Bill Text: IL SB1162 | 2013-2014 | 98th General Assembly | Engrossed

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Bill Title: Amends the Economic Development for a Growing Economy Tax Credit Act. Makes a technical change in a Section concerning the purpose of the Act.

Sponsorship: Slight Partisan Bill (Democrat 5-3)

Status: (Failed) 2015-01-13 - Session Sine Die [SB1162 Detail]

Download: Illinois-2013-SB1162-Engrossed.html

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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Hotel Operators' Occupation Tax Act is
amended by changing Section 3 as follows:
(35 ILCS 145/3) (from Ch. 120, par. 481b.33)
Sec. 3. Rate; exemptions Exemption.
(a) A tax is imposed upon persons engaged in the business
of renting, leasing or letting rooms in a hotel at the rate of
5% of 94% of the gross rental receipts from such renting,
leasing or letting, excluding, however, from gross rental
receipts, the proceeds of such renting, leasing or letting to
permanent residents of that hotel and proceeds from the tax
imposed under subsection (c) of Section 13 of the Metropolitan
Pier and Exposition Authority Act.
(b) Commencing on the first day of the first month after
the month this amendatory Act of 1984 becomes law, there shall
be imposed an additional tax upon persons engaged in the
business of renting, leasing or letting rooms in a hotel at the
rate of 1% of 94% of the gross rental receipts from such
renting, leasing or letting, excluding, however, from gross
rental receipts, the proceeds of such renting, leasing or
letting to permanent residents of that hotel and proceeds from

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the tax imposed under subsection (c) of Section 13 of the
Metropolitan Pier and Exposition Authority Act.
(c) No funds received pursuant to this Act shall be used to
advertise for or otherwise promote new competition in the hotel
business.
(d) However, such tax is not imposed upon the privilege of
engaging in any business in Interstate Commerce or otherwise,
which business may not, under the Constitution and Statutes of
the United States, be made the subject of taxation by this
State. In addition, the tax is not imposed upon gross rental
receipts for which the hotel operator is prohibited from
obtaining reimbursement for the tax from the customer by reason
of a federal treaty.
(e) Persons subject to the tax imposed by this Act may
reimburse themselves for their tax liability under this Act by
separately stating such tax as an additional charge, which
charge may be stated in combination, in a single amount, with
any tax imposed pursuant to Sections 8-3-13 and 8-3-14 of the
Illinois Municipal Code, and Section 25.05-10 of "An Act to
revise the law in relation to counties".
(f) If any hotel operator collects an amount (however
designated) which purports to reimburse such operator for hotel
operators' occupation tax liability measured by receipts which
are not subject to hotel operators' occupation tax, or if any
hotel operator, in collecting an amount (however designated)
which purports to reimburse such operator for hotel operators'

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occupation tax liability measured by receipts which are subject
to tax under this Act, collects more from the customer than the
operators' hotel operators' occupation tax liability in the
transaction is, the customer shall have a legal right to claim
a refund of such amount from such operator. However, if such
amount is not refunded to the customer for any reason, the
hotel operator is liable to pay such amount to the Department.
(g) Notwithstanding any other provision of law, the tax is
not imposed on the renting, leasing, or letting of hotel rooms
to the American Red Cross for the provision or coordination of
disaster relief services. The exemption under this subsection
for the renting, leasing, or letting of hotel rooms to the
American Red Cross shall not apply except during the provision
or coordination of disaster relief services.
(Source: P.A. 87-733.)
Section 10. The Counties Code is amended by changing
Section 5-1030 as follows:
(55 ILCS 5/5-1030) (from Ch. 34, par. 5-1030)
Sec. 5-1030. Hotel rooms, tax on gross rental receipts. The
corporate authorities of any county may by ordinance impose a
tax upon all persons engaged in such county in the business of
renting, leasing or letting rooms in a hotel which is not
located within a city, village, or incorporated town that
imposes a tax under Section 8-3-14 of the Illinois Municipal

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Code, as defined in "The Hotel Operators' Occupation Tax Act",
at a rate not to exceed 5% of the gross rental receipts from
such renting, leasing or letting, excluding, however, from
gross rental receipts, the proceeds of such renting, leasing or
letting to permanent residents of that hotel, and may provide
for the administration and enforcement of the tax, and for the
collection thereof from the persons subject to the tax, as the
corporate authorities determine to be necessary or practicable
for the effective administration of the tax.
Persons subject to any tax imposed pursuant to authority
granted by this Section may reimburse themselves for their tax
liability for such tax by separately stating such tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax imposed under "The Hotel
Operators' Occupation Tax Act".
Nothing in this Section shall be construed to authorize a
county to impose a tax upon the privilege of engaging in any
business which under the Constitution of the United States may
not be made the subject of taxation by this State.
An ordinance or resolution imposing a tax hereunder or
effecting a change in the rate thereof shall be effective on
the first day of the calendar month next following its passage
and required publication.
The amounts collected by any county pursuant to this
Section shall be expended to promote tourism; conventions;
expositions; theatrical, sports and cultural activities within

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that county or otherwise to attract nonresident overnight
visitors to the county.
Any county may agree with any unit of local government,
including any authority defined as a metropolitan exposition,
auditorium and office building authority, fair and exposition
authority, exposition and auditorium authority, or civic
center authority created pursuant to provisions of Illinois law
and the territory of which unit of local government or
authority is co-extensive with or wholly within such county, to
impose and collect for a period not to exceed 40 years, any
portion or all of the tax authorized pursuant to this Section
and to transmit such tax so collected to such unit of local
government or authority. The amount so paid shall be expended
by any such unit of local government or authority for the
purposes for which such tax is authorized. Any such agreement
must be authorized by resolution or ordinance, as the case may
be, of such county and unit of local government or authority,
and such agreement may provide for the irrevocable imposition
and collection of said tax at such rate, or amount as limited
by a given rate, as may be agreed upon for the full period of
time set forth in such agreement; and such agreement may
further provide for any other terms as deemed necessary or
advisable by such county and such unit of local government or
authority. Any such agreement shall be binding and enforceable
by either party to such agreement. Such agreement entered into
pursuant to this Section shall not in any event constitute an

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indebtedness of such county subject to any limitation imposed
by statute or otherwise.
Notwithstanding any other provision of law, the tax is not
imposed on the renting, leasing, or letting of hotel rooms to
the American Red Cross for the provision or coordination of
disaster relief services. This exemption for the renting,
leasing, or letting of hotel rooms to the American Red Cross
shall not apply except during the provision or coordination of
disaster relief services.
(Source: P.A. 86-962.)
Section 15. The Illinois Municipal Code is amended by
changing Sections 8-3-14, 8-3-14a, and 11-74.3-6 as follows:
(65 ILCS 5/8-3-14) (from Ch. 24, par. 8-3-14)
Sec. 8-3-14. Municipal hotel operators' occupation tax.
The corporate authorities of any municipality may impose a tax
upon all persons engaged in such municipality in the business
of renting, leasing or letting rooms in a hotel, as defined in
"The Hotel Operators' Occupation Tax Act," at a rate not to
exceed 6% in the City of East Peoria and in the Village of
Morton and 5% in all other municipalities of the gross rental
receipts from such renting, leasing or letting, excluding,
however, from gross rental receipts, the proceeds of such
renting, leasing or letting to permanent residents of that
hotel and proceeds from the tax imposed under subsection (c) of

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Section 13 of the Metropolitan Pier and Exposition Authority
Act, and may provide for the administration and enforcement of
the tax, and for the collection thereof from the persons
subject to the tax, as the corporate authorities determine to
be necessary or practicable for the effective administration of
the tax. The municipality may not impose a tax under this
Section if it imposes a tax under Section 8-3-14a.
Persons subject to any tax imposed pursuant to authority
granted by this Section may reimburse themselves for their tax
liability for such tax by separately stating such tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax imposed under "The Hotel
Operators' Occupation Tax Act".
Nothing in this Section shall be construed to authorize a
municipality to impose a tax upon the privilege of engaging in
any business which under the constitution of the United States
may not be made the subject of taxation by this State.
The amounts collected by any municipality pursuant to this
Section shall be expended by the municipality solely to promote
tourism and conventions within that municipality or otherwise
to attract nonresident overnight visitors to the municipality.
No funds received pursuant to this Section shall be used to
advertise for or otherwise promote new competition in the hotel
business.
Notwithstanding any other provision of law, the tax is not
imposed on the renting, leasing, or letting of hotel rooms to

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the American Red Cross for the provision or coordination of
disaster relief services. This exemption for the renting,
leasing, or letting of hotel rooms to the American Red Cross
shall not apply except during the provision or coordination of
disaster relief services.
(Source: P.A. 95-967, eff. 9-23-08; 96-238, eff. 8-11-09.)
(65 ILCS 5/8-3-14a)
Sec. 8-3-14a. Municipal hotel use tax.
(a) The corporate authorities of any municipality may
impose a tax upon the privilege of renting or leasing rooms in
a hotel within the municipality at a rate not to exceed 5% of
the rental or lease payment. The corporate authorities may
provide for the administration and enforcement of the tax and
for the collection thereof from the persons subject to the tax,
as the corporate authorities determine to be necessary or
practical for the effective administration of the tax.
(b) Each hotel in the municipality shall collect the tax
from the person making the rental or lease payment at the time
that the payment is tendered to the hotel. The hotel shall, as
trustee, remit the tax to the municipality.
(c) The tax authorized under this Section does not apply to
any rental or lease payment by a permanent resident of that
hotel or to any payment made to any hotel that is subject to
the tax imposed under subsection (c) of Section 13 of the
Metropolitan Pier and Exposition Authority Act. A municipality

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may not impose a tax under this Section if it imposes a tax
under Section 8-3-14. Nothing in this Section may be construed
to authorize a municipality to impose a tax upon the privilege
of engaging in any business that under the Constitution of the
United States may not be made the subject of taxation by this
State.
(c-5) Notwithstanding any other provision of law, the tax
is not imposed on the renting or leasing of hotel rooms by the
American Red Cross for the provision or coordination of
disaster relief services. This exemption for the renting,
leasing, or letting of hotel rooms to the American Red Cross
shall not apply except during the provision or coordination of
disaster relief services.
(d) The moneys collected by a municipality under this
Section may be expended solely to promote tourism and
conventions within that municipality or otherwise to attract
nonresident overnight visitors to the municipality. No moneys
received under this Section may be used to advertise for or
otherwise promote new competition in the hotel business.
(e) As used in this Section, "hotel" has the meaning set
forth in Section 2 of the Hotel Operators' Occupation Tax Act.
(Source: P.A. 96-238, eff. 8-11-09.)
(65 ILCS 5/11-74.3-6)
Sec. 11-74.3-6. Business district revenue and obligations;
business district tax allocation fund.

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(a) If the corporate authorities of a municipality have
approved a business district plan, have designated a business
district, and have elected to impose a tax by ordinance
pursuant to subsection (10) or (11) of Section 11-74.3-3, then
each year after the date of the approval of the ordinance but
terminating upon the date all business district project costs
and all obligations paying or reimbursing business district
project costs, if any, have been paid, but in no event later
than the dissolution date, all amounts generated by the
retailers' occupation tax and service occupation tax shall be
collected and the tax shall be enforced by the Department of
Revenue in the same manner as all retailers' occupation taxes
and service occupation taxes imposed in the municipality
imposing the tax and all amounts generated by the hotel
operators' occupation tax shall be collected and the tax shall
be enforced by the municipality in the same manner as all hotel
operators' occupation taxes imposed in the municipality
imposing the tax. The corporate authorities of the municipality
shall deposit the proceeds of the taxes imposed under
subsections (10) and (11) of Section 11-74.3-3 into a special
fund of the municipality called the "[Name of] Business
District Tax Allocation Fund" for the purpose of paying or
reimbursing business district project costs and obligations
incurred in the payment of those costs.
(b) The corporate authorities of a municipality that has
designated a business district under this Law may, by

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ordinance, impose a Business District Retailers' Occupation
Tax upon all persons engaged in the business of selling
tangible personal property, other than an item of tangible
personal property titled or registered with an agency of this
State's government, at retail in the business district at a
rate not to exceed 1% of the gross receipts from the sales made
in the course of such business, to be imposed only in 0.25%
increments. The tax may not be imposed on food for human
consumption that is to be consumed off the premises where it is
sold (other than alcoholic beverages, soft drinks, and food
that has been prepared for immediate consumption),
prescription and nonprescription medicines, drugs, medical
appliances, modifications to a motor vehicle for the purpose of
rendering it usable by a disabled person, and insulin, urine
testing materials, syringes, and needles used by diabetics, for
human use.
The tax imposed under this subsection and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the Department of Revenue. The
certificate of registration that is issued by the Department to
a retailer under the Retailers' Occupation Tax Act shall permit
the retailer to engage in a business that is taxable under any
ordinance or resolution enacted pursuant to this subsection
without registering separately with the Department under such
ordinance or resolution or under this subsection. The
Department of Revenue shall have full power to administer and

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enforce this subsection; to collect all taxes and penalties due
under this subsection in the manner hereinafter provided; and
to determine all rights to credit memoranda arising on account
of the erroneous payment of tax or penalty under this
subsection. In the administration of, and compliance with, this
subsection, the Department and persons who are subject to this
subsection shall have the same rights, remedies, privileges,
immunities, powers and duties, and be subject to the same
conditions, restrictions, limitations, penalties, exclusions,
exemptions, and definitions of terms and employ the same modes
of procedure, as are prescribed in Sections 1, 1a through 1o, 2
through 2-65 (in respect to all provisions therein other than
the State rate of tax), 2c through 2h, 3 (except as to the
disposition of taxes and penalties collected), 4, 5, 5a, 5c,
5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11,
12, 13, and 14 of the Retailers' Occupation Tax Act and all
provisions of the Uniform Penalty and Interest Act, as fully as
if those provisions were set forth herein.
Persons subject to any tax imposed under this subsection
may reimburse themselves for their seller's tax liability under
this subsection by separately stating the tax as an additional
charge, which charge may be stated in combination, in a single
amount, with State taxes that sellers are required to collect
under the Use Tax Act, in accordance with such bracket
schedules as the Department may prescribe.
Whenever the Department determines that a refund should be

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made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the business district retailers' occupation
tax fund.
The Department shall immediately pay over to the State
Treasurer, ex officio, as trustee, all taxes, penalties, and
interest collected under this subsection for deposit into the
business district retailers' occupation tax fund.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this subsection
during the second preceding calendar month for sales within a
STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities
from the business district retailers' occupation tax fund, the
municipalities to be those from which retailers have paid taxes
or penalties under this subsection to the Department during the

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second preceding calendar month. The amount to be paid to each
municipality shall be the amount (not including credit
memoranda) collected under this subsection during the second
preceding calendar month by the Department plus an amount the
Department determines is necessary to offset any amounts that
were erroneously paid to a different taxing body, and not
including an amount equal to the amount of refunds made during
the second preceding calendar month by the Department, less 2%
of that amount, which shall be deposited into the Tax
Compliance and Administration Fund and shall be used by the
Department, subject to appropriation, to cover the costs of the
Department in administering and enforcing the provisions of
this subsection, on behalf of such municipality, and not
including any amount that the Department determines is
necessary to offset any amounts that were payable to a
different taxing body but were erroneously paid to the
municipality, and not including any amounts that are
transferred to the STAR Bonds Revenue Fund. Within 10 days
after receipt by the Comptroller of the disbursement
certification to the municipalities provided for in this
subsection to be given to the Comptroller by the Department,
the Comptroller shall cause the orders to be drawn for the
respective amounts in accordance with the directions contained
in the certification. The proceeds of the tax paid to
municipalities under this subsection shall be deposited into
the Business District Tax Allocation Fund by the municipality.

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An ordinance imposing or discontinuing the tax under this
subsection or effecting a change in the rate thereof shall
either (i) be adopted and a certified copy thereof filed with
the Department on or before the first day of April, whereupon
the Department, if all other requirements of this subsection
are met, shall proceed to administer and enforce this
subsection as of the first day of July next following the
adoption and filing; or (ii) be adopted and a certified copy
thereof filed with the Department on or before the first day of
October, whereupon, if all other requirements of this
subsection are met, the Department shall proceed to administer
and enforce this subsection as of the first day of January next
following the adoption and filing.
The Department of Revenue shall not administer or enforce
an ordinance imposing, discontinuing, or changing the rate of
the tax under this subsection, until the municipality also
provides, in the manner prescribed by the Department, the
boundaries of the business district and each address in the
business district in such a way that the Department can
determine by its address whether a business is located in the
business district. The municipality must provide this boundary
and address information to the Department on or before April 1
for administration and enforcement of the tax under this
subsection by the Department beginning on the following July 1
and on or before October 1 for administration and enforcement
of the tax under this subsection by the Department beginning on

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the following January 1. The Department of Revenue shall not
administer or enforce any change made to the boundaries of a
business district or address change, addition, or deletion
until the municipality reports the boundary change or address
change, addition, or deletion to the Department in the manner
prescribed by the Department. The municipality must provide
this boundary change information or address change, addition,
or deletion to the Department on or before April 1 for
administration and enforcement by the Department of the change
beginning on the following July 1 and on or before October 1
for administration and enforcement by the Department of the
change beginning on the following January 1. The retailers in
the business district shall be responsible for charging the tax
imposed under this subsection. If a retailer is incorrectly
included or excluded from the list of those required to collect
the tax under this subsection, both the Department of Revenue
and the retailer shall be held harmless if they reasonably
relied on information provided by the municipality.
A municipality that imposes the tax under this subsection
must submit to the Department of Revenue any other information
as the Department may require for the administration and
enforcement of the tax.
When certifying the amount of a monthly disbursement to a
municipality under this subsection, the Department shall
increase or decrease the amount by an amount necessary to
offset any misallocation of previous disbursements. The offset

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amount shall be the amount erroneously disbursed within the
previous 6 months from the time a misallocation is discovered.
Nothing in this subsection shall be construed to authorize
the municipality to impose a tax upon the privilege of engaging
in any business which under the Constitution of the United
States may not be made the subject of taxation by this State.
If a tax is imposed under this subsection (b), a tax shall
also be imposed under subsection (c) of this Section.
(c) If a tax has been imposed under subsection (b), a
Business District Service Occupation Tax shall also be imposed
upon all persons engaged, in the business district, in the
business of making sales of service, who, as an incident to
making those sales of service, transfer tangible personal
property within the business district, either in the form of
tangible personal property or in the form of real estate as an
incident to a sale of service. The tax shall be imposed at the
same rate as the tax imposed in subsection (b) and shall not
exceed 1% of the selling price of tangible personal property so
transferred within the business district, to be imposed only in
0.25% increments. The tax may not be imposed on food for human
consumption that is to be consumed off the premises where it is
sold (other than alcoholic beverages, soft drinks, and food
that has been prepared for immediate consumption),
prescription and nonprescription medicines, drugs, medical
appliances, modifications to a motor vehicle for the purpose of
rendering it usable by a disabled person, and insulin, urine

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testing materials, syringes, and needles used by diabetics, for
human use.
The tax imposed under this subsection and all civil
penalties that may be assessed as an incident thereof shall be
collected and enforced by the Department of Revenue. The
certificate of registration which is issued by the Department
to a retailer under the Retailers' Occupation Tax Act or under
the Service Occupation Tax Act shall permit such registrant to
engage in a business which is taxable under any ordinance or
resolution enacted pursuant to this subsection without
registering separately with the Department under such
ordinance or resolution or under this subsection. The
Department of Revenue shall have full power to administer and
enforce this subsection; to collect all taxes and penalties due
under this subsection; to dispose of taxes and penalties so
collected in the manner hereinafter provided; and to determine
all rights to credit memoranda arising on account of the
erroneous payment of tax or penalty under this subsection. In
the administration of, and compliance with this subsection, the
Department and persons who are subject to this subsection shall
have the same rights, remedies, privileges, immunities, powers
and duties, and be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions,
and definitions of terms and employ the same modes of procedure
as are prescribed in Sections 2, 2a through 2d, 3 through 3-50
(in respect to all provisions therein other than the State rate

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of tax), 4 (except that the reference to the State shall be to
the business district), 5, 7, 8 (except that the jurisdiction
to which the tax shall be a debt to the extent indicated in
that Section 8 shall be the municipality), 9 (except as to the
disposition of taxes and penalties collected, and except that
the returned merchandise credit for this tax may not be taken
against any State tax), 10, 11, 12 (except the reference
therein to Section 2b of the Retailers' Occupation Tax Act), 13
(except that any reference to the State shall mean the
municipality), the first paragraph of Section 15, and Sections
16, 17, 18, 19 and 20 of the Service Occupation Tax Act and all
provisions of the Uniform Penalty and Interest Act, as fully as
if those provisions were set forth herein.
Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
serviceman's tax liability hereunder by separately stating the
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that servicemen
are authorized to collect under the Service Use Tax Act, in
accordance with such bracket schedules as the Department may
prescribe.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the order to be drawn for the
amount specified, and to the person named, in such notification

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from the Department. Such refund shall be paid by the State
Treasurer out of the business district retailers' occupation
tax fund.
The Department shall forthwith pay over to the State
Treasurer, ex-officio, as trustee, all taxes, penalties, and
interest collected under this subsection for deposit into the
business district retailers' occupation tax fund.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this subsection
during the second preceding calendar month for sales within a
STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
disbursement of stated sums of money to named municipalities
from the business district retailers' occupation tax fund, the
municipalities to be those from which suppliers and servicemen
have paid taxes or penalties under this subsection to the
Department during the second preceding calendar month. The
amount to be paid to each municipality shall be the amount (not
including credit memoranda) collected under this subsection
during the second preceding calendar month by the Department,

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less 2% of that amount, which shall be deposited into the Tax
Compliance and Administration Fund and shall be used by the
Department, subject to appropriation, to cover the costs of the
Department in administering and enforcing the provisions of
this subsection, and not including an amount equal to the
amount of refunds made during the second preceding calendar
month by the Department on behalf of such municipality, and not
including any amounts that are transferred to the STAR Bonds
Revenue Fund. Within 10 days after receipt, by the Comptroller,
of the disbursement certification to the municipalities,
provided for in this subsection to be given to the Comptroller
by the Department, the Comptroller shall cause the orders to be
drawn for the respective amounts in accordance with the
directions contained in such certification. The proceeds of the
tax paid to municipalities under this subsection shall be
deposited into the Business District Tax Allocation Fund by the
municipality.
An ordinance imposing or discontinuing the tax under this
subsection or effecting a change in the rate thereof shall
either (i) be adopted and a certified copy thereof filed with
the Department on or before the first day of April, whereupon
the Department, if all other requirements of this subsection
are met, shall proceed to administer and enforce this
subsection as of the first day of July next following the
adoption and filing; or (ii) be adopted and a certified copy
thereof filed with the Department on or before the first day of

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October, whereupon, if all other conditions of this subsection
are met, the Department shall proceed to administer and enforce
this subsection as of the first day of January next following
the adoption and filing.
The Department of Revenue shall not administer or enforce
an ordinance imposing, discontinuing, or changing the rate of
the tax under this subsection, until the municipality also
provides, in the manner prescribed by the Department, the
boundaries of the business district in such a way that the
Department can determine by its address whether a business is
located in the business district. The municipality must provide
this boundary and address information to the Department on or
before April 1 for administration and enforcement of the tax
under this subsection by the Department beginning on the
following July 1 and on or before October 1 for administration
and enforcement of the tax under this subsection by the
Department beginning on the following January 1. The Department
of Revenue shall not administer or enforce any change made to
the boundaries of a business district or address change,
addition, or deletion until the municipality reports the
boundary change or address change, addition, or deletion to the
Department in the manner prescribed by the Department. The
municipality must provide this boundary change information or
address change, addition, or deletion to the Department on or
before April 1 for administration and enforcement by the
Department of the change beginning on the following July 1 and

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on or before October 1 for administration and enforcement by
the Department of the change beginning on the following January
1. The retailers in the business district shall be responsible
for charging the tax imposed under this subsection. If a
retailer is incorrectly included or excluded from the list of
those required to collect the tax under this subsection, both
the Department of Revenue and the retailer shall be held
harmless if they reasonably relied on information provided by
the municipality.
A municipality that imposes the tax under this subsection
must submit to the Department of Revenue any other information
as the Department may require for the administration and
enforcement of the tax.
Nothing in this subsection shall be construed to authorize
the municipality to impose a tax upon the privilege of engaging
in any business which under the Constitution of the United
States may not be made the subject of taxation by the State.
If a tax is imposed under this subsection (c), a tax shall
also be imposed under subsection (b) of this Section.
(d) By ordinance, a municipality that has designated a
business district under this Law may impose an occupation tax
upon all persons engaged in the business district in the
business of renting, leasing, or letting rooms in a hotel, as
defined in the Hotel Operators' Occupation Tax Act, at a rate
not to exceed 1% of the gross rental receipts from the renting,
leasing, or letting of hotel rooms within the business

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district, to be imposed only in 0.25% increments, excluding,
however, from gross rental receipts the proceeds of renting,
leasing, or letting to permanent residents of a hotel, as
defined in the Hotel Operators' Occupation Tax Act, and
proceeds from the tax imposed under subsection (c) of Section
13 of the Metropolitan Pier and Exposition Authority Act.
The tax imposed by the municipality under this subsection
and all civil penalties that may be assessed as an incident to
that tax shall be collected and enforced by the municipality
imposing the tax. The municipality shall have full power to
administer and enforce this subsection, to collect all taxes
and penalties due under this subsection, to dispose of taxes
and penalties so collected in the manner provided in this
subsection, and to determine all rights to credit memoranda
arising on account of the erroneous payment of tax or penalty
under this subsection. In the administration of and compliance
with this subsection, the municipality and persons who are
subject to this subsection shall have the same rights,
remedies, privileges, immunities, powers, and duties, shall be
subject to the same conditions, restrictions, limitations,
penalties, and definitions of terms, and shall employ the same
modes of procedure as are employed with respect to a tax
adopted by the municipality under Section 8-3-14 of this Code.
Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
tax liability for that tax by separately stating that tax as an

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additional charge, which charge may be stated in combination,
in a single amount, with State taxes imposed under the Hotel
Operators' Occupation Tax Act, and with any other tax.
Nothing in this subsection shall be construed to authorize
a municipality to impose a tax upon the privilege of engaging
in any business which under the Constitution of the United
States may not be made the subject of taxation by this State.
The proceeds of the tax imposed under this subsection shall
be deposited into the Business District Tax Allocation Fund.
Notwithstanding any other provision of law, the tax under
this subsection (d) is not imposed on the renting or leasing of
hotel rooms by the American Red Cross for the provision or
coordination of disaster relief services. This exemption for
the renting or leasing of hotel rooms to the American Red Cross
shall not apply except during the provision or coordination of
disaster relief services.
(e) Obligations secured by the Business District Tax
Allocation Fund may be issued to provide for the payment or
reimbursement of business district project costs. Those
obligations, when so issued, shall be retired in the manner
provided in the ordinance authorizing the issuance of those
obligations by the receipts of taxes imposed pursuant to
subsections (10) and (11) of Section 11-74.3-3 and by other
revenue designated or pledged by the municipality. A
municipality may in the ordinance pledge, for any period of
time up to and including the dissolution date, all or any part

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of the funds in and to be deposited in the Business District
Tax Allocation Fund to the payment of business district project
costs and obligations. Whenever a municipality pledges all of
the funds to the credit of a business district tax allocation
fund to secure obligations issued or to be issued to pay or
reimburse business district project costs, the municipality
may specifically provide that funds remaining to the credit of
such business district tax allocation fund after the payment of
such obligations shall be accounted for annually and shall be
deemed to be "surplus" funds, and such "surplus" funds shall be
expended by the municipality for any business district project
cost as approved in the business district plan. Whenever a
municipality pledges less than all of the monies to the credit
of a business district tax allocation fund to secure
obligations issued or to be issued to pay or reimburse business
district project costs, the municipality shall provide that
monies to the credit of the business district tax allocation
fund and not subject to such pledge or otherwise encumbered or
required for payment of contractual obligations for specific
business district project costs shall be calculated annually
and shall be deemed to be "surplus" funds, and such "surplus"
funds shall be expended by the municipality for any business
district project cost as approved in the business district
plan.
No obligation issued pursuant to this Law and secured by a
pledge of all or any portion of any revenues received or to be

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received by the municipality from the imposition of taxes
pursuant to subsection (10) of Section 11-74.3-3, shall be
deemed to constitute an economic incentive agreement under
Section 8-11-20, notwithstanding the fact that such pledge
provides for the sharing, rebate, or payment of retailers'
occupation taxes or service occupation taxes imposed pursuant
to subsection (10) of Section 11-74.3-3 and received or to be
received by the municipality from the development or
redevelopment of properties in the business district.
Without limiting the foregoing in this Section, the
municipality may further secure obligations secured by the
business district tax allocation fund with a pledge, for a
period not greater than the term of the obligations and in any
case not longer than the dissolution date, of any part or any
combination of the following: (i) net revenues of all or part
of any business district project; (ii) taxes levied or imposed
by the municipality on any or all property in the municipality,
including, specifically, taxes levied or imposed by the
municipality in a special service area pursuant to the Special
Service Area Tax Law; (iii) the full faith and credit of the
municipality; (iv) a mortgage on part or all of the business
district project; or (v) any other taxes or anticipated
receipts that the municipality may lawfully pledge.
Such obligations may be issued in one or more series, bear
such date or dates, become due at such time or times as therein
provided, but in any case not later than (i) 20 years after the

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date of issue or (ii) the dissolution date, whichever is
earlier, bear interest payable at such intervals and at such
rate or rates as set forth therein, except as may be limited by
applicable law, which rate or rates may be fixed or variable,
be in such denominations, be in such form, either coupon,
registered, or book-entry, carry such conversion, registration
and exchange privileges, be subject to defeasance upon such
terms, have such rank or priority, be executed in such manner,
be payable in such medium or payment at such place or places
within or without the State, make provision for a corporate
trustee within or without the State with respect to such
obligations, prescribe the rights, powers, and duties thereof
to be exercised for the benefit of the municipality and the
benefit of the owners of such obligations, provide for the
holding in trust, investment, and use of moneys, funds, and
accounts held under an ordinance, provide for assignment of and
direct payment of the moneys to pay such obligations or to be
deposited into such funds or accounts directly to such trustee,
be subject to such terms of redemption with or without premium,
and be sold at such price, all as the corporate authorities
shall determine. No referendum approval of the electors shall
be required as a condition to the issuance of obligations
pursuant to this Law except as provided in this Section.
In the event the municipality authorizes the issuance of
obligations pursuant to the authority of this Law secured by
the full faith and credit of the municipality, or pledges ad

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valorem taxes pursuant to this subsection, which obligations
are other than obligations which may be issued under home rule
powers provided by Section 6 of Article VII of the Illinois
Constitution or which ad valorem taxes are other than ad
valorem taxes which may be pledged under home rule powers
provided by Section 6 of Article VII of the Illinois
Constitution or which are levied in a special service area
pursuant to the Special Service Area Tax Law, the ordinance
authorizing the issuance of those obligations or pledging those
taxes shall be published within 10 days after the ordinance has
been adopted, in a newspaper having a general circulation
within the municipality. The publication of the ordinance shall
be accompanied by a notice of (i) the specific number of voters
required to sign a petition requesting the question of the
issuance of the obligations or pledging such ad valorem taxes
to be submitted to the electors; (ii) the time within which the
petition must be filed; and (iii) the date of the prospective
referendum. The municipal clerk shall provide a petition form
to any individual requesting one.
If no petition is filed with the municipal clerk, as
hereinafter provided in this Section, within 21 days after the
publication of the ordinance, the ordinance shall be in effect.
However, if within that 21-day period a petition is filed with
the municipal clerk, signed by electors numbering not less than
15% of the number of electors voting for the mayor or president
at the last general municipal election, asking that the

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question of issuing obligations using full faith and credit of
the municipality as security for the cost of paying or
reimbursing business district project costs, or of pledging
such ad valorem taxes for the payment of those obligations, or
both, be submitted to the electors of the municipality, the
municipality shall not be authorized to issue obligations of
the municipality using the full faith and credit of the
municipality as security or pledging such ad valorem taxes for
the payment of those obligations, or both, until the
proposition has been submitted to and approved by a majority of
the voters voting on the proposition at a regularly scheduled
election. The municipality shall certify the proposition to the
proper election authorities for submission in accordance with
the general election law.
The ordinance authorizing the obligations may provide that
the obligations shall contain a recital that they are issued
pursuant to this Law, which recital shall be conclusive
evidence of their validity and of the regularity of their
issuance.
In the event the municipality authorizes issuance of
obligations pursuant to this Law secured by the full faith and
credit of the municipality, the ordinance authorizing the
obligations may provide for the levy and collection of a direct
annual tax upon all taxable property within the municipality
sufficient to pay the principal thereof and interest thereon as
it matures, which levy may be in addition to and exclusive of

SB1162 Engrossed - 31 - LRB098 07308 HLH 37371 b
the maximum of all other taxes authorized to be levied by the
municipality, which levy, however, shall be abated to the
extent that monies from other sources are available for payment
of the obligations and the municipality certifies the amount of
those monies available to the county clerk.
A certified copy of the ordinance shall be filed with the
county clerk of each county in which any portion of the
municipality is situated, and shall constitute the authority
for the extension and collection of the taxes to be deposited
in the business district tax allocation fund.
A municipality may also issue its obligations to refund, in
whole or in part, obligations theretofore issued by the
municipality under the authority of this Law, whether at or
prior to maturity. However, the last maturity of the refunding
obligations shall not be expressed to mature later than the
dissolution date.
In the event a municipality issues obligations under home
rule powers or other legislative authority, the proceeds of
which are pledged to pay or reimburse business district project
costs, the municipality may, if it has followed the procedures
in conformance with this Law, retire those obligations from
funds in the business district tax allocation fund in amounts
and in such manner as if those obligations had been issued
pursuant to the provisions of this Law.
No obligations issued pursuant to this Law shall be
regarded as indebtedness of the municipality issuing those

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obligations or any other taxing district for the purpose of any
limitation imposed by law.
Obligations issued pursuant to this Law shall not be
subject to the provisions of the Bond Authorization Act.
(f) When business district project costs, including,
without limitation, all obligations paying or reimbursing
business district project costs have been paid, any surplus
funds then remaining in the Business District Tax Allocation
Fund shall be distributed to the municipal treasurer for
deposit into the general corporate fund of the municipality.
Upon payment of all business district project costs and
retirement of all obligations paying or reimbursing business
district project costs, but in no event more than 23 years
after the date of adoption of the ordinance imposing taxes
pursuant to subsection (10) or (11) of Section 11-74.3-3, the
municipality shall adopt an ordinance immediately rescinding
the taxes imposed pursuant to subsection (10) or (11) of
Section 11-74.3-3.
(Source: P.A. 96-939, eff. 6-24-10; 96-1394, eff. 7-29-10;
96-1555, eff. 3-18-11; 97-333, eff. 8-12-11.)
Section 20. The Metropolitan Pier and Exposition Authority
Act is amended by changing Section 13 as follows:
(70 ILCS 210/13) (from Ch. 85, par. 1233)
Sec. 13. (a) The Authority shall not have power to levy

SB1162 Engrossed - 33 - LRB098 07308 HLH 37371 b
taxes for any purpose, except as provided in subsections (b),
(c), (d), (e), and (f).
(b) By ordinance the Authority shall, as soon as
practicable after the effective date of this amendatory Act of
1991, impose a Metropolitan Pier and Exposition Authority
Retailers' Occupation Tax upon all persons engaged in the
business of selling tangible personal property at retail within
the territory described in this subsection at the rate of 1.0%
of the gross receipts (i) from the sale of food, alcoholic
beverages, and soft drinks sold for consumption on the premises
where sold and (ii) from the sale of food, alcoholic beverages,
and soft drinks sold for consumption off the premises where
sold by a retailer whose principal source of gross receipts is
from the sale of food, alcoholic beverages, and soft drinks
prepared for immediate consumption.
The tax imposed under this subsection and all civil
penalties that may be assessed as an incident to that tax shall
be collected and enforced by the Illinois Department of
Revenue. The Department shall have full power to administer and
enforce this subsection, to collect all taxes and penalties so
collected in the manner provided in this subsection, and to
determine all rights to credit memoranda arising on account of
the erroneous payment of tax or penalty under this subsection.
In the administration of and compliance with this subsection,
the Department and persons who are subject to this subsection
shall have the same rights, remedies, privileges, immunities,

SB1162 Engrossed - 34 - LRB098 07308 HLH 37371 b
powers, and duties, shall be subject to the same conditions,
restrictions, limitations, penalties, exclusions, exemptions,
and definitions of terms, and shall employ the same modes of
procedure applicable to this Retailers' Occupation Tax as are
prescribed in Sections 1, 2 through 2-65 (in respect to all
provisions of those Sections other than the State rate of
taxes), 2c, 2h, 2i, 3 (except as to the disposition of taxes
and penalties collected), 4, 5, 5a, 5b, 5c, 5d, 5e, 5f, 5g, 5i,
5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, 12, 13, and, and until
January 1, 1994, 13.5 of the Retailers' Occupation Tax Act,
and, on and after January 1, 1994, all applicable provisions of
the Uniform Penalty and Interest Act that are not inconsistent
with this Act, as fully as if provisions contained in those
Sections of the Retailers' Occupation Tax Act were set forth in
this subsection.
Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
seller's tax liability under this subsection by separately
stating that tax as an additional charge, which charge may be
stated in combination, in a single amount, with State taxes
that sellers are required to collect under the Use Tax Act,
pursuant to bracket schedules as the Department may prescribe.
The retailer filing the return shall, at the time of filing the
return, pay to the Department the amount of tax imposed under
this subsection, less a discount of 1.75%, which is allowed to
reimburse the retailer for the expenses incurred in keeping

SB1162 Engrossed - 35 - LRB098 07308 HLH 37371 b
records, preparing and filing returns, remitting the tax, and
supplying data to the Department on request.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
Nothing in this subsection authorizes the Authority to
impose a tax upon the privilege of engaging in any business
that under the Constitution of the United States may not be
made the subject of taxation by this State.
The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee for the Authority, all taxes
and penalties collected under this subsection for deposit into
a trust fund held outside of the State Treasury.
As soon as possible after the first day of each month,
beginning January 1, 2011, upon certification of the Department
of Revenue, the Comptroller shall order transferred, and the
Treasurer shall transfer, to the STAR Bonds Revenue Fund the
local sales tax increment, as defined in the Innovation
Development and Economy Act, collected under this subsection
during the second preceding calendar month for sales within a

SB1162 Engrossed - 36 - LRB098 07308 HLH 37371 b
STAR bond district.
After the monthly transfer to the STAR Bonds Revenue Fund,
on or before the 25th day of each calendar month, the
Department shall prepare and certify to the Comptroller the
amounts to be paid under subsection (g) of this Section, which
shall be the amounts, not including credit memoranda, collected
under this subsection during the second preceding calendar
month by the Department, less any amounts determined by the
Department to be necessary for the payment of refunds, less 2%
of such balance, which sum shall be deposited by the State
Treasurer into the Tax Compliance and Administration Fund in
the State Treasury from which it shall be appropriated to the
Department to cover the costs of the Department in
administering and enforcing the provisions of this subsection,
and less any amounts that are transferred to the STAR Bonds
Revenue Fund. Within 10 days after receipt by the Comptroller
of the certification, the Comptroller shall cause the orders to
be drawn for the remaining amounts, and the Treasurer shall
administer those amounts as required in subsection (g).
A certificate of registration issued by the Illinois
Department of Revenue to a retailer under the Retailers'
Occupation Tax Act shall permit the registrant to engage in a
business that is taxed under the tax imposed under this
subsection, and no additional registration shall be required
under the ordinance imposing the tax or under this subsection.
A certified copy of any ordinance imposing or discontinuing

SB1162 Engrossed - 37 - LRB098 07308 HLH 37371 b
any tax under this subsection or effecting a change in the rate
of that tax shall be filed with the Department, whereupon the
Department shall proceed to administer and enforce this
subsection on behalf of the Authority as of the first day of
the third calendar month following the date of filing.
The tax authorized to be levied under this subsection may
be levied within all or any part of the following described
portions of the metropolitan area:
(1) that portion of the City of Chicago located within
the following area: Beginning at the point of intersection
of the Cook County - DuPage County line and York Road, then
North along York Road to its intersection with Touhy
Avenue, then east along Touhy Avenue to its intersection
with the Northwest Tollway, then southeast along the
Northwest Tollway to its intersection with Lee Street, then
south along Lee Street to Higgins Road, then south and east
along Higgins Road to its intersection with Mannheim Road,
then south along Mannheim Road to its intersection with
Irving Park Road, then west along Irving Park Road to its
intersection with the Cook County - DuPage County line,
then north and west along the county line to the point of
beginning; and
(2) that portion of the City of Chicago located within
the following area: Beginning at the intersection of West
55th Street with Central Avenue, then east along West 55th
Street to its intersection with South Cicero Avenue, then

SB1162 Engrossed - 38 - LRB098 07308 HLH 37371 b
south along South Cicero Avenue to its intersection with
West 63rd Street, then west along West 63rd Street to its
intersection with South Central Avenue, then north along
South Central Avenue to the point of beginning; and
(3) that portion of the City of Chicago located within
the following area: Beginning at the point 150 feet west of
the intersection of the west line of North Ashland Avenue
and the north line of West Diversey Avenue, then north 150
feet, then east along a line 150 feet north of the north
line of West Diversey Avenue extended to the shoreline of
Lake Michigan, then following the shoreline of Lake
Michigan (including Navy Pier and all other improvements
fixed to land, docks, or piers) to the point where the
shoreline of Lake Michigan and the Adlai E. Stevenson
Expressway extended east to that shoreline intersect, then
west along the Adlai E. Stevenson Expressway to a point 150
feet west of the west line of South Ashland Avenue, then
north along a line 150 feet west of the west line of South
and North Ashland Avenue to the point of beginning.
The tax authorized to be levied under this subsection may
also be levied on food, alcoholic beverages, and soft drinks
sold on boats and other watercraft departing from and returning
to the shoreline of Lake Michigan (including Navy Pier and all
other improvements fixed to land, docks, or piers) described in
item (3).
(c) By ordinance the Authority shall, as soon as

SB1162 Engrossed - 39 - LRB098 07308 HLH 37371 b
practicable after the effective date of this amendatory Act of
1991, impose an occupation tax upon all persons engaged in the
corporate limits of the City of Chicago in the business of
renting, leasing, or letting rooms in a hotel, as defined in
the Hotel Operators' Occupation Tax Act, at a rate of 2.5% of
the gross rental receipts from the renting, leasing, or letting
of hotel rooms within the City of Chicago, excluding, however,
from gross rental receipts the proceeds of renting, leasing, or
letting to permanent residents of a hotel, as defined in that
Act. Gross rental receipts shall not include charges that are
added on account of the liability arising from any tax imposed
by the State or any governmental agency on the occupation of
renting, leasing, or letting rooms in a hotel.
The tax imposed by the Authority under this subsection and
all civil penalties that may be assessed as an incident to that
tax shall be collected and enforced by the Illinois Department
of Revenue. The certificate of registration that is issued by
the Department to a lessor under the Hotel Operators'
Occupation Tax Act shall permit that registrant to engage in a
business that is taxable under any ordinance enacted under this
subsection without registering separately with the Department
under that ordinance or under this subsection. The Department
shall have full power to administer and enforce this
subsection, to collect all taxes and penalties due under this
subsection, to dispose of taxes and penalties so collected in
the manner provided in this subsection, and to determine all

SB1162 Engrossed - 40 - LRB098 07308 HLH 37371 b
rights to credit memoranda arising on account of the erroneous
payment of tax or penalty under this subsection. In the
administration of and compliance with this subsection, the
Department and persons who are subject to this subsection shall
have the same rights, remedies, privileges, immunities,
powers, and duties, shall be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and shall employ the same modes of procedure as are
prescribed in the Hotel Operators' Occupation Tax Act (except
where that Act is inconsistent with this subsection), as fully
as if the provisions contained in the Hotel Operators'
Occupation Tax Act were set out in this subsection.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
tax liability for that tax by separately stating that tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State taxes imposed under the Hotel

SB1162 Engrossed - 41 - LRB098 07308 HLH 37371 b
Operators' Occupation Tax Act, the municipal tax imposed under
Section 8-3-13 of the Illinois Municipal Code, and the tax
imposed under Section 19 of the Illinois Sports Facilities
Authority Act.
The person filing the return shall, at the time of filing
the return, pay to the Department the amount of tax, less a
discount of 2.1% or $25 per calendar year, whichever is
greater, which is allowed to reimburse the operator for the
expenses incurred in keeping records, preparing and filing
returns, remitting the tax, and supplying data to the
Department on request.
The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee for the Authority, all taxes
and penalties collected under this subsection for deposit into
a trust fund held outside the State Treasury. On or before the
25th day of each calendar month, the Department shall certify
to the Comptroller the amounts to be paid under subsection (g)
of this Section, which shall be the amounts (not including
credit memoranda) collected under this subsection during the
second preceding calendar month by the Department, less any
amounts determined by the Department to be necessary for
payment of refunds. Within 10 days after receipt by the
Comptroller of the Department's certification, the Comptroller
shall cause the orders to be drawn for such amounts, and the
Treasurer shall administer those amounts as required in
subsection (g).

SB1162 Engrossed - 42 - LRB098 07308 HLH 37371 b
A certified copy of any ordinance imposing or discontinuing
a tax under this subsection or effecting a change in the rate
of that tax shall be filed with the Illinois Department of
Revenue, whereupon the Department shall proceed to administer
and enforce this subsection on behalf of the Authority as of
the first day of the third calendar month following the date of
filing.
Notwithstanding any other provision of law, the tax is not
imposed on the renting, leasing, or letting of hotel rooms to
the American Red Cross for the provision or coordination of
disaster relief services. This exemption for the renting,
leasing, or letting of hotel rooms to the American Red Cross
shall not apply except during the provision or coordination of
disaster relief services.
(d) By ordinance the Authority shall, as soon as
practicable after the effective date of this amendatory Act of
1991, impose a tax upon all persons engaged in the business of
renting automobiles in the metropolitan area at the rate of 6%
of the gross receipts from that business, except that no tax
shall be imposed on the business of renting automobiles for use
as taxicabs or in livery service. The tax imposed under this
subsection and all civil penalties that may be assessed as an
incident to that tax shall be collected and enforced by the
Illinois Department of Revenue. The certificate of
registration issued by the Department to a retailer under the
Retailers' Occupation Tax Act or under the Automobile Renting

SB1162 Engrossed - 43 - LRB098 07308 HLH 37371 b
Occupation and Use Tax Act shall permit that person to engage
in a business that is taxable under any ordinance enacted under
this subsection without registering separately with the
Department under that ordinance or under this subsection. The
Department shall have full power to administer and enforce this
subsection, to collect all taxes and penalties due under this
subsection, to dispose of taxes and penalties so collected in
the manner provided in this subsection, and to determine all
rights to credit memoranda arising on account of the erroneous
payment of tax or penalty under this subsection. In the
administration of and compliance with this subsection, the
Department and persons who are subject to this subsection shall
have the same rights, remedies, privileges, immunities,
powers, and duties, be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and employ the same modes of procedure as are prescribed
in Sections 2 and 3 (in respect to all provisions of those
Sections other than the State rate of tax; and in respect to
the provisions of the Retailers' Occupation Tax Act referred to
in those Sections, except as to the disposition of taxes and
penalties collected, except for the provision allowing
retailers a deduction from the tax to cover certain costs, and
except that credit memoranda issued under this subsection may
not be used to discharge any State tax liability) of the
Automobile Renting Occupation and Use Tax Act, as fully as if
provisions contained in those Sections of that Act were set

SB1162 Engrossed - 44 - LRB098 07308 HLH 37371 b
forth in this subsection.
Persons subject to any tax imposed under the authority
granted in this subsection may reimburse themselves for their
tax liability under this subsection by separately stating that
tax as an additional charge, which charge may be stated in
combination, in a single amount, with State tax that sellers
are required to collect under the Automobile Renting Occupation
and Use Tax Act, pursuant to bracket schedules as the
Department may prescribe.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee, all taxes and penalties
collected under this subsection for deposit into a trust fund
held outside the State Treasury. On or before the 25th day of
each calendar month, the Department shall certify to the
Comptroller the amounts to be paid under subsection (g) of this
Section (not including credit memoranda) collected under this
subsection during the second preceding calendar month by the

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Department, less any amount determined by the Department to be
necessary for payment of refunds. Within 10 days after receipt
by the Comptroller of the Department's certification, the
Comptroller shall cause the orders to be drawn for such
amounts, and the Treasurer shall administer those amounts as
required in subsection (g).
Nothing in this subsection authorizes the Authority to
impose a tax upon the privilege of engaging in any business
that under the Constitution of the United States may not be
made the subject of taxation by this State.
A certified copy of any ordinance imposing or discontinuing
a tax under this subsection or effecting a change in the rate
of that tax shall be filed with the Illinois Department of
Revenue, whereupon the Department shall proceed to administer
and enforce this subsection on behalf of the Authority as of
the first day of the third calendar month following the date of
filing.
(e) By ordinance the Authority shall, as soon as
practicable after the effective date of this amendatory Act of
1991, impose a tax upon the privilege of using in the
metropolitan area an automobile that is rented from a rentor
outside Illinois and is titled or registered with an agency of
this State's government at a rate of 6% of the rental price of
that automobile, except that no tax shall be imposed on the
privilege of using automobiles rented for use as taxicabs or in
livery service. The tax shall be collected from persons whose

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Illinois address for titling or registration purposes is given
as being in the metropolitan area. The tax shall be collected
by the Department of Revenue for the Authority. The tax must be
paid to the State or an exemption determination must be
obtained from the Department of Revenue before the title or
certificate of registration for the property may be issued. The
tax or proof of exemption may be transmitted to the Department
by way of the State agency with which or State officer with
whom the tangible personal property must be titled or
registered if the Department and that agency or State officer
determine that this procedure will expedite the processing of
applications for title or registration.
The Department shall have full power to administer and
enforce this subsection, to collect all taxes, penalties, and
interest due under this subsection, to dispose of taxes,
penalties, and interest so collected in the manner provided in
this subsection, and to determine all rights to credit
memoranda or refunds arising on account of the erroneous
payment of tax, penalty, or interest under this subsection. In
the administration of and compliance with this subsection, the
Department and persons who are subject to this subsection shall
have the same rights, remedies, privileges, immunities,
powers, and duties, be subject to the same conditions,
restrictions, limitations, penalties, and definitions of
terms, and employ the same modes of procedure as are prescribed
in Sections 2 and 4 (except provisions pertaining to the State

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rate of tax; and in respect to the provisions of the Use Tax
Act referred to in that Section, except provisions concerning
collection or refunding of the tax by retailers, except the
provisions of Section 19 pertaining to claims by retailers,
except the last paragraph concerning refunds, and except that
credit memoranda issued under this subsection may not be used
to discharge any State tax liability) of the Automobile Renting
Occupation and Use Tax Act, as fully as if provisions contained
in those Sections of that Act were set forth in this
subsection.
Whenever the Department determines that a refund should be
made under this subsection to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause a warrant to be drawn for the
amount specified and to the person named in the notification
from the Department. The refund shall be paid by the State
Treasurer out of the Metropolitan Pier and Exposition Authority
trust fund held by the State Treasurer as trustee for the
Authority.
The Department shall forthwith pay over to the State
Treasurer, ex officio, as trustee, all taxes, penalties, and
interest collected under this subsection for deposit into a
trust fund held outside the State Treasury. On or before the
25th day of each calendar month, the Department shall certify
to the State Comptroller the amounts to be paid under
subsection (g) of this Section, which shall be the amounts (not

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including credit memoranda) collected under this subsection
during the second preceding calendar month by the Department,
less any amounts determined by the Department to be necessary
for payment of refunds. Within 10 days after receipt by the
State Comptroller of the Department's certification, the
Comptroller shall cause the orders to be drawn for such
amounts, and the Treasurer shall administer those amounts as
required in subsection (g).
A certified copy of any ordinance imposing or discontinuing
a tax or effecting a change in the rate of that tax shall be
filed with the Illinois Department of Revenue, whereupon the
Department shall proceed to administer and enforce this
subsection on behalf of the Authority as of the first day of
the third calendar month following the date of filing.
(f) By ordinance the Authority shall, as soon as
practicable after the effective date of this amendatory Act of
1991, impose an occupation tax on all persons, other than a
governmental agency, engaged in the business of providing
ground transportation for hire to passengers in the
metropolitan area at a rate of (i) $4 per taxi or livery
vehicle departure with passengers for hire from commercial
service airports in the metropolitan area, (ii) for each
departure with passengers for hire from a commercial service
airport in the metropolitan area in a bus or van operated by a
person other than a person described in item (iii): $18 per bus
or van with a capacity of 1-12 passengers, $36 per bus or van

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with a capacity of 13-24 passengers, and $54 per bus or van
with a capacity of over 24 passengers, and (iii) for each
departure with passengers for hire from a commercial service
airport in the metropolitan area in a bus or van operated by a
person regulated by the Interstate Commerce Commission or
Illinois Commerce Commission, operating scheduled service from
the airport, and charging fares on a per passenger basis: $2
per passenger for hire in each bus or van. The term "commercial
service airports" means those airports receiving scheduled
passenger service and enplaning more than 100,000 passengers
per year.
In the ordinance imposing the tax, the Authority may
provide for the administration and enforcement of the tax and
the collection of the tax from persons subject to the tax as
the Authority determines to be necessary or practicable for the
effective administration of the tax. The Authority may enter
into agreements as it deems appropriate with any governmental
agency providing for that agency to act as the Authority's
agent to collect the tax.
In the ordinance imposing the tax, the Authority may
designate a method or methods for persons subject to the tax to
reimburse themselves for the tax liability arising under the
ordinance (i) by separately stating the full amount of the tax
liability as an additional charge to passengers departing the
airports, (ii) by separately stating one-half of the tax
liability as an additional charge to both passengers departing

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from and to passengers arriving at the airports, or (iii) by
some other method determined by the Authority.
All taxes, penalties, and interest collected under any
ordinance adopted under this subsection, less any amounts
determined to be necessary for the payment of refunds and less
the taxes, penalties, and interest attributable to any increase
in the rate of tax authorized by Public Act 96-898, shall be
paid forthwith to the State Treasurer, ex officio, for deposit
into a trust fund held outside the State Treasury and shall be
administered by the State Treasurer as provided in subsection
(g) of this Section. All taxes, penalties, and interest
attributable to any increase in the rate of tax authorized by
Public Act 96-898 shall be paid by the State Treasurer as
follows: 25% for deposit into the Convention Center Support
Fund, to be used by the Village of Rosemont for the repair,
maintenance, and improvement of the Donald E. Stephens
Convention Center and for debt service on debt instruments
issued for those purposes by the village and 75% to the
Authority to be used for grants to an organization meeting the
qualifications set out in Section 5.6 of this Act, provided the
Metropolitan Pier and Exposition Authority has entered into a
marketing agreement with such an organization.
(g) Amounts deposited from the proceeds of taxes imposed by
the Authority under subsections (b), (c), (d), (e), and (f) of
this Section and amounts deposited under Section 19 of the
Illinois Sports Facilities Authority Act shall be held in a

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trust fund outside the State Treasury and shall be administered
by the Treasurer as follows:
(1) An amount necessary for the payment of refunds with
respect to those taxes shall be retained in the trust fund
and used for those payments.
(2) On July 20 and on the 20th of each month
thereafter, provided that the amount requested in the
annual certificate of the Chairman of the Authority filed
under Section 8.25f of the State Finance Act has been
appropriated for payment to the Authority, 1/8 of the local
tax transfer amount, together with any cumulative
deficiencies in the amounts transferred into the McCormick
Place Expansion Project Fund under this subparagraph (2)
during the fiscal year for which the certificate has been
filed, shall be transferred from the trust fund into the
McCormick Place Expansion Project Fund in the State
treasury until 100% of the local tax transfer amount has
been so transferred. "Local tax transfer amount" shall mean
the amount requested in the annual certificate, minus the
reduction amount. "Reduction amount" shall mean $41.7
million in fiscal year 2011, $36.7 million in fiscal year
2012, $36.7 million in fiscal year 2013, $36.7 million in
fiscal year 2014, and $31.7 million in each fiscal year
thereafter until 2032, provided that the reduction amount
shall be reduced by (i) the amount certified by the
Authority to the State Comptroller and State Treasurer

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under Section 8.25 of the State Finance Act, as amended,
with respect to that fiscal year and (ii) in any fiscal
year in which the amounts deposited in the trust fund under
this Section exceed $318.3 million, exclusive of amounts
set aside for refunds and for the reserve account, one
dollar for each dollar of the deposits in the trust fund
above $318.3 million with respect to that year, exclusive
of amounts set aside for refunds and for the reserve
account.
(3) On July 20, 2010, the Comptroller shall certify to
the Governor, the Treasurer, and the Chairman of the
Authority the 2010 deficiency amount, which means the
cumulative amount of transfers that were due from the trust
fund to the McCormick Place Expansion Project Fund in
fiscal years 2008, 2009, and 2010 under Section 13(g) of
this Act, as it existed prior to May 27, 2010 (the
effective date of Public Act 96-898), but not made. On July
20, 2011 and on July 20 of each year through July 20, 2014,
the Treasurer shall calculate for the previous fiscal year
the surplus revenues in the trust fund and pay that amount
to the Authority. On July 20, 2015 and on July 20 of each
year thereafter, as long as bonds and notes issued under
Section 13.2 or bonds and notes issued to refund those
bonds and notes are outstanding, the Treasurer shall
calculate for the previous fiscal year the surplus revenues
in the trust fund and pay one-half of that amount to the

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State Treasurer for deposit into the General Revenue Fund
until the 2010 deficiency amount has been paid and shall
pay the balance of the surplus revenues to the Authority.
"Surplus revenues" means the amounts remaining in the trust
fund on June 30 of the previous fiscal year (A) after the
State Treasurer has set aside in the trust fund (i) amounts
retained for refunds under subparagraph (1) and (ii) any
amounts necessary to meet the reserve account amount and
(B) after the State Treasurer has transferred from the
trust fund to the General Revenue Fund 100% of any
post-2010 deficiency amount. "Reserve account amount"
means $15 million in fiscal year 2011 and $30 million in
each fiscal year thereafter. The reserve account amount
shall be set aside in the trust fund and used as a reserve
to be transferred to the McCormick Place Expansion Project
Fund in the event the proceeds of taxes imposed under this
Section 13 are not sufficient to fund the transfer required
in subparagraph (2). "Post-2010 deficiency amount" means
any deficiency in transfers from the trust fund to the
McCormick Place Expansion Project Fund with respect to
fiscal years 2011 and thereafter. It is the intention of
this subparagraph (3) that no surplus revenues shall be
paid to the Authority with respect to any year in which a
post-2010 deficiency amount has not been satisfied by the
Authority.
Moneys received by the Authority as surplus revenues may be

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used (i) for the purposes of paying debt service on the bonds
and notes issued by the Authority, including early redemption
of those bonds or notes, (ii) for the purposes of repair,
replacement, and improvement of the grounds, buildings, and
facilities of the Authority, and (iii) for the corporate
purposes of the Authority in fiscal years 2011 through 2015 in
an amount not to exceed $20,000,000 annually or $80,000,000
total, which amount shall be reduced $0.75 for each dollar of
the receipts of the Authority in that year from any contract
entered into with respect to naming rights at McCormick Place
under Section 5(m) of this Act. When bonds and notes issued
under Section 13.2, or bonds or notes issued to refund those
bonds and notes, are no longer outstanding, the balance in the
trust fund shall be paid to the Authority.
(h) The ordinances imposing the taxes authorized by this
Section shall be repealed when bonds and notes issued under
Section 13.2 or bonds and notes issued to refund those bonds
and notes are no longer outstanding.
(Source: P.A. 96-898, eff. 5-27-10; 96-939, eff. 6-24-10;
97-333, eff. 8-12-11; revised 8-3-12.)
Section 25. The Illinois Sports Facilities Authority Act is
amended by changing Section 19 as follows:
(70 ILCS 3205/19) (from Ch. 85, par. 6019)
Sec. 19. Tax. The Authority may impose an occupation tax

SB1162 Engrossed - 55 - LRB098 07308 HLH 37371 b
upon all persons engaged in the City of Chicago in the business
of renting, leasing or letting rooms in a hotel, as defined in
The Hotel Operators' Occupation Tax Act, at a rate not to
exceed 2% of the gross rental receipts from the renting,
leasing or letting of hotel rooms located within the City of
Chicago, excluding, however, from gross rental receipts, the
proceeds of such renting, leasing or letting to permanent
residents of that hotel and proceeds from the tax imposed under
subsection (c) of Section 13 of the Metropolitan Pier and
Exposition Authority Act.
The tax imposed by the Authority pursuant to this Section
and all civil penalties that may be assessed as an incident
thereof shall be collected and enforced by the State Department
of Revenue. The certificate of registration which is issued by
the Department to a lessor under The Hotel Operators'
Occupation Tax Act shall permit such registrant to engage in a
business which is taxable under any ordinance or resolution
enacted pursuant to this Section without registering
separately with the Department under such ordinance or
resolution or under this Section. The Department shall have
full power to administer and enforce this Section; to collect
all taxes and penalties due hereunder; to dispose of taxes and
penalties so collected in the manner provided in this Section,
and to determine all rights to credit memoranda, arising on
account of the erroneous payment of tax or penalty hereunder.
In the administration of, and compliance with, this Section,

SB1162 Engrossed - 56 - LRB098 07308 HLH 37371 b
the Department and persons who are subject to this Section
shall have the same rights, remedies, privileges, immunities,
powers and duties, and be subject to the same conditions,
restrictions, limitations, penalties and definitions of terms,
and employ the same modes of procedure, as are prescribed in
The Hotel Operators' Occupation Tax Act (except where that Act
is inconsistent herewith), as the same is now or may hereafter
be amended, as fully as if the provisions contained in The
Hotel Operators' Occupation Tax Act were set forth herein.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in such notification
from the Department. Such refund shall be paid by the State
Treasurer out of the amounts held by the State Treasurer as
trustee for the Authority.
Persons subject to any tax imposed pursuant to authority
granted by this Section may reimburse themselves for their tax
liability for such tax by separately stating such tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax imposed under The Hotel
Operators' Occupation Tax Act, the municipal tax imposed under
Section 8-3-13 of the Illinois Municipal Code, and the tax
imposed under Section 13 of the Metropolitan Pier and
Exposition Authority Act.

SB1162 Engrossed - 57 - LRB098 07308 HLH 37371 b
The Department shall forthwith pay over to the State
Treasurer, ex-officio, as trustee for the Authority, all taxes
and penalties collected hereunder for deposit in a trust fund
outside the State Treasury. On or before the 25th day of each
calendar month, the Department shall certify to the Comptroller
the amount to be paid to or on behalf of the Authority from
amounts collected hereunder by the Department, and deposited
into such trust fund during the second preceding calendar
month. The amount to be paid to or on behalf of the Authority
shall be the amount (not including credit memoranda) collected
hereunder during such second preceding calendar month by the
Department, less an amount equal to the amount of refunds
authorized during such second preceding calendar month by the
Department on behalf of the Authority, and less 4% of such
balance, which sum shall be retained by the State Treasurer to
cover the costs incurred by the Department in administering and
enforcing the provisions of this Section, as provided herein.
Each such monthly certification by the Department shall also
certify to the Comptroller the amount to be so retained by the
State Treasurer for payment into the General Revenue Fund of
the State Treasury.
Each monthly certification by the Department shall
certify, of the amount paid to or on behalf of the Authority,
(i) the portion to be paid to the Authority, (ii) the portion
to be paid into the General Revenue Fund of the State Treasury
on behalf of the Authority as repayment of amounts advanced to

SB1162 Engrossed - 58 - LRB098 07308 HLH 37371 b
the Authority pursuant to appropriation from the Illinois
Sports Facilities Fund.
With respect to each State fiscal year, of the total amount
to be paid to or on behalf of the Authority, the Department
shall certify that payments shall first be made directly to the
Authority in an amount equal to any difference between the
annual amount certified by the Chairman of the Authority
pursuant to Section 8.25-4 of the State Finance Act and the
amount appropriated to the Authority from the Illinois Sports
Facilities Fund. Next, the Department shall certify that
payment shall be made into the General Revenue Fund of the
State Treasury in an amount equal to the difference between (i)
the lesser of (x) the amount appropriated from the Illinois
Sports Facilities Fund to the Authority and (y) the annual
amount certified by the Chairman of the Authority pursuant to
Section 8.25-4 of the State Finance Act and (ii) $10,000,000.
The Department shall certify that all additional amounts shall
be paid to the Authority and used for its corporate purposes.
Within 10 days after receipt, by the Comptroller, of the
Department's monthly certification of amounts to be paid to or
on behalf of the Authority and amounts to be paid into the
General Revenue Fund, the Comptroller shall cause the warrants
to be drawn for the respective amounts in accordance with the
directions contained in such certification.
Amounts collected by the Department and paid to the
Authority pursuant to this Section shall be used for the

SB1162 Engrossed - 59 - LRB098 07308 HLH 37371 b
corporate purposes of the Authority. On June 15, 1992 and on
each June 15 thereafter, the Authority shall repay to the State
Treasurer all amounts paid to it under this Section and
otherwise remaining available to the Authority after providing
for (i) payment of principal and interest on, and other
payments related to, its obligations issued or to be issued
under Section 13 of the Act, including any deposits required to
reserve funds created under any indenture or resolution
authorizing issuance of the obligations and payments to
providers of credit enhancement, (ii) payment of obligations
under the provisions of any management agreement with respect
to a facility or facilities owned by the Authority or of any
assistance agreement with respect to any facility for which
financial assistance is provided under this Act, and payment of
other capital and operating expenses of the Authority,
including any deposits required to reserve funds created for
repair and replacement of capital assets and to meet the
obligations of the Authority under any management agreement or
assistance agreement. Amounts repaid by the Authority to the
State Treasurer hereunder shall be treated as repayment of
amounts deposited into the Illinois Sports Facilities Fund and
credited to the Subsidy Account and used for the corporate
purposes of the Authority. The State Treasurer shall deposit
$5,000,000 of the amount received into the General Revenue
Fund; thereafter, at the beginning of each fiscal year the
State Treasurer shall certify to the State Comptroller for all

SB1162 Engrossed - 60 - LRB098 07308 HLH 37371 b
prior fiscal years the cumulative amount of any deficiencies in
repayments to the City of Chicago of amounts in the Local
Government Distributive Fund that would otherwise have been
allocated to the City of Chicago under the State Revenue
Sharing Act but instead were paid into the General Revenue Fund
under Section 6 of the Hotel Operators' Occupation Tax Act and
that have not been reimbursed, and the Comptroller shall,
during the fiscal year at the beginning of which the
certification was made, cause warrants to be drawn from the
amount received for the repayment of that cumulative amount to
the City of Chicago until that cumulative amount has been fully
reimbursed; thereafter, the State Treasurer shall deposit the
balance of the amount received into the trust fund established
outside the State Treasury under subsection (g) of Section 13
of the Metropolitan Pier and Exposition Authority Act.
Nothing in this Section shall be construed to authorize the
Authority to impose a tax upon the privilege of engaging in any
business which under the constitution of the United States may
not be made the subject of taxation by this State.
An ordinance or resolution imposing or discontinuing a tax
hereunder or effecting a change in the rate thereof shall be
effective on the first day of the second calendar month next
following the month in which the ordinance or resolution is
passed.
If the Authority levies a tax authorized by this Section it
shall transmit to the Department of Revenue not later than 5

SB1162 Engrossed - 61 - LRB098 07308 HLH 37371 b
days after the adoption of the ordinance or resolution a
certified copy of the ordinance or resolution imposing such tax
whereupon the Department of Revenue shall proceed to administer
and enforce this Section on behalf of the Authority. Upon a
change in rate of a tax levied hereunder, or upon the
discontinuance of the tax, the Authority shall not later than 5
days after the effective date of the ordinance or resolution
discontinuing the tax or effecting a change in rate transmit to
the Department of Revenue a certified copy of the ordinance or
resolution effecting such change or discontinuance.
Notwithstanding any other provision of law, the tax is not
imposed on the renting or leasing of hotel rooms by the
American Red Cross for the provision or coordination of
disaster relief services. This exemption for the renting or
leasing of hotel rooms to the American Red Cross shall not
apply except during the provision or coordination of disaster
relief services.
(Source: P.A. 91-935, eff. 6-1-01.)
Section 30. The Downstate Illinois Sports Facilities
Authority Act is amended by changing Section 105 as follows:
(70 ILCS 3210/105)
Sec. 105. Tax. The Authority may impose an occupation tax
upon all persons engaged in the business of renting, leasing,
or letting rooms in a hotel, as defined in the Hotel Operators'

SB1162 Engrossed - 62 - LRB098 07308 HLH 37371 b
Occupation Tax Act, at a rate not to exceed 2% of the gross
rental receipts from the renting, leasing or letting of hotel
rooms. The taxing may be imposed, however, only if approved by
ordinance of the municipality within which the tax is to be
imposed.
The tax imposed by the Authority pursuant to this Section
and all civil penalties that may be assessed as an incident
thereof shall be collected and enforced by the State Department
of Revenue. The certificate of registration which is issued by
the Department to a lessor under the Hotel Operators'
Occupation Tax Act shall permit such registrant to engage in a
business which is taxable under any ordinance or resolution
enacted pursuant to this Section without registering
separately with the Department under such ordinance or
resolution or under this Section. The Department shall have
full power to administer and enforce this Section; to collect
all taxes and penalties due hereunder; to dispose of taxes and
penalties so collected in the manner provided in this Section,
and to determine all rights to credit memoranda, arising on
account of the erroneous payment of tax or penalty hereunder.
In the administration of, and compliance with, this Section,
the Department and persons who are subject to this Section
shall have the same rights, remedies, privileges, immunities,
powers and duties, and be subject to the same conditions,
restrictions, limitations, penalties and definitions of terms,
and employ the same modes of procedure, as are prescribed in

SB1162 Engrossed - 63 - LRB098 07308 HLH 37371 b
the Hotel Operators' Occupation Tax Act (except where that Act
is inconsistent herewith), as the same is now or may hereafter
be amended, as fully as if the provisions contained in the
Hotel Operators' Occupation Tax Act were set forth herein.
Whenever the Department determines that a refund should be
made under this Section to a claimant instead of issuing a
credit memorandum, the Department shall notify the State
Comptroller, who shall cause the warrant to be drawn for the
amount specified, and to the person named, in such notification
from the Department. Such refund shall be paid by the State
Treasurer out of the amounts held by the State Treasurer as
trustee for the Authority.
Persons subject to any tax imposed pursuant to authority
granted by this Section may reimburse themselves for their tax
liability for such tax by separately stating such tax as an
additional charge, which charge may be stated in combination,
in a single amount, with State tax imposed under the Hotel
Operators' Occupation Tax Act.
The Department shall forthwith pay over to the State
Treasurer, ex-officio, as trustee for the Authority, all taxes
and penalties collected hereunder for deposit in a trust fund
outside the State Treasury. On or before the 25th day of each
calendar month, the Department shall certify to the Comptroller
the amount to be paid to or on behalf of the Authority from
amounts collected hereunder by the Department, and deposited
into such trust fund during the second preceding calendar

SB1162 Engrossed - 64 - LRB098 07308 HLH 37371 b
month. The amount to be paid to or on behalf of the Authority
shall be the amount (not including credit memoranda) collected
hereunder during such second preceding calendar month by the
Department, less an amount equal to the amount of refunds
authorized during such second preceding calendar month by the
Department on behalf of the Authority, and less 4% of such
balance, which sum shall be retained by the State Treasurer to
cover the costs incurred by the Department in administering and
enforcing the provisions of this Section, as provided herein.
Each such monthly certification by the Department shall also
certify to the Comptroller the amount to be so retained by the
State Treasurer for payment into the General Revenue Fund of
the State Treasury.
Amounts collected by the Department and paid to the
Authority pursuant to this Section shall be used for the
corporate purposes of the Authority.
Nothing in this Section shall be construed to authorize the
Authority to impose a tax upon the privilege of engaging in any
business which under the constitution of the United States may
not be made the subject of taxation by this State.
An ordinance or resolution imposing or discontinuing a tax
hereunder or effecting a change in the rate thereof shall be
effective on the first day of the second calendar month next
following the month in which the ordinance or resolution is
passed.
If the Authority levies a tax authorized by this Section it

SB1162 Engrossed - 65 - LRB098 07308 HLH 37371 b
shall transmit to the Department of Revenue not later than 5
days after the adoption of the ordinance or resolution a
certified copy of the ordinance or resolution imposing such tax
whereupon the Department of Revenue shall proceed to administer
and enforce this Section on behalf of the Authority. Upon a
change in rate of a tax levied hereunder, or upon the
discontinuance of the tax, the Authority shall not later than 5
days after the effective date of the ordinance or resolution
discontinuing the tax or effecting a change in rate transmit to
the Department of Revenue a certified copy of the ordinance or
resolution effecting such change or discontinuance.
Notwithstanding any other provision of law, the tax is not
imposed on the renting or leasing of hotel rooms by the
American Red Cross for the provision or coordination of
disaster relief services. This exemption for the renting or
leasing of hotel rooms to the American Red Cross shall not
apply except during the provision or coordination of disaster
relief services.
(Source: P.A. 93-227, eff. 1-1-04.)