the Department shall
11pay into the State and Local Tax Reform Fund, a special fund in
12the State Treasury, the net revenue realized for the preceding
13month from the 1% tax imposed under this Act.
14 Beginning January 1, 1990, each month the Department shall
15pay into the State and Local Sales Tax Reform Fund 20% of the
16net revenue realized for the preceding month from the 6.25%
17general rate on transfers of tangible personal property, other
18than (i) tangible personal property which is purchased outside
19Illinois at retail from a retailer and which is titled or
20registered by an agency of this State's government and (ii)
21aviation fuel sold on or after December 1, 2019. This exception
22for aviation fuel only applies for so long as the revenue use
23requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
24binding on the State.
25 For aviation fuel sold on or after December 1, 2019, each
26month the Department shall pay into the State Aviation Program

HB5561- 778 -LRB101 17547 JWD 66965 b
1Fund 20% of the net revenue realized for the preceding month
2from the 6.25% general rate on the selling price of aviation
3fuel, less an amount estimated by the Department to be required
4for refunds of the 20% portion of the tax on aviation fuel
5under this Act, which amount shall be deposited into the
6Aviation Fuel Sales Tax Refund Fund. The Department shall only
7pay moneys into the State Aviation Program Fund and the
8Aviation Fuel Sales Tax Refund Fund under this Act for so long
9as the revenue use requirements of 49 U.S.C. 47107(b) and 49
10U.S.C. 47133 are binding on the State.
11 Beginning August 1, 2000, each month the Department shall
12pay into the State and Local Sales Tax Reform Fund 100% of the
13net revenue realized for the preceding month from the 1.25%
14rate on the selling price of motor fuel and gasohol.
15 Beginning October 1, 2009, each month the Department shall
16pay into the Capital Projects Fund an amount that is equal to
17an amount estimated by the Department to represent 80% of the
18net revenue realized for the preceding month from the sale of
19candy, grooming and hygiene products, and soft drinks that had
20been taxed at a rate of 1% prior to September 1, 2009 but that
21are now taxed at 6.25%.
22 Beginning July 1, 2013, each month the Department shall pay
23into the Underground Storage Tank Fund from the proceeds
24collected under this Act, the Use Tax Act, the Service
25Occupation Tax Act, and the Retailers' Occupation Tax Act an
26amount equal to the average monthly deficit in the Underground

HB5561- 779 -LRB101 17547 JWD 66965 b
1Storage Tank Fund during the prior year, as certified annually
2by the Illinois Environmental Protection Agency, but the total
3payment into the Underground Storage Tank Fund under this Act,
4the Use Tax Act, the Service Occupation Tax Act, and the
5Retailers' Occupation Tax Act shall not exceed $18,000,000 in
6any State fiscal year. As used in this paragraph, the "average
7monthly deficit" shall be equal to the difference between the
8average monthly claims for payment by the fund and the average
9monthly revenues deposited into the fund, excluding payments
10made pursuant to this paragraph.
11 Beginning July 1, 2015, of the remainder of the moneys
12received by the Department under the Use Tax Act, this Act, the
13Service Occupation Tax Act, and the Retailers' Occupation Tax
14Act, each month the Department shall deposit $500,000 into the
15State Crime Laboratory Fund.
16 Of the remainder of the moneys received by the Department
17pursuant to this Act, (a) 1.75% thereof shall be paid into the
18Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
19and after July 1, 1989, 3.8% thereof shall be paid into the
20Build Illinois Fund; provided, however, that if in any fiscal
21year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
22may be, of the moneys received by the Department and required
23to be paid into the Build Illinois Fund pursuant to Section 3
24of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
25Act, Section 9 of the Service Use Tax Act, and Section 9 of the
26Service Occupation Tax Act, such Acts being hereinafter called

HB5561- 780 -LRB101 17547 JWD 66965 b
1the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
2may be, of moneys being hereinafter called the "Tax Act
3Amount", and (2) the amount transferred to the Build Illinois
4Fund from the State and Local Sales Tax Reform Fund shall be
5less than the Annual Specified Amount (as defined in Section 3
6of the Retailers' Occupation Tax Act), an amount equal to the
7difference shall be immediately paid into the Build Illinois
8Fund from other moneys received by the Department pursuant to
9the Tax Acts; and further provided, that if on the last
10business day of any month the sum of (1) the Tax Act Amount
11required to be deposited into the Build Illinois Bond Account
12in the Build Illinois Fund during such month and (2) the amount
13transferred during such month to the Build Illinois Fund from
14the State and Local Sales Tax Reform Fund shall have been less
15than 1/12 of the Annual Specified Amount, an amount equal to
16the difference shall be immediately paid into the Build
17Illinois Fund from other moneys received by the Department
18pursuant to the Tax Acts; and, further provided, that in no
19event shall the payments required under the preceding proviso
20result in aggregate payments into the Build Illinois Fund
21pursuant to this clause (b) for any fiscal year in excess of
22the greater of (i) the Tax Act Amount or (ii) the Annual
23Specified Amount for such fiscal year; and, further provided,
24that the amounts payable into the Build Illinois Fund under
25this clause (b) shall be payable only until such time as the
26aggregate amount on deposit under each trust indenture securing

HB5561- 781 -LRB101 17547 JWD 66965 b
1Bonds issued and outstanding pursuant to the Build Illinois
2Bond Act is sufficient, taking into account any future
3investment income, to fully provide, in accordance with such
4indenture, for the defeasance of or the payment of the
5principal of, premium, if any, and interest on the Bonds
6secured by such indenture and on any Bonds expected to be
7issued thereafter and all fees and costs payable with respect
8thereto, all as certified by the Director of the Bureau of the
9Budget (now Governor's Office of Management and Budget). If on
10the last business day of any month in which Bonds are
11outstanding pursuant to the Build Illinois Bond Act, the
12aggregate of the moneys deposited in the Build Illinois Bond
13Account in the Build Illinois Fund in such month shall be less
14than the amount required to be transferred in such month from
15the Build Illinois Bond Account to the Build Illinois Bond
16Retirement and Interest Fund pursuant to Section 13 of the
17Build Illinois Bond Act, an amount equal to such deficiency
18shall be immediately paid from other moneys received by the
19Department pursuant to the Tax Acts to the Build Illinois Fund;
20provided, however, that any amounts paid to the Build Illinois
21Fund in any fiscal year pursuant to this sentence shall be
22deemed to constitute payments pursuant to clause (b) of the
23preceding sentence and shall reduce the amount otherwise
24payable for such fiscal year pursuant to clause (b) of the
25preceding sentence. The moneys received by the Department
26pursuant to this Act and required to be deposited into the

HB5561- 782 -LRB101 17547 JWD 66965 b
1Build Illinois Fund are subject to the pledge, claim and charge
2set forth in Section 12 of the Build Illinois Bond Act.
3 Subject to payment of amounts into the Build Illinois Fund
4as provided in the preceding paragraph or in any amendment
5thereto hereafter enacted, the following specified monthly
6installment of the amount requested in the certificate of the
7Chairman of the Metropolitan Pier and Exposition Authority
8provided under Section 8.25f of the State Finance Act, but not
9in excess of the sums designated as "Total Deposit", shall be
10deposited in the aggregate from collections under Section 9 of
11the Use Tax Act, Section 9 of the Service Use Tax Act, Section
129 of the Service Occupation Tax Act, and Section 3 of the
13Retailers' Occupation Tax Act into the McCormick Place
14Expansion Project Fund in the specified fiscal years.
15Fiscal YearTotal Deposit
161993 $0
171994 53,000,000
181995 58,000,000
191996 61,000,000
201997 64,000,000
211998 68,000,000
221999 71,000,000
232000 75,000,000
242001 80,000,000
252002 93,000,000

HB5561- 783 -LRB101 17547 JWD 66965 b
12003 99,000,000
22004103,000,000
32005108,000,000
42006113,000,000
52007119,000,000
62008126,000,000
72009132,000,000
82010139,000,000
92011146,000,000
102012153,000,000
112013161,000,000
122014170,000,000
132015179,000,000
142016189,000,000
152017199,000,000
162018210,000,000
172019221,000,000
182020233,000,000
192021246,000,000
202022260,000,000
212023275,000,000
222024 275,000,000
232025 275,000,000
242026 279,000,000
252027 292,000,000
262028 307,000,000

HB5561- 784 -LRB101 17547 JWD 66965 b
12029 322,000,000
22030 338,000,000
32031 350,000,000
42032 350,000,000
5and
6each fiscal year
7thereafter that bonds
8are outstanding under
9Section 13.2 of the
10Metropolitan Pier and
11Exposition Authority Act,
12but not after fiscal year 2060.
13 Beginning July 20, 1993 and in each month of each fiscal
14year thereafter, one-eighth of the amount requested in the
15certificate of the Chairman of the Metropolitan Pier and
16Exposition Authority for that fiscal year, less the amount
17deposited into the McCormick Place Expansion Project Fund by
18the State Treasurer in the respective month under subsection
19(g) of Section 13 of the Metropolitan Pier and Exposition
20Authority Act, plus cumulative deficiencies in the deposits
21required under this Section for previous months and years,
22shall be deposited into the McCormick Place Expansion Project
23Fund, until the full amount requested for the fiscal year, but
24not in excess of the amount specified above as "Total Deposit",
25has been deposited.
26 Subject to payment of amounts into the Capital Projects

HB5561- 785 -LRB101 17547 JWD 66965 b
1Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
2and the McCormick Place Expansion Project Fund pursuant to the
3preceding paragraphs or in any amendments thereto hereafter
4enacted, for aviation fuel sold on or after December 1, 2019,
5the Department shall each month deposit into the Aviation Fuel
6Sales Tax Refund Fund an amount estimated by the Department to
7be required for refunds of the 80% portion of the tax on
8aviation fuel under this Act. The Department shall only deposit
9moneys into the Aviation Fuel Sales Tax Refund Fund under this
10paragraph for so long as the revenue use requirements of 49
11U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
12 Subject to payment of amounts into the Build Illinois Fund
13and the McCormick Place Expansion Project Fund pursuant to the
14preceding paragraphs or in any amendments thereto hereafter
15enacted, beginning July 1, 1993 and ending on September 30,
162013, the Department shall each month pay into the Illinois Tax
17Increment Fund 0.27% of 80% of the net revenue realized for the
18preceding month from the 6.25% general rate on the selling
19price of tangible personal property.
20 Subject to payment of amounts into the Build Illinois Fund
21and the McCormick Place Expansion Project Fund pursuant to the
22preceding paragraphs or in any amendments thereto hereafter
23enacted, beginning with the receipt of the first report of
24taxes paid by an eligible business and continuing for a 25-year
25period, the Department shall each month pay into the Energy
26Infrastructure Fund 80% of the net revenue realized from the

HB5561- 786 -LRB101 17547 JWD 66965 b
16.25% general rate on the selling price of Illinois-mined coal
2that was sold to an eligible business. For purposes of this
3paragraph, the term "eligible business" means a new electric
4generating facility certified pursuant to Section 605-332 of
5the Department of Commerce and Economic Opportunity Law of the
6Civil Administrative Code of Illinois.
7 Subject to payment of amounts into the Build Illinois Fund,
8the McCormick Place Expansion Project Fund, the Illinois Tax
9Increment Fund, and the Energy Infrastructure Fund pursuant to
10the preceding paragraphs or in any amendments to this Section
11hereafter enacted, beginning on the first day of the first
12calendar month to occur on or after August 26, 2014 (the
13effective date of Public Act 98-1098), each month, from the
14collections made under Section 9 of the Use Tax Act, Section 9
15of the Service Use Tax Act, Section 9 of the Service Occupation
16Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
17the Department shall pay into the Tax Compliance and
18Administration Fund, to be used, subject to appropriation, to
19fund additional auditors and compliance personnel at the
20Department of Revenue, an amount equal to 1/12 of 5% of 80% of
21the cash receipts collected during the preceding fiscal year by
22the Audit Bureau of the Department under the Use Tax Act, the
23Service Use Tax Act, the Service Occupation Tax Act, the
24Retailers' Occupation Tax Act, and associated local occupation
25and use taxes administered by the Department.
26 Subject to payments of amounts into the Build Illinois

HB5561- 787 -LRB101 17547 JWD 66965 b
1Fund, the McCormick Place Expansion Project Fund, the Illinois
2Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
3Compliance and Administration Fund as provided in this Section,
4beginning on July 1, 2018 the Department shall pay each month
5into the Downstate Public Transportation Fund the moneys
6required to be so paid under Section 2-3 of the Downstate
7Public Transportation Act.
8 Subject to successful execution and delivery of a
9public-private agreement between the public agency and private
10entity and completion of the civic build, beginning on July 1,
112023, of the remainder of the moneys received by the Department
12under the Use Tax Act, the Service Use Tax Act, the Service
13Occupation Tax Act, and this Act, the Department shall deposit
14the following specified deposits in the aggregate from
15collections under the Use Tax Act, the Service Use Tax Act, the
16Service Occupation Tax Act, and the Retailers' Occupation Tax
17Act, as required under Section 8.25g of the State Finance Act
18for distribution consistent with the Public-Private
19Partnership for Civic and Transit Infrastructure Project Act.
20The moneys received by the Department pursuant to this Act and
21required to be deposited into the Civic and Transit
22Infrastructure Fund are subject to the pledge, claim, and
23charge set forth in Section 25-55 of the Public-Private
24Partnership for Civic and Transit Infrastructure Project Act.
25As used in this paragraph, "civic build", "private entity",
26"public-private agreement", and "public agency" have the

HB5561- 788 -LRB101 17547 JWD 66965 b
1meanings provided in Section 25-10 of the Public-Private
2Partnership for Civic and Transit Infrastructure Project Act.
3 Fiscal Year............................Total Deposit
4 2024....................................$200,000,000
5 2025....................................$206,000,000
6 2026....................................$212,200,000
7 2027....................................$218,500,000
8 2028....................................$225,100,000
9 2029....................................$288,700,000
10 2030....................................$298,900,000
11 2031....................................$309,300,000
12 2032....................................$320,100,000
13 2033....................................$331,200,000
14 2034....................................$341,200,000
15 2035....................................$351,400,000
16 2036....................................$361,900,000
17 2037....................................$372,800,000
18 2038....................................$384,000,000
19 2039....................................$395,500,000
20 2040....................................$407,400,000
21 2041....................................$419,600,000
22 2042....................................$432,200,000
23 2043....................................$445,100,000
24 Beginning July 1, 2021 and until July 1, 2022, subject to
25the payment of amounts into the State and Local Sales Tax
26Reform Fund, the Build Illinois Fund, the McCormick Place

HB5561- 789 -LRB101 17547 JWD 66965 b
1Expansion Project Fund, the Illinois Tax Increment Fund, the
2Energy Infrastructure Fund, and the Tax Compliance and
3Administration Fund as provided in this Section, the Department
4shall pay each month into the Road Fund the amount estimated to
5represent 16% of the net revenue realized from the taxes
6imposed on motor fuel and gasohol. Beginning July 1, 2022 and
7until July 1, 2023, subject to the payment of amounts into the
8State and Local Sales Tax Reform Fund, the Build Illinois Fund,
9the McCormick Place Expansion Project Fund, the Illinois Tax
10Increment Fund, the Energy Infrastructure Fund, and the Tax
11Compliance and Administration Fund as provided in this Section,
12the Department shall pay each month into the Road Fund the
13amount estimated to represent 32% of the net revenue realized
14from the taxes imposed on motor fuel and gasohol. Beginning
15July 1, 2023 and until July 1, 2024, subject to the payment of
16amounts into the State and Local Sales Tax Reform Fund, the
17Build Illinois Fund, the McCormick Place Expansion Project
18Fund, the Illinois Tax Increment Fund, the Energy
19Infrastructure Fund, and the Tax Compliance and Administration
20Fund as provided in this Section, the Department shall pay each
21month into the Road Fund the amount estimated to represent 48%
22of the net revenue realized from the taxes imposed on motor
23fuel and gasohol. Beginning July 1, 2024 and until July 1,
242025, subject to the payment of amounts into the State and
25Local Sales Tax Reform Fund, the Build Illinois Fund, the
26McCormick Place Expansion Project Fund, the Illinois Tax

HB5561- 790 -LRB101 17547 JWD 66965 b
1Increment Fund, the Energy Infrastructure Fund, and the Tax
2Compliance and Administration Fund as provided in this Section,
3the Department shall pay each month into the Road Fund the
4amount estimated to represent 64% of the net revenue realized
5from the taxes imposed on motor fuel and gasohol. Beginning on
6July 1, 2025, subject to the payment of amounts into the State
7and Local Sales Tax Reform Fund, the Build Illinois Fund, the
8McCormick Place Expansion Project Fund, the Illinois Tax
9Increment Fund, the Energy Infrastructure Fund, and the Tax
10Compliance and Administration Fund as provided in this Section,
11the Department shall pay each month into the Road Fund the
12amount estimated to represent 80% of the net revenue realized
13from the taxes imposed on motor fuel and gasohol. As used in
14this paragraph "motor fuel" has the meaning given to that term
15in Section 1.1 of the Motor Fuel Tax Act, and "gasohol" has the
16meaning given to that term in Section 3-40 of the Use Tax Act.
17 Of the remainder of the moneys received by the Department
18pursuant to this Act, 75% thereof shall be paid into the
19General Revenue Fund of the State Treasury and 25% shall be
20reserved in a special account and used only for the transfer to
21the Common School Fund as part of the monthly transfer from the
22General Revenue Fund in accordance with Section 8a of the State
23Finance Act.
24 As soon as possible after the first day of each month, upon
25certification of the Department of Revenue, the Comptroller
26shall order transferred and the Treasurer shall transfer from

HB5561- 791 -LRB101 17547 JWD 66965 b
1the General Revenue Fund to the Motor Fuel Tax Fund an amount
2equal to 1.7% of 80% of the net revenue realized under this Act
3for the second preceding month. Beginning April 1, 2000, this
4transfer is no longer required and shall not be made.
5 Net revenue realized for a month shall be the revenue
6collected by the State pursuant to this Act, less the amount
7paid out during that month as refunds to taxpayers for
8overpayment of liability.
9(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
10100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
1115, Section 15-15, eff. 6-5-19; 101-10, Article 25, Section
1225-110, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
136-28-19; 101-604, eff. 12-13-19.)
14 Section 15-20. The Service Occupation Tax Act is amended by
15changing Section 9 as follows:
16 (35 ILCS 110/9) (from Ch. 120, par. 439.39)
17 Sec. 9. Each serviceman required or authorized to collect
18the tax herein imposed shall pay to the Department the amount
19of such tax (except as otherwise provided) at the time when he
20is required to file his return for the period during which such
21tax was collected, less a discount of 2.1% prior to January 1,
221990 and 1.75% on and after January 1, 1990, or $5 per calendar
23year, whichever is greater, which is allowed to reimburse the
24serviceman for expenses incurred in collecting the tax, keeping

HB5561- 792 -LRB101 17547 JWD 66965 b
1records, preparing and filing returns, remitting the tax and
2supplying data to the Department on request. The discount under
3this Section is not allowed for the 1.25% portion of taxes paid
4on aviation fuel that is subject to the revenue use
5requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133. The
6discount allowed under this Section is allowed only for returns
7that are filed in the manner required by this Act. The
8Department may disallow the discount for servicemen whose
9certificate of registration is revoked at the time the return
10is filed, but only if the Department's decision to revoke the
11certificate of registration has become final. A serviceman need
12not remit that part of any tax collected by him to the extent
13that he is required to pay and does pay the tax imposed by the
14Service Occupation Tax Act with respect to his sale of service
15involving the incidental transfer by him of the same property.
16 Except as provided hereinafter in this Section, on or
17before the twentieth day of each calendar month, such
18serviceman shall file a return for the preceding calendar month
19in accordance with reasonable Rules and Regulations to be
20promulgated by the Department. Such return shall be filed on a
21form prescribed by the Department and shall contain such
22information as the Department may reasonably require. On and
23after January 1, 2018, with respect to servicemen whose annual
24gross receipts average $20,000 or more, all returns required to
25be filed pursuant to this Act shall be filed electronically.
26Servicemen who demonstrate that they do not have access to the

HB5561- 793 -LRB101 17547 JWD 66965 b
1Internet or demonstrate hardship in filing electronically may
2petition the Department to waive the electronic filing
3requirement.
4 The Department may require returns to be filed on a
5quarterly basis. If so required, a return for each calendar
6quarter shall be filed on or before the twentieth day of the
7calendar month following the end of such calendar quarter. The
8taxpayer shall also file a return with the Department for each
9of the first two months of each calendar quarter, on or before
10the twentieth day of the following calendar month, stating:
11 1. The name of the seller;
12 2. The address of the principal place of business from
13 which he engages in business as a serviceman in this State;
14 3. The total amount of taxable receipts received by him
15 during the preceding calendar month, including receipts
16 from charge and time sales, but less all deductions allowed
17 by law;
18 4. The amount of credit provided in Section 2d of this
19 Act;
20 5. The amount of tax due;
21 5-5. The signature of the taxpayer; and
22 6. Such other reasonable information as the Department
23 may require.
24 Each serviceman required or authorized to collect the tax
25imposed by this Act on aviation fuel transferred as an incident
26of a sale of service in this State during the preceding

HB5561- 794 -LRB101 17547 JWD 66965 b
1calendar month shall, instead of reporting and paying tax on
2aviation fuel as otherwise required by this Section, report and
3pay such tax on a separate aviation fuel tax return. The
4requirements related to the return shall be as otherwise
5provided in this Section. Notwithstanding any other provisions
6of this Act to the contrary, servicemen collecting tax on
7aviation fuel shall file all aviation fuel tax returns and
8shall make all aviation fuel tax payments by electronic means
9in the manner and form required by the Department. For purposes
10of this Section, "aviation fuel" means jet fuel and aviation
11gasoline.
12 If a taxpayer fails to sign a return within 30 days after
13the proper notice and demand for signature by the Department,
14the return shall be considered valid and any amount shown to be
15due on the return shall be deemed assessed.
16 Notwithstanding any other provision of this Act to the
17contrary, servicemen subject to tax on cannabis shall file all
18cannabis tax returns and shall make all cannabis tax payments
19by electronic means in the manner and form required by the
20Department.
21 Beginning October 1, 1993, a taxpayer who has an average
22monthly tax liability of $150,000 or more shall make all
23payments required by rules of the Department by electronic
24funds transfer. Beginning October 1, 1994, a taxpayer who has
25an average monthly tax liability of $100,000 or more shall make
26all payments required by rules of the Department by electronic

HB5561- 795 -LRB101 17547 JWD 66965 b
1funds transfer. Beginning October 1, 1995, a taxpayer who has
2an average monthly tax liability of $50,000 or more shall make
3all payments required by rules of the Department by electronic
4funds transfer. Beginning October 1, 2000, a taxpayer who has
5an annual tax liability of $200,000 or more shall make all
6payments required by rules of the Department by electronic
7funds transfer. The term "annual tax liability" shall be the
8sum of the taxpayer's liabilities under this Act, and under all
9other State and local occupation and use tax laws administered
10by the Department, for the immediately preceding calendar year.
11The term "average monthly tax liability" means the sum of the
12taxpayer's liabilities under this Act, and under all other
13State and local occupation and use tax laws administered by the
14Department, for the immediately preceding calendar year
15divided by 12. Beginning on October 1, 2002, a taxpayer who has
16a tax liability in the amount set forth in subsection (b) of
17Section 2505-210 of the Department of Revenue Law shall make
18all payments required by rules of the Department by electronic
19funds transfer.
20 Before August 1 of each year beginning in 1993, the
21Department shall notify all taxpayers required to make payments
22by electronic funds transfer. All taxpayers required to make
23payments by electronic funds transfer shall make those payments
24for a minimum of one year beginning on October 1.
25 Any taxpayer not required to make payments by electronic
26funds transfer may make payments by electronic funds transfer

HB5561- 796 -LRB101 17547 JWD 66965 b
1with the permission of the Department.
2 All taxpayers required to make payment by electronic funds
3transfer and any taxpayers authorized to voluntarily make
4payments by electronic funds transfer shall make those payments
5in the manner authorized by the Department.
6 The Department shall adopt such rules as are necessary to
7effectuate a program of electronic funds transfer and the
8requirements of this Section.
9 If the serviceman is otherwise required to file a monthly
10return and if the serviceman's average monthly tax liability to
11the Department does not exceed $200, the Department may
12authorize his returns to be filed on a quarter annual basis,
13with the return for January, February and March of a given year
14being due by April 20 of such year; with the return for April,
15May and June of a given year being due by July 20 of such year;
16with the return for July, August and September of a given year
17being due by October 20 of such year, and with the return for
18October, November and December of a given year being due by
19January 20 of the following year.
20 If the serviceman is otherwise required to file a monthly
21or quarterly return and if the serviceman's average monthly tax
22liability to the Department does not exceed $50, the Department
23may authorize his returns to be filed on an annual basis, with
24the return for a given year being due by January 20 of the
25following year.
26 Such quarter annual and annual returns, as to form and

HB5561- 797 -LRB101 17547 JWD 66965 b
1substance, shall be subject to the same requirements as monthly
2returns.
3 Notwithstanding any other provision in this Act concerning
4the time within which a serviceman may file his return, in the
5case of any serviceman who ceases to engage in a kind of
6business which makes him responsible for filing returns under
7this Act, such serviceman shall file a final return under this
8Act with the Department not more than 1 month after
9discontinuing such business.
10 Where a serviceman collects the tax with respect to the
11selling price of property which he sells and the purchaser
12thereafter returns such property and the serviceman refunds the
13selling price thereof to the purchaser, such serviceman shall
14also refund, to the purchaser, the tax so collected from the
15purchaser. When filing his return for the period in which he
16refunds such tax to the purchaser, the serviceman may deduct
17the amount of the tax so refunded by him to the purchaser from
18any other Service Use Tax, Service Occupation Tax, retailers'
19occupation tax or use tax which such serviceman may be required
20to pay or remit to the Department, as shown by such return,
21provided that the amount of the tax to be deducted shall
22previously have been remitted to the Department by such
23serviceman. If the serviceman shall not previously have
24remitted the amount of such tax to the Department, he shall be
25entitled to no deduction hereunder upon refunding such tax to
26the purchaser.

HB5561- 798 -LRB101 17547 JWD 66965 b
1 Any serviceman filing a return hereunder shall also include
2the total tax upon the selling price of tangible personal
3property purchased for use by him as an incident to a sale of
4service, and such serviceman shall remit the amount of such tax
5to the Department when filing such return.
6 If experience indicates such action to be practicable, the
7Department may prescribe and furnish a combination or joint
8return which will enable servicemen, who are required to file
9returns hereunder and also under the Service Occupation Tax
10Act, to furnish all the return information required by both
11Acts on the one form.
12 Where the serviceman has more than one business registered
13with the Department under separate registration hereunder,
14such serviceman shall not file each return that is due as a
15single return covering all such registered businesses, but
16shall file separate returns for each such registered business.
17 Beginning January 1, 1990, each month the Department shall
18pay into the State and Local Tax Reform Fund, a special fund in
19the State Treasury, the net revenue realized for the preceding
20month from the 1% tax imposed under this Act.
21 Beginning January 1, 1990, each month the Department shall
22pay into the State and Local Sales Tax Reform Fund 20% of the
23net revenue realized for the preceding month from the 6.25%
24general rate on transfers of tangible personal property, other
25than (i) tangible personal property which is purchased outside
26Illinois at retail from a retailer and which is titled or

HB5561- 799 -LRB101 17547 JWD 66965 b
1registered by an agency of this State's government and (ii)
2aviation fuel sold on or after December 1, 2019. This exception
3for aviation fuel only applies for so long as the revenue use
4requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
5binding on the State.
6 For aviation fuel sold on or after December 1, 2019, each
7month the Department shall pay into the State Aviation Program
8Fund 20% of the net revenue realized for the preceding month
9from the 6.25% general rate on the selling price of aviation
10fuel, less an amount estimated by the Department to be required
11for refunds of the 20% portion of the tax on aviation fuel
12under this Act, which amount shall be deposited into the
13Aviation Fuel Sales Tax Refund Fund. The Department shall only
14pay moneys into the State Aviation Program Fund and the
15Aviation Fuel Sales Tax Refund Fund under this Act for so long
16as the revenue use requirements of 49 U.S.C. 47107(b) and 49
17U.S.C. 47133 are binding on the State.
18 Beginning August 1, 2000, each month the Department shall
19pay into the State and Local Sales Tax Reform Fund 100% of the
20net revenue realized for the preceding month from the 1.25%
21rate on the selling price of motor fuel and gasohol.
22 Beginning October 1, 2009, each month the Department shall
23pay into the Capital Projects Fund an amount that is equal to
24an amount estimated by the Department to represent 80% of the
25net revenue realized for the preceding month from the sale of
26candy, grooming and hygiene products, and soft drinks that had

HB5561- 800 -LRB101 17547 JWD 66965 b
1been taxed at a rate of 1% prior to September 1, 2009 but that
2are now taxed at 6.25%.
3 Beginning July 1, 2013, each month the Department shall pay
4into the Underground Storage Tank Fund from the proceeds
5collected under this Act, the Use Tax Act, the Service
6Occupation Tax Act, and the Retailers' Occupation Tax Act an
7amount equal to the average monthly deficit in the Underground
8Storage Tank Fund during the prior year, as certified annually
9by the Illinois Environmental Protection Agency, but the total
10payment into the Underground Storage Tank Fund under this Act,
11the Use Tax Act, the Service Occupation Tax Act, and the
12Retailers' Occupation Tax Act shall not exceed $18,000,000 in
13any State fiscal year. As used in this paragraph, the "average
14monthly deficit" shall be equal to the difference between the
15average monthly claims for payment by the fund and the average
16monthly revenues deposited into the fund, excluding payments
17made pursuant to this paragraph.
18 Beginning July 1, 2015, of the remainder of the moneys
19received by the Department under the Use Tax Act, this Act, the
20Service Occupation Tax Act, and the Retailers' Occupation Tax
21Act, each month the Department shall deposit $500,000 into the
22State Crime Laboratory Fund.
23 Of the remainder of the moneys received by the Department
24pursuant to this Act, (a) 1.75% thereof shall be paid into the
25Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
26and after July 1, 1989, 3.8% thereof shall be paid into the

HB5561- 801 -LRB101 17547 JWD 66965 b
1Build Illinois Fund; provided, however, that if in any fiscal
2year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
3may be, of the moneys received by the Department and required
4to be paid into the Build Illinois Fund pursuant to Section 3
5of the Retailers' Occupation Tax Act, Section 9 of the Use Tax
6Act, Section 9 of the Service Use Tax Act, and Section 9 of the
7Service Occupation Tax Act, such Acts being hereinafter called
8the "Tax Acts" and such aggregate of 2.2% or 3.8%, as the case
9may be, of moneys being hereinafter called the "Tax Act
10Amount", and (2) the amount transferred to the Build Illinois
11Fund from the State and Local Sales Tax Reform Fund shall be
12less than the Annual Specified Amount (as defined in Section 3
13of the Retailers' Occupation Tax Act), an amount equal to the
14difference shall be immediately paid into the Build Illinois
15Fund from other moneys received by the Department pursuant to
16the Tax Acts; and further provided, that if on the last
17business day of any month the sum of (1) the Tax Act Amount
18required to be deposited into the Build Illinois Bond Account
19in the Build Illinois Fund during such month and (2) the amount
20transferred during such month to the Build Illinois Fund from
21the State and Local Sales Tax Reform Fund shall have been less
22than 1/12 of the Annual Specified Amount, an amount equal to
23the difference shall be immediately paid into the Build
24Illinois Fund from other moneys received by the Department
25pursuant to the Tax Acts; and, further provided, that in no
26event shall the payments required under the preceding proviso

HB5561- 802 -LRB101 17547 JWD 66965 b
1result in aggregate payments into the Build Illinois Fund
2pursuant to this clause (b) for any fiscal year in excess of
3the greater of (i) the Tax Act Amount or (ii) the Annual
4Specified Amount for such fiscal year; and, further provided,
5that the amounts payable into the Build Illinois Fund under
6this clause (b) shall be payable only until such time as the
7aggregate amount on deposit under each trust indenture securing
8Bonds issued and outstanding pursuant to the Build Illinois
9Bond Act is sufficient, taking into account any future
10investment income, to fully provide, in accordance with such
11indenture, for the defeasance of or the payment of the
12principal of, premium, if any, and interest on the Bonds
13secured by such indenture and on any Bonds expected to be
14issued thereafter and all fees and costs payable with respect
15thereto, all as certified by the Director of the Bureau of the
16Budget (now Governor's Office of Management and Budget). If on
17the last business day of any month in which Bonds are
18outstanding pursuant to the Build Illinois Bond Act, the
19aggregate of the moneys deposited in the Build Illinois Bond
20Account in the Build Illinois Fund in such month shall be less
21than the amount required to be transferred in such month from
22the Build Illinois Bond Account to the Build Illinois Bond
23Retirement and Interest Fund pursuant to Section 13 of the
24Build Illinois Bond Act, an amount equal to such deficiency
25shall be immediately paid from other moneys received by the
26Department pursuant to the Tax Acts to the Build Illinois Fund;

HB5561- 803 -LRB101 17547 JWD 66965 b
1provided, however, that any amounts paid to the Build Illinois
2Fund in any fiscal year pursuant to this sentence shall be
3deemed to constitute payments pursuant to clause (b) of the
4preceding sentence and shall reduce the amount otherwise
5payable for such fiscal year pursuant to clause (b) of the
6preceding sentence. The moneys received by the Department
7pursuant to this Act and required to be deposited into the
8Build Illinois Fund are subject to the pledge, claim and charge
9set forth in Section 12 of the Build Illinois Bond Act.
10 Subject to payment of amounts into the Build Illinois Fund
11as provided in the preceding paragraph or in any amendment
12thereto hereafter enacted, the following specified monthly
13installment of the amount requested in the certificate of the
14Chairman of the Metropolitan Pier and Exposition Authority
15provided under Section 8.25f of the State Finance Act, but not
16in excess of the sums designated as "Total Deposit", shall be
17deposited in the aggregate from collections under Section 9 of
18the Use Tax Act, Section 9 of the Service Use Tax Act, Section
199 of the Service Occupation Tax Act, and Section 3 of the
20Retailers' Occupation Tax Act into the McCormick Place
21Expansion Project Fund in the specified fiscal years.
22Fiscal YearTotal Deposit
231993 $0
241994 53,000,000
251995 58,000,000

HB5561- 804 -LRB101 17547 JWD 66965 b
11996 61,000,000
21997 64,000,000
31998 68,000,000
41999 71,000,000
52000 75,000,000
62001 80,000,000
72002 93,000,000
82003 99,000,000
92004103,000,000
102005108,000,000
112006113,000,000
122007119,000,000
132008126,000,000
142009132,000,000
152010139,000,000
162011146,000,000
172012153,000,000
182013161,000,000
192014170,000,000
202015179,000,000
212016189,000,000
222017199,000,000
232018210,000,000
242019221,000,000
252020233,000,000
262021246,000,000

HB5561- 805 -LRB101 17547 JWD 66965 b
12022260,000,000
22023275,000,000
32024 275,000,000
42025 275,000,000
52026 279,000,000
62027 292,000,000
72028 307,000,000
82029 322,000,000
92030 338,000,000
102031 350,000,000
112032 350,000,000
12and
13each fiscal year
14thereafter that bonds
15are outstanding under
16Section 13.2 of the
17Metropolitan Pier and
18Exposition Authority Act,
19but not after fiscal year 2060.
20 Beginning July 20, 1993 and in each month of each fiscal
21year thereafter, one-eighth of the amount requested in the
22certificate of the Chairman of the Metropolitan Pier and
23Exposition Authority for that fiscal year, less the amount
24deposited into the McCormick Place Expansion Project Fund by
25the State Treasurer in the respective month under subsection
26(g) of Section 13 of the Metropolitan Pier and Exposition

HB5561- 806 -LRB101 17547 JWD 66965 b
1Authority Act, plus cumulative deficiencies in the deposits
2required under this Section for previous months and years,
3shall be deposited into the McCormick Place Expansion Project
4Fund, until the full amount requested for the fiscal year, but
5not in excess of the amount specified above as "Total Deposit",
6has been deposited.
7 Subject to payment of amounts into the Capital Projects
8Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
9and the McCormick Place Expansion Project Fund pursuant to the
10preceding paragraphs or in any amendments thereto hereafter
11enacted, for aviation fuel sold on or after December 1, 2019,
12the Department shall each month deposit into the Aviation Fuel
13Sales Tax Refund Fund an amount estimated by the Department to
14be required for refunds of the 80% portion of the tax on
15aviation fuel under this Act. The Department shall only deposit
16moneys into the Aviation Fuel Sales Tax Refund Fund under this
17paragraph for so long as the revenue use requirements of 49
18U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
19 Subject to payment of amounts into the Build Illinois Fund
20and the McCormick Place Expansion Project Fund pursuant to the
21preceding paragraphs or in any amendments thereto hereafter
22enacted, beginning July 1, 1993 and ending on September 30,
232013, the Department shall each month pay into the Illinois Tax
24Increment Fund 0.27% of 80% of the net revenue realized for the
25preceding month from the 6.25% general rate on the selling
26price of tangible personal property.

HB5561- 807 -LRB101 17547 JWD 66965 b
1 Subject to payment of amounts into the Build Illinois Fund
2and the McCormick Place Expansion Project Fund pursuant to the
3preceding paragraphs or in any amendments thereto hereafter
4enacted, beginning with the receipt of the first report of
5taxes paid by an eligible business and continuing for a 25-year
6period, the Department shall each month pay into the Energy
7Infrastructure Fund 80% of the net revenue realized from the
86.25% general rate on the selling price of Illinois-mined coal
9that was sold to an eligible business. For purposes of this
10paragraph, the term "eligible business" means a new electric
11generating facility certified pursuant to Section 605-332 of
12the Department of Commerce and Economic Opportunity Law of the
13Civil Administrative Code of Illinois.
14 Subject to payment of amounts into the Build Illinois Fund,
15the McCormick Place Expansion Project Fund, the Illinois Tax
16Increment Fund, and the Energy Infrastructure Fund pursuant to
17the preceding paragraphs or in any amendments to this Section
18hereafter enacted, beginning on the first day of the first
19calendar month to occur on or after August 26, 2014 (the
20effective date of Public Act 98-1098), each month, from the
21collections made under Section 9 of the Use Tax Act, Section 9
22of the Service Use Tax Act, Section 9 of the Service Occupation
23Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
24the Department shall pay into the Tax Compliance and
25Administration Fund, to be used, subject to appropriation, to
26fund additional auditors and compliance personnel at the

HB5561- 808 -LRB101 17547 JWD 66965 b
1Department of Revenue, an amount equal to 1/12 of 5% of 80% of
2the cash receipts collected during the preceding fiscal year by
3the Audit Bureau of the Department under the Use Tax Act, the
4Service Use Tax Act, the Service Occupation Tax Act, the
5Retailers' Occupation Tax Act, and associated local occupation
6and use taxes administered by the Department.
7 Subject to payments of amounts into the Build Illinois
8Fund, the McCormick Place Expansion Project Fund, the Illinois
9Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
10Compliance and Administration Fund as provided in this Section,
11beginning on July 1, 2018 the Department shall pay each month
12into the Downstate Public Transportation Fund the moneys
13required to be so paid under Section 2-3 of the Downstate
14Public Transportation Act.
15 Subject to successful execution and delivery of a
16public-private agreement between the public agency and private
17entity and completion of the civic build, beginning on July 1,
182023, of the remainder of the moneys received by the Department
19under the Use Tax Act, the Service Use Tax Act, the Service
20Occupation Tax Act, and this Act, the Department shall deposit
21the following specified deposits in the aggregate from
22collections under the Use Tax Act, the Service Use Tax Act, the
23Service Occupation Tax Act, and the Retailers' Occupation Tax
24Act, as required under Section 8.25g of the State Finance Act
25for distribution consistent with the Public-Private
26Partnership for Civic and Transit Infrastructure Project Act.

HB5561- 809 -LRB101 17547 JWD 66965 b
1The moneys received by the Department pursuant to this Act and
2required to be deposited into the Civic and Transit
3Infrastructure Fund are subject to the pledge, claim, and
4charge set forth in Section 25-55 of the Public-Private
5Partnership for Civic and Transit Infrastructure Project Act.
6As used in this paragraph, "civic build", "private entity",
7"public-private agreement", and "public agency" have the
8meanings provided in Section 25-10 of the Public-Private
9Partnership for Civic and Transit Infrastructure Project Act.
10 Fiscal Year............................Total Deposit
11 2024....................................$200,000,000
12 2025....................................$206,000,000
13 2026....................................$212,200,000
14 2027....................................$218,500,000
15 2028....................................$225,100,000
16 2029....................................$288,700,000
17 2030....................................$298,900,000
18 2031....................................$309,300,000
19 2032....................................$320,100,000
20 2033....................................$331,200,000
21 2034....................................$341,200,000
22 2035....................................$351,400,000
23 2036....................................$361,900,000
24 2037....................................$372,800,000
25 2038....................................$384,000,000
26 2039....................................$395,500,000

HB5561- 810 -LRB101 17547 JWD 66965 b
1 2040....................................$407,400,000
2 2041....................................$419,600,000
3 2042....................................$432,200,000
4 2043....................................$445,100,000
5 Beginning July 1, 2021 and until July 1, 2022, subject to
6the payment of amounts into the State and Local Sales Tax
7Reform Fund, the Build Illinois Fund, the McCormick Place
8Expansion Project Fund, the Illinois Tax Increment Fund, the
9Energy Infrastructure Fund, and the Tax Compliance and
10Administration Fund as provided in this Section, the Department
11shall pay each month into the Road Fund the amount estimated to
12represent 16% of the net revenue realized from the taxes
13imposed on motor fuel and gasohol. Beginning July 1, 2022 and
14until July 1, 2023, subject to the payment of amounts into the
15State and Local Sales Tax Reform Fund, the Build Illinois Fund,
16the McCormick Place Expansion Project Fund, the Illinois Tax
17Increment Fund, the Energy Infrastructure Fund, and the Tax
18Compliance and Administration Fund as provided in this Section,
19the Department shall pay each month into the Road Fund the
20amount estimated to represent 32% of the net revenue realized
21from the taxes imposed on motor fuel and gasohol. Beginning
22July 1, 2023 and until July 1, 2024, subject to the payment of
23amounts into the State and Local Sales Tax Reform Fund, the
24Build Illinois Fund, the McCormick Place Expansion Project
25Fund, the Illinois Tax Increment Fund, the Energy
26Infrastructure Fund, and the Tax Compliance and Administration

HB5561- 811 -LRB101 17547 JWD 66965 b
1Fund as provided in this Section, the Department shall pay each
2month into the Road Fund the amount estimated to represent 48%
3of the net revenue realized from the taxes imposed on motor
4fuel and gasohol. Beginning July 1, 2024 and until July 1,
52025, subject to the payment of amounts into the State and
6Local Sales Tax Reform Fund, the Build Illinois Fund, the
7McCormick Place Expansion Project Fund, the Illinois Tax
8Increment Fund, the Energy Infrastructure Fund, and the Tax
9Compliance and Administration Fund as provided in this Section,
10the Department shall pay each month into the Road Fund the
11amount estimated to represent 64% of the net revenue realized
12from the taxes imposed on motor fuel and gasohol. Beginning on
13July 1, 2025, subject to the payment of amounts into the State
14and Local Sales Tax Reform Fund, the Build Illinois Fund, the
15McCormick Place Expansion Project Fund, the Illinois Tax
16Increment Fund, the Energy Infrastructure Fund, and the Tax
17Compliance and Administration Fund as provided in this Section,
18the Department shall pay each month into the Road Fund the
19amount estimated to represent 80% of the net revenue realized
20from the taxes imposed on motor fuel and gasohol. As used in
21this paragraph "motor fuel" has the meaning given to that term
22in Section 1.1 of the Motor Fuel Tax Act, and "gasohol" has the
23meaning given to that term in Section 3-40 of the Use Tax Act.
24 Of the remainder of the moneys received by the Department
25pursuant to this Act, 75% thereof shall be paid into the
26General Revenue Fund of the State Treasury and 25% shall be

HB5561- 812 -LRB101 17547 JWD 66965 b
1reserved in a special account and used only for the transfer to
2the Common School Fund as part of the monthly transfer from the
3General Revenue Fund in accordance with Section 8a of the State
4Finance Act.
5 As soon as possible after the first day of each month, upon
6certification of the Department of Revenue, the Comptroller
7shall order transferred and the Treasurer shall transfer from
8the General Revenue Fund to the Motor Fuel Tax Fund an amount
9equal to 1.7% of 80% of the net revenue realized under this Act
10for the second preceding month. Beginning April 1, 2000, this
11transfer is no longer required and shall not be made.
12 Net revenue realized for a month shall be the revenue
13collected by the State pursuant to this Act, less the amount
14paid out during that month as refunds to taxpayers for
15overpayment of liability.
16(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
17100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
1815, Section 15-15, eff. 6-5-19; 101-10, Article 25, Section
1925-110, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
206-28-19; 101-604, eff. 12-13-19.)
21 Section 15-25. The Retailers' Occupation Tax Act is amended
22by changing Section 3 as follows:
23 (35 ILCS 120/3) (from Ch. 120, par. 442)
24 Sec. 3. Except as provided in this Section, on or before

HB5561- 813 -LRB101 17547 JWD 66965 b
1the twentieth day of each calendar month, every person engaged
2in the business of selling tangible personal property at retail
3in this State during the preceding calendar month shall file a
4return with the Department, stating:
5 1. The name of the seller;
6 2. His residence address and the address of his
7 principal place of business and the address of the
8 principal place of business (if that is a different
9 address) from which he engages in the business of selling
10 tangible personal property at retail in this State;
11 3. Total amount of receipts received by him during the
12 preceding calendar month or quarter, as the case may be,
13 from sales of tangible personal property, and from services
14 furnished, by him during such preceding calendar month or
15 quarter;
16 4. Total amount received by him during the preceding
17 calendar month or quarter on charge and time sales of
18 tangible personal property, and from services furnished,
19 by him prior to the month or quarter for which the return
20 is filed;
21 5. Deductions allowed by law;
22 6. Gross receipts which were received by him during the
23 preceding calendar month or quarter and upon the basis of
24 which the tax is imposed;
25 7. The amount of credit provided in Section 2d of this
26 Act;

HB5561- 814 -LRB101 17547 JWD 66965 b
1 8. The amount of tax due;
2 9. The signature of the taxpayer; and
3 10. Such other reasonable information as the
4 Department may require.
5 On and after January 1, 2018, except for returns for motor
6vehicles, watercraft, aircraft, and trailers that are required
7to be registered with an agency of this State, with respect to
8retailers whose annual gross receipts average $20,000 or more,
9all returns required to be filed pursuant to this Act shall be
10filed electronically. Retailers who demonstrate that they do
11not have access to the Internet or demonstrate hardship in
12filing electronically may petition the Department to waive the
13electronic filing requirement.
14 If a taxpayer fails to sign a return within 30 days after
15the proper notice and demand for signature by the Department,
16the return shall be considered valid and any amount shown to be
17due on the return shall be deemed assessed.
18 Each return shall be accompanied by the statement of
19prepaid tax issued pursuant to Section 2e for which credit is
20claimed.
21 Prior to October 1, 2003, and on and after September 1,
222004 a retailer may accept a Manufacturer's Purchase Credit
23certification from a purchaser in satisfaction of Use Tax as
24provided in Section 3-85 of the Use Tax Act if the purchaser
25provides the appropriate documentation as required by Section
263-85 of the Use Tax Act. A Manufacturer's Purchase Credit

HB5561- 815 -LRB101 17547 JWD 66965 b
1certification, accepted by a retailer prior to October 1, 2003
2and on and after September 1, 2004 as provided in Section 3-85
3of the Use Tax Act, may be used by that retailer to satisfy
4Retailers' Occupation Tax liability in the amount claimed in
5the certification, not to exceed 6.25% of the receipts subject
6to tax from a qualifying purchase. A Manufacturer's Purchase
7Credit reported on any original or amended return filed under
8this Act after October 20, 2003 for reporting periods prior to
9September 1, 2004 shall be disallowed. Manufacturer's
10Purchaser Credit reported on annual returns due on or after
11January 1, 2005 will be disallowed for periods prior to
12September 1, 2004. No Manufacturer's Purchase Credit may be
13used after September 30, 2003 through August 31, 2004 to
14satisfy any tax liability imposed under this Act, including any
15audit liability.
16 The Department may require returns to be filed on a
17quarterly basis. If so required, a return for each calendar
18quarter shall be filed on or before the twentieth day of the
19calendar month following the end of such calendar quarter. The
20taxpayer shall also file a return with the Department for each
21of the first two months of each calendar quarter, on or before
22the twentieth day of the following calendar month, stating:
23 1. The name of the seller;
24 2. The address of the principal place of business from
25 which he engages in the business of selling tangible
26 personal property at retail in this State;

HB5561- 816 -LRB101 17547 JWD 66965 b
1 3. The total amount of taxable receipts received by him
2 during the preceding calendar month from sales of tangible
3 personal property by him during such preceding calendar
4 month, including receipts from charge and time sales, but
5 less all deductions allowed by law;
6 4. The amount of credit provided in Section 2d of this
7 Act;
8 5. The amount of tax due; and
9 6. Such other reasonable information as the Department
10 may require.
11 Every person engaged in the business of selling aviation
12fuel at retail in this State during the preceding calendar
13month shall, instead of reporting and paying tax as otherwise
14required by this Section, report and pay such tax on a separate
15aviation fuel tax return. The requirements related to the
16return shall be as otherwise provided in this Section.
17Notwithstanding any other provisions of this Act to the
18contrary, retailers selling aviation fuel shall file all
19aviation fuel tax returns and shall make all aviation fuel tax
20payments by electronic means in the manner and form required by
21the Department. For purposes of this Section, "aviation fuel"
22means jet fuel and aviation gasoline.
23 Beginning on October 1, 2003, any person who is not a
24licensed distributor, importing distributor, or manufacturer,
25as defined in the Liquor Control Act of 1934, but is engaged in
26the business of selling, at retail, alcoholic liquor shall file

HB5561- 817 -LRB101 17547 JWD 66965 b
1a statement with the Department of Revenue, in a format and at
2a time prescribed by the Department, showing the total amount
3paid for alcoholic liquor purchased during the preceding month
4and such other information as is reasonably required by the
5Department. The Department may adopt rules to require that this
6statement be filed in an electronic or telephonic format. Such
7rules may provide for exceptions from the filing requirements
8of this paragraph. For the purposes of this paragraph, the term
9"alcoholic liquor" shall have the meaning prescribed in the
10Liquor Control Act of 1934.
11 Beginning on October 1, 2003, every distributor, importing
12distributor, and manufacturer of alcoholic liquor as defined in
13the Liquor Control Act of 1934, shall file a statement with the
14Department of Revenue, no later than the 10th day of the month
15for the preceding month during which transactions occurred, by
16electronic means, showing the total amount of gross receipts
17from the sale of alcoholic liquor sold or distributed during
18the preceding month to purchasers; identifying the purchaser to
19whom it was sold or distributed; the purchaser's tax
20registration number; and such other information reasonably
21required by the Department. A distributor, importing
22distributor, or manufacturer of alcoholic liquor must
23personally deliver, mail, or provide by electronic means to
24each retailer listed on the monthly statement a report
25containing a cumulative total of that distributor's, importing
26distributor's, or manufacturer's total sales of alcoholic

HB5561- 818 -LRB101 17547 JWD 66965 b
1liquor to that retailer no later than the 10th day of the month
2for the preceding month during which the transaction occurred.
3The distributor, importing distributor, or manufacturer shall
4notify the retailer as to the method by which the distributor,
5importing distributor, or manufacturer will provide the sales
6information. If the retailer is unable to receive the sales
7information by electronic means, the distributor, importing
8distributor, or manufacturer shall furnish the sales
9information by personal delivery or by mail. For purposes of
10this paragraph, the term "electronic means" includes, but is
11not limited to, the use of a secure Internet website, e-mail,
12or facsimile.
13 If a total amount of less than $1 is payable, refundable or
14creditable, such amount shall be disregarded if it is less than
1550 cents and shall be increased to $1 if it is 50 cents or more.
16 Notwithstanding any other provision of this Act to the
17contrary, retailers subject to tax on cannabis shall file all
18cannabis tax returns and shall make all cannabis tax payments
19by electronic means in the manner and form required by the
20Department.
21 Beginning October 1, 1993, a taxpayer who has an average
22monthly tax liability of $150,000 or more shall make all
23payments required by rules of the Department by electronic
24funds transfer. Beginning October 1, 1994, a taxpayer who has
25an average monthly tax liability of $100,000 or more shall make
26all payments required by rules of the Department by electronic

HB5561- 819 -LRB101 17547 JWD 66965 b
1funds transfer. Beginning October 1, 1995, a taxpayer who has
2an average monthly tax liability of $50,000 or more shall make
3all payments required by rules of the Department by electronic
4funds transfer. Beginning October 1, 2000, a taxpayer who has
5an annual tax liability of $200,000 or more shall make all
6payments required by rules of the Department by electronic
7funds transfer. The term "annual tax liability" shall be the
8sum of the taxpayer's liabilities under this Act, and under all
9other State and local occupation and use tax laws administered
10by the Department, for the immediately preceding calendar year.
11The term "average monthly tax liability" shall be the sum of
12the taxpayer's liabilities under this Act, and under all other
13State and local occupation and use tax laws administered by the
14Department, for the immediately preceding calendar year
15divided by 12. Beginning on October 1, 2002, a taxpayer who has
16a tax liability in the amount set forth in subsection (b) of
17Section 2505-210 of the Department of Revenue Law shall make
18all payments required by rules of the Department by electronic
19funds transfer.
20 Before August 1 of each year beginning in 1993, the
21Department shall notify all taxpayers required to make payments
22by electronic funds transfer. All taxpayers required to make
23payments by electronic funds transfer shall make those payments
24for a minimum of one year beginning on October 1.
25 Any taxpayer not required to make payments by electronic
26funds transfer may make payments by electronic funds transfer

HB5561- 820 -LRB101 17547 JWD 66965 b
1with the permission of the Department.
2 All taxpayers required to make payment by electronic funds
3transfer and any taxpayers authorized to voluntarily make
4payments by electronic funds transfer shall make those payments
5in the manner authorized by the Department.
6 The Department shall adopt such rules as are necessary to
7effectuate a program of electronic funds transfer and the
8requirements of this Section.
9 Any amount which is required to be shown or reported on any
10return or other document under this Act shall, if such amount
11is not a whole-dollar amount, be increased to the nearest
12whole-dollar amount in any case where the fractional part of a
13dollar is 50 cents or more, and decreased to the nearest
14whole-dollar amount where the fractional part of a dollar is
15less than 50 cents.
16 If the retailer is otherwise required to file a monthly
17return and if the retailer's average monthly tax liability to
18the Department does not exceed $200, the Department may
19authorize his returns to be filed on a quarter annual basis,
20with the return for January, February and March of a given year
21being due by April 20 of such year; with the return for April,
22May and June of a given year being due by July 20 of such year;
23with the return for July, August and September of a given year
24being due by October 20 of such year, and with the return for
25October, November and December of a given year being due by
26January 20 of the following year.

HB5561- 821 -LRB101 17547 JWD 66965 b
1 If the retailer is otherwise required to file a monthly or
2quarterly return and if the retailer's average monthly tax
3liability with the Department does not exceed $50, the
4Department may authorize his returns to be filed on an annual
5basis, with the return for a given year being due by January 20
6of the following year.
7 Such quarter annual and annual returns, as to form and
8substance, shall be subject to the same requirements as monthly
9returns.
10 Notwithstanding any other provision in this Act concerning
11the time within which a retailer may file his return, in the
12case of any retailer who ceases to engage in a kind of business
13which makes him responsible for filing returns under this Act,
14such retailer shall file a final return under this Act with the
15Department not more than one month after discontinuing such
16business.
17 Where the same person has more than one business registered
18with the Department under separate registrations under this
19Act, such person may not file each return that is due as a
20single return covering all such registered businesses, but
21shall file separate returns for each such registered business.
22 In addition, with respect to motor vehicles, watercraft,
23aircraft, and trailers that are required to be registered with
24an agency of this State, except as otherwise provided in this
25Section, every retailer selling this kind of tangible personal
26property shall file, with the Department, upon a form to be

HB5561- 822 -LRB101 17547 JWD 66965 b
1prescribed and supplied by the Department, a separate return
2for each such item of tangible personal property which the
3retailer sells, except that if, in the same transaction, (i) a
4retailer of aircraft, watercraft, motor vehicles or trailers
5transfers more than one aircraft, watercraft, motor vehicle or
6trailer to another aircraft, watercraft, motor vehicle
7retailer or trailer retailer for the purpose of resale or (ii)
8a retailer of aircraft, watercraft, motor vehicles, or trailers
9transfers more than one aircraft, watercraft, motor vehicle, or
10trailer to a purchaser for use as a qualifying rolling stock as
11provided in Section 2-5 of this Act, then that seller may
12report the transfer of all aircraft, watercraft, motor vehicles
13or trailers involved in that transaction to the Department on
14the same uniform invoice-transaction reporting return form.
15For purposes of this Section, "watercraft" means a Class 2,
16Class 3, or Class 4 watercraft as defined in Section 3-2 of the
17Boat Registration and Safety Act, a personal watercraft, or any
18boat equipped with an inboard motor.
19 In addition, with respect to motor vehicles, watercraft,
20aircraft, and trailers that are required to be registered with
21an agency of this State, every person who is engaged in the
22business of leasing or renting such items and who, in
23connection with such business, sells any such item to a
24retailer for the purpose of resale is, notwithstanding any
25other provision of this Section to the contrary, authorized to
26meet the return-filing requirement of this Act by reporting the

HB5561- 823 -LRB101 17547 JWD 66965 b
1transfer of all the aircraft, watercraft, motor vehicles, or
2trailers transferred for resale during a month to the
3Department on the same uniform invoice-transaction reporting
4return form on or before the 20th of the month following the
5month in which the transfer takes place. Notwithstanding any
6other provision of this Act to the contrary, all returns filed
7under this paragraph must be filed by electronic means in the
8manner and form as required by the Department.
9 Any retailer who sells only motor vehicles, watercraft,
10aircraft, or trailers that are required to be registered with
11an agency of this State, so that all retailers' occupation tax
12liability is required to be reported, and is reported, on such
13transaction reporting returns and who is not otherwise required
14to file monthly or quarterly returns, need not file monthly or
15quarterly returns. However, those retailers shall be required
16to file returns on an annual basis.
17 The transaction reporting return, in the case of motor
18vehicles or trailers that are required to be registered with an
19agency of this State, shall be the same document as the Uniform
20Invoice referred to in Section 5-402 of the Illinois Vehicle
21Code and must show the name and address of the seller; the name
22and address of the purchaser; the amount of the selling price
23including the amount allowed by the retailer for traded-in
24property, if any; the amount allowed by the retailer for the
25traded-in tangible personal property, if any, to the extent to
26which Section 1 of this Act allows an exemption for the value

HB5561- 824 -LRB101 17547 JWD 66965 b
1of traded-in property; the balance payable after deducting such
2trade-in allowance from the total selling price; the amount of
3tax due from the retailer with respect to such transaction; the
4amount of tax collected from the purchaser by the retailer on
5such transaction (or satisfactory evidence that such tax is not
6due in that particular instance, if that is claimed to be the
7fact); the place and date of the sale; a sufficient
8identification of the property sold; such other information as
9is required in Section 5-402 of the Illinois Vehicle Code, and
10such other information as the Department may reasonably
11require.
12 The transaction reporting return in the case of watercraft
13or aircraft must show the name and address of the seller; the
14name and address of the purchaser; the amount of the selling
15price including the amount allowed by the retailer for
16traded-in property, if any; the amount allowed by the retailer
17for the traded-in tangible personal property, if any, to the
18extent to which Section 1 of this Act allows an exemption for
19the value of traded-in property; the balance payable after
20deducting such trade-in allowance from the total selling price;
21the amount of tax due from the retailer with respect to such
22transaction; the amount of tax collected from the purchaser by
23the retailer on such transaction (or satisfactory evidence that
24such tax is not due in that particular instance, if that is
25claimed to be the fact); the place and date of the sale, a
26sufficient identification of the property sold, and such other

HB5561- 825 -LRB101 17547 JWD 66965 b
1information as the Department may reasonably require.
2 Such transaction reporting return shall be filed not later
3than 20 days after the day of delivery of the item that is
4being sold, but may be filed by the retailer at any time sooner
5than that if he chooses to do so. The transaction reporting
6return and tax remittance or proof of exemption from the
7Illinois use tax may be transmitted to the Department by way of
8the State agency with which, or State officer with whom the
9tangible personal property must be titled or registered (if
10titling or registration is required) if the Department and such
11agency or State officer determine that this procedure will
12expedite the processing of applications for title or
13registration.
14 With each such transaction reporting return, the retailer
15shall remit the proper amount of tax due (or shall submit
16satisfactory evidence that the sale is not taxable if that is
17the case), to the Department or its agents, whereupon the
18Department shall issue, in the purchaser's name, a use tax
19receipt (or a certificate of exemption if the Department is
20satisfied that the particular sale is tax exempt) which such
21purchaser may submit to the agency with which, or State officer
22with whom, he must title or register the tangible personal
23property that is involved (if titling or registration is
24required) in support of such purchaser's application for an
25Illinois certificate or other evidence of title or registration
26to such tangible personal property.

HB5561- 826 -LRB101 17547 JWD 66965 b
1 No retailer's failure or refusal to remit tax under this
2Act precludes a user, who has paid the proper tax to the
3retailer, from obtaining his certificate of title or other
4evidence of title or registration (if titling or registration
5is required) upon satisfying the Department that such user has
6paid the proper tax (if tax is due) to the retailer. The
7Department shall adopt appropriate rules to carry out the
8mandate of this paragraph.
9 If the user who would otherwise pay tax to the retailer
10wants the transaction reporting return filed and the payment of
11the tax or proof of exemption made to the Department before the
12retailer is willing to take these actions and such user has not
13paid the tax to the retailer, such user may certify to the fact
14of such delay by the retailer and may (upon the Department
15being satisfied of the truth of such certification) transmit
16the information required by the transaction reporting return
17and the remittance for tax or proof of exemption directly to
18the Department and obtain his tax receipt or exemption
19determination, in which event the transaction reporting return
20and tax remittance (if a tax payment was required) shall be
21credited by the Department to the proper retailer's account
22with the Department, but without the 2.1% or 1.75% discount
23provided for in this Section being allowed. When the user pays
24the tax directly to the Department, he shall pay the tax in the
25same amount and in the same form in which it would be remitted
26if the tax had been remitted to the Department by the retailer.

HB5561- 827 -LRB101 17547 JWD 66965 b
1 Refunds made by the seller during the preceding return
2period to purchasers, on account of tangible personal property
3returned to the seller, shall be allowed as a deduction under
4subdivision 5 of his monthly or quarterly return, as the case
5may be, in case the seller had theretofore included the
6receipts from the sale of such tangible personal property in a
7return filed by him and had paid the tax imposed by this Act
8with respect to such receipts.
9 Where the seller is a corporation, the return filed on
10behalf of such corporation shall be signed by the president,
11vice-president, secretary or treasurer or by the properly
12accredited agent of such corporation.
13 Where the seller is a limited liability company, the return
14filed on behalf of the limited liability company shall be
15signed by a manager, member, or properly accredited agent of
16the limited liability company.
17 Except as provided in this Section, the retailer filing the
18return under this Section shall, at the time of filing such
19return, pay to the Department the amount of tax imposed by this
20Act less a discount of 2.1% prior to January 1, 1990 and 1.75%
21on and after January 1, 1990, or $5 per calendar year,
22whichever is greater, which is allowed to reimburse the
23retailer for the expenses incurred in keeping records,
24preparing and filing returns, remitting the tax and supplying
25data to the Department on request. The discount under this
26Section is not allowed for the 1.25% portion of taxes paid on

HB5561- 828 -LRB101 17547 JWD 66965 b
1aviation fuel that is subject to the revenue use requirements
2of 49 U.S.C. 47107(b) and 49 U.S.C. 47133. Any prepayment made
3pursuant to Section 2d of this Act shall be included in the
4amount on which such 2.1% or 1.75% discount is computed. In the
5case of retailers who report and pay the tax on a transaction
6by transaction basis, as provided in this Section, such
7discount shall be taken with each such tax remittance instead
8of when such retailer files his periodic return. The discount
9allowed under this Section is allowed only for returns that are
10filed in the manner required by this Act. The Department may
11disallow the discount for retailers whose certificate of
12registration is revoked at the time the return is filed, but
13only if the Department's decision to revoke the certificate of
14registration has become final.
15 Before October 1, 2000, if the taxpayer's average monthly
16tax liability to the Department under this Act, the Use Tax
17Act, the Service Occupation Tax Act, and the Service Use Tax
18Act, excluding any liability for prepaid sales tax to be
19remitted in accordance with Section 2d of this Act, was $10,000
20or more during the preceding 4 complete calendar quarters, he
21shall file a return with the Department each month by the 20th
22day of the month next following the month during which such tax
23liability is incurred and shall make payments to the Department
24on or before the 7th, 15th, 22nd and last day of the month
25during which such liability is incurred. On and after October
261, 2000, if the taxpayer's average monthly tax liability to the

HB5561- 829 -LRB101 17547 JWD 66965 b
1Department under this Act, the Use Tax Act, the Service
2Occupation Tax Act, and the Service Use Tax Act, excluding any
3liability for prepaid sales tax to be remitted in accordance
4with Section 2d of this Act, was $20,000 or more during the
5preceding 4 complete calendar quarters, he shall file a return
6with the Department each month by the 20th day of the month
7next following the month during which such tax liability is
8incurred and shall make payment to the Department on or before
9the 7th, 15th, 22nd and last day of the month during which such
10liability is incurred. If the month during which such tax
11liability is incurred began prior to January 1, 1985, each
12payment shall be in an amount equal to 1/4 of the taxpayer's
13actual liability for the month or an amount set by the
14Department not to exceed 1/4 of the average monthly liability
15of the taxpayer to the Department for the preceding 4 complete
16calendar quarters (excluding the month of highest liability and
17the month of lowest liability in such 4 quarter period). If the
18month during which such tax liability is incurred begins on or
19after January 1, 1985 and prior to January 1, 1987, each
20payment shall be in an amount equal to 22.5% of the taxpayer's
21actual liability for the month or 27.5% of the taxpayer's
22liability for the same calendar month of the preceding year. If
23the month during which such tax liability is incurred begins on
24or after January 1, 1987 and prior to January 1, 1988, each
25payment shall be in an amount equal to 22.5% of the taxpayer's
26actual liability for the month or 26.25% of the taxpayer's

HB5561- 830 -LRB101 17547 JWD 66965 b
1liability for the same calendar month of the preceding year. If
2the month during which such tax liability is incurred begins on
3or after January 1, 1988, and prior to January 1, 1989, or
4begins on or after January 1, 1996, each payment shall be in an
5amount equal to 22.5% of the taxpayer's actual liability for
6the month or 25% of the taxpayer's liability for the same
7calendar month of the preceding year. If the month during which
8such tax liability is incurred begins on or after January 1,
91989, and prior to January 1, 1996, each payment shall be in an
10amount equal to 22.5% of the taxpayer's actual liability for
11the month or 25% of the taxpayer's liability for the same
12calendar month of the preceding year or 100% of the taxpayer's
13actual liability for the quarter monthly reporting period. The
14amount of such quarter monthly payments shall be credited
15against the final tax liability of the taxpayer's return for
16that month. Before October 1, 2000, once applicable, the
17requirement of the making of quarter monthly payments to the
18Department by taxpayers having an average monthly tax liability
19of $10,000 or more as determined in the manner provided above
20shall continue until such taxpayer's average monthly liability
21to the Department during the preceding 4 complete calendar
22quarters (excluding the month of highest liability and the
23month of lowest liability) is less than $9,000, or until such
24taxpayer's average monthly liability to the Department as
25computed for each calendar quarter of the 4 preceding complete
26calendar quarter period is less than $10,000. However, if a

HB5561- 831 -LRB101 17547 JWD 66965 b
1taxpayer can show the Department that a substantial change in
2the taxpayer's business has occurred which causes the taxpayer
3to anticipate that his average monthly tax liability for the
4reasonably foreseeable future will fall below the $10,000
5threshold stated above, then such taxpayer may petition the
6Department for a change in such taxpayer's reporting status. On
7and after October 1, 2000, once applicable, the requirement of
8the making of quarter monthly payments to the Department by
9taxpayers having an average monthly tax liability of $20,000 or
10more as determined in the manner provided above shall continue
11until such taxpayer's average monthly liability to the
12Department during the preceding 4 complete calendar quarters
13(excluding the month of highest liability and the month of
14lowest liability) is less than $19,000 or until such taxpayer's
15average monthly liability to the Department as computed for
16each calendar quarter of the 4 preceding complete calendar
17quarter period is less than $20,000. However, if a taxpayer can
18show the Department that a substantial change in the taxpayer's
19business has occurred which causes the taxpayer to anticipate
20that his average monthly tax liability for the reasonably
21foreseeable future will fall below the $20,000 threshold stated
22above, then such taxpayer may petition the Department for a
23change in such taxpayer's reporting status. The Department
24shall change such taxpayer's reporting status unless it finds
25that such change is seasonal in nature and not likely to be
26long term. If any such quarter monthly payment is not paid at

HB5561- 832 -LRB101 17547 JWD 66965 b
1the time or in the amount required by this Section, then the
2taxpayer shall be liable for penalties and interest on the
3difference between the minimum amount due as a payment and the
4amount of such quarter monthly payment actually and timely
5paid, except insofar as the taxpayer has previously made
6payments for that month to the Department in excess of the
7minimum payments previously due as provided in this Section.
8The Department shall make reasonable rules and regulations to
9govern the quarter monthly payment amount and quarter monthly
10payment dates for taxpayers who file on other than a calendar
11monthly basis.
12 The provisions of this paragraph apply before October 1,
132001. Without regard to whether a taxpayer is required to make
14quarter monthly payments as specified above, any taxpayer who
15is required by Section 2d of this Act to collect and remit
16prepaid taxes and has collected prepaid taxes which average in
17excess of $25,000 per month during the preceding 2 complete
18calendar quarters, shall file a return with the Department as
19required by Section 2f and shall make payments to the
20Department on or before the 7th, 15th, 22nd and last day of the
21month during which such liability is incurred. If the month
22during which such tax liability is incurred began prior to
23September 1, 1985 (the effective date of Public Act 84-221),
24each payment shall be in an amount not less than 22.5% of the
25taxpayer's actual liability under Section 2d. If the month
26during which such tax liability is incurred begins on or after

HB5561- 833 -LRB101 17547 JWD 66965 b
1January 1, 1986, each payment shall be in an amount equal to
222.5% of the taxpayer's actual liability for the month or 27.5%
3of the taxpayer's liability for the same calendar month of the
4preceding calendar year. If the month during which such tax
5liability is incurred begins on or after January 1, 1987, each
6payment shall be in an amount equal to 22.5% of the taxpayer's
7actual liability for the month or 26.25% of the taxpayer's
8liability for the same calendar month of the preceding year.
9The amount of such quarter monthly payments shall be credited
10against the final tax liability of the taxpayer's return for
11that month filed under this Section or Section 2f, as the case
12may be. Once applicable, the requirement of the making of
13quarter monthly payments to the Department pursuant to this
14paragraph shall continue until such taxpayer's average monthly
15prepaid tax collections during the preceding 2 complete
16calendar quarters is $25,000 or less. If any such quarter
17monthly payment is not paid at the time or in the amount
18required, the taxpayer shall be liable for penalties and
19interest on such difference, except insofar as the taxpayer has
20previously made payments for that month in excess of the
21minimum payments previously due.
22 The provisions of this paragraph apply on and after October
231, 2001. Without regard to whether a taxpayer is required to
24make quarter monthly payments as specified above, any taxpayer
25who is required by Section 2d of this Act to collect and remit
26prepaid taxes and has collected prepaid taxes that average in

HB5561- 834 -LRB101 17547 JWD 66965 b
1excess of $20,000 per month during the preceding 4 complete
2calendar quarters shall file a return with the Department as
3required by Section 2f and shall make payments to the
4Department on or before the 7th, 15th, 22nd and last day of the
5month during which the liability is incurred. Each payment
6shall be in an amount equal to 22.5% of the taxpayer's actual
7liability for the month or 25% of the taxpayer's liability for
8the same calendar month of the preceding year. The amount of
9the quarter monthly payments shall be credited against the
10final tax liability of the taxpayer's return for that month
11filed under this Section or Section 2f, as the case may be.
12Once applicable, the requirement of the making of quarter
13monthly payments to the Department pursuant to this paragraph
14shall continue until the taxpayer's average monthly prepaid tax
15collections during the preceding 4 complete calendar quarters
16(excluding the month of highest liability and the month of
17lowest liability) is less than $19,000 or until such taxpayer's
18average monthly liability to the Department as computed for
19each calendar quarter of the 4 preceding complete calendar
20quarters is less than $20,000. If any such quarter monthly
21payment is not paid at the time or in the amount required, the
22taxpayer shall be liable for penalties and interest on such
23difference, except insofar as the taxpayer has previously made
24payments for that month in excess of the minimum payments
25previously due.
26 If any payment provided for in this Section exceeds the

HB5561- 835 -LRB101 17547 JWD 66965 b
1taxpayer's liabilities under this Act, the Use Tax Act, the
2Service Occupation Tax Act and the Service Use Tax Act, as
3shown on an original monthly return, the Department shall, if
4requested by the taxpayer, issue to the taxpayer a credit
5memorandum no later than 30 days after the date of payment. The
6credit evidenced by such credit memorandum may be assigned by
7the taxpayer to a similar taxpayer under this Act, the Use Tax
8Act, the Service Occupation Tax Act or the Service Use Tax Act,
9in accordance with reasonable rules and regulations to be
10prescribed by the Department. If no such request is made, the
11taxpayer may credit such excess payment against tax liability
12subsequently to be remitted to the Department under this Act,
13the Use Tax Act, the Service Occupation Tax Act or the Service
14Use Tax Act, in accordance with reasonable rules and
15regulations prescribed by the Department. If the Department
16subsequently determined that all or any part of the credit
17taken was not actually due to the taxpayer, the taxpayer's 2.1%
18and 1.75% vendor's discount shall be reduced by 2.1% or 1.75%
19of the difference between the credit taken and that actually
20due, and that taxpayer shall be liable for penalties and
21interest on such difference.
22 If a retailer of motor fuel is entitled to a credit under
23Section 2d of this Act which exceeds the taxpayer's liability
24to the Department under this Act for the month which the
25taxpayer is filing a return, the Department shall issue the
26taxpayer a credit memorandum for the excess.

HB5561- 836 -LRB101 17547 JWD 66965 b
1 Beginning January 1, 1990, each month the Department shall
2pay into the Local Government Tax Fund, a special fund in the
3State treasury which is hereby created, the net revenue
4realized for the preceding month from the 1% tax imposed under
5this Act.
6 Beginning January 1, 1990, each month the Department shall
7pay into the County and Mass Transit District Fund, a special
8fund in the State treasury which is hereby created, 4% of the
9net revenue realized for the preceding month from the 6.25%
10general rate other than aviation fuel sold on or after December
111, 2019. This exception for aviation fuel only applies for so
12long as the revenue use requirements of 49 U.S.C. 47107(b) and
1349 U.S.C. 47133 are binding on the State.
14 Beginning August 1, 2000, each month the Department shall
15pay into the County and Mass Transit District Fund 20% of the
16net revenue realized for the preceding month from the 1.25%
17rate on the selling price of motor fuel and gasohol. Beginning
18September 1, 2010, each month the Department shall pay into the
19County and Mass Transit District Fund 20% of the net revenue
20realized for the preceding month from the 1.25% rate on the
21selling price of sales tax holiday items.
22 Beginning January 1, 1990, each month the Department shall
23pay into the Local Government Tax Fund 16% of the net revenue
24realized for the preceding month from the 6.25% general rate on
25the selling price of tangible personal property other than
26aviation fuel sold on or after December 1, 2019. This exception

HB5561- 837 -LRB101 17547 JWD 66965 b
1for aviation fuel only applies for so long as the revenue use
2requirements of 49 U.S.C. 47107(b) and 49 U.S.C. 47133 are
3binding on the State.
4 For aviation fuel sold on or after December 1, 2019, each
5month the Department shall pay into the State Aviation Program
6Fund 20% of the net revenue realized for the preceding month
7from the 6.25% general rate on the selling price of aviation
8fuel, less an amount estimated by the Department to be required
9for refunds of the 20% portion of the tax on aviation fuel
10under this Act, which amount shall be deposited into the
11Aviation Fuel Sales Tax Refund Fund. The Department shall only
12pay moneys into the State Aviation Program Fund and the
13Aviation Fuel Sales Tax Refund Fund under this Act for so long
14as the revenue use requirements of 49 U.S.C. 47107(b) and 49
15U.S.C. 47133 are binding on the State.
16 Beginning August 1, 2000, each month the Department shall
17pay into the Local Government Tax Fund 80% of the net revenue
18realized for the preceding month from the 1.25% rate on the
19selling price of motor fuel and gasohol. Beginning September 1,
202010, each month the Department shall pay into the Local
21Government Tax Fund 80% of the net revenue realized for the
22preceding month from the 1.25% rate on the selling price of
23sales tax holiday items.
24 Beginning October 1, 2009, each month the Department shall
25pay into the Capital Projects Fund an amount that is equal to
26an amount estimated by the Department to represent 80% of the

HB5561- 838 -LRB101 17547 JWD 66965 b
1net revenue realized for the preceding month from the sale of
2candy, grooming and hygiene products, and soft drinks that had
3been taxed at a rate of 1% prior to September 1, 2009 but that
4are now taxed at 6.25%.
5 Beginning July 1, 2011, each month the Department shall pay
6into the Clean Air Act Permit Fund 80% of the net revenue
7realized for the preceding month from the 6.25% general rate on
8the selling price of sorbents used in Illinois in the process
9of sorbent injection as used to comply with the Environmental
10Protection Act or the federal Clean Air Act, but the total
11payment into the Clean Air Act Permit Fund under this Act and
12the Use Tax Act shall not exceed $2,000,000 in any fiscal year.
13 Beginning July 1, 2013, each month the Department shall pay
14into the Underground Storage Tank Fund from the proceeds
15collected under this Act, the Use Tax Act, the Service Use Tax
16Act, and the Service Occupation Tax Act an amount equal to the
17average monthly deficit in the Underground Storage Tank Fund
18during the prior year, as certified annually by the Illinois
19Environmental Protection Agency, but the total payment into the
20Underground Storage Tank Fund under this Act, the Use Tax Act,
21the Service Use Tax Act, and the Service Occupation Tax Act
22shall not exceed $18,000,000 in any State fiscal year. As used
23in this paragraph, the "average monthly deficit" shall be equal
24to the difference between the average monthly claims for
25payment by the fund and the average monthly revenues deposited
26into the fund, excluding payments made pursuant to this

HB5561- 839 -LRB101 17547 JWD 66965 b
1paragraph.
2 Beginning July 1, 2015, of the remainder of the moneys
3received by the Department under the Use Tax Act, the Service
4Use Tax Act, the Service Occupation Tax Act, and this Act, each
5month the Department shall deposit $500,000 into the State
6Crime Laboratory Fund.
7 Of the remainder of the moneys received by the Department
8pursuant to this Act, (a) 1.75% thereof shall be paid into the
9Build Illinois Fund and (b) prior to July 1, 1989, 2.2% and on
10and after July 1, 1989, 3.8% thereof shall be paid into the
11Build Illinois Fund; provided, however, that if in any fiscal
12year the sum of (1) the aggregate of 2.2% or 3.8%, as the case
13may be, of the moneys received by the Department and required
14to be paid into the Build Illinois Fund pursuant to this Act,
15Section 9 of the Use Tax Act, Section 9 of the Service Use Tax
16Act, and Section 9 of the Service Occupation Tax Act, such Acts
17being hereinafter called the "Tax Acts" and such aggregate of
182.2% or 3.8%, as the case may be, of moneys being hereinafter
19called the "Tax Act Amount", and (2) the amount transferred to
20the Build Illinois Fund from the State and Local Sales Tax
21Reform Fund shall be less than the Annual Specified Amount (as
22hereinafter defined), an amount equal to the difference shall
23be immediately paid into the Build Illinois Fund from other
24moneys received by the Department pursuant to the Tax Acts; the
25"Annual Specified Amount" means the amounts specified below for
26fiscal years 1986 through 1993:

HB5561- 840 -LRB101 17547 JWD 66965 b
1Fiscal YearAnnual Specified Amount
21986$54,800,000
31987$76,650,000
41988$80,480,000
51989$88,510,000
61990$115,330,000
71991$145,470,000
81992$182,730,000
91993$206,520,000;
10and means the Certified Annual Debt Service Requirement (as
11defined in Section 13 of the Build Illinois Bond Act) or the
12Tax Act Amount, whichever is greater, for fiscal year 1994 and
13each fiscal year thereafter; and further provided, that if on
14the last business day of any month the sum of (1) the Tax Act
15Amount required to be deposited into the Build Illinois Bond
16Account in the Build Illinois Fund during such month and (2)
17the amount transferred to the Build Illinois Fund from the
18State and Local Sales Tax Reform Fund shall have been less than
191/12 of the Annual Specified Amount, an amount equal to the
20difference shall be immediately paid into the Build Illinois
21Fund from other moneys received by the Department pursuant to
22the Tax Acts; and, further provided, that in no event shall the
23payments required under the preceding proviso result in
24aggregate payments into the Build Illinois Fund pursuant to
25this clause (b) for any fiscal year in excess of the greater of
26(i) the Tax Act Amount or (ii) the Annual Specified Amount for

HB5561- 841 -LRB101 17547 JWD 66965 b
1such fiscal year. The amounts payable into the Build Illinois
2Fund under clause (b) of the first sentence in this paragraph
3shall be payable only until such time as the aggregate amount
4on deposit under each trust indenture securing Bonds issued and
5outstanding pursuant to the Build Illinois Bond Act is
6sufficient, taking into account any future investment income,
7to fully provide, in accordance with such indenture, for the
8defeasance of or the payment of the principal of, premium, if
9any, and interest on the Bonds secured by such indenture and on
10any Bonds expected to be issued thereafter and all fees and
11costs payable with respect thereto, all as certified by the
12Director of the Bureau of the Budget (now Governor's Office of
13Management and Budget). If on the last business day of any
14month in which Bonds are outstanding pursuant to the Build
15Illinois Bond Act, the aggregate of moneys deposited in the
16Build Illinois Bond Account in the Build Illinois Fund in such
17month shall be less than the amount required to be transferred
18in such month from the Build Illinois Bond Account to the Build
19Illinois Bond Retirement and Interest Fund pursuant to Section
2013 of the Build Illinois Bond Act, an amount equal to such
21deficiency shall be immediately paid from other moneys received
22by the Department pursuant to the Tax Acts to the Build
23Illinois Fund; provided, however, that any amounts paid to the
24Build Illinois Fund in any fiscal year pursuant to this
25sentence shall be deemed to constitute payments pursuant to
26clause (b) of the first sentence of this paragraph and shall

HB5561- 842 -LRB101 17547 JWD 66965 b
1reduce the amount otherwise payable for such fiscal year
2pursuant to that clause (b). The moneys received by the
3Department pursuant to this Act and required to be deposited
4into the Build Illinois Fund are subject to the pledge, claim
5and charge set forth in Section 12 of the Build Illinois Bond
6Act.
7 Subject to payment of amounts into the Build Illinois Fund
8as provided in the preceding paragraph or in any amendment
9thereto hereafter enacted, the following specified monthly
10installment of the amount requested in the certificate of the
11Chairman of the Metropolitan Pier and Exposition Authority
12provided under Section 8.25f of the State Finance Act, but not
13in excess of sums designated as "Total Deposit", shall be
14deposited in the aggregate from collections under Section 9 of
15the Use Tax Act, Section 9 of the Service Use Tax Act, Section
169 of the Service Occupation Tax Act, and Section 3 of the
17Retailers' Occupation Tax Act into the McCormick Place
18Expansion Project Fund in the specified fiscal years.
19Fiscal YearTotal Deposit
201993 $0
211994 53,000,000
221995 58,000,000
231996 61,000,000
241997 64,000,000
251998 68,000,000

HB5561- 843 -LRB101 17547 JWD 66965 b
11999 71,000,000
22000 75,000,000
32001 80,000,000
42002 93,000,000
52003 99,000,000
62004103,000,000
72005108,000,000
82006113,000,000
92007119,000,000
102008126,000,000
112009132,000,000
122010139,000,000
132011146,000,000
142012153,000,000
152013161,000,000
162014170,000,000
172015179,000,000
182016189,000,000
192017199,000,000
202018210,000,000
212019221,000,000
222020233,000,000
232021246,000,000
242022260,000,000
252023275,000,000
262024 275,000,000

HB5561- 844 -LRB101 17547 JWD 66965 b
12025 275,000,000
22026 279,000,000
32027 292,000,000
42028 307,000,000
52029 322,000,000
62030 338,000,000
72031 350,000,000
82032 350,000,000
9and
10each fiscal year
11thereafter that bonds
12are outstanding under
13Section 13.2 of the
14Metropolitan Pier and
15Exposition Authority Act,
16but not after fiscal year 2060.
17 Beginning July 20, 1993 and in each month of each fiscal
18year thereafter, one-eighth of the amount requested in the
19certificate of the Chairman of the Metropolitan Pier and
20Exposition Authority for that fiscal year, less the amount
21deposited into the McCormick Place Expansion Project Fund by
22the State Treasurer in the respective month under subsection
23(g) of Section 13 of the Metropolitan Pier and Exposition
24Authority Act, plus cumulative deficiencies in the deposits
25required under this Section for previous months and years,
26shall be deposited into the McCormick Place Expansion Project

HB5561- 845 -LRB101 17547 JWD 66965 b
1Fund, until the full amount requested for the fiscal year, but
2not in excess of the amount specified above as "Total Deposit",
3has been deposited.
4 Subject to payment of amounts into the Capital Projects
5Fund, the Clean Air Act Permit Fund, the Build Illinois Fund,
6and the McCormick Place Expansion Project Fund pursuant to the
7preceding paragraphs or in any amendments thereto hereafter
8enacted, for aviation fuel sold on or after December 1, 2019,
9the Department shall each month deposit into the Aviation Fuel
10Sales Tax Refund Fund an amount estimated by the Department to
11be required for refunds of the 80% portion of the tax on
12aviation fuel under this Act. The Department shall only deposit
13moneys into the Aviation Fuel Sales Tax Refund Fund under this
14paragraph for so long as the revenue use requirements of 49
15U.S.C. 47107(b) and 49 U.S.C. 47133 are binding on the State.
16 Subject to payment of amounts into the Build Illinois Fund
17and the McCormick Place Expansion Project Fund pursuant to the
18preceding paragraphs or in any amendments thereto hereafter
19enacted, beginning July 1, 1993 and ending on September 30,
202013, the Department shall each month pay into the Illinois Tax
21Increment Fund 0.27% of 80% of the net revenue realized for the
22preceding month from the 6.25% general rate on the selling
23price of tangible personal property.
24 Subject to payment of amounts into the Build Illinois Fund
25and the McCormick Place Expansion Project Fund pursuant to the
26preceding paragraphs or in any amendments thereto hereafter

HB5561- 846 -LRB101 17547 JWD 66965 b
1enacted, beginning with the receipt of the first report of
2taxes paid by an eligible business and continuing for a 25-year
3period, the Department shall each month pay into the Energy
4Infrastructure Fund 80% of the net revenue realized from the
56.25% general rate on the selling price of Illinois-mined coal
6that was sold to an eligible business. For purposes of this
7paragraph, the term "eligible business" means a new electric
8generating facility certified pursuant to Section 605-332 of
9the Department of Commerce and Economic Opportunity Law of the
10Civil Administrative Code of Illinois.
11 Subject to payment of amounts into the Build Illinois Fund,
12the McCormick Place Expansion Project Fund, the Illinois Tax
13Increment Fund, and the Energy Infrastructure Fund pursuant to
14the preceding paragraphs or in any amendments to this Section
15hereafter enacted, beginning on the first day of the first
16calendar month to occur on or after August 26, 2014 (the
17effective date of Public Act 98-1098), each month, from the
18collections made under Section 9 of the Use Tax Act, Section 9
19of the Service Use Tax Act, Section 9 of the Service Occupation
20Tax Act, and Section 3 of the Retailers' Occupation Tax Act,
21the Department shall pay into the Tax Compliance and
22Administration Fund, to be used, subject to appropriation, to
23fund additional auditors and compliance personnel at the
24Department of Revenue, an amount equal to 1/12 of 5% of 80% of
25the cash receipts collected during the preceding fiscal year by
26the Audit Bureau of the Department under the Use Tax Act, the

HB5561- 847 -LRB101 17547 JWD 66965 b
1Service Use Tax Act, the Service Occupation Tax Act, the
2Retailers' Occupation Tax Act, and associated local occupation
3and use taxes administered by the Department.
4 Subject to payments of amounts into the Build Illinois
5Fund, the McCormick Place Expansion Project Fund, the Illinois
6Tax Increment Fund, the Energy Infrastructure Fund, and the Tax
7Compliance and Administration Fund as provided in this Section,
8beginning on July 1, 2018 the Department shall pay each month
9into the Downstate Public Transportation Fund the moneys
10required to be so paid under Section 2-3 of the Downstate
11Public Transportation Act.
12 Subject to successful execution and delivery of a
13public-private agreement between the public agency and private
14entity and completion of the civic build, beginning on July 1,
152023, of the remainder of the moneys received by the Department
16under the Use Tax Act, the Service Use Tax Act, the Service
17Occupation Tax Act, and this Act, the Department shall deposit
18the following specified deposits in the aggregate from
19collections under the Use Tax Act, the Service Use Tax Act, the
20Service Occupation Tax Act, and the Retailers' Occupation Tax
21Act, as required under Section 8.25g of the State Finance Act
22for distribution consistent with the Public-Private
23Partnership for Civic and Transit Infrastructure Project Act.
24The moneys received by the Department pursuant to this Act and
25required to be deposited into the Civic and Transit
26Infrastructure Fund are subject to the pledge, claim and charge

HB5561- 848 -LRB101 17547 JWD 66965 b
1set forth in Section 25-55 of the Public-Private Partnership
2for Civic and Transit Infrastructure Project Act. As used in
3this paragraph, "civic build", "private entity",
4"public-private agreement", and "public agency" have the
5meanings provided in Section 25-10 of the Public-Private
6Partnership for Civic and Transit Infrastructure Project Act.
7 Fiscal Year.............................Total Deposit
8 2024.....................................$200,000,000
9 2025....................................$206,000,000
10 2026....................................$212,200,000
11 2027....................................$218,500,000
12 2028....................................$225,100,000
13 2029....................................$288,700,000
14 2030....................................$298,900,000
15 2031....................................$309,300,000
16 2032....................................$320,100,000
17 2033....................................$331,200,000
18 2034....................................$341,200,000
19 2035....................................$351,400,000
20 2036....................................$361,900,000
21 2037....................................$372,800,000
22 2038....................................$384,000,000
23 2039....................................$395,500,000
24 2040....................................$407,400,000
25 2041....................................$419,600,000
26 2042....................................$432,200,000

HB5561- 849 -LRB101 17547 JWD 66965 b
1 2043....................................$445,100,000
2 Beginning July 1, 2021 and until July 1, 2022, subject to
3the payment of amounts into the County and Mass Transit
4District Fund, the Local Government Tax Fund, the Build
5Illinois Fund, the McCormick Place Expansion Project Fund, the
6Illinois Tax Increment Fund, the Energy Infrastructure Fund,
7and the Tax Compliance and Administration Fund as provided in
8this Section, the Department shall pay each month into the Road
9Fund the amount estimated to represent 16% of the net revenue
10realized from the taxes imposed on motor fuel and gasohol.
11Beginning July 1, 2022 and until July 1, 2023, subject to the
12payment of amounts into the County and Mass Transit District
13Fund, the Local Government Tax Fund, the Build Illinois Fund,
14the McCormick Place Expansion Project Fund, the Illinois Tax
15Increment Fund, the Energy Infrastructure Fund, and the Tax
16Compliance and Administration Fund as provided in this Section,
17the Department shall pay each month into the Road Fund the
18amount estimated to represent 32% of the net revenue realized
19from the taxes imposed on motor fuel and gasohol. Beginning
20July 1, 2023 and until July 1, 2024, subject to the payment of
21amounts into the County and Mass Transit District Fund, the
22Local Government Tax Fund, the Build Illinois Fund, the
23McCormick Place Expansion Project Fund, the Illinois Tax
24Increment Fund, the Energy Infrastructure Fund, and the Tax
25Compliance and Administration Fund as provided in this Section,
26the Department shall pay each month into the Road Fund the

HB5561- 850 -LRB101 17547 JWD 66965 b
1amount estimated to represent 48% of the net revenue realized
2from the taxes imposed on motor fuel and gasohol. Beginning
3July 1, 2024 and until July 1, 2025, subject to the payment of
4amounts into the County and Mass Transit District Fund, the
5Local Government Tax Fund, the Build Illinois Fund, the
6McCormick Place Expansion Project Fund, the Illinois Tax
7Increment Fund, the Energy Infrastructure Fund, and the Tax
8Compliance and Administration Fund as provided in this Section,
9the Department shall pay each month into the Road Fund the
10amount estimated to represent 64% of the net revenue realized
11from the taxes imposed on motor fuel and gasohol. Beginning on
12July 1, 2025, subject to the payment of amounts into the County
13and Mass Transit District Fund, the Local Government Tax Fund,
14the Build Illinois Fund, the McCormick Place Expansion Project
15Fund, the Illinois Tax Increment Fund, the Energy
16Infrastructure Fund, and the Tax Compliance and Administration
17Fund as provided in this Section, the Department shall pay each
18month into the Road Fund the amount estimated to represent 80%
19of the net revenue realized from the taxes imposed on motor
20fuel and gasohol. As used in this paragraph "motor fuel" has
21the meaning given to that term in Section 1.1 of the Motor Fuel
22Tax Act, and "gasohol" has the meaning given to that term in
23Section 3-40 of the Use Tax Act.
24 Of the remainder of the moneys received by the Department
25pursuant to this Act, 75% thereof shall be paid into the State
26Treasury and 25% shall be reserved in a special account and

HB5561- 851 -LRB101 17547 JWD 66965 b
1used only for the transfer to the Common School Fund as part of
2the monthly transfer from the General Revenue Fund in
3accordance with Section 8a of the State Finance Act.
4 The Department may, upon separate written notice to a
5taxpayer, require the taxpayer to prepare and file with the
6Department on a form prescribed by the Department within not
7less than 60 days after receipt of the notice an annual
8information return for the tax year specified in the notice.
9Such annual return to the Department shall include a statement
10of gross receipts as shown by the retailer's last Federal
11income tax return. If the total receipts of the business as
12reported in the Federal income tax return do not agree with the
13gross receipts reported to the Department of Revenue for the
14same period, the retailer shall attach to his annual return a
15schedule showing a reconciliation of the 2 amounts and the
16reasons for the difference. The retailer's annual return to the
17Department shall also disclose the cost of goods sold by the
18retailer during the year covered by such return, opening and
19closing inventories of such goods for such year, costs of goods
20used from stock or taken from stock and given away by the
21retailer during such year, payroll information of the
22retailer's business during such year and any additional
23reasonable information which the Department deems would be
24helpful in determining the accuracy of the monthly, quarterly
25or annual returns filed by such retailer as provided for in
26this Section.

HB5561- 852 -LRB101 17547 JWD 66965 b
1 If the annual information return required by this Section
2is not filed when and as required, the taxpayer shall be liable
3as follows:
4 (i) Until January 1, 1994, the taxpayer shall be liable
5 for a penalty equal to 1/6 of 1% of the tax due from such
6 taxpayer under this Act during the period to be covered by
7 the annual return for each month or fraction of a month
8 until such return is filed as required, the penalty to be
9 assessed and collected in the same manner as any other
10 penalty provided for in this Act.
11 (ii) On and after January 1, 1994, the taxpayer shall
12 be liable for a penalty as described in Section 3-4 of the
13 Uniform Penalty and Interest Act.
14 The chief executive officer, proprietor, owner or highest
15ranking manager shall sign the annual return to certify the
16accuracy of the information contained therein. Any person who
17willfully signs the annual return containing false or
18inaccurate information shall be guilty of perjury and punished
19accordingly. The annual return form prescribed by the
20Department shall include a warning that the person signing the
21return may be liable for perjury.
22 The provisions of this Section concerning the filing of an
23annual information return do not apply to a retailer who is not
24required to file an income tax return with the United States
25Government.
26 As soon as possible after the first day of each month, upon

HB5561- 853 -LRB101 17547 JWD 66965 b
1certification of the Department of Revenue, the Comptroller
2shall order transferred and the Treasurer shall transfer from
3the General Revenue Fund to the Motor Fuel Tax Fund an amount
4equal to 1.7% of 80% of the net revenue realized under this Act
5for the second preceding month. Beginning April 1, 2000, this
6transfer is no longer required and shall not be made.
7 Net revenue realized for a month shall be the revenue
8collected by the State pursuant to this Act, less the amount
9paid out during that month as refunds to taxpayers for
10overpayment of liability.
11 For greater simplicity of administration, manufacturers,
12importers and wholesalers whose products are sold at retail in
13Illinois by numerous retailers, and who wish to do so, may
14assume the responsibility for accounting and paying to the
15Department all tax accruing under this Act with respect to such
16sales, if the retailers who are affected do not make written
17objection to the Department to this arrangement.
18 Any person who promotes, organizes, provides retail
19selling space for concessionaires or other types of sellers at
20the Illinois State Fair, DuQuoin State Fair, county fairs,
21local fairs, art shows, flea markets and similar exhibitions or
22events, including any transient merchant as defined by Section
232 of the Transient Merchant Act of 1987, is required to file a
24report with the Department providing the name of the merchant's
25business, the name of the person or persons engaged in
26merchant's business, the permanent address and Illinois

HB5561- 854 -LRB101 17547 JWD 66965 b
1Retailers Occupation Tax Registration Number of the merchant,
2the dates and location of the event and other reasonable
3information that the Department may require. The report must be
4filed not later than the 20th day of the month next following
5the month during which the event with retail sales was held.
6Any person who fails to file a report required by this Section
7commits a business offense and is subject to a fine not to
8exceed $250.
9 Any person engaged in the business of selling tangible
10personal property at retail as a concessionaire or other type
11of seller at the Illinois State Fair, county fairs, art shows,
12flea markets and similar exhibitions or events, or any
13transient merchants, as defined by Section 2 of the Transient
14Merchant Act of 1987, may be required to make a daily report of
15the amount of such sales to the Department and to make a daily
16payment of the full amount of tax due. The Department shall
17impose this requirement when it finds that there is a
18significant risk of loss of revenue to the State at such an
19exhibition or event. Such a finding shall be based on evidence
20that a substantial number of concessionaires or other sellers
21who are not residents of Illinois will be engaging in the
22business of selling tangible personal property at retail at the
23exhibition or event, or other evidence of a significant risk of
24loss of revenue to the State. The Department shall notify
25concessionaires and other sellers affected by the imposition of
26this requirement. In the absence of notification by the

HB5561- 855 -LRB101 17547 JWD 66965 b
1Department, the concessionaires and other sellers shall file
2their returns as otherwise required in this Section.
3(Source: P.A. 100-303, eff. 8-24-17; 100-363, eff. 7-1-18;
4100-863, eff. 8-14-18; 100-1171, eff. 1-4-19; 101-10, Article
515, Section 15-25, eff. 6-5-19; 101-10, Article 25, Section
625-120, eff. 6-5-19; 101-27, eff. 6-25-19; 101-32, eff.
76-28-19; 101-604, eff. 12-13-19.)
8 Section 15-30. The Motor Fuel Tax Law is amended by
9changing Sections 2 and 8 as follows:
10 (35 ILCS 505/2) (from Ch. 120, par. 418)
11 Sec. 2. A tax is imposed on the privilege of operating
12motor vehicles upon the public highways and recreational-type
13watercraft upon the waters of this State.
14 (a) Prior to August 1, 1989, the tax is imposed at the rate
15of 13 cents per gallon on all motor fuel used in motor vehicles
16operating on the public highways and recreational type
17watercraft operating upon the waters of this State. Beginning
18on August 1, 1989 and until January 1, 1990, the rate of the
19tax imposed in this paragraph shall be 16 cents per gallon.
20Beginning January 1, 1990 and until July 1, 2019, the rate of
21tax imposed in this paragraph, including the tax on compressed
22natural gas, shall be 19 cents per gallon. Beginning July 1,
232019, the rate of tax imposed in this paragraph shall be 38
24cents per gallon and increased on July 1 of each subsequent

HB5561- 856 -LRB101 17547 JWD 66965 b
1year by an amount equal to the percentage increase, if any, in
2the Consumer Price Index for All Urban Consumers for all items
3published by the United States Department of Labor for the 12
4months ending in March of each year. The rate shall be rounded
5to the nearest one-tenth of one cent.
6 (b) Until July 1, 2019, the tax on the privilege of
7operating motor vehicles which use diesel fuel, liquefied
8natural gas, or propane shall be the rate according to
9paragraph (a) plus an additional 2 1/2 cents per gallon.
10Beginning July 1, 2019, the tax on the privilege of operating
11motor vehicles which use diesel fuel, liquefied natural gas, or
12propane shall be the rate according to subsection (a) plus an
13additional 7.5 cents per gallon. "Diesel fuel" is defined as
14any product intended for use or offered for sale as a fuel for
15engines in which the fuel is injected into the combustion
16chamber and ignited by pressure without electric spark.
17 (c) A tax is imposed upon the privilege of engaging in the
18business of selling motor fuel as a retailer or reseller on all
19motor fuel used in motor vehicles operating on the public
20highways and recreational type watercraft operating upon the
21waters of this State: (1) at the rate of 3 cents per gallon on
22motor fuel owned or possessed by such retailer or reseller at
2312:01 a.m. on August 1, 1989; and (2) at the rate of 3 cents per
24gallon on motor fuel owned or possessed by such retailer or
25reseller at 12:01 A.M. on January 1, 1990.
26 Retailers and resellers who are subject to this additional

HB5561- 857 -LRB101 17547 JWD 66965 b
1tax shall be required to inventory such motor fuel and pay this
2additional tax in a manner prescribed by the Department of
3Revenue.
4 The tax imposed in this paragraph (c) shall be in addition
5to all other taxes imposed by the State of Illinois or any unit
6of local government in this State.
7 (d) Except as provided in Section 2a, the collection of a
8tax based on gallonage of gasoline used for the propulsion of
9any aircraft is prohibited on and after October 1, 1979, and
10the collection of a tax based on gallonage of special fuel used
11for the propulsion of any aircraft is prohibited on and after
12December 1, 2019.
13 (e) The collection of a tax, based on gallonage of all
14products commonly or commercially known or sold as 1-K
15kerosene, regardless of its classification or uses, is
16prohibited (i) on and after July 1, 1992 until December 31,
171999, except when the 1-K kerosene is either: (1) delivered
18into bulk storage facilities of a bulk user, or (2) delivered
19directly into the fuel supply tanks of motor vehicles and (ii)
20on and after January 1, 2000. Beginning on January 1, 2000, the
21collection of a tax, based on gallonage of all products
22commonly or commercially known or sold as 1-K kerosene,
23regardless of its classification or uses, is prohibited except
24when the 1-K kerosene is delivered directly into a storage tank
25that is located at a facility that has withdrawal facilities
26that are readily accessible to and are capable of dispensing

HB5561- 858 -LRB101 17547 JWD 66965 b
11-K kerosene into the fuel supply tanks of motor vehicles. For
2purposes of this subsection (e), a facility is considered to
3have withdrawal facilities that are not "readily accessible to
4and capable of dispensing 1-K kerosene into the fuel supply
5tanks of motor vehicles" only if the 1-K kerosene is delivered
6from: (i) a dispenser hose that is short enough so that it will
7not reach the fuel supply tank of a motor vehicle or (ii) a
8dispenser that is enclosed by a fence or other physical barrier
9so that a vehicle cannot pull alongside the dispenser to permit
10fueling.
11 Any person who sells or uses 1-K kerosene for use in motor
12vehicles upon which the tax imposed by this Law has not been
13paid shall be liable for any tax due on the sales or use of 1-K
14kerosene.
15(Source: P.A. 100-9, eff. 7-1-17; 101-10, eff. 6-5-19; 101-32,
16eff. 6-28-19; 101-604, eff. 12-13-19.)
17 (35 ILCS 505/8) (from Ch. 120, par. 424)
18 Sec. 8. Except as provided in subsection (a-1) of this
19Section, Section 8a, subdivision (h)(1) of Section 12a, Section
2013a.6, and items 13, 14, 15, and 16 of Section 15, all money
21received by the Department under this Act, including payments
22made to the Department by member jurisdictions participating in
23the International Fuel Tax Agreement, shall be deposited in a
24special fund in the State treasury, to be known as the "Motor
25Fuel Tax Fund", and shall be used as follows:

HB5561- 859 -LRB101 17547 JWD 66965 b
1 (a) 2 1/2 cents per gallon of the tax collected on special
2fuel under paragraph (b) of Section 2 and Section 13a of this
3Act shall be transferred to the State Construction Account Fund
4in the State Treasury; the remainder of the tax collected on
5special fuel under paragraph (b) of Section 2 and Section 13a
6of this Act shall be deposited into the Road Fund;
7 (a-1) Beginning on July 1, 2019, an amount equal to the
8amount of tax collected under subsection (a) of Section 2 as a
9result of the increase in the tax rate under this amendatory
10Act of the 101st General Assembly shall be transferred each
11month into the Transportation Renewal Fund.
12 (b) $420,000 shall be transferred each month to the State
13Boating Act Fund to be used by the Department of Natural
14Resources for the purposes specified in Article X of the Boat
15Registration and Safety Act;
16 (c) $3,500,000 shall be transferred each month to the Grade
17Crossing Protection Fund to be used as follows: not less than
18$12,000,000 each fiscal year shall be used for the construction
19or reconstruction of rail highway grade separation structures;
20$2,250,000 in fiscal years 2004 through 2009 and $3,000,000 in
21fiscal year 2010 and each fiscal year thereafter shall be
22transferred to the Transportation Regulatory Fund and shall be
23accounted for as part of the rail carrier portion of such funds
24and shall be used to pay the cost of administration of the
25Illinois Commerce Commission's railroad safety program in
26connection with its duties under subsection (3) of Section

HB5561- 860 -LRB101 17547 JWD 66965 b
118c-7401 of the Illinois Vehicle Code, with the remainder to be
2used by the Department of Transportation upon order of the
3Illinois Commerce Commission, to pay that part of the cost
4apportioned by such Commission to the State to cover the
5interest of the public in the use of highways, roads, streets,
6or pedestrian walkways in the county highway system, township
7and district road system, or municipal street system as defined
8in the Illinois Highway Code, as the same may from time to time
9be amended, for separation of grades, for installation,
10construction or reconstruction of crossing protection or
11reconstruction, alteration, relocation including construction
12or improvement of any existing highway necessary for access to
13property or improvement of any grade crossing and grade
14crossing surface including the necessary highway approaches
15thereto of any railroad across the highway or public road, or
16for the installation, construction, reconstruction, or
17maintenance of a pedestrian walkway over or under a railroad
18right-of-way, as provided for in and in accordance with Section
1918c-7401 of the Illinois Vehicle Code. The Commission may order
20up to $2,000,000 per year in Grade Crossing Protection Fund
21moneys for the improvement of grade crossing surfaces and up to
22$300,000 per year for the maintenance and renewal of 4-quadrant
23gate vehicle detection systems located at non-high speed rail
24grade crossings. The Commission shall not order more than
25$2,000,000 per year in Grade Crossing Protection Fund moneys
26for pedestrian walkways. In entering orders for projects for

HB5561- 861 -LRB101 17547 JWD 66965 b
1which payments from the Grade Crossing Protection Fund will be
2made, the Commission shall account for expenditures authorized
3by the orders on a cash rather than an accrual basis. For
4purposes of this requirement an "accrual basis" assumes that
5the total cost of the project is expended in the fiscal year in
6which the order is entered, while a "cash basis" allocates the
7cost of the project among fiscal years as expenditures are
8actually made. To meet the requirements of this subsection, the
9Illinois Commerce Commission shall develop annual and 5-year
10project plans of rail crossing capital improvements that will
11be paid for with moneys from the Grade Crossing Protection
12Fund. The annual project plan shall identify projects for the
13succeeding fiscal year and the 5-year project plan shall
14identify projects for the 5 directly succeeding fiscal years.
15The Commission shall submit the annual and 5-year project plans
16for this Fund to the Governor, the President of the Senate, the
17Senate Minority Leader, the Speaker of the House of
18Representatives, and the Minority Leader of the House of
19Representatives on the first Wednesday in April of each year;
20 (d) of the amount remaining after allocations provided for
21in subsections (a), (a-1), (b), and (c), a sufficient amount
22shall be reserved to pay all of the following:
23 (1) the costs of the Department of Revenue in
24 administering this Act;
25 (2) the costs of the Department of Transportation in
26 performing its duties imposed by the Illinois Highway Code

HB5561- 862 -LRB101 17547 JWD 66965 b
1 for supervising the use of motor fuel tax funds apportioned
2 to municipalities, counties and road districts;
3 (3) refunds provided for in Section 13, refunds for
4 overpayment of decal fees paid under Section 13a.4 of this
5 Act, and refunds provided for under the terms of the
6 International Fuel Tax Agreement referenced in Section
7 14a;
8 (4) from October 1, 1985 until June 30, 1994, the
9 administration of the Vehicle Emissions Inspection Law,
10 which amount shall be certified monthly by the
11 Environmental Protection Agency to the State Comptroller
12 and shall promptly be transferred by the State Comptroller
13 and Treasurer from the Motor Fuel Tax Fund to the Vehicle
14 Inspection Fund, and for the period July 1, 1994 through
15 June 30, 2000, one-twelfth of $25,000,000 each month, for
16 the period July 1, 2000 through June 30, 2003, one-twelfth
17 of $30,000,000 each month, and $15,000,000 on July 1, 2003,
18 and $15,000,000 on January 1, 2004, and $15,000,000 on each
19 July 1 and October 1, or as soon thereafter as may be
20 practical, during the period July 1, 2004 through June 30,
21 2012, and $30,000,000 on June 1, 2013, or as soon
22 thereafter as may be practical, and $15,000,000 on July 1
23 and October 1, or as soon thereafter as may be practical,
24 during the period of July 1, 2013 through June 30, 2015,
25 for the administration of the Vehicle Emissions Inspection
26 Law of 2005, to be transferred by the State Comptroller and

HB5561- 863 -LRB101 17547 JWD 66965 b
1 Treasurer from the Motor Fuel Tax Fund into the Vehicle
2 Inspection Fund;
3 (4.5) beginning on July 1, 2019, the costs of the
4 Environmental Protection Agency for the administration of
5 the Vehicle Emissions Inspection Law of 2005 shall be paid,
6 subject to appropriation, from the Motor Fuel Tax Fund into
7 the Vehicle Inspection Fund; beginning in 2019, no later
8 than December 31 of each year, or as soon thereafter as
9 practical, the State Comptroller shall direct and the State
10 Treasurer shall transfer from the Vehicle Inspection Fund
11 to the Motor Fuel Tax Fund any balance remaining in the
12 Vehicle Inspection Fund in excess of $2,000,000;
13 (5) amounts ordered paid by the Court of Claims; and
14 (6) payment of motor fuel use taxes due to member
15 jurisdictions under the terms of the International Fuel Tax
16 Agreement. The Department shall certify these amounts to
17 the Comptroller by the 15th day of each month; the
18 Comptroller shall cause orders to be drawn for such
19 amounts, and the Treasurer shall administer those amounts
20 on or before the last day of each month;
21 (e) after allocations for the purposes set forth in
22subsections (a), (a-1), (b), (c), and (d), the remaining amount
23shall be apportioned as follows:
24 (1) Until January 1, 2000, 58.4%, and beginning January
25 1, 2000, 45.6% shall be deposited as follows:
26 (A) 37% into the State Construction Account Fund,

HB5561- 864 -LRB101 17547 JWD 66965 b
1 and
2 (B) 63% into the Road Fund, $1,250,000 of which
3 shall be reserved each month for the Department of
4 Transportation to be used in accordance with the
5 provisions of Sections 6-901 through 6-906 of the
6 Illinois Highway Code;
7 (2) Until January 1, 2000, 41.6%, and beginning January
8 1, 2000, 54.4% shall be transferred to the Department of
9 Transportation to be distributed as follows:
10 (A) 49.10% to the municipalities of the State,
11 (B) 16.74% to the counties of the State having
12 1,000,000 or more inhabitants,
13 (C) 18.27% to the counties of the State having less
14 than 1,000,000 inhabitants,
15 (D) 15.89% to the road districts of the State.
16 If a township is dissolved under Article 24 of the
17 Township Code, McHenry County shall receive any moneys that
18 would have been distributed to the township under this
19 subparagraph, except that a municipality that assumes the
20 powers and responsibilities of a road district under
21 paragraph (6) of Section 24-35 of the Township Code shall
22 receive any moneys that would have been distributed to the
23 township in a percent equal to the area of the dissolved
24 road district or portion of the dissolved road district
25 over which the municipality assumed the powers and
26 responsibilities compared to the total area of the

HB5561- 865 -LRB101 17547 JWD 66965 b
1 dissolved township. The moneys received under this
2 subparagraph shall be used in the geographic area of the
3 dissolved township. If a township is reconstituted as
4 provided under Section 24-45 of the Township Code, McHenry
5 County or a municipality shall no longer be distributed
6 moneys under this subparagraph.
7 As soon as may be after the first day of each month, the
8Department of Transportation shall allot to each municipality
9its share of the amount apportioned to the several
10municipalities which shall be in proportion to the population
11of such municipalities as determined by the last preceding
12municipal census if conducted by the Federal Government or
13Federal census. If territory is annexed to any municipality
14subsequent to the time of the last preceding census the
15corporate authorities of such municipality may cause a census
16to be taken of such annexed territory and the population so
17ascertained for such territory shall be added to the population
18of the municipality as determined by the last preceding census
19for the purpose of determining the allotment for that
20municipality. If the population of any municipality was not
21determined by the last Federal census preceding any
22apportionment, the apportionment to such municipality shall be
23in accordance with any census taken by such municipality. Any
24municipal census used in accordance with this Section shall be
25certified to the Department of Transportation by the clerk of
26such municipality, and the accuracy thereof shall be subject to

HB5561- 866 -LRB101 17547 JWD 66965 b
1approval of the Department which may make such corrections as
2it ascertains to be necessary.
3 As soon as may be after the first day of each month, the
4Department of Transportation shall allot to each county its
5share of the amount apportioned to the several counties of the
6State as herein provided. Each allotment to the several
7counties having less than 1,000,000 inhabitants shall be in
8proportion to the amount of motor vehicle license fees received
9from the residents of such counties, respectively, during the
10preceding calendar year. The Secretary of State shall, on or
11before April 15 of each year, transmit to the Department of
12Transportation a full and complete report showing the amount of
13motor vehicle license fees received from the residents of each
14county, respectively, during the preceding calendar year. The
15Department of Transportation shall, each month, use for
16allotment purposes the last such report received from the
17Secretary of State.
18 As soon as may be after the first day of each month, the
19Department of Transportation shall allot to the several
20counties their share of the amount apportioned for the use of
21road districts. The allotment shall be apportioned among the
22several counties in the State in the proportion which the total
23mileage of township or district roads in the respective
24counties bears to the total mileage of all township and
25district roads in the State. Funds allotted to the respective
26counties for the use of road districts therein shall be

HB5561- 867 -LRB101 17547 JWD 66965 b
1allocated to the several road districts in the county in the
2proportion which the total mileage of such township or district
3roads in the respective road districts bears to the total
4mileage of all such township or district roads in the county.
5After July 1 of any year prior to 2011, no allocation shall be
6made for any road district unless it levied a tax for road and
7bridge purposes in an amount which will require the extension
8of such tax against the taxable property in any such road
9district at a rate of not less than either .08% of the value
10thereof, based upon the assessment for the year immediately
11prior to the year in which such tax was levied and as equalized
12by the Department of Revenue or, in DuPage County, an amount
13equal to or greater than $12,000 per mile of road under the
14jurisdiction of the road district, whichever is less. Beginning
15July 1, 2011 and each July 1 thereafter, an allocation shall be
16made for any road district if it levied a tax for road and
17bridge purposes. In counties other than DuPage County, if the
18amount of the tax levy requires the extension of the tax
19against the taxable property in the road district at a rate
20that is less than 0.08% of the value thereof, based upon the
21assessment for the year immediately prior to the year in which
22the tax was levied and as equalized by the Department of
23Revenue, then the amount of the allocation for that road
24district shall be a percentage of the maximum allocation equal
25to the percentage obtained by dividing the rate extended by the
26district by 0.08%. In DuPage County, if the amount of the tax

HB5561- 868 -LRB101 17547 JWD 66965 b
1levy requires the extension of the tax against the taxable
2property in the road district at a rate that is less than the
3lesser of (i) 0.08% of the value of the taxable property in the
4road district, based upon the assessment for the year
5immediately prior to the year in which such tax was levied and
6as equalized by the Department of Revenue, or (ii) a rate that
7will yield an amount equal to $12,000 per mile of road under
8the jurisdiction of the road district, then the amount of the
9allocation for the road district shall be a percentage of the
10maximum allocation equal to the percentage obtained by dividing
11the rate extended by the district by the lesser of (i) 0.08% or
12(ii) the rate that will yield an amount equal to $12,000 per
13mile of road under the jurisdiction of the road district.
14 Prior to 2011, if any road district has levied a special
15tax for road purposes pursuant to Sections 6-601, 6-602, and
166-603 of the Illinois Highway Code, and such tax was levied in
17an amount which would require extension at a rate of not less
18than .08% of the value of the taxable property thereof, as
19equalized or assessed by the Department of Revenue, or, in
20DuPage County, an amount equal to or greater than $12,000 per
21mile of road under the jurisdiction of the road district,
22whichever is less, such levy shall, however, be deemed a proper
23compliance with this Section and shall qualify such road
24district for an allotment under this Section. Beginning in 2011
25and thereafter, if any road district has levied a special tax
26for road purposes under Sections 6-601, 6-602, and 6-603 of the

HB5561- 869 -LRB101 17547 JWD 66965 b
1Illinois Highway Code, and the tax was levied in an amount that
2would require extension at a rate of not less than 0.08% of the
3value of the taxable property of that road district, as
4equalized or assessed by the Department of Revenue or, in
5DuPage County, an amount equal to or greater than $12,000 per
6mile of road under the jurisdiction of the road district,
7whichever is less, that levy shall be deemed a proper
8compliance with this Section and shall qualify such road
9district for a full, rather than proportionate, allotment under
10this Section. If the levy for the special tax is less than
110.08% of the value of the taxable property, or, in DuPage
12County if the levy for the special tax is less than the lesser
13of (i) 0.08% or (ii) $12,000 per mile of road under the
14jurisdiction of the road district, and if the levy for the
15special tax is more than any other levy for road and bridge
16purposes, then the levy for the special tax qualifies the road
17district for a proportionate, rather than full, allotment under
18this Section. If the levy for the special tax is equal to or
19less than any other levy for road and bridge purposes, then any
20allotment under this Section shall be determined by the other
21levy for road and bridge purposes.
22 Prior to 2011, if a township has transferred to the road
23and bridge fund money which, when added to the amount of any
24tax levy of the road district would be the equivalent of a tax
25levy requiring extension at a rate of at least .08%, or, in
26DuPage County, an amount equal to or greater than $12,000 per

HB5561- 870 -LRB101 17547 JWD 66965 b
1mile of road under the jurisdiction of the road district,
2whichever is less, such transfer, together with any such tax
3levy, shall be deemed a proper compliance with this Section and
4shall qualify the road district for an allotment under this
5Section.
6 In counties in which a property tax extension limitation is
7imposed under the Property Tax Extension Limitation Law, road
8districts may retain their entitlement to a motor fuel tax
9allotment or, beginning in 2011, their entitlement to a full
10allotment if, at the time the property tax extension limitation
11was imposed, the road district was levying a road and bridge
12tax at a rate sufficient to entitle it to a motor fuel tax
13allotment and continues to levy the maximum allowable amount
14after the imposition of the property tax extension limitation.
15Any road district may in all circumstances retain its
16entitlement to a motor fuel tax allotment or, beginning in
172011, its entitlement to a full allotment if it levied a road
18and bridge tax in an amount that will require the extension of
19the tax against the taxable property in the road district at a
20rate of not less than 0.08% of the assessed value of the
21property, based upon the assessment for the year immediately
22preceding the year in which the tax was levied and as equalized
23by the Department of Revenue or, in DuPage County, an amount
24equal to or greater than $12,000 per mile of road under the
25jurisdiction of the road district, whichever is less.
26 As used in this Section, the term "road district" means any

HB5561- 871 -LRB101 17547 JWD 66965 b
1road district, including a county unit road district, provided
2for by the Illinois Highway Code; and the term "township or
3district road" means any road in the township and district road
4system as defined in the Illinois Highway Code. For the
5purposes of this Section, "township or district road" also
6includes such roads as are maintained by park districts, forest
7preserve districts and conservation districts. The Department
8of Transportation shall determine the mileage of all township
9and district roads for the purposes of making allotments and
10allocations of motor fuel tax funds for use in road districts.
11 Payment of motor fuel tax moneys to municipalities and
12counties shall be made as soon as possible after the allotment
13is made. The treasurer of the municipality or county may invest
14these funds until their use is required and the interest earned
15by these investments shall be limited to the same uses as the
16principal funds.
17(Source: P.A. 101-32, eff. 6-28-19; 101-230, eff. 8-9-19;
18101-493, eff. 8-23-19; revised 9-24-19.)
19 (35 ILCS 505/8b rep.)
20 Section 15-38. The Motor Fuel Tax Law is amended by
21repealing Section 8b, as added by Public Act 101-32.
22 (65 ILCS 5/8-11-2.3 rep.)
23 Section 15-40. The Illinois Municipal Code is amended by
24repealing Section 8-11-2.3, as added by Public Act 101-32.

HB5561- 872 -LRB101 17547 JWD 66965 b
1 Section 15-45. The Illinois Vehicle Code is amended by
2changing Sections 3-805, 3-806, 3-815, 3-815.1, 3-818, 3-819,
3and 3-821 as follows:
4 (625 ILCS 5/3-805) (from Ch. 95 1/2, par. 3-805)
5 Sec. 3-805. Electric vehicles. Until January 1, 2020, the
6The owner of a motor vehicle of the first division or a motor
7vehicle of the second division weighing 8,000 pounds or less
8propelled by an electric engine and not utilizing motor fuel,
9may register such vehicle for a fee not to exceed $35 for a
102-year registration period. The Secretary may, in his
11discretion, prescribe that electric vehicle registration
12plates be issued for an indefinite term, such term to
13correspond to the term of registration plates issued generally,
14as provided in Section 3-414.1. In no event may the
15registration fee for electric vehicles exceed $18 per
16registration year. Beginning on January 1, 2020, the
17registration fee for these vehicles shall be equal to the fee
18set forth in Section 3-806 for motor vehicles of the first
19division, other than Autocycles, Motorcycles, Motor Driven
20Cycles, and Pedalcycles. In addition to the registration fees,
21the Secretary shall assess an additional $100 per year in lieu
22of the payment of motor fuel taxes. $1 of the additional fees
23shall be deposited into the Secretary of State Special Services
24Fund and the remainder of the additional fees shall be

HB5561- 873 -LRB101 17547 JWD 66965 b
1deposited into the Road Fund.
2(Source: P.A. 101-32, eff. 6-28-19.)
3 (625 ILCS 5/3-806) (from Ch. 95 1/2, par. 3-806)
4 Sec. 3-806. Registration Fees; Motor Vehicles of the First
5Division. Every owner of any other motor vehicle of the first
6division, except as provided in Sections 3-804, 3-804.01,
73-804.3, 3-805, 3-806.3, 3-806.7, and 3-808, and every second
8division vehicle weighing 8,000 pounds or less, shall pay the
9Secretary of State an annual registration fee at the following
10rates:
11SCHEDULE OF REGISTRATION FEES
12REQUIRED BY LAW
13Beginning with the 2021 2010 registration year
14Annual Fee
15Motor vehicles of the first division other
16than Autocycles, Motorcycles, Motor
17Driven Cycles and Pedalcycles$148 $98
18
19Autocycles68
20
21Motorcycles, Motor Driven
22Cycles and Pedalcycles 38
23 A $1 surcharge shall be collected in addition to the above
24fees for motor vehicles of the first division, autocycles,

HB5561- 874 -LRB101 17547 JWD 66965 b
1motorcycles, motor driven cycles, and pedalcycles to be
2deposited into the State Police Vehicle Fund.
3 All of the proceeds of the additional fees imposed by
4Public Act 96-34 shall be deposited into the Capital Projects
5Fund.
6 A $2 surcharge shall be collected in addition to the above
7fees for motor vehicles of the first division, autocycles,
8motorcycles, motor driven cycles, and pedalcycles to be
9deposited into the Park and Conservation Fund for the
10Department of Natural Resources to use for conservation
11efforts. The monies deposited into the Park and Conservation
12Fund under this Section shall not be subject to administrative
13charges or chargebacks unless otherwise authorized by this Act.
14 Of the fees collected for motor vehicles of the first
15division other than Autocycles, Motorcycles, Motor Driven
16Cycles, and Pedalcycles, $1 of the fees shall be deposited into
17the Secretary of State Special Services Fund and $49 of the
18fees shall be deposited into the Road Fund.
19(Source: P.A. 101-32, eff. 6-28-19.)
20 (625 ILCS 5/3-815) (from Ch. 95 1/2, par. 3-815)
21 Sec. 3-815. Flat weight tax; vehicles of the second
22division.
23 (a) Except as provided in Section 3-806.3 and 3-804.3,
24every owner of a vehicle of the second division registered
25under Section 3-813, and not registered under the mileage

HB5561- 875 -LRB101 17547 JWD 66965 b
1weight tax under Section 3-818, shall pay to the Secretary of
2State, for each registration year, for the use of the public
3highways, a flat weight tax at the rates set forth in the
4following table, the rates including the $10 registration fee:
5
SCHEDULE OF FLAT WEIGHT TAX
6
REQUIRED BY LAW
7Gross Weight in Lbs.Total Fees
8Including Vehicle each Fiscal
9and Maximum LoadClass year
108,000 lbs. and lessB$148 $98
118,001 lbs. to 10,000 lbs. C 218 118
1210,001 lbs. to 12,000 lbs.D238 138
1312,001 lbs. to 16,000 lbs.F342 242
1416,001 lbs. to 26,000 lbs.H590 490
1526,001 lbs. to 28,000 lbs.J730 630
1628,001 lbs. to 32,000 lbs.K942 842
1732,001 lbs. to 36,000 lbs.L1,082 982
1836,001 lbs. to 40,000 lbs.N1,302 1,202
1940,001 lbs. to 45,000 lbs.P1,490 1,390
2045,001 lbs. to 50,000 lbs.Q1,638 1,538
2150,001 lbs. to 54,999 lbs.R1,798 1,698
2255,000 lbs. to 59,500 lbs.S1,930 1,830
2359,501 lbs. to 64,000 lbs.T2,070 1,970
2464,001 lbs. to 73,280 lbs.V2,394 2,294
2573,281 lbs. to 77,000 lbs.X2,722 2,622
2677,001 lbs. to 80,000 lbs.Z2,890 2,790

HB5561- 876 -LRB101 17547 JWD 66965 b
1 Beginning with the 2010 registration year a $1 surcharge
2shall be collected for vehicles registered in the 8,000 lbs.
3and less flat weight plate category above to be deposited into
4the State Police Vehicle Fund.
5 Beginning with the 2014 registration year, a $2 surcharge
6shall be collected in addition to the above fees for vehicles
7registered in the 8,000 lb. and less flat weight plate category
8as described in this subsection (a) to be deposited into the
9Park and Conservation Fund for the Department of Natural
10Resources to use for conservation efforts. The monies deposited
11into the Park and Conservation Fund under this Section shall
12not be subject to administrative charges or chargebacks unless
13otherwise authorized by this Act.
14 Of the fees collected under this subsection, $1 of the fees
15shall be deposited into the Secretary of State Special Services
16Fund and $99 of the fees shall be deposited into the Road Fund.
17 All of the proceeds of the additional fees imposed by
18Public Act 96-34 this amendatory Act of the 96th General
19Assembly shall be deposited into the Capital Projects Fund.
20 (a-1) A Special Hauling Vehicle is a vehicle or combination
21of vehicles of the second division registered under Section
223-813 transporting asphalt or concrete in the plastic state or
23a vehicle or combination of vehicles that are subject to the
24gross weight limitations in subsection (a) of Section 15-111
25for which the owner of the vehicle or combination of vehicles
26has elected to pay, in addition to the registration fee in

HB5561- 877 -LRB101 17547 JWD 66965 b
1subsection (a), $125 to the Secretary of State for each
2registration year. The Secretary shall designate this class of
3vehicle as a Special Hauling Vehicle.
4 (a-5) Beginning January 1, 2015, upon the request of the
5vehicle owner, a $10 surcharge shall be collected in addition
6to the above fees for vehicles in the 12,000 lbs. and less flat
7weight plate categories as described in subsection (a) to be
8deposited into the Secretary of State Special License Plate
9Fund. The $10 surcharge is to identify vehicles in the 12,000
10lbs. and less flat weight plate categories as a covered farm
11vehicle. The $10 surcharge is an annual, flat fee that shall be
12based on an applicant's new or existing registration year for
13each vehicle in the 12,000 lbs. and less flat weight plate
14categories. A designation as a covered farm vehicle under this
15subsection (a-5) shall not alter a vehicle's registration as a
16registration in the 12,000 lbs. or less flat weight category.
17The Secretary shall adopt any rules necessary to implement this
18subsection (a-5).
19 (a-10) Beginning January 1, 2019, upon the request of the
20vehicle owner, the Secretary of State shall collect a $10
21surcharge in addition to the fees for second division vehicles
22in the 8,000 lbs. and less flat weight plate category described
23in subsection (a) that are issued a registration plate under
24Article VI of this Chapter. The $10 surcharge shall be
25deposited into the Secretary of State Special License Plate
26Fund. The $10 surcharge is to identify a vehicle in the 8,000

HB5561- 878 -LRB101 17547 JWD 66965 b
1lbs. and less flat weight plate category as a covered farm
2vehicle. The $10 surcharge is an annual, flat fee that shall be
3based on an applicant's new or existing registration year for
4each vehicle in the 8,000 lbs. and less flat weight plate
5category. A designation as a covered farm vehicle under this
6subsection (a-10) shall not alter a vehicle's registration in
7the 8,000 lbs. or less flat weight category. The Secretary
8shall adopt any rules necessary to implement this subsection
9(a-10).
10 (b) Except as provided in Section 3-806.3, every camping
11trailer, motor home, mini motor home, travel trailer, truck
12camper or van camper used primarily for recreational purposes,
13and not used commercially, nor for hire, nor owned by a
14commercial business, may be registered for each registration
15year upon the filing of a proper application and the payment of
16a registration fee and highway use tax, according to the
17following table of fees:
18
MOTOR HOME, MINI MOTOR HOME, TRUCK CAMPER OR VAN CAMPER
19Gross Weight in Lbs.Total Fees
20Including Vehicle andEach
21Maximum LoadCalendar Year
228,000 lbs and less$78
238,001 Lbs. to 10,000 Lbs90
2410,001 Lbs. and Over102
25
CAMPING TRAILER OR TRAVEL TRAILER
26Gross Weight in Lbs.Total Fees

HB5561- 879 -LRB101 17547 JWD 66965 b
1Including Vehicle andEach
2Maximum LoadCalendar Year
33,000 Lbs. and Less$18
43,001 Lbs. to 8,000 Lbs.30
58,001 Lbs. to 10,000 Lbs.38
610,001 Lbs. and Over50
7 Every house trailer must be registered under Section 3-819.
8 (c) Farm Truck. Any truck used exclusively for the owner's
9own agricultural, horticultural or livestock raising
10operations and not-for-hire only, or any truck used only in the
11transportation for-hire of seasonal, fresh, perishable fruit
12or vegetables from farm to the point of first processing, may
13be registered by the owner under this paragraph in lieu of
14registration under paragraph (a), upon filing of a proper
15application and the payment of the $10 registration fee and the
16highway use tax herein specified as follows:
17
SCHEDULE OF FEES AND TAXES
18Gross Weight in Lbs.Total Amount for
19Including Truck andeach
20Maximum LoadClassFiscal Year
2116,000 lbs. or lessVF$250 $150
2216,001 to 20,000 lbs.VG326 226
2320,001 to 24,000 lbs.VH390 290
2424,001 to 28,000 lbs.VJ478 378
2528,001 to 32,000 lbs.VK606 506
2632,001 to 36,000 lbs.VL710 610

HB5561- 880 -LRB101 17547 JWD 66965 b
136,001 to 45,000 lbs.VP910 810
245,001 to 54,999 lbs.VR1,126 1,026
355,000 to 64,000 lbs.VT1,302 1,202
464,001 to 73,280 lbs.VV1,390 1,290
573,281 to 77,000 lbs.VX1,450 1,350
677,001 to 80,000 lbs.VZ1,590 1,490
7 Of the fees collected under this subsection, $1 of the fees
8shall be deposited into the Secretary of State Special Services
9Fund and $99 of the fees shall be deposited into the Road Fund.
10 In the event the Secretary of State revokes a farm truck
11registration as authorized by law, the owner shall pay the flat
12weight tax due hereunder before operating such truck.
13 Any combination of vehicles having 5 axles, with a distance
14of 42 feet or less between extreme axles, that are subject to
15the weight limitations in subsection (a) of Section 15-111 for
16which the owner of the combination of vehicles has elected to
17pay, in addition to the registration fee in subsection (c),
18$125 to the Secretary of State for each registration year shall
19be designated by the Secretary as a Special Hauling Vehicle.
20 (d) The number of axles necessary to carry the maximum load
21provided shall be determined from Chapter 15 of this Code.
22 (e) An owner may only apply for and receive 5 farm truck
23registrations, and only 2 of those 5 vehicles shall exceed
2459,500 gross weight in pounds per vehicle.
25 (f) Every person convicted of violating this Section by
26failure to pay the appropriate flat weight tax to the Secretary

HB5561- 881 -LRB101 17547 JWD 66965 b
1of State as set forth in the above tables shall be punished as
2provided for in Section 3-401.
3(Source: P.A. 101-32, eff. 6-28-19.)
4 (625 ILCS 5/3-815.1)
5 Sec. 3-815.1. Commercial distribution fee. Beginning July
61, 2003, in addition to any tax or fee imposed under this Code:
7 (a) Vehicles of the second division with a gross
8 vehicle weight that exceeds 8,000 pounds and that incur any
9 tax or fee under subsection (a) of Section 3-815 of this
10 Code or subsection (a) of Section 3-818 of this Code, as
11 applicable, shall pay to the Secretary of State a
12 commercial distribution fee, for each registration year,
13 for the use of the public highways, State infrastructure,
14 and State services, in an amount equal to: (i) for a
15 registration year beginning on or after July 1, 2003 and
16 before July 1, 2005, 36% of the taxes and fees incurred
17 under subsection (a) of Section 3-815 of this Code, or
18 subsection (a) of Section 3-818 of this Code, as
19 applicable, rounded up to the nearest whole dollar; (ii)
20 for a registration year beginning on or after July 1, 2005
21 and before July 1, 2006, 21.5% of the taxes and fees
22 incurred under subsection (a) of Section 3-815 of this
23 Code, or subsection (a) of Section 3-818 of this Code, as
24 applicable, rounded up to the nearest whole dollar; and
25 (iii) for a registration year beginning on or after July 1,

HB5561- 882 -LRB101 17547 JWD 66965 b
1 2006, 14.35% of the taxes and fees incurred under
2 subsection (a) of Section 3-815 of this Code, or subsection
3 (a) of Section 3-818 of this Code, as applicable, rounded
4 up to the nearest whole dollar.
5 (b) Until June 30, 2004, vehicles of the second
6 division with a gross vehicle weight of 8,000 pounds or
7 less and that incur any tax or fee under subsection (a) of
8 Section 3-815 of this Code or subsection (a) of Section
9 3-818 of this Code, as applicable, and have claimed the
10 rolling stock exemption under the Retailers' Occupation
11 Tax Act, Use Tax Act, Service Occupation Tax Act, or
12 Service Use Tax Act shall pay to the Illinois Department of
13 Revenue (or the Secretary of State under an
14 intergovernmental agreement) a commercial distribution
15 fee, for each registration year, for the use of the public
16 highways, State infrastructure, and State services, in an
17 amount equal to 36% of the taxes and fees incurred under
18 subsection (a) of Section 3-815 of this Code or subsection
19 (a) of Section 3-818 of this Code, as applicable, rounded
20 up to the nearest whole dollar.
21 The fees paid under this Section shall be deposited by the
22Secretary of State into the General Revenue Fund.
23 This Section is repealed on July 1, 2020.
24(Source: P.A. 101-32, eff. 6-28-19.)
25 (625 ILCS 5/3-818) (from Ch. 95 1/2, par. 3-818)

HB5561- 883 -LRB101 17547 JWD 66965 b
1 Sec. 3-818. Mileage weight tax option.
2 (a) Any owner of a vehicle of the second division may elect
3to pay a mileage weight tax for such vehicle in lieu of the
4flat weight tax set out in Section 3-815. Such election shall
5be binding to the end of the registration year. Renewal of this
6election must be filed with the Secretary of State on or before
7July 1 of each registration period. In such event the owner
8shall, at the time of making such election, pay the $10
9registration fee and the minimum guaranteed mileage weight tax,
10as hereinafter provided, which payment shall permit the owner
11to operate that vehicle the maximum mileage in this State
12hereinafter set forth. Any vehicle being operated on mileage
13plates cannot be operated outside of this State. In addition
14thereto, the owner of that vehicle shall pay a mileage weight
15tax at the following rates for each mile traveled in this State
16in excess of the maximum mileage provided under the minimum
17guaranteed basis:
18
BUS, TRUCK OR TRUCK TRACTOR
19MaximumMileage
20MinimumMileageWeight Tax
21GuaranteedPermittedfor Mileage
22Gross WeightMileageUnderin excess of
23Vehicle andWeightGuaranteedGuaranteed
24LoadClassTaxTaxMileage
2512,000 lbs. or lessMD$173 $735,00026 Mills
2612,001 to 16,000 lbs.MF220 1206,00034 Mills

HB5561- 884 -LRB101 17547 JWD 66965 b
116,001 to 20,000 lbs.MG280 1806,00046 Mills
220,001 to 24,000 lbs.MH335 2356,00063 Mills
324,001 to 28,000 lbs.MJ415 3157,00063 Mills
428,001 to 32,000 lbs.MK485 3857,00083 Mills
532,001 to 36,000 lbs.ML585 4857,00099 Mills
636,001 to 40,000 lbs.MN715 6157,000128 Mills
740,001 to 45,000 lbs.MP795 6957,000139 Mills
845,001 to 54,999 lbs.MR953 8537,000156 Mills
955,000 to 59,500 lbs.MS1,020 9207,000178 Mills
1059,501 to 64,000 lbs.MT1,085 9857,000195 Mills
1164,001 to 73,280 lbs.MV1,273 1,1737,000225 Mills
1273,281 to 77,000 lbs.MX1,428 1,3287,000258 Mills
1377,001 to 80,000 lbs.MZ1,515 1,4157,000275 Mills
14
TRAILER
15MaximumMileage
16MinimumMileageWeight Tax
17GuaranteedPermittedfor Mileage
18Gross WeightMileageUnderin excess of
19Vehicle andWeightGuaranteedGuaranteed
20LoadClassTaxTaxMileage
2114,000 lbs. or lessME$175 $755,00031 Mills
2214,001 to 20,000 lbs.MF235 1356,00036 Mills
2320,001 to 36,000 lbs.ML640 5407,000103 Mills
2436,001 to 40,000 lbs.MM850 7507,000150 Mills
25 Of the fees collected under this subsection, $1 of the fees
26shall be deposited into the Secretary of State Special Services

HB5561- 885 -LRB101 17547 JWD 66965 b
1Fund and $99 of the fees shall be deposited into the Road Fund.
2 (a-1) A Special Hauling Vehicle is a vehicle or combination
3of vehicles of the second division registered under Section
43-813 transporting asphalt or concrete in the plastic state or
5a vehicle or combination of vehicles that are subject to the
6gross weight limitations in subsection (a) of Section 15-111
7for which the owner of the vehicle or combination of vehicles
8has elected to pay, in addition to the registration fee in
9subsection (a), $125 to the Secretary of State for each
10registration year. The Secretary shall designate this class of
11vehicle as a Special Hauling Vehicle.
12 In preparing rate schedules on registration applications,
13the Secretary of State shall add to the above rates, the $10
14registration fee. The Secretary may decline to accept any
15renewal filed after July 1st.
16 The number of axles necessary to carry the maximum load
17provided shall be determined from Chapter 15 of this Code.
18 Every owner of a second division motor vehicle for which he
19has elected to pay a mileage weight tax shall keep a daily
20record upon forms prescribed by the Secretary of State, showing
21the mileage covered by that vehicle in this State. Such record
22shall contain the license number of the vehicle and the miles
23traveled by the vehicle in this State for each day of the
24calendar month. Such owner shall also maintain records of fuel
25consumed by each such motor vehicle and fuel purchases
26therefor. On or before the 10th day of July the owner shall

HB5561- 886 -LRB101 17547 JWD 66965 b
1certify to the Secretary of State upon forms prescribed
2therefor, summaries of his daily records which shall show the
3miles traveled by the vehicle in this State during the
4preceding 12 months and such other information as the Secretary
5of State may require. The daily record and fuel records shall
6be filed, preserved and available for audit for a period of 3
7years. Any owner filing a return hereunder shall certify that
8such return is a true, correct and complete return. Any person
9who willfully makes a false return hereunder is guilty of
10perjury and shall be punished in the same manner and to the
11same extent as is provided therefor.
12 At the time of filing his return, each owner shall pay to
13the Secretary of State the proper amount of tax at the rate
14herein imposed.
15 Every owner of a vehicle of the second division who elects
16to pay on a mileage weight tax basis and who operates the
17vehicle within this State, shall file with the Secretary of
18State a bond in the amount of $500. The bond shall be in a form
19approved by the Secretary of State and with a surety company
20approved by the Illinois Department of Insurance to transact
21business in this State as surety, and shall be conditioned upon
22such applicant's paying to the State of Illinois all money
23becoming due by reason of the operation of the second division
24vehicle in this State, together with all penalties and interest
25thereon.
26 Upon notice from the Secretary that the registrant has

HB5561- 887 -LRB101 17547 JWD 66965 b
1failed to pay the excess mileage fees, the surety shall
2immediately pay the fees together with any penalties and
3interest thereon in an amount not to exceed the limits of the
4bond.
5 (b) Beginning January 1, 2016, upon the request of the
6vehicle owner, a $10 surcharge shall be collected in addition
7to the above fees for vehicles in the 12,000 lbs. and less
8mileage weight plate category as described in subsection (a) to
9be deposited into the Secretary of State Special License Plate
10Fund. The $10 surcharge is to identify vehicles in the 12,000
11lbs. and less mileage weight plate category as a covered farm
12vehicle. The $10 surcharge is an annual flat fee that shall be
13based on an applicant's new or existing registration year for
14each vehicle in the 12,000 lbs. and less mileage weight plate
15category. A designation as a covered farm vehicle under this
16subsection (b) shall not alter a vehicle's registration as a
17registration in the 12,000 lbs. or less mileage weight
18category. The Secretary shall adopt any rules necessary to
19implement this subsection (b).
20(Source: P.A. 101-32, eff. 6-28-19.)
21 (625 ILCS 5/3-819) (from Ch. 95 1/2, par. 3-819)
22 Sec. 3-819. Trailer; Flat weight tax.
23 (a) Farm Trailer. Any farm trailer drawn by a motor vehicle
24of the second division registered under paragraph (a) or (c) of
25Section 3-815 and used exclusively by the owner for his own

HB5561- 888 -LRB101 17547 JWD 66965 b
1agricultural, horticultural or livestock raising operations
2and not used for hire, or any farm trailer utilized only in the
3transportation for-hire of seasonal, fresh, perishable fruit
4or vegetables from farm to the point of first processing, and
5any trailer used with a farm tractor that is not an implement
6of husbandry may be registered under this paragraph in lieu of
7registration under paragraph (b) of this Section upon the
8filing of a proper application and the payment of the $10
9registration fee and the highway use tax herein for use of the
10public highways of this State, at the following rates which
11include the $10 registration fee:
12SCHEDULE OF FEES AND TAXES
13Gross Weight in Lbs.ClassTotal Amount
14Including Vehicleeach
15and Maximum LoadFiscal Year
1610,000 lbs. or lessVDD $160 $60
1710,001 to 14,000 lbs.VDE206 106
1814,001 to 20,000 lbs.VDG266 166
1920,001 to 28,000 lbs.VDJ478 378
2028,001 to 36,000 lbs.VDL750 650
21 An owner may only apply for and receive two farm trailer
22registrations.
23 (b) All other owners of trailers, other than apportionable
24trailers registered under Section 3-402.1 of this Code, used
25with a motor vehicle on the public highways, shall pay to the
26Secretary of State for each registration year a flat weight

HB5561- 889 -LRB101 17547 JWD 66965 b
1tax, for the use of the public highways of this State, at the
2following rates (which includes the registration fee of $10
3required by Section 3-813):
4SCHEDULE OF TRAILER FLAT
5WEIGHT TAX REQUIRED
6BY LAW
7Gross Weight in Lbs.Total Fees
8Including Vehicle andeach
9Maximum LoadClassFiscal Year
103,000 lbs. and lessTA$118 $18
115,000 lbs. and more than 3,000TB154 54
128,000 lbs. and more than 5,000TC158 58
1310,000 lbs. and more than 8,000TD206 106
1414,000 lbs. and more than 10,000TE270 170
1520,000 lbs. and more than 14,000TG358 258
1632,000 lbs. and more than 20,000TK822 722
1736,000 lbs. and more than 32,000TL1,182 1,082
1840,000 lbs. and more than 36,000TN1,602 1,502
19 Of the fees collected under this subsection, $1 of the fees
20shall be deposited into the Secretary of State Special Services
21Fund and $99 of the additional fees shall be deposited into the
22Road Fund.
23 (c) The number of axles necessary to carry the maximum load
24provided shall be determined from Chapter 15 of this Code.
25(Source: P.A. 101-32, eff. 6-28-19.)

HB5561- 890 -LRB101 17547 JWD 66965 b
1 (625 ILCS 5/3-821) (from Ch. 95 1/2, par. 3-821)
2 Sec. 3-821. Miscellaneous registration and title fees.
3 (a) Except as provided under subsection (h), the fee to be
4paid to the Secretary of State for the following certificates,
5registrations or evidences of proper registration, or for
6corrected or duplicate documents shall be in accordance with
7the following schedule:
8 Certificate of Title, except for an all-terrain
9vehicle or off-highway motorcycle, prior to July 1,
102019 $95
11 Certificate of Title, except for an all-terrain
12vehicle, off-highway motorcycle, or motor home, mini
13motor home or van camper, on and after July 1, 2019 $150
14 Certificate of Title for a motor home, mini motor
15home, or van camper, on and after July 1,2019 $250
16 Certificate of Title for an all-terrain vehicle
17or off-highway motorcycle$30
18 Certificate of Title for an all-terrain vehicle
19or off-highway motorcycle used for production
20agriculture, or accepted by a dealer in trade$13
21 Certificate of Title for a low-speed vehicle$30
22 Transfer of Registration or any evidence of
23proper registration $25
24 Duplicate Registration Card for plates or other
25evidence of proper registration$3
26 Duplicate Registration Sticker or Stickers, each$20

HB5561- 891 -LRB101 17547 JWD 66965 b
1 Duplicate Certificate of Title, prior to July 1,
22019 $95
3 Duplicate Certificate of Title, on and after July
41, 2019 $50
5 Corrected Registration Card or Card for other
6evidence of proper registration$3
7 Corrected Certificate of Title$95
8 Salvage Certificate, prior to July 1, 2019 $4
9 Salvage Certificate, on and after July 1, 2019 $20
10 Fleet Reciprocity Permit$15
11 Prorate Decal$1
12 Prorate Backing Plate$3
13 Special Corrected Certificate of Title$15
14 Expedited Title Service (to be charged in addition
15to other applicable fees)$30
16 Dealer Lien Release Certificate of Title$20
17
18 A special corrected certificate of title shall be issued
19(i) to remove a co-owner's name due to the death of the
20co-owner, to transfer title to a spouse if the decedent-spouse
21was the sole owner on the title, or due to a divorce; (ii) to
22change a co-owner's name due to a marriage; or (iii) due to a
23name change under Article XXI of the Code of Civil Procedure.
24 There shall be no fee paid for a Junking Certificate.
25 There shall be no fee paid for a certificate of title
26issued to a county when the vehicle is forfeited to the county

HB5561- 892 -LRB101 17547 JWD 66965 b
1under Article 36 of the Criminal Code of 2012.
2 (a-5) The Secretary of State may revoke a certificate of
3title and registration card and issue a corrected certificate
4of title and registration card, at no fee to the vehicle owner
5or lienholder, if there is proof that the vehicle
6identification number is erroneously shown on the original
7certificate of title.
8 (a-10) The Secretary of State may issue, in connection with
9the sale of a motor vehicle, a corrected title to a motor
10vehicle dealer upon application and submittal of a lien release
11letter from the lienholder listed in the files of the
12Secretary. In the case of a title issued by another state, the
13dealer must submit proof from the state that issued the last
14title. The corrected title, which shall be known as a dealer
15lien release certificate of title, shall be issued in the name
16of the vehicle owner without the named lienholder. If the motor
17vehicle is currently titled in a state other than Illinois, the
18applicant must submit either (i) a letter from the current
19lienholder releasing the lien and stating that the lienholder
20has possession of the title; or (ii) a letter from the current
21lienholder releasing the lien and a copy of the records of the
22department of motor vehicles for the state in which the vehicle
23is titled, showing that the vehicle is titled in the name of
24the applicant and that no liens are recorded other than the
25lien for which a release has been submitted. The fee for the
26dealer lien release certificate of title is $20.

HB5561- 893 -LRB101 17547 JWD 66965 b
1 (b) The Secretary may prescribe the maximum service charge
2to be imposed upon an applicant for renewal of a registration
3by any person authorized by law to receive and remit or
4transmit to the Secretary such renewal application and fees
5therewith.
6 (c) If payment is delivered to the Office of the Secretary
7of State as payment of any fee or tax under this Code, and such
8payment is not honored for any reason, the registrant or other
9person tendering the payment remains liable for the payment of
10such fee or tax. The Secretary of State may assess a service
11charge of $25 in addition to the fee or tax due and owing for
12all dishonored payments.
13 If the total amount then due and owing exceeds the sum of
14$100 and has not been paid in full within 60 days from the date
15the dishonored payment was first delivered to the Secretary of
16State, the Secretary of State shall assess a penalty of 25% of
17such amount remaining unpaid.
18 All amounts payable under this Section shall be computed to
19the nearest dollar. Out of each fee collected for dishonored
20payments, $5 shall be deposited in the Secretary of State
21Special Services Fund.
22 (d) The minimum fee and tax to be paid by any applicant for
23apportionment of a fleet of vehicles under this Code shall be
24$15 if the application was filed on or before the date
25specified by the Secretary together with fees and taxes due. If
26an application and the fees or taxes due are filed after the

HB5561- 894 -LRB101 17547 JWD 66965 b
1date specified by the Secretary, the Secretary may prescribe
2the payment of interest at the rate of 1/2 of 1% per month or
3fraction thereof after such due date and a minimum of $8.
4 (e) Trucks, truck tractors, truck tractors with loads, and
5motor buses, any one of which having a combined total weight in
6excess of 12,000 lbs. shall file an application for a Fleet
7Reciprocity Permit issued by the Secretary of State. This
8permit shall be in the possession of any driver operating a
9vehicle on Illinois highways. Any foreign licensed vehicle of
10the second division operating at any time in Illinois without a
11Fleet Reciprocity Permit or other proper Illinois
12registration, shall subject the operator to the penalties
13provided in Section 3-834 of this Code. For the purposes of
14this Code, "Fleet Reciprocity Permit" means any second division
15motor vehicle with a foreign license and used only in
16interstate transportation of goods. The fee for such permit
17shall be $15 per fleet which shall include all vehicles of the
18fleet being registered.
19 (f) For purposes of this Section, "all-terrain vehicle or
20off-highway motorcycle used for production agriculture" means
21any all-terrain vehicle or off-highway motorcycle used in the
22raising of or the propagation of livestock, crops for sale for
23human consumption, crops for livestock consumption, and
24production seed stock grown for the propagation of feed grains
25and the husbandry of animals or for the purpose of providing a
26food product, including the husbandry of blood stock as a main

HB5561- 895 -LRB101 17547 JWD 66965 b
1source of providing a food product. "All-terrain vehicle or
2off-highway motorcycle used in production agriculture" also
3means any all-terrain vehicle or off-highway motorcycle used in
4animal husbandry, floriculture, aquaculture, horticulture, and
5viticulture.
6 (g) All of the proceeds of the additional fees imposed by
7Public Act 96-34 shall be deposited into the Capital Projects
8Fund.
9 (h) The fee for a duplicate registration sticker or
10stickers shall be the amount required under subsection (a) or
11the vehicle's annual registration fee amount, whichever is
12less.
13 (i) All of the proceeds of the additional fees imposed by
14this amendatory Act of the 101st General Assembly shall be
15deposited into the Road Fund.
16(Source: P.A. 100-956, eff. 1-1-19; 101-32, eff. 6-28-19;
17101-604, eff. 12-13-19.)
18 (30 ILCS 105/5.891 rep.)
19 (30 ILCS 105/5.893 rep.)
20 (30 ILCS 105/5.894 rep.)
21 Section 15-50. The State Finance Act is amended by
22repealing Sections 5.891, 5.893, and 5.894, all as added by
23Public Act 101-32.
24 Section 15-55. The Illinois Vehicle Code is amended by

HB5561- 896 -LRB101 17547 JWD 66965 b
1changing Section 11-208.3 as follows:
2 (625 ILCS 5/11-208.3) (from Ch. 95 1/2, par. 11-208.3)
3 (Text of Section before amendment by P.A. 101-623)
4 Sec. 11-208.3. Administrative adjudication of violations
5of traffic regulations concerning the standing, parking, or
6condition of vehicles, automated traffic law violations, and
7automated speed enforcement system violations.
8 (a) Any municipality or county may provide by ordinance for
9a system of administrative adjudication of vehicular standing
10and parking violations and vehicle compliance violations as
11described in this subsection, automated traffic law violations
12as defined in Section 11-208.6, 11-208.9, or 11-1201.1, and
13automated speed enforcement system violations as defined in
14Section 11-208.8. The administrative system shall have as its
15purpose the fair and efficient enforcement of municipal or
16county regulations through the administrative adjudication of
17automated speed enforcement system or automated traffic law
18violations and violations of municipal or county ordinances
19regulating the standing and parking of vehicles, the condition
20and use of vehicle equipment, and the display of municipal or
21county wheel tax licenses within the municipality's or county's
22borders. The administrative system shall only have authority to
23adjudicate civil offenses carrying fines not in excess of $500
24or requiring the completion of a traffic education program, or
25both, that occur after the effective date of the ordinance

HB5561- 897 -LRB101 17547 JWD 66965 b
1adopting such a system under this Section. For purposes of this
2Section, "compliance violation" means a violation of a
3municipal or county regulation governing the condition or use
4of equipment on a vehicle or governing the display of a
5municipal or county wheel tax license.
6 (b) Any ordinance establishing a system of administrative
7adjudication under this Section shall provide for:
8 (1) A traffic compliance administrator authorized to
9 adopt, distribute, and process parking, compliance, and
10 automated speed enforcement system or automated traffic
11 law violation notices and other notices required by this
12 Section, collect money paid as fines and penalties for
13 violation of parking and compliance ordinances and
14 automated speed enforcement system or automated traffic
15 law violations, and operate an administrative adjudication
16 system. The traffic compliance administrator also may make
17 a certified report to the Secretary of State under Section
18 6-306.5.
19 (2) A parking, standing, compliance, automated speed
20 enforcement system, or automated traffic law violation
21 notice that shall specify or include the date, time, and
22 place of violation of a parking, standing, compliance,
23 automated speed enforcement system, or automated traffic
24 law regulation; the particular regulation violated; any
25 requirement to complete a traffic education program; the
26 fine and any penalty that may be assessed for late payment

HB5561- 898 -LRB101 17547 JWD 66965 b
1 or failure to complete a required traffic education
2 program, or both, when so provided by ordinance; the
3 vehicle make or a photograph of the vehicle; the and state
4 registration number of the vehicle; and the identification
5 number of the person issuing the notice. With regard to
6 automated speed enforcement system or automated traffic
7 law violations, vehicle make shall be specified on the
8 automated speed enforcement system or automated traffic
9 law violation notice if the notice does not include a
10 photograph of the vehicle and the make is available and
11 readily discernible. With regard to municipalities or
12 counties with a population of 1 million or more, it shall
13 be grounds for dismissal of a parking violation if the
14 state registration number or vehicle make specified is
15 incorrect. The violation notice shall state that the
16 completion of any required traffic education program, the
17 payment of any indicated fine, and the payment of any
18 applicable penalty for late payment or failure to complete
19 a required traffic education program, or both, shall
20 operate as a final disposition of the violation. The notice
21 also shall contain information as to the availability of a
22 hearing in which the violation may be contested on its
23 merits. The violation notice shall specify the time and
24 manner in which a hearing may be had.
25 (3) Service of a the parking, standing, or compliance
26 violation notice by: (i) affixing the original or a

HB5561- 899 -LRB101 17547 JWD 66965 b
1 facsimile of the notice to an unlawfully parked or standing
2 vehicle; or (ii) by handing the notice to the operator of a
3 vehicle if he or she is present; or (iii) mailing the
4 notice to the address of the registered owner or lessee of
5 the cited vehicle as recorded with the Secretary of State
6 or the lessor of the motor vehicle within 30 days after the
7 Secretary of State or the lessor of the motor vehicle
8 notifies the municipality or county of the identity of the
9 owner or lessee of the vehicle, but not later than 90 days
10 after date of the violation, except that in the case of a
11 lessee of a motor vehicle, service of a parking, standing,
12 or compliance violation notice may occur no later than 210
13 days after the violation; and service of an automated speed
14 enforcement system or automated traffic law violation
15 notice by mail to the address of the registered owner or
16 lessee of the cited vehicle as recorded with the Secretary
17 of State or the lessor of the motor vehicle within 30 days
18 after the Secretary of State or the lessor of the motor
19 vehicle notifies the municipality or county of the identity
20 of the owner or lessee of the vehicle, but not later than
21 90 days after the violation, except that in the case of a
22 lessee of a motor vehicle, service of an automated traffic
23 law violation notice may occur no later than 210 days after
24 the violation. A person authorized by ordinance to issue
25 and serve parking, standing, and compliance violation
26 notices shall certify as to the correctness of the facts

HB5561- 900 -LRB101 17547 JWD 66965 b
1 entered on the violation notice by signing his or her name
2 to the notice at the time of service or in the case of a
3 notice produced by a computerized device, by signing a
4 single certificate to be kept by the traffic compliance
5 administrator attesting to the correctness of all notices
6 produced by the device while it was under his or her
7 control. In the case of an automated traffic law violation,
8 the ordinance shall require a determination by a technician
9 employed or contracted by the municipality or county that,
10 based on inspection of recorded images, the motor vehicle
11 was being operated in violation of Section 11-208.6,
12 11-208.9, or 11-1201.1 or a local ordinance. If the
13 technician determines that the vehicle entered the
14 intersection as part of a funeral procession or in order to
15 yield the right-of-way to an emergency vehicle, a citation
16 shall not be issued. In municipalities with a population of
17 less than 1,000,000 inhabitants and counties with a
18 population of less than 3,000,000 inhabitants, the
19 automated traffic law ordinance shall require that all
20 determinations by a technician that a motor vehicle was
21 being operated in violation of Section 11-208.6, 11-208.9,
22 or 11-1201.1 or a local ordinance must be reviewed and
23 approved by a law enforcement officer or retired law
24 enforcement officer of the municipality or county issuing
25 the violation. In municipalities with a population of
26 1,000,000 or more inhabitants and counties with a

HB5561- 901 -LRB101 17547 JWD 66965 b
1 population of 3,000,000 or more inhabitants, the automated
2 traffic law ordinance shall require that all
3 determinations by a technician that a motor vehicle was
4 being operated in violation of Section 11-208.6, 11-208.9,
5 or 11-1201.1 or a local ordinance must be reviewed and
6 approved by a law enforcement officer or retired law
7 enforcement officer of the municipality or county issuing
8 the violation or by an additional fully-trained reviewing
9 technician who is not employed by the contractor who
10 employs the technician who made the initial determination.
11 In the case of an automated speed enforcement system
12 violation, the ordinance shall require a determination by a
13 technician employed by the municipality, based upon an
14 inspection of recorded images, video or other
15 documentation, including documentation of the speed limit
16 and automated speed enforcement signage, and documentation
17 of the inspection, calibration, and certification of the
18 speed equipment, that the vehicle was being operated in
19 violation of Article VI of Chapter 11 of this Code or a
20 similar local ordinance. If the technician determines that
21 the vehicle speed was not determined by a calibrated,
22 certified speed equipment device based upon the speed
23 equipment documentation, or if the vehicle was an emergency
24 vehicle, a citation may not be issued. The automated speed
25 enforcement ordinance shall require that all
26 determinations by a technician that a violation occurred be

HB5561- 902 -LRB101 17547 JWD 66965 b
1 reviewed and approved by a law enforcement officer or
2 retired law enforcement officer of the municipality
3 issuing the violation or by an additional fully trained
4 reviewing technician who is not employed by the contractor
5 who employs the technician who made the initial
6 determination. Routine and independent calibration of the
7 speeds produced by automated speed enforcement systems and
8 equipment shall be conducted annually by a qualified
9 technician. Speeds produced by an automated speed
10 enforcement system shall be compared with speeds produced
11 by lidar or other independent equipment. Radar or lidar
12 equipment shall undergo an internal validation test no less
13 frequently than once each week. Qualified technicians
14 shall test loop based equipment no less frequently than
15 once a year. Radar equipment shall be checked for accuracy
16 by a qualified technician when the unit is serviced, when
17 unusual or suspect readings persist, or when deemed
18 necessary by a reviewing technician. Radar equipment shall
19 be checked with the internal frequency generator and the
20 internal circuit test whenever the radar is turned on.
21 Technicians must be alert for any unusual or suspect
22 readings, and if unusual or suspect readings of a radar
23 unit persist, that unit shall immediately be removed from
24 service and not returned to service until it has been
25 checked by a qualified technician and determined to be
26 functioning properly. Documentation of the annual

HB5561- 903 -LRB101 17547 JWD 66965 b
1 calibration results, including the equipment tested, test
2 date, technician performing the test, and test results,
3 shall be maintained and available for use in the
4 determination of an automated speed enforcement system
5 violation and issuance of a citation. The technician
6 performing the calibration and testing of the automated
7 speed enforcement equipment shall be trained and certified
8 in the use of equipment for speed enforcement purposes.
9 Training on the speed enforcement equipment may be
10 conducted by law enforcement, civilian, or manufacturer's
11 personnel and if applicable may be equivalent to the
12 equipment use and operations training included in the Speed
13 Measuring Device Operator Program developed by the
14 National Highway Traffic Safety Administration (NHTSA).
15 The vendor or technician who performs the work shall keep
16 accurate records on each piece of equipment the technician
17 calibrates and tests. As used in this paragraph,
18 "fully-trained reviewing technician" means a person who
19 has received at least 40 hours of supervised training in
20 subjects which shall include image inspection and
21 interpretation, the elements necessary to prove a
22 violation, license plate identification, and traffic
23 safety and management. In all municipalities and counties,
24 the automated speed enforcement system or automated
25 traffic law ordinance shall require that no additional fee
26 shall be charged to the alleged violator for exercising his

HB5561- 904 -LRB101 17547 JWD 66965 b
1 or her right to an administrative hearing, and persons
2 shall be given at least 25 days following an administrative
3 hearing to pay any civil penalty imposed by a finding that
4 Section 11-208.6, 11-208.8, 11-208.9, or 11-1201.1 or a
5 similar local ordinance has been violated. The original or
6 a facsimile of the violation notice or, in the case of a
7 notice produced by a computerized device, a printed record
8 generated by the device showing the facts entered on the
9 notice, shall be retained by the traffic compliance
10 administrator, and shall be a record kept in the ordinary
11 course of business. A parking, standing, compliance,
12 automated speed enforcement system, or automated traffic
13 law violation notice issued, signed and served in
14 accordance with this Section, a copy of the notice, or the
15 computer generated record shall be prima facie correct and
16 shall be prima facie evidence of the correctness of the
17 facts shown on the notice. The notice, copy, or computer
18 generated record shall be admissible in any subsequent
19 administrative or legal proceedings.
20 (4) An opportunity for a hearing for the registered
21 owner of the vehicle cited in the parking, standing,
22 compliance, automated speed enforcement system, or
23 automated traffic law violation notice in which the owner
24 may contest the merits of the alleged violation, and during
25 which formal or technical rules of evidence shall not
26 apply; provided, however, that under Section 11-1306 of

HB5561- 905 -LRB101 17547 JWD 66965 b
1 this Code the lessee of a vehicle cited in the violation
2 notice likewise shall be provided an opportunity for a
3 hearing of the same kind afforded the registered owner. The
4 hearings shall be recorded, and the person conducting the
5 hearing on behalf of the traffic compliance administrator
6 shall be empowered to administer oaths and to secure by
7 subpoena both the attendance and testimony of witnesses and
8 the production of relevant books and papers. Persons
9 appearing at a hearing under this Section may be
10 represented by counsel at their expense. The ordinance may
11 also provide for internal administrative review following
12 the decision of the hearing officer.
13 (5) Service of additional notices, sent by first class
14 United States mail, postage prepaid, to the address of the
15 registered owner of the cited vehicle as recorded with the
16 Secretary of State or, if any notice to that address is
17 returned as undeliverable, to the last known address
18 recorded in a United States Post Office approved database,
19 or, under Section 11-1306 or subsection (p) of Section
20 11-208.6 or 11-208.9, or subsection (p) of Section 11-208.8
21 of this Code, to the lessee of the cited vehicle at the
22 last address known to the lessor of the cited vehicle at
23 the time of lease or, if any notice to that address is
24 returned as undeliverable, to the last known address
25 recorded in a United States Post Office approved database.
26 The service shall be deemed complete as of the date of

HB5561- 906 -LRB101 17547 JWD 66965 b
1 deposit in the United States mail. The notices shall be in
2 the following sequence and shall include, but not be
3 limited to, the information specified herein:
4 (i) A second notice of parking, standing, or
5 compliance violation if the first notice of the
6 violation was issued by affixing the original or a
7 facsimile of the notice to the unlawfully parked
8 vehicle or by handing the notice to the operator. This
9 notice shall specify or include the date and location
10 of the violation cited in the parking, standing, or
11 compliance violation notice, the particular regulation
12 violated, the vehicle make or a photograph of the
13 vehicle, the and state registration number of the
14 vehicle, any requirement to complete a traffic
15 education program, the fine and any penalty that may be
16 assessed for late payment or failure to complete a
17 traffic education program, or both, when so provided by
18 ordinance, the availability of a hearing in which the
19 violation may be contested on its merits, and the time
20 and manner in which the hearing may be had. The notice
21 of violation shall also state that failure to complete
22 a required traffic education program, to pay the
23 indicated fine and any applicable penalty, or to appear
24 at a hearing on the merits in the time and manner
25 specified, will result in a final determination of
26 violation liability for the cited violation in the

HB5561- 907 -LRB101 17547 JWD 66965 b
1 amount of the fine or penalty indicated, and that, upon
2 the occurrence of a final determination of violation
3 liability for the failure, and the exhaustion of, or
4 failure to exhaust, available administrative or
5 judicial procedures for review, any incomplete traffic
6 education program or any unpaid fine or penalty, or
7 both, will constitute a debt due and owing the
8 municipality or county.
9 (ii) A notice of final determination of parking,
10 standing, compliance, automated speed enforcement
11 system, or automated traffic law violation liability.
12 This notice shall be sent following a final
13 determination of parking, standing, compliance,
14 automated speed enforcement system, or automated
15 traffic law violation liability and the conclusion of
16 judicial review procedures taken under this Section.
17 The notice shall state that the incomplete traffic
18 education program or the unpaid fine or penalty, or
19 both, is a debt due and owing the municipality or
20 county. The notice shall contain warnings that failure
21 to complete any required traffic education program or
22 to pay any fine or penalty due and owing the
23 municipality or county, or both, within the time
24 specified may result in the municipality's or county's
25 filing of a petition in the Circuit Court to have the
26 incomplete traffic education program or unpaid fine or

HB5561- 908 -LRB101 17547 JWD 66965 b
1 penalty, or both, rendered a judgment as provided by
2 this Section, or may result in suspension of the
3 person's driver's drivers license for failure to
4 complete a traffic education program or to pay fines or
5 penalties, or both, for 10 or more parking violations
6 under Section 6-306.5, or a combination of 5 or more
7 automated traffic law violations under Section
8 11-208.6 or 11-208.9 or automated speed enforcement
9 system violations under Section 11-208.8.
10 (6) A notice of impending driver's drivers license
11 suspension. This notice shall be sent to the person liable
12 for failure to complete a required traffic education
13 program or to pay any fine or penalty that remains due and
14 owing, or both, on 10 or more parking violations or
15 combination of 5 or more unpaid automated speed enforcement
16 system or automated traffic law violations. The notice
17 shall state that failure to complete a required traffic
18 education program or to pay the fine or penalty owing, or
19 both, within 45 days of the notice's date will result in
20 the municipality or county notifying the Secretary of State
21 that the person is eligible for initiation of suspension
22 proceedings under Section 6-306.5 of this Code. The notice
23 shall also state that the person may obtain a photostatic
24 copy of an original ticket imposing a fine or penalty by
25 sending a self-addressed self addressed, stamped envelope
26 to the municipality or county along with a request for the

HB5561- 909 -LRB101 17547 JWD 66965 b
1 photostatic copy. The notice of impending driver's drivers
2 license suspension shall be sent by first class United
3 States mail, postage prepaid, to the address recorded with
4 the Secretary of State or, if any notice to that address is
5 returned as undeliverable, to the last known address
6 recorded in a United States Post Office approved database.
7 (7) Final determinations of violation liability. A
8 final determination of violation liability shall occur
9 following failure to complete the required traffic
10 education program or to pay the fine or penalty, or both,
11 after a hearing officer's determination of violation
12 liability and the exhaustion of or failure to exhaust any
13 administrative review procedures provided by ordinance.
14 Where a person fails to appear at a hearing to contest the
15 alleged violation in the time and manner specified in a
16 prior mailed notice, the hearing officer's determination
17 of violation liability shall become final: (A) upon denial
18 of a timely petition to set aside that determination, or
19 (B) upon expiration of the period for filing the petition
20 without a filing having been made.
21 (8) A petition to set aside a determination of parking,
22 standing, compliance, automated speed enforcement system,
23 or automated traffic law violation liability that may be
24 filed by a person owing an unpaid fine or penalty. A
25 petition to set aside a determination of liability may also
26 be filed by a person required to complete a traffic

HB5561- 910 -LRB101 17547 JWD 66965 b
1 education program. The petition shall be filed with and
2 ruled upon by the traffic compliance administrator in the
3 manner and within the time specified by ordinance. The
4 grounds for the petition may be limited to: (A) the person
5 not having been the owner or lessee of the cited vehicle on
6 the date the violation notice was issued, (B) the person
7 having already completed the required traffic education
8 program or paid the fine or penalty, or both, for the
9 violation in question, and (C) excusable failure to appear
10 at or request a new date for a hearing. With regard to
11 municipalities or counties with a population of 1 million
12 or more, it shall be grounds for dismissal of a parking
13 violation if the state registration number or vehicle make,
14 only if specified in the violation notice, is incorrect.
15 After the determination of parking, standing, compliance,
16 automated speed enforcement system, or automated traffic
17 law violation liability has been set aside upon a showing
18 of just cause, the registered owner shall be provided with
19 a hearing on the merits for that violation.
20 (9) Procedures for non-residents. Procedures by which
21 persons who are not residents of the municipality or county
22 may contest the merits of the alleged violation without
23 attending a hearing.
24 (10) A schedule of civil fines for violations of
25 vehicular standing, parking, compliance, automated speed
26 enforcement system, or automated traffic law regulations

HB5561- 911 -LRB101 17547 JWD 66965 b
1 enacted by ordinance pursuant to this Section, and a
2 schedule of penalties for late payment of the fines or
3 failure to complete required traffic education programs,
4 provided, however, that the total amount of the fine and
5 penalty for any one violation shall not exceed $250, except
6 as provided in subsection (c) of Section 11-1301.3 of this
7 Code.
8 (11) Other provisions as are necessary and proper to
9 carry into effect the powers granted and purposes stated in
10 this Section.
11 (c) Any municipality or county establishing vehicular
12standing, parking, compliance, automated speed enforcement
13system, or automated traffic law regulations under this Section
14may also provide by ordinance for a program of vehicle
15immobilization for the purpose of facilitating enforcement of
16those regulations. The program of vehicle immobilization shall
17provide for immobilizing any eligible vehicle upon the public
18way by presence of a restraint in a manner to prevent operation
19of the vehicle. Any ordinance establishing a program of vehicle
20immobilization under this Section shall provide:
21 (1) Criteria for the designation of vehicles eligible
22 for immobilization. A vehicle shall be eligible for
23 immobilization when the registered owner of the vehicle has
24 accumulated the number of incomplete traffic education
25 programs or unpaid final determinations of parking,
26 standing, compliance, automated speed enforcement system,

HB5561- 912 -LRB101 17547 JWD 66965 b
1 or automated traffic law violation liability, or both, as
2 determined by ordinance.
3 (2) A notice of impending vehicle immobilization and a
4 right to a hearing to challenge the validity of the notice
5 by disproving liability for the incomplete traffic
6 education programs or unpaid final determinations of
7 parking, standing, compliance, automated speed enforcement
8 system, or automated traffic law violation liability, or
9 both, listed on the notice.
10 (3) The right to a prompt hearing after a vehicle has
11 been immobilized or subsequently towed without the
12 completion of the required traffic education program or
13 payment of the outstanding fines and penalties on parking,
14 standing, compliance, automated speed enforcement system,
15 or automated traffic law violations, or both, for which
16 final determinations have been issued. An order issued
17 after the hearing is a final administrative decision within
18 the meaning of Section 3-101 of the Code of Civil
19 Procedure.
20 (4) A post immobilization and post-towing notice
21 advising the registered owner of the vehicle of the right
22 to a hearing to challenge the validity of the impoundment.
23 (d) Judicial review of final determinations of parking,
24standing, compliance, automated speed enforcement system, or
25automated traffic law violations and final administrative
26decisions issued after hearings regarding vehicle

HB5561- 913 -LRB101 17547 JWD 66965 b
1immobilization and impoundment made under this Section shall be
2subject to the provisions of the Administrative Review Law.
3 (e) Any fine, penalty, incomplete traffic education
4program, or part of any fine or any penalty remaining unpaid
5after the exhaustion of, or the failure to exhaust,
6administrative remedies created under this Section and the
7conclusion of any judicial review procedures shall be a debt
8due and owing the municipality or county and, as such, may be
9collected in accordance with applicable law. Completion of any
10required traffic education program and payment in full of any
11fine or penalty resulting from a standing, parking, compliance,
12automated speed enforcement system, or automated traffic law
13violation shall constitute a final disposition of that
14violation.
15 (f) After the expiration of the period within which
16judicial review may be sought for a final determination of
17parking, standing, compliance, automated speed enforcement
18system, or automated traffic law violation, the municipality or
19county may commence a proceeding in the Circuit Court for
20purposes of obtaining a judgment on the final determination of
21violation. Nothing in this Section shall prevent a municipality
22or county from consolidating multiple final determinations of
23parking, standing, compliance, automated speed enforcement
24system, or automated traffic law violations against a person in
25a proceeding. Upon commencement of the action, the municipality
26or county shall file a certified copy or record of the final

HB5561- 914 -LRB101 17547 JWD 66965 b
1determination of parking, standing, compliance, automated
2speed enforcement system, or automated traffic law violation,
3which shall be accompanied by a certification that recites
4facts sufficient to show that the final determination of
5violation was issued in accordance with this Section and the
6applicable municipal or county ordinance. Service of the
7summons and a copy of the petition may be by any method
8provided by Section 2-203 of the Code of Civil Procedure or by
9certified mail, return receipt requested, provided that the
10total amount of fines and penalties for final determinations of
11parking, standing, compliance, automated speed enforcement
12system, or automated traffic law violations does not exceed
13$2500. If the court is satisfied that the final determination
14of parking, standing, compliance, automated speed enforcement
15system, or automated traffic law violation was entered in
16accordance with the requirements of this Section and the
17applicable municipal or county ordinance, and that the
18registered owner or the lessee, as the case may be, had an
19opportunity for an administrative hearing and for judicial
20review as provided in this Section, the court shall render
21judgment in favor of the municipality or county and against the
22registered owner or the lessee for the amount indicated in the
23final determination of parking, standing, compliance,
24automated speed enforcement system, or automated traffic law
25violation, plus costs. The judgment shall have the same effect
26and may be enforced in the same manner as other judgments for

HB5561- 915 -LRB101 17547 JWD 66965 b
1the recovery of money.
2 (g) The fee for participating in a traffic education
3program under this Section shall not exceed $25.
4 A low-income individual required to complete a traffic
5education program under this Section who provides proof of
6eligibility for the federal earned income tax credit under
7Section 32 of the Internal Revenue Code or the Illinois earned
8income tax credit under Section 212 of the Illinois Income Tax
9Act shall not be required to pay any fee for participating in a
10required traffic education program.
11(Source: P.A. 101-32, eff. 6-28-19; revised 1-21-20.)
12 (Text of Section after amendment by P.A. 101-623)
13 Sec. 11-208.3. Administrative adjudication of violations
14of traffic regulations concerning the standing, parking, or
15condition of vehicles, automated traffic law violations, and
16automated speed enforcement system violations.
17 (a) Any municipality or county may provide by ordinance for
18a system of administrative adjudication of vehicular standing
19and parking violations and vehicle compliance violations as
20described in this subsection, automated traffic law violations
21as defined in Section 11-208.6, 11-208.9, or 11-1201.1, and
22automated speed enforcement system violations as defined in
23Section 11-208.8. The administrative system shall have as its
24purpose the fair and efficient enforcement of municipal or
25county regulations through the administrative adjudication of

HB5561- 916 -LRB101 17547 JWD 66965 b
1automated speed enforcement system or automated traffic law
2violations and violations of municipal or county ordinances
3regulating the standing and parking of vehicles, the condition
4and use of vehicle equipment, and the display of municipal or
5county wheel tax licenses within the municipality's or county's
6borders. The administrative system shall only have authority to
7adjudicate civil offenses carrying fines not in excess of $500
8or requiring the completion of a traffic education program, or
9both, that occur after the effective date of the ordinance
10adopting such a system under this Section. For purposes of this
11Section, "compliance violation" means a violation of a
12municipal or county regulation governing the condition or use
13of equipment on a vehicle or governing the display of a
14municipal or county wheel tax license.
15 (b) Any ordinance establishing a system of administrative
16adjudication under this Section shall provide for:
17 (1) A traffic compliance administrator authorized to
18 adopt, distribute, and process parking, compliance, and
19 automated speed enforcement system or automated traffic
20 law violation notices and other notices required by this
21 Section, collect money paid as fines and penalties for
22 violation of parking and compliance ordinances and
23 automated speed enforcement system or automated traffic
24 law violations, and operate an administrative adjudication
25 system. The traffic compliance administrator also may make
26 a certified report to the Secretary of State under Section

HB5561- 917 -LRB101 17547 JWD 66965 b
1 6-306.5.
2 (2) A parking, standing, compliance, automated speed
3 enforcement system, or automated traffic law violation
4 notice that shall specify or include the date, time, and
5 place of violation of a parking, standing, compliance,
6 automated speed enforcement system, or automated traffic
7 law regulation; the particular regulation violated; any
8 requirement to complete a traffic education program; the
9 fine and any penalty that may be assessed for late payment
10 or failure to complete a required traffic education
11 program, or both, when so provided by ordinance; the
12 vehicle make or a photograph of the vehicle; the and state
13 registration number of the vehicle; and the identification
14 number of the person issuing the notice. With regard to
15 automated speed enforcement system or automated traffic
16 law violations, vehicle make shall be specified on the
17 automated speed enforcement system or automated traffic
18 law violation notice if the notice does not include a
19 photograph of the vehicle and the make is available and
20 readily discernible. With regard to municipalities or
21 counties with a population of 1 million or more, it shall
22 be grounds for dismissal of a parking violation if the
23 state registration number or vehicle make specified is
24 incorrect. The violation notice shall state that the
25 completion of any required traffic education program, the
26 payment of any indicated fine, and the payment of any

HB5561- 918 -LRB101 17547 JWD 66965 b
1 applicable penalty for late payment or failure to complete
2 a required traffic education program, or both, shall
3 operate as a final disposition of the violation. The notice
4 also shall contain information as to the availability of a
5 hearing in which the violation may be contested on its
6 merits. The violation notice shall specify the time and
7 manner in which a hearing may be had.
8 (3) Service of a the parking, standing, or compliance
9 violation notice by: (i) affixing the original or a
10 facsimile of the notice to an unlawfully parked or standing
11 vehicle; or (ii) by handing the notice to the operator of a
12 vehicle if he or she is present; or (iii) mailing the
13 notice to the address of the registered owner or lessee of
14 the cited vehicle as recorded with the Secretary of State
15 or the lessor of the motor vehicle within 30 days after the
16 Secretary of State or the lessor of the motor vehicle
17 notifies the municipality or county of the identity of the
18 owner or lessee of the vehicle, but not later than 90 days
19 after date of the violation, except that in the case of a
20 lessee of a motor vehicle, service of a parking, standing,
21 or compliance violation notice may occur no later than 210
22 days after the violation; and service of an automated speed
23 enforcement system or automated traffic law violation
24 notice by mail to the address of the registered owner or
25 lessee of the cited vehicle as recorded with the Secretary
26 of State or the lessor of the motor vehicle within 30 days

HB5561- 919 -LRB101 17547 JWD 66965 b
1 after the Secretary of State or the lessor of the motor
2 vehicle notifies the municipality or county of the identity
3 of the owner or lessee of the vehicle, but not later than
4 90 days after the violation, except that in the case of a
5 lessee of a motor vehicle, service of an automated traffic
6 law violation notice may occur no later than 210 days after
7 the violation. A person authorized by ordinance to issue
8 and serve parking, standing, and compliance violation
9 notices shall certify as to the correctness of the facts
10 entered on the violation notice by signing his or her name
11 to the notice at the time of service or in the case of a
12 notice produced by a computerized device, by signing a
13 single certificate to be kept by the traffic compliance
14 administrator attesting to the correctness of all notices
15 produced by the device while it was under his or her
16 control. In the case of an automated traffic law violation,
17 the ordinance shall require a determination by a technician
18 employed or contracted by the municipality or county that,
19 based on inspection of recorded images, the motor vehicle
20 was being operated in violation of Section 11-208.6,
21 11-208.9, or 11-1201.1 or a local ordinance. If the
22 technician determines that the vehicle entered the
23 intersection as part of a funeral procession or in order to
24 yield the right-of-way to an emergency vehicle, a citation
25 shall not be issued. In municipalities with a population of
26 less than 1,000,000 inhabitants and counties with a

HB5561- 920 -LRB101 17547 JWD 66965 b
1 population of less than 3,000,000 inhabitants, the
2 automated traffic law ordinance shall require that all
3 determinations by a technician that a motor vehicle was
4 being operated in violation of Section 11-208.6, 11-208.9,
5 or 11-1201.1 or a local ordinance must be reviewed and
6 approved by a law enforcement officer or retired law
7 enforcement officer of the municipality or county issuing
8 the violation. In municipalities with a population of
9 1,000,000 or more inhabitants and counties with a
10 population of 3,000,000 or more inhabitants, the automated
11 traffic law ordinance shall require that all
12 determinations by a technician that a motor vehicle was
13 being operated in violation of Section 11-208.6, 11-208.9,
14 or 11-1201.1 or a local ordinance must be reviewed and
15 approved by a law enforcement officer or retired law
16 enforcement officer of the municipality or county issuing
17 the violation or by an additional fully-trained reviewing
18 technician who is not employed by the contractor who
19 employs the technician who made the initial determination.
20 In the case of an automated speed enforcement system
21 violation, the ordinance shall require a determination by a
22 technician employed by the municipality, based upon an
23 inspection of recorded images, video or other
24 documentation, including documentation of the speed limit
25 and automated speed enforcement signage, and documentation
26 of the inspection, calibration, and certification of the

HB5561- 921 -LRB101 17547 JWD 66965 b
1 speed equipment, that the vehicle was being operated in
2 violation of Article VI of Chapter 11 of this Code or a
3 similar local ordinance. If the technician determines that
4 the vehicle speed was not determined by a calibrated,
5 certified speed equipment device based upon the speed
6 equipment documentation, or if the vehicle was an emergency
7 vehicle, a citation may not be issued. The automated speed
8 enforcement ordinance shall require that all
9 determinations by a technician that a violation occurred be
10 reviewed and approved by a law enforcement officer or
11 retired law enforcement officer of the municipality
12 issuing the violation or by an additional fully trained
13 reviewing technician who is not employed by the contractor
14 who employs the technician who made the initial
15 determination. Routine and independent calibration of the
16 speeds produced by automated speed enforcement systems and
17 equipment shall be conducted annually by a qualified
18 technician. Speeds produced by an automated speed
19 enforcement system shall be compared with speeds produced
20 by lidar or other independent equipment. Radar or lidar
21 equipment shall undergo an internal validation test no less
22 frequently than once each week. Qualified technicians
23 shall test loop based equipment no less frequently than
24 once a year. Radar equipment shall be checked for accuracy
25 by a qualified technician when the unit is serviced, when
26 unusual or suspect readings persist, or when deemed

HB5561- 922 -LRB101 17547 JWD 66965 b
1 necessary by a reviewing technician. Radar equipment shall
2 be checked with the internal frequency generator and the
3 internal circuit test whenever the radar is turned on.
4 Technicians must be alert for any unusual or suspect
5 readings, and if unusual or suspect readings of a radar
6 unit persist, that unit shall immediately be removed from
7 service and not returned to service until it has been
8 checked by a qualified technician and determined to be
9 functioning properly. Documentation of the annual
10 calibration results, including the equipment tested, test
11 date, technician performing the test, and test results,
12 shall be maintained and available for use in the
13 determination of an automated speed enforcement system
14 violation and issuance of a citation. The technician
15 performing the calibration and testing of the automated
16 speed enforcement equipment shall be trained and certified
17 in the use of equipment for speed enforcement purposes.
18 Training on the speed enforcement equipment may be
19 conducted by law enforcement, civilian, or manufacturer's
20 personnel and if applicable may be equivalent to the
21 equipment use and operations training included in the Speed
22 Measuring Device Operator Program developed by the
23 National Highway Traffic Safety Administration (NHTSA).
24 The vendor or technician who performs the work shall keep
25 accurate records on each piece of equipment the technician
26 calibrates and tests. As used in this paragraph,

HB5561- 923 -LRB101 17547 JWD 66965 b
1 "fully-trained reviewing technician" means a person who
2 has received at least 40 hours of supervised training in
3 subjects which shall include image inspection and
4 interpretation, the elements necessary to prove a
5 violation, license plate identification, and traffic
6 safety and management. In all municipalities and counties,
7 the automated speed enforcement system or automated
8 traffic law ordinance shall require that no additional fee
9 shall be charged to the alleged violator for exercising his
10 or her right to an administrative hearing, and persons
11 shall be given at least 25 days following an administrative
12 hearing to pay any civil penalty imposed by a finding that
13 Section 11-208.6, 11-208.8, 11-208.9, or 11-1201.1 or a
14 similar local ordinance has been violated. The original or
15 a facsimile of the violation notice or, in the case of a
16 notice produced by a computerized device, a printed record
17 generated by the device showing the facts entered on the
18 notice, shall be retained by the traffic compliance
19 administrator, and shall be a record kept in the ordinary
20 course of business. A parking, standing, compliance,
21 automated speed enforcement system, or automated traffic
22 law violation notice issued, signed and served in
23 accordance with this Section, a copy of the notice, or the
24 computer generated record shall be prima facie correct and
25 shall be prima facie evidence of the correctness of the
26 facts shown on the notice. The notice, copy, or computer

HB5561- 924 -LRB101 17547 JWD 66965 b
1 generated record shall be admissible in any subsequent
2 administrative or legal proceedings.
3 (4) An opportunity for a hearing for the registered
4 owner of the vehicle cited in the parking, standing,
5 compliance, automated speed enforcement system, or
6 automated traffic law violation notice in which the owner
7 may contest the merits of the alleged violation, and during
8 which formal or technical rules of evidence shall not
9 apply; provided, however, that under Section 11-1306 of
10 this Code the lessee of a vehicle cited in the violation
11 notice likewise shall be provided an opportunity for a
12 hearing of the same kind afforded the registered owner. The
13 hearings shall be recorded, and the person conducting the
14 hearing on behalf of the traffic compliance administrator
15 shall be empowered to administer oaths and to secure by
16 subpoena both the attendance and testimony of witnesses and
17 the production of relevant books and papers. Persons
18 appearing at a hearing under this Section may be
19 represented by counsel at their expense. The ordinance may
20 also provide for internal administrative review following
21 the decision of the hearing officer.
22 (5) Service of additional notices, sent by first class
23 United States mail, postage prepaid, to the address of the
24 registered owner of the cited vehicle as recorded with the
25 Secretary of State or, if any notice to that address is
26 returned as undeliverable, to the last known address

HB5561- 925 -LRB101 17547 JWD 66965 b
1 recorded in a United States Post Office approved database,
2 or, under Section 11-1306 or subsection (p) of Section
3 11-208.6 or 11-208.9, or subsection (p) of Section 11-208.8
4 of this Code, to the lessee of the cited vehicle at the
5 last address known to the lessor of the cited vehicle at
6 the time of lease or, if any notice to that address is
7 returned as undeliverable, to the last known address
8 recorded in a United States Post Office approved database.
9 The service shall be deemed complete as of the date of
10 deposit in the United States mail. The notices shall be in
11 the following sequence and shall include, but not be
12 limited to the information specified herein:
13 (i) A second notice of parking, standing, or
14 compliance violation if the first notice of the
15 violation was issued by affixing the original or a
16 facsimile of the notice to the unlawfully parked
17 vehicle or by handing the notice to the operator. This
18 notice shall specify or include the date and location
19 of the violation cited in the parking, standing, or
20 compliance violation notice, the particular regulation
21 violated, the vehicle make or a photograph of the
22 vehicle, the and state registration number of the
23 vehicle, any requirement to complete a traffic
24 education program, the fine and any penalty that may be
25 assessed for late payment or failure to complete a
26 traffic education program, or both, when so provided by

HB5561- 926 -LRB101 17547 JWD 66965 b
1 ordinance, the availability of a hearing in which the
2 violation may be contested on its merits, and the time
3 and manner in which the hearing may be had. The notice
4 of violation shall also state that failure to complete
5 a required traffic education program, to pay the
6 indicated fine and any applicable penalty, or to appear
7 at a hearing on the merits in the time and manner
8 specified, will result in a final determination of
9 violation liability for the cited violation in the
10 amount of the fine or penalty indicated, and that, upon
11 the occurrence of a final determination of violation
12 liability for the failure, and the exhaustion of, or
13 failure to exhaust, available administrative or
14 judicial procedures for review, any incomplete traffic
15 education program or any unpaid fine or penalty, or
16 both, will constitute a debt due and owing the
17 municipality or county.
18 (ii) A notice of final determination of parking,
19 standing, compliance, automated speed enforcement
20 system, or automated traffic law violation liability.
21 This notice shall be sent following a final
22 determination of parking, standing, compliance,
23 automated speed enforcement system, or automated
24 traffic law violation liability and the conclusion of
25 judicial review procedures taken under this Section.
26 The notice shall state that the incomplete traffic

HB5561- 927 -LRB101 17547 JWD 66965 b
1 education program or the unpaid fine or penalty, or
2 both, is a debt due and owing the municipality or
3 county. The notice shall contain warnings that failure
4 to complete any required traffic education program or
5 to pay any fine or penalty due and owing the
6 municipality or county, or both, within the time
7 specified may result in the municipality's or county's
8 filing of a petition in the Circuit Court to have the
9 incomplete traffic education program or unpaid fine or
10 penalty, or both, rendered a judgment as provided by
11 this Section, or, where applicable, may result in
12 suspension of the person's driver's drivers license
13 for failure to complete a traffic education program or
14 to pay fines or penalties, or both, for 5 or more
15 automated traffic law violations under Section
16 11-208.6 or 11-208.9 or automated speed enforcement
17 system violations under Section 11-208.8.
18 (6) A notice of impending driver's drivers license
19 suspension. This notice shall be sent to the person liable
20 for failure to complete a required traffic education
21 program or to pay any fine or penalty that remains due and
22 owing, or both, on 5 or more unpaid automated speed
23 enforcement system or automated traffic law violations.
24 The notice shall state that failure to complete a required
25 traffic education program or to pay the fine or penalty
26 owing, or both, within 45 days of the notice's date will

HB5561- 928 -LRB101 17547 JWD 66965 b
1 result in the municipality or county notifying the
2 Secretary of State that the person is eligible for
3 initiation of suspension proceedings under Section 6-306.5
4 of this Code. The notice shall also state that the person
5 may obtain a photostatic copy of an original ticket
6 imposing a fine or penalty by sending a self-addressed self
7 addressed, stamped envelope to the municipality or county
8 along with a request for the photostatic copy. The notice
9 of impending driver's drivers license suspension shall be
10 sent by first class United States mail, postage prepaid, to
11 the address recorded with the Secretary of State or, if any
12 notice to that address is returned as undeliverable, to the
13 last known address recorded in a United States Post Office
14 approved database.
15 (7) Final determinations of violation liability. A
16 final determination of violation liability shall occur
17 following failure to complete the required traffic
18 education program or to pay the fine or penalty, or both,
19 after a hearing officer's determination of violation
20 liability and the exhaustion of or failure to exhaust any
21 administrative review procedures provided by ordinance.
22 Where a person fails to appear at a hearing to contest the
23 alleged violation in the time and manner specified in a
24 prior mailed notice, the hearing officer's determination
25 of violation liability shall become final: (A) upon denial
26 of a timely petition to set aside that determination, or

HB5561- 929 -LRB101 17547 JWD 66965 b
1 (B) upon expiration of the period for filing the petition
2 without a filing having been made.
3 (8) A petition to set aside a determination of parking,
4 standing, compliance, automated speed enforcement system,
5 or automated traffic law violation liability that may be
6 filed by a person owing an unpaid fine or penalty. A
7 petition to set aside a determination of liability may also
8 be filed by a person required to complete a traffic
9 education program. The petition shall be filed with and
10 ruled upon by the traffic compliance administrator in the
11 manner and within the time specified by ordinance. The
12 grounds for the petition may be limited to: (A) the person
13 not having been the owner or lessee of the cited vehicle on
14 the date the violation notice was issued, (B) the person
15 having already completed the required traffic education
16 program or paid the fine or penalty, or both, for the
17 violation in question, and (C) excusable failure to appear
18 at or request a new date for a hearing. With regard to
19 municipalities or counties with a population of 1 million
20 or more, it shall be grounds for dismissal of a parking
21 violation if the state registration number or vehicle make,
22 only if specified in the violation notice, is incorrect.
23 After the determination of parking, standing, compliance,
24 automated speed enforcement system, or automated traffic
25 law violation liability has been set aside upon a showing
26 of just cause, the registered owner shall be provided with

HB5561- 930 -LRB101 17547 JWD 66965 b
1 a hearing on the merits for that violation.
2 (9) Procedures for non-residents. Procedures by which
3 persons who are not residents of the municipality or county
4 may contest the merits of the alleged violation without
5 attending a hearing.
6 (10) A schedule of civil fines for violations of
7 vehicular standing, parking, compliance, automated speed
8 enforcement system, or automated traffic law regulations
9 enacted by ordinance pursuant to this Section, and a
10 schedule of penalties for late payment of the fines or
11 failure to complete required traffic education programs,
12 provided, however, that the total amount of the fine and
13 penalty for any one violation shall not exceed $250, except
14 as provided in subsection (c) of Section 11-1301.3 of this
15 Code.
16 (11) Other provisions as are necessary and proper to
17 carry into effect the powers granted and purposes stated in
18 this Section.
19 (c) Any municipality or county establishing vehicular
20standing, parking, compliance, automated speed enforcement
21system, or automated traffic law regulations under this Section
22may also provide by ordinance for a program of vehicle
23immobilization for the purpose of facilitating enforcement of
24those regulations. The program of vehicle immobilization shall
25provide for immobilizing any eligible vehicle upon the public
26way by presence of a restraint in a manner to prevent operation

HB5561- 931 -LRB101 17547 JWD 66965 b
1of the vehicle. Any ordinance establishing a program of vehicle
2immobilization under this Section shall provide:
3 (1) Criteria for the designation of vehicles eligible
4 for immobilization. A vehicle shall be eligible for
5 immobilization when the registered owner of the vehicle has
6 accumulated the number of incomplete traffic education
7 programs or unpaid final determinations of parking,
8 standing, compliance, automated speed enforcement system,
9 or automated traffic law violation liability, or both, as
10 determined by ordinance.
11 (2) A notice of impending vehicle immobilization and a
12 right to a hearing to challenge the validity of the notice
13 by disproving liability for the incomplete traffic
14 education programs or unpaid final determinations of
15 parking, standing, compliance, automated speed enforcement
16 system, or automated traffic law violation liability, or
17 both, listed on the notice.
18 (3) The right to a prompt hearing after a vehicle has
19 been immobilized or subsequently towed without the
20 completion of the required traffic education program or
21 payment of the outstanding fines and penalties on parking,
22 standing, compliance, automated speed enforcement system,
23 or automated traffic law violations, or both, for which
24 final determinations have been issued. An order issued
25 after the hearing is a final administrative decision within
26 the meaning of Section 3-101 of the Code of Civil

HB5561- 932 -LRB101 17547 JWD 66965 b
1 Procedure.
2 (4) A post immobilization and post-towing notice
3 advising the registered owner of the vehicle of the right
4 to a hearing to challenge the validity of the impoundment.
5 (d) Judicial review of final determinations of parking,
6standing, compliance, automated speed enforcement system, or
7automated traffic law violations and final administrative
8decisions issued after hearings regarding vehicle
9immobilization and impoundment made under this Section shall be
10subject to the provisions of the Administrative Review Law.
11 (e) Any fine, penalty, incomplete traffic education
12program, or part of any fine or any penalty remaining unpaid
13after the exhaustion of, or the failure to exhaust,
14administrative remedies created under this Section and the
15conclusion of any judicial review procedures shall be a debt
16due and owing the municipality or county and, as such, may be
17collected in accordance with applicable law. Completion of any
18required traffic education program and payment in full of any
19fine or penalty resulting from a standing, parking, compliance,
20automated speed enforcement system, or automated traffic law
21violation shall constitute a final disposition of that
22violation.
23 (f) After the expiration of the period within which
24judicial review may be sought for a final determination of
25parking, standing, compliance, automated speed enforcement
26system, or automated traffic law violation, the municipality or

HB5561- 933 -LRB101 17547 JWD 66965 b
1county may commence a proceeding in the Circuit Court for
2purposes of obtaining a judgment on the final determination of
3violation. Nothing in this Section shall prevent a municipality
4or county from consolidating multiple final determinations of
5parking, standing, compliance, automated speed enforcement
6system, or automated traffic law violations against a person in
7a proceeding. Upon commencement of the action, the municipality
8or county shall file a certified copy or record of the final
9determination of parking, standing, compliance, automated
10speed enforcement system, or automated traffic law violation,
11which shall be accompanied by a certification that recites
12facts sufficient to show that the final determination of
13violation was issued in accordance with this Section and the
14applicable municipal or county ordinance. Service of the
15summons and a copy of the petition may be by any method
16provided by Section 2-203 of the Code of Civil Procedure or by
17certified mail, return receipt requested, provided that the
18total amount of fines and penalties for final determinations of
19parking, standing, compliance, automated speed enforcement
20system, or automated traffic law violations does not exceed
21$2500. If the court is satisfied that the final determination
22of parking, standing, compliance, automated speed enforcement
23system, or automated traffic law violation was entered in
24accordance with the requirements of this Section and the
25applicable municipal or county ordinance, and that the
26registered owner or the lessee, as the case may be, had an

HB5561- 934 -LRB101 17547 JWD 66965 b
1opportunity for an administrative hearing and for judicial
2review as provided in this Section, the court shall render
3judgment in favor of the municipality or county and against the
4registered owner or the lessee for the amount indicated in the
5final determination of parking, standing, compliance,
6automated speed enforcement system, or automated traffic law
7violation, plus costs. The judgment shall have the same effect
8and may be enforced in the same manner as other judgments for
9the recovery of money.
10 (g) The fee for participating in a traffic education
11program under this Section shall not exceed $25.
12 A low-income individual required to complete a traffic
13education program under this Section who provides proof of
14eligibility for the federal earned income tax credit under
15Section 32 of the Internal Revenue Code or the Illinois earned
16income tax credit under Section 212 of the Illinois Income Tax
17Act shall not be required to pay any fee for participating in a
18required traffic education program.
19(Source: P.A. 101-32, eff. 6-28-19; 101-623, eff. 7-1-20;
20revised 1-21-20.)
21 Section 15-65. The Counties Code is amended by changing
22Section 5-1035.1 as follows:
23 (55 ILCS 5/5-1035.1) (from Ch. 34, par. 5-1035.1)
24 Sec. 5-1035.1. County Motor Fuel Tax Law.

HB5561- 935 -LRB101 17547 JWD 66965 b
1 (a) The county board of the counties of DuPage, Kane, Lake,
2Will, and McHenry may, by an ordinance or resolution adopted by
3an affirmative vote of a majority of the members elected or
4appointed to the county board, impose a tax upon all persons
5engaged in the county in the business of selling motor fuel, as
6now or hereafter defined in the Motor Fuel Tax Law, at retail
7for the operation of motor vehicles upon public highways or for
8the operation of recreational watercraft upon waterways. The
9collection of a tax under this Section based on gallonage of
10gasoline used for the propulsion of any aircraft is prohibited,
11and the collection of a tax based on gallonage of special fuel
12used for the propulsion of any aircraft is prohibited on and
13after December 1, 2019. Kane County may exempt diesel fuel from
14the tax imposed pursuant to this Section. The initial tax rate
15may not be less than be imposed, in half-cent increments, at a
16rate not exceeding 4 cents per gallon of motor fuel sold at
17retail within the county for the purpose of use or consumption
18and not for the purpose of resale and may not exceed 8 cents
19per gallon of motor fuel sold at retail within the county for
20the purpose of use or consumption and not for the purpose of
21resale. The proceeds from the tax shall be used by the county
22solely for the purposes of operating, constructing, and
23improving public highways and waterways and acquiring real
24property and rights-of-way for public highways and waterways
25within the county imposing the tax.
26 (a-5) By June 1, 2020, and by June 1 of each year

HB5561- 936 -LRB101 17547 JWD 66965 b
1thereafter, the Department of Revenue shall determine an annual
2rate increase to take effect on July 1 of that calendar year
3and continue through June 30 of the next calendar year. Not
4later than June 1 of each year, the Department of Revenue shall
5publish on its website the rate that will take effect on July 1
6of that calendar year. The rate shall be equal to the rate in
7effect increased by an amount equal to the percentage increase,
8if any, in the Consumer Price Index for All Urban Consumers for
9all items, published by the United States Department of Labor
10for the 12 months ending in March of each year. The rate shall
11be rounded to the nearest one-tenth of one cent. Each new rate
12may not exceed the rate in effect on June 30 of the previous
13year plus one cent.
14 (b) A tax imposed pursuant to this Section, and all civil
15penalties that may be assessed as an incident thereof, shall be
16administered, collected, and enforced by the Illinois
17Department of Revenue in the same manner as the tax imposed
18under the Retailers' Occupation Tax Act, as now or hereafter
19amended, insofar as may be practicable; except that in the
20event of a conflict with the provisions of this Section, this
21Section shall control. The Department of Revenue shall have
22full power: to administer and enforce this Section; to collect
23all taxes and penalties due hereunder; to dispose of taxes and
24penalties so collected in the manner hereinafter provided; and
25to determine all rights to credit memoranda arising on account
26of the erroneous payment of tax or penalty hereunder.

HB5561- 937 -LRB101 17547 JWD 66965 b
1 (b-5) Persons subject to any tax imposed under the
2authority granted in this Section may reimburse themselves for
3their seller's tax liability hereunder by separately stating
4that tax as an additional charge, which charge may be stated in
5combination, in a single amount, with State tax which sellers
6are required to collect under the Use Tax Act, pursuant to such
7bracket schedules as the Department may prescribe.
8 (c) Whenever the Department determines that a refund shall
9be made under this Section to a claimant instead of issuing a
10credit memorandum, the Department shall notify the State
11Comptroller, who shall cause the order to be drawn for the
12amount specified, and to the person named, in the notification
13from the Department. The refund shall be paid by the State
14Treasurer out of the County Option Motor Fuel Tax Fund.
15 (d) The Department shall forthwith pay over to the State
16Treasurer, ex officio, as trustee, all taxes and penalties
17collected hereunder, which shall be deposited into the County
18Option Motor Fuel Tax Fund, a special fund in the State
19Treasury which is hereby created. On or before the 25th day of
20each calendar month, the Department shall prepare and certify
21to the State Comptroller the disbursement of stated sums of
22money to named counties for which taxpayers have paid taxes or
23penalties hereunder to the Department during the second
24preceding calendar month. The amount to be paid to each county
25shall be the amount (not including credit memoranda) collected
26hereunder from retailers within the county during the second

HB5561- 938 -LRB101 17547 JWD 66965 b
1preceding calendar month by the Department, but not including
2an amount equal to the amount of refunds made during the second
3preceding calendar month by the Department on behalf of the
4county; less 2% of the balance, which sum shall be retained by
5the State Treasurer to cover the costs incurred by the
6Department in administering and enforcing the provisions of
7this Section. The Department, at the time of each monthly
8disbursement to the counties, shall prepare and certify to the
9Comptroller the amount so retained by the State Treasurer,
10which shall be transferred into the Tax Compliance and
11Administration Fund.
12 (e) Nothing in this Section shall be construed to authorize
13a county to impose a tax upon the privilege of engaging in any
14business which under the Constitution of the United States may
15not be made the subject of taxation by this State.
16 (f) Until January 1, 2020, an ordinance or resolution
17imposing a tax hereunder or effecting a change in the rate
18thereof shall be effective on the first day of the second
19calendar month next following the month in which the ordinance
20or resolution is adopted and a certified copy thereof is filed
21with the Department of Revenue, whereupon the Department of
22Revenue shall proceed to administer and enforce this Section on
23behalf of the county as of the effective date of the ordinance
24or resolution.
25 On and after January 1, 2020, an ordinance or resolution
26imposing or discontinuing the tax hereunder or effecting a

HB5561- 939 -LRB101 17547 JWD 66965 b
1change in the rate thereof shall either: (i) be adopted and a
2certified copy thereof filed with the Department on or before
3the first day of April, whereupon the Department shall proceed
4to administer and enforce this Section as of the first day of
5July next following the adoption and filing; or (ii) be adopted
6and a certified copy thereof filed with the Department on or
7before the first day of October, whereupon the Department shall
8proceed to administer and enforce this Section as of the first
9day of January next following the adoption and filing.
10 (g) This Section shall be known and may be cited as the
11County Motor Fuel Tax Law.
12(Source: P.A. 101-10, eff. 6-5-19; 101-32, eff. 6-28-19;
13101-275, eff. 8-9-19; 101-604, eff. 12-13-19.)
14 (20 ILCS 2705/2705-615 rep.)
15 Section 15-100. The Department of Transportation Law of the
16Civil Administrative Code of Illinois is amended by repealing
17Section 2705-615, as added by Public Act 101-32.
18
Article 99.
19 Section 99-1. Effective date. This Act takes effect upon
20becoming law.

HB5561- 940 -LRB101 17547 JWD 66965 b
1 INDEX
2 Statutes amended in order of appearance
3 30 ILCS 105/5.891 rep.
4 30 ILCS 105/5.893 rep.
5 30 ILCS 105/5.894 rep.
6 30 ILCS 105/5.895 rep.
7 30 ILCS 105/5.896 rep.
8 30 ILCS 105/6z-108 rep.
9 30 ILCS 105/6z-109 rep.
10 30 ILCS 105/6z-110 rep.
11 30 ILCS 105/6z-111 rep.
12 30 ILCS 105/6z-78
13 30 ILCS 330/2from Ch. 127, par. 652
14 30 ILCS 330/2.5
15 30 ILCS 330/3from Ch. 127, par. 653
16 30 ILCS 330/4from Ch. 127, par. 654
17 30 ILCS 330/5from Ch. 127, par. 655
18 30 ILCS 330/6from Ch. 127, par. 656
19 30 ILCS 330/7.6
20 30 ILCS 330/9from Ch. 127, par. 659
21 30 ILCS 330/11from Ch. 127, par. 661
22 30 ILCS 330/12from Ch. 127, par. 662
23 30 ILCS 330/15from Ch. 127, par. 665
24 30 ILCS 330/19from Ch. 127, par. 669
25 30 ILCS 425/2from Ch. 127, par. 2802

HB5561- 941 -LRB101 17547 JWD 66965 b
1 30 ILCS 425/4from Ch. 127, par. 2804
2 30 ILCS 425/6from Ch. 127, par. 2806
3 30 ILCS 425/8from Ch. 127, par. 2808
4 70 ILCS 3615/2.32
5 35 ILCS 185/Act rep.
6 35 ILCS 525/Act rep.
7 5 ILCS 100/5-45from Ch. 127, par. 1005-45
8 20 ILCS 605/605-1025 rep.
9 30 ILCS 105/5.891 rep.
10 30 ILCS 105/5.893 rep.
11 30 ILCS 105/5.894 rep.
12 35 ILCS 5/229 rep.
13 35 ILCS 105/2from Ch. 120, par. 439.2
14 35 ILCS 105/3-5
15 35 ILCS 110/3-5
16 35 ILCS 115/3-5
17 35 ILCS 120/1from Ch. 120, par. 440
18 35 ILCS 120/2from Ch. 120, par. 441
19 35 ILCS 120/2-5
20 35 ILCS 120/2-12
21 35 ILCS 120/2afrom Ch. 120, par. 441a
22 35 ILCS 130/2from Ch. 120, par. 453.2
23 35 ILCS 130/29.1 new
24 35 ILCS 135/2from Ch. 120, par. 453.32
25 35 ILCS 135/35from Ch. 120, par. 453.65
26 35 ILCS 143/10-5

HB5561- 942 -LRB101 17547 JWD 66965 b
1 35 ILCS 143/10-10
2 815 ILCS 375/11.1from Ch. 121 1/2, par. 571.1
3 30 ILCS 559/Act rep.
4 30 ILCS 105/5.895 rep.
5 30 ILCS 500/20-10
6 820 ILCS 130/5from Ch. 48, par. 39s-5
7 230 ILCS 45/Act rep.
8 30 ILCS 105/5.896 rep.
9 230 ILCS 10/13from Ch. 120, par. 2413
10 720 ILCS 5/28-1from Ch. 38, par. 28-1
11 720 ILCS 5/28-3from Ch. 38, par. 28-3
12 720 ILCS 5/28-5from Ch. 38, par. 28-5
13 230 ILCS 50/Act rep.
14 30 ILCS 105/5.897 rep.
15 5 ILCS 120/2from Ch. 102, par. 42
16 5 ILCS 430/5-45
17 20 ILCS 301/5-20
18 20 ILCS 1605/9.1
19 20 ILCS 2505/2505-305was 20 ILCS 2505/39b15.1
20 30 ILCS 105/6z-45
21 35 ILCS 5/201from Ch. 120, par. 2-201
22 35 ILCS 5/303from Ch. 120, par. 3-303
23 35 ILCS 5/304from Ch. 120, par. 3-304
24 35 ILCS 5/710from Ch. 120, par. 7-710
25 70 ILCS 1825/5.1from Ch. 19, par. 255.1
26 205 ILCS 670/12.5

HB5561- 943 -LRB101 17547 JWD 66965 b
1 230 ILCS 5/3.32 rep.
2 230 ILCS 5/3.33 rep.
3 230 ILCS 5/3.34 rep.
4 230 ILCS 5/3.35 rep.
5 230 ILCS 5/19.5 rep.
6 230 ILCS 5/34.3 rep.
7 230 ILCS 5/56 rep.
8 230 ILCS 5/1.2
9 230 ILCS 5/3.11from Ch. 8, par. 37-3.11
10 230 ILCS 5/3.12from Ch. 8, par. 37-3.12
11 230 ILCS 5/6from Ch. 8, par. 37-6
12 230 ILCS 5/9from Ch. 8, par. 37-9
13 230 ILCS 5/15from Ch. 8, par. 37-15
14 230 ILCS 5/18from Ch. 8, par. 37-18
15 230 ILCS 5/19from Ch. 8, par. 37-19
16 230 ILCS 5/20from Ch. 8, par. 37-20
17 230 ILCS 5/21from Ch. 8, par. 37-21
18 230 ILCS 5/24from Ch. 8, par. 37-24
19 230 ILCS 5/25from Ch. 8, par. 37-25
20 230 ILCS 5/26from Ch. 8, par. 37-26
21 230 ILCS 5/26.8
22 230 ILCS 5/26.9
23 230 ILCS 5/27from Ch. 8, par. 37-27
24 230 ILCS 5/29from Ch. 8, par. 37-29
25 230 ILCS 5/30from Ch. 8, par. 37-30
26 230 ILCS 5/30.5

HB5561- 944 -LRB101 17547 JWD 66965 b
1 230 ILCS 5/31from Ch. 8, par. 37-31
2 230 ILCS 5/31.1from Ch. 8, par. 37-31.1
3 230 ILCS 5/32.1
4 230 ILCS 5/36from Ch. 8, par. 37-36
5 230 ILCS 5/40from Ch. 8, par. 37-40
6 230 ILCS 5/54.75
7 230 ILCS 10/5.3 rep.
8 230 ILCS 10/7.7 rep.
9 230 ILCS 10/7.8 rep.
10 230 ILCS 10/7.10 rep.
11 230 ILCS 10/7.11 rep.
12 230 ILCS 10/7.12 rep.
13 230 ILCS 10/7.13 rep.
14 230 ILCS 10/7.14 rep.
15 230 ILCS 10/7.15 rep.
16 230 ILCS 10/1from Ch. 120, par. 2401
17 230 ILCS 10/2from Ch. 120, par. 2402
18 230 ILCS 10/3from Ch. 120, par. 2403
19 230 ILCS 10/4from Ch. 120, par. 2404
20 230 ILCS 10/5from Ch. 120, par. 2405
21 230 ILCS 10/5.1from Ch. 120, par. 2405.1
22 230 ILCS 10/6from Ch. 120, par. 2406
23 230 ILCS 10/7from Ch. 120, par. 2407
24 230 ILCS 10/7.3
25 230 ILCS 10/7.5
26 230 ILCS 10/8from Ch. 120, par. 2408

HB5561- 945 -LRB101 17547 JWD 66965 b
1 230 ILCS 10/9from Ch. 120, par. 2409
2 230 ILCS 10/11from Ch. 120, par. 2411
3 230 ILCS 10/11.1from Ch. 120, par. 2411.1
4 230 ILCS 10/12from Ch. 120, par. 2412
5 230 ILCS 10/14from Ch. 120, par. 2414
6 230 ILCS 10/15from Ch. 120, par. 2415
7 230 ILCS 10/17from Ch. 120, par. 2417
8 230 ILCS 10/17.1from Ch. 120, par. 2417.1
9 230 ILCS 10/18from Ch. 120, par. 2418
10 230 ILCS 10/18.1
11 230 ILCS 10/19from Ch. 120, par. 2419
12 230 ILCS 10/20from Ch. 120, par. 2420
13 230 ILCS 10/24
14 230 ILCS 40/5
15 230 ILCS 40/15
16 230 ILCS 40/20
17 230 ILCS 40/25
18 230 ILCS 40/30
19 230 ILCS 40/35
20 230 ILCS 40/45
21 230 ILCS 40/55
22 230 ILCS 40/58
23 230 ILCS 40/60
24 230 ILCS 40/79
25 230 ILCS 40/80
26 235 ILCS 5/5-1from Ch. 43, par. 115

HB5561- 946 -LRB101 17547 JWD 66965 b
1 235 ILCS 5/6-30from Ch. 43, par. 144f
2 305 ILCS 5/10-17.15
3 430 ILCS 66/65
4 720 ILCS 5/28-1.1from Ch. 38, par. 28-1.1
5 720 ILCS 5/28-2from Ch. 38, par. 28-2
6 720 ILCS 5/28-7from Ch. 38, par. 28-7
7 815 ILCS 122/3-5
8 815 ILCS 420/2from Ch. 121 1/2, par. 1852
9 30 ILCS 105/5.490a new
10 230 ILCS 5/2.1a new
11 230 ILCS 5/54a new
12 30 ILCS 178/Act rep.
13 35 ILCS 105/9from Ch. 120, par. 439.9
14 35 ILCS 110/9from Ch. 120, par. 439.39
15 35 ILCS 110/9from Ch. 120, par. 439.39
16 35 ILCS 120/3from Ch. 120, par. 442
17 35 ILCS 505/2from Ch. 120, par. 418
18 35 ILCS 505/8from Ch. 120, par. 424
19 35 ILCS 505/8b rep.
20 65 ILCS 5/8-11-2.3 rep.
21 625 ILCS 5/3-805from Ch. 95 1/2, par. 3-805
22 625 ILCS 5/3-806from Ch. 95 1/2, par. 3-806
23 625 ILCS 5/3-815from Ch. 95 1/2, par. 3-815
24 625 ILCS 5/3-815.1
25 625 ILCS 5/3-818from Ch. 95 1/2, par. 3-818
26 625 ILCS 5/3-819from Ch. 95 1/2, par. 3-819

HB5561- 947 -LRB101 17547 JWD 66965 b