AUGER, LAESCH, Haimann, Lewis, Pollock, Taylor & Vazquez
LEGISLATIVE COMMITTEE AGENDA Friday, May 24, 2013 10:00 a.m. (OR IMMEDIATELY FOLLOWING JUDICIAL/PUBLIC SAFETY)
1. Call to Order
2. Approval of Minutes: April 12, 2013
3. Public Comment
4. Discussion/Possible Action (attachments):
HB3073 - Wireless Carrier Surcharge SB2404 - Pension Reform
5. Other Business
6. Adjournment
Illinois General Assembly - Bill Status for HB3073 Pagel of2
Bill Status of HB3073 98th Genera/Assembly
Short Description: WIRELESS CARRIER SURCHARGE
House Sponsors Rep. John - Naomi D. Jakobsson - Donald L. Moffitt, Mike Bost, Jack D. Franks, Keith Farnham, Carol A. Sente and Linda Chapa LaVia
Last Action Date Chamber Action 3/22/2013 House Rule 19(a)! Re-referred to Rules Committee
Statutes Amended In Order of Appearance 50 ILCS 751/17 50 ILCS 751/70 220 ILCS 5/13-900 220 ILCS 5/13-1200
Synopsis As Introduced Amends the Wireless Emergency Telephone Safety Act. Provides that on and after July 1, 2013, $0.70 per surcharge collected shall be deposited into the Wireless Service Emergency Fund for distribution to 9-1-1 authorities, $0.02 per surcharge collected shall be deposited into the Wireless Service Emergency Fund and distributed to County Emergency Telephone System Boards in counties with a population under 250,000, and $0.01 per surcharge collected may be disbursed to the Illinois Commerce Commission for administrative costs. Permits the Illinois Commerce Commission to impose a penalty on a carrier equal to the product of $0.01 (now $0005) and the number of subscribers served by the wireless carrier, and that any penalty collected shall be deposited into the Wireless Service Emergency Fund. Permits the Illinois Commerce Commission to require an annual report of income and expenditures from each emergency telephone systems board or qualified governmental entity providing 9-1-1 service, and the report may include a copy of the entity's audited financial statement. Amends this Act to be repealed on July 1, 2018 (now July 1, 2013). Amends the Public Utilities Act by repealing a Section regarding authority to serve as a 9-1-1 system provider on July 1, 2016 (now July 1, 2013). Amends the repealer Section to reflect this change. Effective immediately.
Actions Date I Chamber I Action 2/26/20131 House IFiledwiththe Clerk by Rep. John E. Bradley 2/26/20131 House jAdded Chief Co-Sponsor Rep . Donald L. Moffitt 2/26/2013 House First Reading 2/26/2013 House Referred to Rules Committee 2/28/2013 House Added Co-Sponsor Rep. Mike Bost 3/5/2013 House Added Chief Co-Sponsor Rep. Naomi D. Jakobsson 3/5/2013 House Chief Co-Sponsor Changed to Re p. Naomi D. Jakobsson 3/7/2013 House Assigned to Public Utilities Committee 312212013 House Rule 19(a) I Re-referred to Rules Committee 4/15/2013 House Added Co-Sponsor Re p. Jack D. Franks
http://www.ilga.gov/legislation/BillStatus.asp?DocNum3O73&GAID I 2&DocTypelD=... 4/16/2013
Illinois General Assembly - Bill Status for HB3073 Page of
4/15/2013 House jAdded Co-Sponsor Rep . Keith Farnham 4/15/2013 House Added Co-Sponsor Rep. Carol A. Sente 4/15/2013 House lAdded Co-Sponsor Rep . Linda Cha pa LaVi-a
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http://www.ilga.gov/legislation/BillStatus.asp?DocNurn3O73&GATD 1 2&DocTypelD=... 4/16/2013 ILLINOIS .9NENA www.illinoisneno.org 9-1-1 Systems in Illinois need Your help! ILLINOIS FAPCO www.ilapco.org PLEASE SUPPORT HB 3073
The State's 9-1-1 Technology and Financial Needs Study, released on August 20, 2011, showed that 9-1-1 systems in Illinois are experiencing a 20% shortfall in revenues. Much of the shortfall is caused by the reduction in landline telephones and a resulting loss of surcharge revenue.
9-1-1 calls from wireless phones now account for more than 75% of all 9-1-1 calls.
HB 3073 would keep the existing wireless 9-1-1 surcharge at .73 cents per wireless subscriber and extend the wireless surcharge to sunset on January 1, 2018.
The surcharge would break down as follows: .70 to 9-1-1 systems .02 to 9-1-1 systems with population less than 100,000 .01 to IL Commerce Commission for administration
This legislation does not increase the current surcharge but only reallocates the money and provides an additional .12 cents per wireless 9-1-1 subscriber to 9-1-1 systems statewide.
For those systems with a population less than 100,000, they would receive the additional .12 cents per wireless subscriber as well as an additional shared portion of the .02 cents received from subscribers statewide.
The legislation would also provide some additional money to those 9-1-1 systems that are having difficulty providing 9-1-1 services to their citizens due to financial shortfalls.
In addition, HB 3073 would require 9-1-1 systems to provide a financial report to the Illinois Commerce Commission annually.
Supported by the following organizations: IL Association of Chiefs of Police IL Fire Chiefs Association IL Fire Caucus IL Sheriffs' Association Associated Fire Fighters of Illinois The below graph represents the annual surcharges vs. expenses of a dozen 9-1-1 agencies around the State of Illinois. These are agencies providing service to areas of varying size, both geographically and population. Over a five year fiscal period, expenses have exceeded surcharge revenue by almost $110 million in these twelve agencies. Information was provided by the following agencies: Cass County, Champaign County, Cumberland County, DuPage County, Village of Glenview, Grundy County, City of Highland Park, Iroquois County, Jackson County, Lake County, Peoria County, and White County. This is representative of only a fraction of the 194 9-1-1 systems in the State of Illinois.
$50,000,000 $45,000,000 $40,000,000 $35,000,000 $30,000,000 -•- EXPENSES $25,000,000 -••- REVENUES $20,000,000 $15,000,000 $10,000,000 $5,000,000
2007 2008 2009 2010 2011
Please consider the following information provided by various 9-1-1 Directors across the State:
• "I have been advised by the ICC to attempt to go back to referendum and increase the landline surcharge, but I ask you this: Why should the landline customers have to pay more for the system when 82% of my calls are wireless?" White County residents pay a $2.00 surcharge per landline and revenue has dropped nearly 50% in five years.
• Wireless surcharge supplements" landline surcharges, but it does not account for the increased costs associated with maintaining equipment REQUIRED to handle 9-1-1 calls.
• Wireless telephone companies insist on not increasing charges to their customers for 9-1-1 life and death emergency service fees, but those same customers will pay $99 for a ringtone per month, $1.99 for a song, or $4.99 for a game, sometimes at a monthly rate. We are certain those customers would be willing to pay more than $73 to be able to reach help during an emergency.
• Next Generation 9-1-1 is around the corner for the State of Illinois and 9-1-1 agencies statewide. Current funding will not support the needed upgrades in technology, the additional staffing, and additional training. The 9-1-1 centers will be burdened more than ever when NG 9-1-1 is available. Current call volumes are increasing under current standards.
• Communities that house large college and university campuses see an even greater demand on their 9-1-1 system but do not see greater revenues. University communities see an influx of thousands of students every semester. Most of those students have cell phones paid for by parents or through billing at their home addresses. These communities do not see one penny of wireless revenue from the call load that they are required to handle for nine months out of a year. Changes to the Wireless 9-1-1 Fee
Issue: As a result of fewer and fewer land lines, the amount of operating funding available to operate 911 call centers has been steadily declining as costs have continued to rise. In addition, the portion of the current fee dedicated to wireless telephone industry with their build out costs is no longer used by most carriers and is constantly being "swept" for other purposes.
In addition there are a lot of unanswered questions concerning the current funding condition of the 9-1-1 services in the state. Questions related to proper funding levels, what should be considered an allowable cost, whether the current funding formula accurately reflects where costs are incurred and whether consolidation of call centers are warranted or needed. These questions are complex and will require the collection of data and a thorough analysis of that data.
This language does the following:
• Provide for a short term fix • Allocates $30 to the 9-1-1 call centers (currently $.5725) to meet there short term cash flow problems thereby providing some operational stability while the other questions are being answered. • Provides $ .02 extra help to the smaller systems (those under 100,000) as they are in the greatest need of additional assistance as their subscriber bases are smaller. • "Buys" time (until 2018) while the additional data is collected and analyzed. • Works towards creating a lon g term solution o Creates an advisory board and requires the submission of annual audits in order to provide a mechanism and the data to answer some of the outstanding questions. • Allows for a thorough review of the current funding system. • Allows for the justification of additional fees. • Allows for the development of a rational and balanced funding formula. o Provides an analysis of consolidation possibilities.
Questions to ask:
Will you support this proposal to increase funding for the 9-1-1 centers?
If this is part of the Telecommunications rewrite bill would this make it more likely for you to support that bill?
Do you want our lobbyist John Lowder to explain it to you in greater detail?
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LRB098 12013 0MW 45566 a
1 AMENDMENT TO HOUSE BILL XXXX
2 AMENDMENT NO. . Amend House Bill XXXX by replacing
3 everything after the enacting clause with the following:
4 "Section 5. The Emergency Telephone System Act is amended
5 by changing Section 15.4 as follows:
6 (50 ILCS 750/15.4) (from Ch. 134, par. 45.4)
7 Sec. 15.4. Emergency Telephone System Board; powers.
8 (a) The corporate authorities of any county or municipality
9 that imposes a surcharge under Section 15.3 shall establish an
10 Emergency Telephone System Board. The corporate authorities
kal shall provide for the manner of appointment and the number of
12 members of the Board, provided that the board shall consist of
13 not fewer than 5 members, one of whom must be a public member
14 who is a resident of the local exchange service territory
15 included in the 9-1-1 coverage area, one of whom (in counties
16 with a population less than 100,000) must be a member of the
-2- LRB098 12013 0MW 45566 a
1 county board, and at least 3 of whom shall be representative of
2 the 9-1-1 public safety agencies, including but not limited to
3 police departments, fire departments, emergency medical
4 services providers, and emergency services and disaster
5 agencies, and appointed on the basis of their ability or
6 experience. In counties with a population of more than 100,000
7 but less than 2,000,000, a member of the county board may serve
8 on the Emergency Telephone System Board. Elected officials,
9 including members of a county board, are also eligible to serve
10 on the board. Members of the board shall serve without
11 compensation but shall be reimbursed for their actual and
12 necessary expenses. Any 2 or more municipalities, counties, or
13 combination thereof, that impose a surcharge under Section 15.3
14 may, instead of establishing individual boards, establish by
15 intergovernmental agreement a Joint Emergency Telephone System
16 Board pursuant to this Section. The manner of appointment of
17 such a joint board shall be prescribed in the agreement.
18 (b) The powers and duties of the board shall be defined by
19 ordinance of the municipality or county, or by
20 intergovernmental agreement in the case of a joint board. The
21 powers and duties shall include, but need not be limited to the
22 following:
23 (1) Planning a 9-1-1 system.
24 (2) Coordinating and supervising the implementation,
25 upgrading, or maintenance of the system, including the
26 establishment of equipment specifications and coding -3- LRB098 12013 0MW 45566 a
1 systems.
2 (3) Receiving moneys from the surcharge imposed under
3 Section 15.3, and from any other source, for deposit into
4 the Emergency Telephone System Fund.
5 (4) Authorizing all disbursements from the fund.
6 (5) Hiring any staff necessary for the implementation
7 or upgrade of the system.
8 (6) Participating in a Regional Pilot Project to
9 implement next generation 9-1-1, as defined in this Act,
10 subject to the conditions set forth in this Act.
11 (c) All moneys received by a board pursuant to a surcharge
12 imposed under Section 15.3 shall be deposited into a separate
13 interest-bearing Emergency Telephone System Fund account. The
14 treasurer of the municipality or county that has established
15 the board or, in the case of a joint board, any municipal or
16 county treasurer designated in the intergovernmental
17 agreement, shall be custodian of the fund. All interest
18 accruing on the fund shall remain in the fund. No expenditures
19 may be made from such fund except upon the direction of the
20 board by resolution passed by a majority of all members of the
21 board. Expenditures may be made only to pay for the costs
22 associated with the following:
23 (1) The design of the Emergency Telephone System.
24 (2) The coding of an initial Master Street Address
25 Guide data base, and update and maintenance thereof.
26 (3) The repayment of any moneys advanced for the
-4- LRB098 12013 0MW 45566 a
1 implementation of the system.
2 (4) The charges for Automatic Number Identification
3 and Automatic Location Identification equipment, a
4 computer aided dispatch system that records, maintains,
5 and integrates information, mobile data transmitters
6 equipped with automatic vehicle locators, and maintenance,
7 replacement and update thereof to increase operational
8 efficiency and improve the provision of emergency
9 services.
10 (5) The non-recurring charges related to installation
11 of the Emergency Telephone System and the ongoing network
12 charges.
13 (6) The acquisition and installation, or the
14 reimbursement of costs therefor to other governmental
15 bodies that have incurred those costs, of road or street
16 signs that are essential to the implementation of the
17 emergency telephone system and that are not duplicative of
18 signs that are the responsibility of the jurisdiction
19 charged with maintaining road and street signs.
20 (7) Other products and services necessary for the
21 implementation, upgrade, and maintenance of the system and
22 any other purpose related to the operation of the system,
23 including costs attributable directly to the construction,
24 leasing, or maintenance of any buildings or facilities or
25 costs of personnel attributable directly to the operation
A1 of the system. Costs attributable directly to the operation -5- LRB098 12013 0MW 45566 a
1 of an emergency telephone system do not include the costs
2 of public safety agency personnel who are and equipment
3 that is dispatched in response to an emergency call.
4 (7.5) The purchase of real property if the purchase is
5 made before March 16, 2006.
6 (8) In the case of a municipality that imposes a
7 surcharge under subsection (h) of Section 15.3, moneys may
8 also be used for any anti-terrorism or emergency
9 preparedness measures, including, but not limited to,
10 preparedness planning, providing local matching funds for
11 federal or State grants, personnel training, and
12 specialized equipment, including surveillance cameras as
13 needed to deal with natural and terrorist-inspired
14 emergency situations or events.
15 (9) The defraying of expenses incurred in
16 participation in a Regional Pilot Project to implement next
17 generation 9-1-1, subject to the conditions set forth in
18 this Act.
19 (10) The implementation of a computer aided dispatch
20 system or hosted supplemental 9-1-1 services.
21 Moneys in the fund may also be transferred to a
22 participating fire protection district to reimburse volunteer
23 firefighters who man remote telephone switching facilities
24 when dedicated 9-1-1 lines are down.
25 (d) The board shall complete the data base before
26 implementation of the 9-1-1 system. The error ratio of the data -6- LRB098 12013 0MW 45566 a
1 base shall not at any time exceed 1% of the total data base.
2 (e) Beginnin g January 31, 2014 and every year there after
3 every emergency telephone system board or qualified
4 governmental entit y that is authorized by the Illinois Commerce
5 Commission to operate a 9-1-1 system shall file a 9-1-1 system
6 status and financial report pursuant to Section 85 of the
7 Wireless Emergency Telephone Safet y Act.
8 (Source: P.A. 96-1000, eff. 7-2-10; 96-1443, eff. 8-20-10;
9 97-517, eff. 8-23-11; 97-1018, eff. 8-17-12.)
10 Section 10. The Wireless Emergency Telephone Safety Act is
11 amended by changing Sections 15, 17, and 70 and by adding
12 Sections 85, 90, and 95 as follows:
13 (50 ILCS 751/15)
14 (Section scheduled to be repealed on July 1, 2013)
15 Sec. 15. Wireless emergency 9-1-1 service. The digits
16 "9-1-1" shall be the designated emergency telephone number
17 within the wireless system.
18 (a) Standards. The Illinois Commerce Commission may set operational 19 non-discriminatory, uniform technical and
20 standards consistent with the rules of the Federal
21 Communications Commission for directing calls to authorized
22 public safety answering points. These standards shall not in
23 any way prescribe the technology or manner a wireless carrier
24 shall use to deliver wireless 9-1-1 or wireless E9-1-1 calls -7- LRB098 12013 0MW 45566 a
1 and these standards shall not exceed the requirements set by
2 the Federal Communications Commission. However, standards for
3 directing calls to the authorized public safety answering point
4 shall be included. The authority given to the Illinois Commerce
5 Commission in this Section is limited to setting standards as
6 set forth herein and does not constitute authority to regulate
7 wireless carriers.
8 (b) Wireless public safety answering points. For the
9 purpose of providing wireless 9-1-1 emergency services, an
10 emergency telephone system board or, in the absence of an
11 emergency telephone system board, a qualified governmental
12 entity may declare its intention for one or more of its public
13 safety answering points to serve as a primary wireless 9-1-1
14 public safety answering point for its jurisdiction by notifying
15 the Chief Clerk of the Illinois Commerce Commission and the
16 Director of State Police in writing within 6 months after the
17 effective date of this Act or within 6 months after receiving
18 its authority to operate a 9-1-1 system under the Emergency
19 Telephone System Act, whichever is later. In addition, 2 or
20 more emergency telephone system boards or qualified units of
21 local government may, by virtue of an intergovernmental
22 agreement, provide wireless 9-1-1 service. The Department of
23 State Police shall be the primary wireless 9-1-1 public safety
24 answering point for any jurisdiction not providing notice to
25 the Commission and the Department of State Police. Nothing in
26 this Act shall require the provision of wireless enhanced 9-1-1 -8- LRB098 12013 0MW 45566 a
1 services.
2 The Illinois Commerce Commission, upon a request from a
3 qualified governmental entity or an emergency telephone system
4 board, may grant authority to the emergency telephone system
5 board or a qualified governmental entity to provide wireless
6 9-1-1 service in areas for which the Department of State Police
7 has accepted wireless 9-1-1 responsibility. The Illinois
8 Commerce Commission shall maintain a current list of all 9-1-1
9 systems and qualified governmental entities providing wireless
10 9-1-1 service under this Act.
11 Any emergency telephone system board or qualified
12 governmental entity providing wireless 9-1-1 service prior to
13 the effective date of this Act may continue to operate upon
14 notification as previously described in this Section. An
15 emergency telephone system board or a qualified governmental
16 entity shall submit, with its notification, the date upon which
17 it commenced operating. telephone 18 Beginning January 31, 2014, every emergenc y
19 system board or qualified governmental entit y that is
20 authorized b y the Illinois Commerce Commission to operate a
21 9-1-1 system and that provides wireless 9-1-1 service and
22 receives wireless 9-1-1 surcharge funds shall file a 9-1-1
23 system status and financial report pursuant to Section 85 of 24 this Act. If any emergency telephone system board or qualified
25 governmental entity fails to submit the required report with
26 the required information, it will be subject to withholding -9- LRB098 12013 0MW 45566 a
1 monthly proportional grants pursuant to Section 95 of this Act.
2 (C) Wireless Enhanced 9-1-1 Board. The Wireless Enhanced
3 9-1-1 Board is created. The Board consists of 7 members
4 appointed by the Governor with the advice and consent of the
5 Senate. It is recommended that the Governor appoint members
6 from the following: the Illinois Chapter of the National
7 Emergency Numbers Association, the Illinois State Police, law
8 enforcement agencies, the wireless telecommunications
9 industry, an emergency telephone system board in Cook County
10 (outside the City of Chicago), an emergency telephone system
11 board in the Metro-east area, and an emergency telephone system
12 board in the collar counties (Lake, McHenry, DuPage, Kane, and
13 Will counties) . Members of the Board may not receive any
14 compensation but may, however, be reimbursed for any necessary
15 expenditure in connection with their duties.
16 Except as provided in Section 45, the Wireless Enhanced
17 9-1-1 Board shall set the amount of the monthly wireless
18 surcharge required to be imposed under Section 17 on all
19 wireless subscribers in this State. Prior to the Wireless
20 Enhanced 9-1-1 Board setting any surcharge, the Board shall
21 publish the proposed surcharge in the Illinois Register, hold
22 hearings on the surcharge and the requirements for an efficient
23 wireless emergency number system, and elicit public comment.
24 The Board shall determine the minimum cost necessary for
25 implementation of this system and the amount of revenue
26 produced based upon the number of wireless telephones in use.
-10- LR3098 12013 0MW 45566 a
1 The Board shall set the surcharge at the minimum amount
2 necessary to achieve the goals of the Act and shall, by July 1,
3 2000, file this information with the Governor, the Clerk of the
4 House, and the Secretary of the Senate. The surcharge may not
5 be more than $0.75 per month per CMRS connection.
6 The Wireless Enhanced 9-1-1 Board shall report to the
7 General Assembly by July 1, 2000 on implementing wireless
B non-emergency services for the purpose of public safety using
9 the digits 3-1-1. The Board shall consider the delivery of
10 3-1-1 services in a 6 county area, including rural Cook County
11 (outside of the City of Chicago), and DuPage, Lake, McHenry,
12 Will, and Kane Counties, as well as counties outside of this
13 area by an emergency telephone system board, a qualified
14 governmental entity, or private industry. The Board, upon
15 completion of all its duties required under this Act, is
16 dissolved.
17 (Source: P.A. 95-698, eff, 1-1-08.)
18 (50 ILCS 751/17)
19 (Section scheduled to be repealed on July 1, 2013)
20 Sec. 17. Wireless carrier surcharge.
21 (a) Except as provided in Sections 45 and 80, each wireless
22 carrier shall impose a monthly wireless carrier surcharge per
23 CMRS connection that either has a telephone number within an
24 area code assigned to Illinois by the North American Numbering
25 Plan Administrator or has a billing address in this State. No -11- LRB098 12013 0MW 45566 a
1 wireless carrier shall impose the surcharge authorized by this
2 Section upon any subscriber who is subject to the surcharge
3 imposed by a unit of local government pursuant to Section 45.
4 Prior to January 1, 2008 (the effective date of Public Act
5 95-698), the surcharge amount shall be the amount set by the
6 Wireless Enhanced 9-1-1 Board. Beginning on January 1, 2008
7 (the effective date of Public Act 95-698), the monthly
8 surcharge imposed under this Section shall be $0.73 per CMRS
9 connection. The wireless carrier that provides wireless
10 service to the subscriber shall collect the surcharge from the
11 subscriber. For mobile telecommunications services provided on
12 and after August 1, 2002, any surcharge imposed under this Act
13 shall be imposed based upon the municipality or county that
14 encompasses the customer's place of primary use as defined in
15 the Mobile Telecommunications Sourcing Conformity Act. The
16 surcharge shall be stated as a separate item on the
17 subscriber's monthly bill. The wireless carrier shall begin
18 collecting the surcharge on bills issued within 90 days after
19 the Wireless Enhanced 9-1-1 Board sets the monthly wireless
20 surcharge. State and local taxes shall not apply to the
21 wireless carrier surcharge.
22 (b) Except as provided in Sections 45 and 80, a wireless
23 carrier shall, within 45 days of collection, remit, either by
24 check or by electronic funds transfer, to the State Treasurer
25 the amount of the wireless carrier surcharge collected from
26 each subscriber. Of the amounts remitted under this subsection -12- LRB098 12013 0MW 45566 a
1 prior to January 1, 2008 (the effective date of Public Act
2 95-698), and for surcharges imposed before January 1, 2008 (the
3 effective date of Public Act 95-698) but remitted after January
4 1, 2008, the State Treasurer shall deposit one-third into the
5 Wireless Carrier Reimbursement Fund and two-thirds into the
6 Wireless Service Emergency Fund. For surcharges collected and 7 remitted on or after January 1, 2008 (the effective date of
8 Public Act 95-698), $0.1475 per surcharge collected shall be
9 deposited into the Wireless Carrier Reimbursement Fund, and
10 $0.5825 per surcharge collected shall be deposited into the
11 Wireless Service Emergency Fund. Of the amounts deposited into
12 the Wireless Carrier Reimbursement Fund under this subsection,
13 $0.01 per surcharge collected may be distributed to the
14 carriers to cover their administrative costs. Of the amounts
15 deposited into the Wireless Service Emergency Fund under this
16 subsection, $0.01 per surcharge collected may be disbursed to
17 the Illinois Commerce Commission to cover its administrative
18 costs. y 1, 19 For surcharges collected and remitted on or after Jul
20 2013, $0.71 per surcharge collected shall be deposited into the
21 Wireless Service Emergenc y Fund for distribution to authorized
22 wireless emergenc y telephone system boards or authorized
23 wireless qualified governmental entities, $0.02 per surcharge
24 collected shall be deposited into the Wireless Service
25 Emergency Fund and distributed in equal shares to authorized
26 wireless county emergenc y telephone system boards or -13- LRB098 12013 0MW 45566 a
1 authorized wireless county qualified governmental entities in
2 counties with a population under 100,000, and $0.01 per 3 surcharge collected may be disbursed to the Illinois Commerce
4 Commission out of the Wireless Services Emergency Fund to cover
5 its administrative.cOStS.
6 No amount of any surchar ge collected under this subsection
7 (b) after the July 1, 2013 remit period shall be deposited into
8 the Wireless Carrier Reimbursement Fund.
9 The Wireless Carrier Reimbursement Fund is abolished on remaining balance shall be 10 January 1, 2014. On this date, an y ii transferred to the Wireless Service Emergency Fund and
12 distributed in the same manner as the surcharge imposed under
13 this subsection (b).
14 (c) The first such remittance by wireless carriers shall
15 include the number of wireless subscribers by zip code, and the
16 9-digit zip code if currently being used or later implemented
17 by the carrier, that shall be the means by which the Illinois
18 Commerce Commission shall determine distributions from the
19 Wireless Service Emergency Fund. This information shall be
20 updated no less often than every year. Wireless carriers are
21 not required to remit surcharge moneys that are billed to
22 subscribers but not yet collected. Any carrier that fails to
23 provide the zip code information required under this subsection
24 (c) shall be subject to the penalty set forth in subsection (f)
25 of this Section.
26 (d) Any funds collected under the Prepaid Wireless 9-1-1 -14- LRB098 12013 0MW 45566 a
i surcharge Act shall be distributed using a prorated method
2 based upon zip code information collected from post-paid
3 wireless carriers under subsection (c) of this Section.
4 (e) If before midnight on the last day of the third
5 calendar month after the closing date of the remit period
6 through the December 2013 remit period, a wireless carrier does
7 not remit the surcharge or any portion thereof required under
8 this Section, then the surcharge or portion thereof shall be
9 deemed delinquent until paid in full, and the Illinois Commerce
10 Commission may impose a penalty set forth below. Beginning with
11 the January 2014 remit period, if before midnight on the last date of the 12 day of the second calendar month after the closin g ge or 13 remit period a wireless carrier does not remit the surchar
14 any portion thereof required under this Section, then the
15 surcharge or potion thereof shall be deemed delinquent until
16 paid in full, and the Illinois Commerce Commission may impose a
17 penalty against the carrier in an amount equal to the greater
18 of:
19 (1) $25 for each month or portion of a month from the
20 time an amount becomes delinquent until the amount is paid
21 in full; or
22 (2) an amount equal to the product of 1% and the sum of
23 all delinquent amounts for each month or portion of a month
24 that the delinquent amounts remain unpaid.
25 A penalty imposed in accordance with this subsection (e)
26 for a portion of a month during which the carrier provides the -15- LRB098 12013 0MW 45566 a
1 number of subscribers by zip code as required under subsection
2 (c) of this Section shall be prorated for each day of that
3 month during which the carrier had not provided the number of
4 subscribers by zip code as required under subsection (c) of
5 this Section. Any penalty imposed under this subsection (e) is
6 in addition to the amount of the delinquency and is in addition
7 to any other penalty imposed under this Section.
8 All penalties collected under this subsection (e) shall be
9 deposited into the Wireless Service Emergency Fund and
10 distributed in the same manner as the surcharge imposed under
11 subsection (b) of this Section.
12 (f) If, before midnight on the last day of the third
3 calendar month after the closing date of the remit period
14 through the December 2013 remit period, a wireless carrier does
15 not provide the number of subscribers by zip code as required
16 under subsection (c) of this Section, then the report is deemed
17 delinquent and the Illinois Commerce Commission may impose a
18 penalty set forth below. Beginning with the January 2014 remit of the secon d 19 period, if before midnight on the last da y
20 calendar month after the closing date of the remit period a
21 wireless carrier does not provide the number of subscribers by
22 zip code as required under subsection (c) of this Section, then 23 the report is deemed delinquent and the Illinois Commerce.
24 Commission may impose a penalty against the carrier in an
25 amount equal to the greater of:
26 (1) $25 for each month or portion of a month that the
-16- LRB098 12013 0MW 45566 a
1 report is delinquent; or
2 (2) an amount equal to the product of 1/2 for each
3 month or portion of a month that the report is delinquent
4 and the number of subscribers served by the wireless
5 carrier.
6 A penalty imposed in accordance with this subsection (f) 7 for a portion of a month during which the carrier pays the
8 delinquent amount in full shall be prorated for each day of
9 that month that the delinquent amount was paid in full. A
10 penalty imposed and collected in accordance with this
11 subsection (f) shall be deposited into the Wireless Service
12 Emergency Fund and distributed in the same manner as theJ
13 surcharge imposed under subsection (b) of this Section. Any
14 penalty imposed under this subsection (f) is in addition to any
15 other penalty imposed under this Section.
16 (g) The Illinois Commerce Commission may enforce the
17 collection of any delinquent amount and any penalty due and
18 unpaid under this Section by legal action or in any other
19 manner by which the collection of debts due the State of
20 Illinois may be enforced under the laws of this State. The
21 Executive Director of the Illinois Commerce Commission, or his
22 or her designee, may excuse the payment of any penalty imposed
23 under this Section if the Executive Director, or his or her
24 designee, determines that the enforcement of this penalty is
25 unjust.
26 (h) Notwithstanding any provision of law to the contrary, -17- LRB098 12013 0MW 45566 a
1 nothing shall impair the right of wireless carriers to recover
2 compliance costs for all emergency communications services
3 that are not reimbursed out of the Wireless Carrier
4 Reimbursement Fund directly from their wireless subscribers
5 via line-item charges on the wireless subscriber's bill. Those
6 compliance costs include all costs incurred by wireless
7 carriers in complying with local, State, and federal regulatory
8 or legislative mandates that require the transmission and
9 receipt of emergency communications to and from the general
10 public, including, but not limited to, E-911.
11 (i) The Auditor General shall conduct, on an annual basis,
12 an audit of the Wireless Service Emergency Fund and the
13 Wireless Carrier Reimbursement Fund for compliance with the
14 requirements of this Act. The audit shall include, but not be
15 limited to, the following determinations:
16 (1) Whether the Commission is maintaining detailed
17 records of all receipts and disbursements from the Wireless
18 Carrier Emergency Fund and the Wireless Carrier
19 Reimbursement Fund.
20 (2) Whether the Commission's administrative costs
21 charged to the funds are adequately documented and are
22 reasonable.
23 (3) Whether the Commission's procedures for making
24 grants and providing reimbursements in accordance with the
25 Act are adequate.
26 (4) The status of the implementation of wireless 9-1-1 -18- LRB098 12013 0MW 45566 a
1 and E9-1-1 services in Illinois.
2 The Commission, the Department of State Police, and any
3 other entity or person that may have information relevant to
4 the audit shall cooperate fully and promptly with the Office of
5 the Auditor General in conducting the audit. The Auditor
6 General shall commence the audit as soon as possible and
7 distribute the report upon completion in accordance with
8 Section 3-14 of the Illinois State Auditing Act.
9 (Source: P.A. 97-463, eff. 1-1-12.)
10 (50 ILCS 751/70)
11 (Section scheduled to be repealed on July 1, 2013)
12 Sec. 70. Repealer. This Act is repealed on July 1, 2018
13 2013.
14 (Source: P.A. 97-1163, eff. 2-4-13.)
(50 ILCS 751/85 new)
16 Sec. 85 Annual enhanced 9-1-1 system status and financial
17 report. Notwithstandin g any other provision of this Act, every
18 emergency telephone system board and qualified governmental
19 entit y , as described in Section 15 of this Act and Section 15.4
20 of the Emergency Telephone System Act, shall submit an annual
21 report to the Commission re garding its system status and the 22 financial condition in a form and format specified b y
23 Commission and in consultation with the Illinois chapters of
24 the National Emergenc y Number Association and the Association
-19- LRB098 12013 0MW 45566 a
1 of Public-Safety Communications Officials. The report shall
2 include, but not be limited to, a copy of the audited financial
3 statements of each emergency telephone systems board or
4 qualified governmental entity providing 9-1-1 service in
5 Illinois.
6 Beginning January 31, 2014, the 9-1-1 system status and
7 financial report shall be filed no later than January 31 of
8 each year with the Chief Clerk's Office of the Illinois
9 Commerce Commission, with an additional copy provided to the
10 Commission's 9-1-1 Program Manager.
11 (50 ILCS 751/90 new)
12 Sec. 90. Commission analysis; 9-1-1 Services Advisory
13 Board.
14 (a) The Illinois Commerce Commission shall monitor the
15 status and level of 9-1-1 services being provided throughout
16 Illinois, as well as the financial information of all emergency
17 telephone system boards and qualified governmental entities.
18 The Commission shall collect the 9-1-1 system status and
19 financial reports required under Section 85 of this Act and may
20 hire a consultant, the costs of which may be paid from the
21 Wireless Service Emergency Fund, to analyze the information
22 collected and provide his or her analysis and recommendations
23 in a report. The report shall be presented to the Commission,
24 the Illinois 9-1-1 Services Advisory Board, and the General
25 Assembly by January 1, 2017 and may include, but need not be
-20- LRB098 12013 0MW 45566 a
1 limited to, the following:
2 (1) an assessment of the general financial condition of
3 each 9-1-1 system and determine the sustainability of 9-1-1
4 funding, taking into consideration all State and local
5 support;
6 (2) a comparison of expenditures of each 9-1-1 system
7 and identification of the differences in how different
8 9-1-1 systems spend their funds;
9 (3) identification of 9-1-1 systems that have reserves
10 for current and past years and which ones do not, and the
11 purposes for which reserves have been maintained,
12 including whether reserve balances have declined or
13 increased from prior years; 14 (4) identification of 9-1-1 systems that have
15 experienced revenue declines from prior years and the
16 reasons for those revenue declines; 17 (5) a determination of the total, annual cost to provide
18 9-1-1 service in Illinois and provide recommendations how
19 costs could be reduced without lessening the quality of the
20 9-1-1 services provided;
21 (6) the potential for consolidation of emergency
22 telephone system boards and public safet y answering
23 points;
24 (7)an evaluation of current funding formulas to assess
25 whether it adequately reflects a fair disbursement of
26 funding based upon the costs associated with the provision
-21- LRB098 12013 0MW 45566 a
1 of 9-1-1 services and recommendations for funding 9-1-1 in
2 the future; and
3 (8) recommendations regarding financing current
4 operational and future technological needs of 9-1-1
5 services, including E9-1-1 and Next Generation 9-1-1.
6 (b) There is hereby created the Illinois 9-1-1 Services 7 Advisory Board. The Board shall work with the Commission to
8 develop a list of legislative priorities and recommendations.
9 Additionally, the Board shall determine the minimum baseline
10 9-1-1 costs necessary for every 9-1-1 - system to function based
11 upon the consultant's report to the General Assembly. The Board
12 shall consist of 11 members appointed by the Governor as
13 follows:
14 (1) the Executive Director of the Illinois Commerce
15 Commission, or his or her designee;
16 (2) one member representing the Illinois chapter of the
17 National Emergency Number Association;
18 (3) one member representing the Illinois chapter of the
19 Association of Public-Safet y Communications Officials;
20 (4) one member representing a county 9-1-1 system from
21 a county with a population of 50,000 or less;
22 (5) one member representing a county 9-1-1 system from
23 a county with a population between 50,000 and 250,000;
24 (6) one member representing a county 9-1-1 system from
25 a county with a population of 250,000 or more;
26 (7) one member - representing an incumbent local
-22- LB098 12013 0MW 45566 a
1 exchange 9-1-1 system provider;
2 (8) one member representing a non-incumbent local
3 exchange 9-1-1 system provider;
4 (9) one member representing a large wireless carrier;
5 (10) one member representing a small wireless carrier;
6 and
7 (11) one member representing the Illinois
8 Telecommunications Association.
9 The Board is abolished on July 1, 2018.
10 (50 ILCS 751/95 new)
11 Sec. 95. Compliance. Monthly proportional grants of funds
12 to an authorized entity under Section 25 of this Act will be
13 made only in accordance with this Section and Sections 25 and
14 85. To be eligible for such monthl y proportional grants, an
15 emergency telephone system board or qualified governmental
16 agency, as described in Section 15 of this Act, shall be 17 subject to the following:
18 (1) In order to continue receiving wireless surcharge
19 funds for a jurisdiction, the emergency telephone system
20 board or qualified governmental entity must be providing
21 Phase II wireless service by July 1, 2015 if it is
22 receiving 9-1-1 wireless surcharge funds from that
23 jurisdiction for which it is answering wireless 9-1-1
24 calls. Any emergency telephone system board or qualified
25 governmental agency that is not Phase II compliant by
-23- LRB098 12013 0MW 45566 a
1 January 1, 2015 shall forfeit its monthly wireless
2 surcharge distribution for each month that it is not Phase
3 II compliant with regard to each wireless carrier in the
4 jurisdiction for which it is taking wireless 9-1-1 calls,
5 unless: (i) a wireless carrier has failed to implement
6 Phase II service requested by the emergenc y telephone 7 system board or qualified governmental entity, or (ii) if a
8 wireless carrier has obtained a waiver from the Federal
9 Communications Commission of the requirement that it
10 provide Phase II service. Documentation of the waiver must
11 be provided as an attachment to the 9-1-1 status and
12 financial report and verified annually b y the emergency
13 telephone system board or qualified governmental entity.
14 (2) The emergency telephone system board or qualified
15 governmental entity must file the annual system status and
16 financial report required under Section 85 of this Act. 17 Failure to file the annual 9-1-1 system status and
18 financial report will result in the withholding of monthly
19 wireless surchar ge funds until the report is filed. 20 (3) Any wireless surchar ge funds that have been
21 withheld for 12 months or more will be forfeited and may be
22 distributed proportionall y to compliant emergency
23 telephone system boards and qualified governmental
24 entities.
25 The Commission, actin g through its Executive Director, or
26 his or her designee, may waive any requirement of this Section -24-- LRB098 12013 0MW 45566 a
1 if waiver is determined to be in the best interest of the
2 public.
3 Section 15. The Prepaid Wireless 9-1-1 Surcharge Act is
4 amended by changing Sections 10 and 20 as follows:
5 (50 ILCS 753/10)
6 Sec. 10. Definitions. In this Act:
7 "Consumer" means a person who purchases prepaid wireless
8 telecommunications service in a retail transaction.
9 "Department" means the Department of Revenue.
10 "Eligible telecommunications carrier" means a provider or
11 seller designated by the Illinois Commerce Commission pursuant
12 to 47 U.S.C. 214 (e) to receive universal service support.
13 "Prepaid wireless E911 surcharge" means the charge that is
14 required to be collected by a seller from a consumer in the
15 amount established under Section 15 of this Act.
16 "Prepaid wireless telecommunications service" means a
17 wireless telecommunications service that allows a caller to
18 dial 9-1-1 to access the 9-1-1 system, which service must be
19 paid for in advance and is sold in predetermined units or
20 dollars of which the amount declines with use in a known
21 amount.
22 "Provider" means a person that provides prepaid wireless
23 telecommunications service pursuant to a license issued by the
24 Federal Communications Commission. -25- LRB098 12013 0MW 45566 a
1 "Retail transaction" means the purchase of prepaid
2 wireless telecommunications service from a seller for any
3 purpose other than resale. "Retail transaction" shall include
4 any transaction in which a seller provides prepaid wireless
5 telecommunications service to a consumer, whether or not the wireless 6 seller receives payment for such prepaid
7 telecommunications service from the customer directly or , but not limited 8 indirectly from any other source, includin g
9 to, federal universal service support paid to eligible
10 telecommunications carriers providing service to a customer
11 eligible for any Lifeline retail service offering under 47
12 C..F.R 54.401.
13 "Seller" means a person who sells prepaid wireless
14 telecommunications service to another person.
15 "Wireless telecommunications service" means commercial
16 mobile radio service as defined by 47 C.F.R. 20.3.
17 (Source: P.A. 97-463, eff. 1-1-12.)
18 (50 ILCS 753/20)
19 Sec. 20. Administration of prepaid wireless 9-1-1
20 surcharge.
21 (a) In the administration and enforcement of this Act, the
22 provisions of Sections 2a, 2b, 2c, 3, 4, 5, 5a, 5b, 5c, Sd, 5e,
23 Sf, 5g, Si, 5j, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, and 12 of the
24 Retailers' Occupation Tax Act that are not inconsistent with
25 this Act, and Section 3-7 of the Uniform Penalty and Interest -26- LRB098 12013 0MW 45566 a
1 Act shall apply, as far as practicable to the subject matter
2 of this Act to the same extent as if those provisions were
3 included in this Act. References to "taxes" in these
4 incorporated Sections shall be construed to apply to the
5 administration, payment, and remittance of all surcharges
6 under this Act. The Department shall establish registration and
7 payment procedures that substantially coincide with the
8 registration and payment procedures that apply to the
9 Retailers' Occupation Tax Act.
10 (b) For the first 12 months after the effective date of
11 this Act, a seller shall be permitted to deduct and retain 5%
12 of prepaid wireless 9-1-1 surcharges that are collected by the
13 seller from consumers and that are remitted and timely filed
14 with the Department. After the first 12 months, a seller shall
15 be permitted to deduct and retain 3% of prepaid wireless 9-1-1
16 surcharges that are collected by the seller from consumers and
17 that are remitted and timely filed with the Departmeflt
18 provided that the eligible telecommunications carriers
19 receivin g payment from consumers in the form of federal
20 universal service support shall not be permitted to deduct an
21 retain such sums.
22 (c) Other than the amounts for deposit into the Municipal
23 Wireless Service Emergency Fund, the Department shall pay to
24 the State Treasurer all prepaid wireless E911 charges and
25 penalties collected under this Act for deposit into the
26 Wireless Service Emergency Fund. On or before the 25th day of -27- LRB098 12013 0MW 45566 a
1 each calendar month, the Department shall prepare and certify
2 to the Comptroller the amount available to the Illinois
3 Commerce Commission for distribution out of the Wireless
4 Service Emergency Fund. The amount certified shall be the
5 amount (not including credit memoranda) collected during the
6 second preceding calendar month by the Department plus an
7 amount the Department determines is necessary to offset any
8 amounts which were erroneously paid to a different taxing body.
9 The amount paid to the Wireless Service Emergency Fund shall
10 not include any amount equal to the amount of refunds made
11 during the second preceding calendar month by the Department to
12 retailers under this Act or any amount that the Department
13 determines is necessary to offset any amounts which were
14 payable to a different taxing body but were erroneously paid to
15 the Wireless Service Emergency Fund. The Illinois Commerce
16 Commission shall distribute the funds in the same proportion as
17 they are distributed under the Wireless Emergency Telephone
18 Safety Act and the funds may only be used in accordance with
19 the provisions of the Wireless Emergency Telephone Safety Act.
20 The Department may deduct an amount, not to exceed 3% during
21 the first year following the effective date of this Act and not
22 to exceed 2% during every year thereafter of remitted charges,
23 to be transferred into the Tax Compliance and Administration
24 Fund to reimburse the Department for its direct costs of
25 administering the collection and remittance of prepaid
26 wireless 9-1-1 surcharges.
-28- LRB098 12013 0MW 45566 a
1 (d) The Department shall administer the collection of all
2 9-1-1 surcharges and may adopt and enforce reasonable rules
3 relating to the administration and enforcement of the
4 provisions of this Act as may be deemed expedient. The
5 Department shall require all surcharges collected under this
6 Act to be reported on existing forms or combined forms,
7 including, but not limited to, Form ST-1. Any overpayments
8 received by the Department for liabilities reported on existing
9 or combined returns shall be applied as an overpayment of
:io retailers' occupation tax, use tax, service occupation tax, or
11 service use tax liability.
12 (e) If a home rule municipality having a population in
13 excess of 500,000 as of the effective date of this amendatory
14 Act of the 97th General Assembly imposes an E911 surcharge
15 under subsection (a-5) of Section 15 of this Act, then the
16 Department shall pay to the State Treasurer all prepaid
17 wireless E911 charges, penalties, and interest collected for
18 deposit into the Municipal Wireless Service Emergency Fund. All
19 deposits into the Municipal Wireless Service Emergency Fund
20 shall be held by the State Treasurer as ex officio custodian
21 apart from all public moneys or funds of this State. Any
22 interest attributable to moneys in the Fund must be deposited
23 into the Fund. Moneys in the Municipal Wireless Service
24 Emergency Fund are not subject to appropriation. On or before
25 the 25th day of each calendar month, the Department shall
26 prepare and certify to the Comptroller the amount available for -29- LRB098 12013 0MW 45566 a
1 disbursement to the home rule municipality out of the Municipal
2 Wireless Service Emergency Fund. The amount to be paid to the
3 Municipal Wireless Service Emergency Fund shall be the amount
4 (not including credit memoranda) collected during the second
5 preceding calendar month by the Department plus an amount the
6 Department determines is necessary to offset any amounts which
7 were erroneously paid to a different taxing body. The amount
8 paid to the Municipal Wireless Service Emergency . Fund shall not
9 include any amount equal to the amount of refunds made during
10 the second preceding calendar month by the Department to
11 retailers under this Act or any amount that the Department
12 determines is necessary to offset any amounts which were
13 payable to a different taxing body but were erroneously paid to
14 the Municipal Wireless Service Emergency Fund. Within 10 days
15 after receipt by the Comptroller of the certification provided
16 for in this subsection, the Comptroller shall cause the orders
17 to be drawn for the respective amounts in accordance with the
18 directions in the certification. The Department may deduct an
19 amount, not to exceed 3% during the first year following the
20 effective date of this amendatory Act of the 97th General
21 Assembly and not to exceed 2% during every year thereafter of
22 remitted charges, to be transferred into the Tax Compliance and
23 Administration Fund to reimburse the Department for its direct
24 costs of administering the collection and remittance of prepaid
25 wireless 9-1-1 surcharges.
26 (Source: P.A. 97-463, eff. 1-1-12; 97-748, eff. 7-6-12.) -30- LRB098 12013 0MW 45566 a
1 Section 20. The Public Utilities Act is amended by changing
2 Section 13-1200 as follows:
3 (220 ILCS 5/13-1200)
4 (Section scheduled to be repealed on July 1, 2013)
5 Sec. 13-1200. Repealer. This Article is repealed July 1,
6 2018 201-3.
7 (Source: P.A. 95_9, eff. 6-30-07; 96-24, eff. 6-30-09; 96-927,
8 eff. 6-15-10.)
9 Section 99. Effective date. This Act takes effect upon
10 becoming law.".
Illinois General Assembly - Bill Status for SB2404 Page 1 of
Bill Status of 5B2404 98th General Assembly
Short Description: PEN CD-REFORM STATE SYSTEMS
Senate Sponsors Sen. John J. Cullerton - Linda Holmes - Pamela J. Althoff - Toi W. Hutchinson - Kimberly A. Lightford, Melinda Bush, Mike Jacobs, Wm. Sam McCann, Dan Kotowski, John G. Mulroe, Thomas Cullerton, Pat McGuire, Bill Cunnin gham, Michael W. Frerichs, Jennifer Bertirio-Tarrant, Julio A. Morrison, Gary Forby, Iris V. Martinez, Andy Manar, John M. Sullivan, David Koehler, Emil Jones, IU, Michael E. Hastings, William R. Haine, Jacqueline Y. Collins and Mattie Hunter
House Sponsors (Rep. Jay Hoffman - Jack D. Franks - Linda Chapa LaVia - Patrick J. Verschooro - Mike Smiddy, Kelly M. Cassidy, Ann Williams, Jehan A. Gordon-Booth, Emanuel Chris Welch, Elgie R. Sims, Jr., Al Riley, Rita Mayfield, Maria Antonia Berrios, Kelly Burke, Frances Ann Hurle y and Camille Y. Lilly)
Last Action Date Chamber Action 5/10/2013 House Referred to Rules Committee
Statutes Amended In Order of Appearance 30 ILCS 122/20 30 ILCS 122/25 40 ILCS 5/1-103.3 40 ILCS 5/2-105.1 new 40 ILCS 5/2-105.2 new 40 ILCS 5/2-124 from Ch. 108 1/2, par. 2-124 40 ILCS 5/2-125 from Ch. 108 1/2, par. 2-125 40 ILCS 5/2-126 from Ch. 108 1/2, par. 2-126 40 ILCS 5/14-103.40 new 40 ILCS 5/14-103.41 new 40 ILCS 5/14-131 40 ILCS 5/14-132 from Ch. 108 1/2, par. 14-132 40 ILCS 5/14-133 from Ch. 108 1/2, par. 14-133 40 ILCS 5/15-107.1 new 40 ILCS 5/15-107.2 new 40 ILCS 5/15-136 from Ch. 108 1/2, par. 15-136 40 ILCS 5/15-155 from Ch. 108 1/2, par. 15-155 40 ILCS 5/15-156 from Ch. 108 1/2, par. 15-156 40 ILCS 5/15-157 from Ch. 108 1/2, par. 15-157 40 ILCS 5/16-106.4 new 40 ILCS 5/16-106.5 new 40 ILCS 5/16-133 from Ch. 108 1/2, par. 16-133 40 ILCS 5/16-152 from Ch. 108 1/2, par. 16-152
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Illinois General Assembly - Bill Status for SB2404 Page 2 of 7
40 ILCS 5/16-158 from Ch. 108 1/2, par. 16-158 40 ILCS 5/16-158.2 new
Synopsis As Introduced Amends the Budget Stabilization Act. Provides for transfers from the General Revenue Fund to the Pension Stabilization Fund according to a specified schedule beginning in FY 2016 and continuing until FY 2045 or until the retirement funds have achieved a 100% funding ratio, whichever is earlier. Amends the General Assembly, State Employee, State Universities and Downstate Teacher Articles of the Illinois Pension Code. Changes the manner in which the annual required State contribution is calculated so that the affected systems are 100% funded by 2045. Provides that employee contributions to the retirement systems are increased an additional 1% on July 1, 2013 and 2% on July 1, 2014. Provides that the State is contractually obligated to each retirement plan participant and retiree to provide funding to the retirement systems according to the specified amortization schedule beginning in FY 2016 and continuing until FY 2045 or until the retirement funds have achieved a 100% funding ratio, whichever is earlier, in addition to the annual required State contribution certified by the Board for each fiscal year. Provides that each retirement system has the right to bring a mandamus action against the State to compel the State to make any installment of the annual required State contribution certified by the Board and the transfers required under the Budget Stabilization Act. Further provides that if a retirement system shall fail to bring a mandamus action against the State to compel the State to make any required installment, then any participant or retiree may bring such a mandamus action. Effective July 1, 2013.
Senate Floor Amendment No. 2 Deletes reference to: 40 ILCS 5/1-103.3 40 ILCS 5/2-124 40 ILCS 5/14-131 40 ILCS 5/15-107.1 new 40 ILCS 5/15-107.2 new 40 ILCS 5/15-155 40 ILCS 5/16-106.4 new 40 ILCS 5/16-106.5 new 40 ILCS 5/16-158 40 ILCS 5/16-158.2 Adds reference to: 5 ILCS 315/4 from Ch. 48, par. 1604 5 ILCS 375/6.9 5 ILCS 375/610 5 ILCS 375/6.1 OA new 5 ILCS 375/6.16 new 20 ILCS 3005/7 from Ch. 127, par. 417 20 ILCS 3005/8 from Ch. 127, par. 418 30 ILCS 105/13 from Ch. 127, par. 149 30 ILCS 105/24.12 new 30 ILCS 105/24.13 new 40 ILCS 5/1-162 new 40 ILCS 5/2-107.9 new 40 ILCS 5/2-108 from Ch. 108 1/2, par. 2-108
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Illinois General Assembly - Bill Status for SB2404 Page 3 of 7
40 ILCS 5/2-110.3 new 40 ILCS 5/2-119.1 from Ch. 108 1/2, par. 2-119.1 40 ILCS 5/2-125 from Ch. 108 1/2, par. 2-125 40 ILCS 5/2-126 from Ch. 108 1/2, par. 2-126 40 ILCS 5/2-134 from Ch. 108 1/2, par. 2-134 40 ILCS 5/2-162 40 ILCS 5/7-109 from Ch. 108 1/2, par. 7-109 40 ILCS 5/14-103.10 from Ch. 108 1/2, par. 14-103.10 40 ILCS 5/14-103.42 new 40 ILCS 5/14-106.5 new 40 ILCS 5/14-114 from Ch. 108 1/2, par. 14-114 40 ILCS 5/14-135.08 from Ch. 108 1/2, par. 14-135.08 40 ILCS 5/14-152.1 40 ILCS 5/15-106 from Ch. 108 1/2, par. 15-106 40 ILCS 5/15-107 from Ch. 108 1/2, par. 15-107 40 ILCS 5/15-108.1 new 40 ILCS 5/15-108.2 new 40 ILCS 5/15-111 from Ch. 108 1/2, par. 15-111 40 ILCS 5/15-112.1 new 40 ILCS 5/15-132.9 new 40 ILCS 5/15-163 from Ch. 108 1/2, par. 15-163 40 ILCS 5/15-165 from Ch. 108 1/2, par. 15-165 40 ILCS 5/15-198 40 ILCS 5/16-106 from Ch. 108 1/2, par. 16-106 40 ILCS 5/16-107.1 new 40 ILCS 5/16-107.2 new 40 ILCS 5/16-121 from Ch. 108 1/2, par. 16-121 40 ILCS 5/16-121.1 new 40 ILCS 5/16-122.9 new 40 !LCS 5/16-133.1 from Ch. 108 1/2, par. 16-133.1 40 ILCS 5/16-133.6 new 40 ILCS 5/16-136.1 from Ch. 108 1/2, par. 16-136.1 40 ILCS 5/16-203 105 ILCS 5/24-1 from Ch. 122, par. 24-1 105 ILCS 5/24-8 from Ch. 122, par. 24-8 110 ILCS 70/36d from Ch. 24 1/2, par. 38b3 110 ILCS 305/85 new 110 ILCS 520/70 new 110 ILCS 660/5-180 new 110 ILCS 665/10-180 new 110 ILCS 670/15-180 new 110 ILCS 675/20-185 new 110 ILCS 680/25-180 new http://www.ilga.gov/legislatiobi1lstatus.asp?DocNum2404&GAID 1 2&GA=98&DocT... 5/21/2013
Illinois General Assembly - Bill Status for SB2404 Page 4 of 7
110 ILCS 685/30-190 new 110 ILCS 690/35-185 new 110 1 LOS 805/3-26 from Ch. 122, par. 103-26 110 ILOS 805/3-42 from Ch. 122, par. 103-42 115 ILCS 5/4 from Ch. 48, par. 1704 30 ILCS 805/8.37 new 40 ILCS 5/1-161 new
Replaces everything after the enacting clause. Amends the General Provisions, General Assembly, Illinois Municipal Retirement Fund (IMRF), State Employee, State Universities, and Downstate Teachers Articles of the Illinois Pension Code. In the General Provisions Article, creates an optional cash balance plan. In the General Assembly, State Employees, State Universities, and Downstate Teachers Articles, requires Tier I participants to elect (i) to have the amount of their automatic annual increases reduced and to waive their eligibility for automatic annual increases for 2 years, (ii) to make additional employee contributions and to waive their eligibility for automatic annual increases for 3 years, or (iii) to maintain their current benefit package. Specifies that a Tier I participant who has elected either item (i) or (ii) is entitled to have future increases in income treated as pensionable income, remains eligible to participate in the State-sponsored program of health benefits during retirement, may, in the case of Tier I participants who have elected item (i), participate in the optional cash balance plan, and may, in the case of Tier I participants in the Teachers' Retirement System who have elected item (i), participate in an early retirement program. Specifies that a Tier I participant who has elected item (iii) is not eligible for any of these benefits. In the General Assembly, State Employees, State Universities, and Downstate Teachers Articles, also requires Tier I retirees to elect (i) to delay their eligibility for automatic annual increases or (ii) to maintain their current benefit package. Specifies that a Tier I retiree who elects item (ii) becomes ineligible to participate in the State-sponsored program of health benefits during retirement. In the Illinois Municipal Retirement Fund, State Employee, and State Universities, and Downstate Teacher Articles prohibits new hires of certain non-public entities from becoming participants in the affected retirement funds and systems. Amends the State Finance Act. To the list of standardized items of appropriation, adds "State retirement contribution for annual normal cost" and "State retirement contribution for unfunded accrued liability" and defines those terms. Amends the Governor's Office of Management and Budget Act. Adds those terms to a list of classifications to be used in statements and estimates of expenditures submitted to the Office in connection with the preparation of a State budget. Amends the Illinois Public Labor Relations Act and the Illinois Educational Labor Relations Act to make the provisions of the amendatory Act supersede conflicting provisions of those Acts and makes other changes. Makes conforming changes in the State Employees Group Insurance Act of 1971, as well as other changes. Amends the State Mandates Act to require implementation without reimbursement. Amends various Acts concerning public universities and community colleges to make conforming changes. Includes severability provisions. Effective immediately.
Senate Floor Amendment No. 4 Makes changes in provisions concerning transfers into the Pension Stabilization Fund.
Senate Floor Amendment No. 5 Replaces the severability provision. Provides that if any benefit change made by this amendatory Act in an Article of the Illinois Pension Code is determined to be unconstitutional or otherwise invalid by a final unappealable decision of an Illinois court or a court of competent jurisdiction, then the State funding guarantee provisions added to that Article by this amendatory Act shall also be invalid, and those funding guarantee provisions shall be contingent upon and inseverable from those benefit changes.
Actions
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Illinois General Assembly - Bill Status for SB2404 Page 5 of 7
2/15/2013 Senate Referred to Assignments 2/15/2013 Senate Added as Chief Co-Sponsor Sen. Pamela J. Althoff 2/21/2013 Senate Added as Chief Co-Sponsor Sen. Melinda Bush 2/27/2013 Senate Added as Chief Co-Sponsor Sen. Toi W. Hutchinson 2/27/2013 Senate Added as Chief Co-Sponsor Sen. Kimberl y A. Lightford 2/27/2013 Senate Added as Co-Sponsor Sen. Mike Jacobs 2/27/2013 Senate Added as Co-Sponsor Sen. Wm, Sam McCann 2/28/2013 Senate Added as Co-Sponsor Sen. Dan Kotowski 2/28/2013 Senate Added as Co-Sponsor Sen. John G. Mulroe 2/28/2013 Senate Added as Co-Sponsor Sen. Thomas Cullerton 3/1/2013 Senate Added as Co-Sponsor Sen. Pat McGuire 3/1/2013 Senate Added as Co-Sponsor Sen. Bill Cunningham 3/1/2013 Senate Added as Co-Sponsor Sen. Michael W. Frerichs 3/5/2013 Senate Added as Co-Sponsor Sen. Jennifer Bertino-Tarrant 3/6/2013 Senate Added as Co-Sponsor Sen. Julie A. Morrison 3/6/2013 Senate Added as Co-Sponsor Sen. Tim Bivins 3/6/2013 Senate Assigned to Executive 3/6/2013 Senate To Subcommittee on S pecial Issues (EX) 3/7/2013 Senate Added as Co-Sponsor Sen. Iris Y. Martinez 3/12/2013 Senate Added as Co-Sponsor Sen. William E. Brady 3/13/2013 Senate Added as Co-Sponsor Sen. And y Manar 3/13/2013 Senate Postponed - Executive 3/14/2013 Senate Reported Back To Executive; 002-001 -000 3/19/2013 Senate Added as Co-Sponsor Sen. John M. Sullivan 3/20/2013 Senate Postponed - Executive 3/21/2013 Senate Senate Committee Amendment No. 1 Filed with Secretary by Sen. Linda Holmes 3/21/2013 Senate Senate Committee Amendment No. 1 Referred to Assignments 3/21/2013 Senate Added as Co-Sponsor Sen. David Koehler 3/21/2013 Senate Added as Co-Sponsor Sen. Emil Jones, Ill 3/21/2013 Senate Added as Co-Sponsor Sen. Michael E. Hastings 3/22/2013 Senate Rule 2-10 Committee Deadline Established As April 19, 2013 4/3/2013 Senate Senate Committee Amendment No. 1 Assignments Refers to Executive 4/17/2013 Senate Postponed - Executive 4/17/2013 Senate Senate Committee Amendment No. 1 Postponed - Executive 4/19/2013 Senate Rule 2-10 Committee Deadline Established As May 10, 2013 4/25/2013 Senate Postponed - Executive 4/25/2013 Senate Senate Committee Amendment No. 1 Postponed - Executive 4/29/2013 Senate Rule 2-10 Third Reading Deadline Established As May 3, 2013 5/2/2013 Senate Rule 2-10 Third Reading Deadline Established As May 31, 2013 5/6/2013 Senate Re-referred to Assignments 5/6/2013 Senate Approved for Consideration Assignments 5/6/2013 Senate Placed on Calendar Order of 2nd Reading
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Illinois General Assembly - Bill Status for SB2404 Page 6 of 7
5/6/2013 Senate Second Reading 5/6/2013 Senate Placed on Calendar Order of 3rd Reading May 7, 2013 5/6/2013 Senate Chief Sponsor Changed to Sen. John J. Cullerton 5/6/2013 Senate Added as Chief Co-Sponsor Sen. Linda Holmes 5/6/2013 Senate Sponsor Removed Sen. Melinda Bush 5/6/2013 Senate Added as Co-Sponsor Sen. Melinda Bush 5/7/2013 Senate Added as Co-Sponsor Sen. William R. Haine 5/8/2013 Senate Senate Floor Amendment No. 2 Filed with Secretary by Sen. John J. Cullerton 5/8/2013 Senate Senate Floor Amendment No. 2 Referred to Assignments 5/8/2013 Senate Sponsor Removed Sen. William E. Brady 5/8/2013 Senate Senate Floor Amendment No. 2 Assignments Refers to Executive 5/9/2013 Senate Senate Floor Amendment No. 2 Recommend Do Adopt Executive; 010- 005-000 5/9/2013 Senate Senate Floor Amendment No. 3 Filed with Secretary by Sen. Dale A. Righter 5/9/2013 Senate Senate Floor Amendment No. 3 Referred to Assignments 5/9/2013 Senate Senate Floor Amendment No. 4 Filed with Secretary by Sen. John J. Cullerton 5/9/2013 Senate Senate Floor Amendment No. 4 Referred to Assignments 5/9/2013 Senate Senate Floor Amendment No. 5 Filed with Secretary by Sen. John J. Cullerton 5/9/2013 Senate Senate Floor Amendment No. 5 Referred to Assignments 5/9/2013 Senate Senate Floor Amendment No. 4 Be Approved for Consideration Assignments 5/9/2013 Senate Senate Floor Amendment No. 5 Be Approved for Consideration Assignments 5/9/20131 Senate Recalled to Second Reading 5/9/2013 Senate Senate Floor Amendment No. 2 Adopted; J. Cullerton 5/9/2013 Senate Senate Floor Amendment No. 4 Adopted; J. Cullerton 5/9/2013 Senate Senate Floor Amendment No. 5 Adopted; J. Cullerton 5/9/2013 Senate Placed on Calendar Order of 3rd Reading 5/9/2013 Senate Sponsor Removed Sen. Tim Bivins 5/9/2013 Senate Added as Co-Sponsor Sen. Jac g ueline Y. Collins 5/9/2013 Senate Added as Co-Sponsor Sen. Mattie Hunter 5/9/2013 Senate Third Reading - Passed; 040-016-000 5/9/20131 Senate Senate Committee Amendment No. I Tabled Pursuant to Rule 5-4(a) 5/9/2013 Senate Senate Floor Amendment No. 3 Tabled Pursuant to Rule 5-4(a) 5/10/2013 House Arrived in House 5/10/2013 House Chief House Sponsor Re p. Jay Hoffman 5/10/2013 House Added Alternate Co-Sponsor Re p . Kelly M. Cassidy 5/10/2013 House Added Alternate Co-Sponsor Re p . Ann Williams 5/10/2013 House Added Alternate Chief Co-Sponsor Re p. Jack D. Franks 5/10/2013 House Added Alternate Chief Co-Sponsor Re p. Linda Chapa LaVia 5/10/2013 House Added Alternate Chief Co-Sponsor Re p. Patrick J. Verschoore
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Illinois General Assembly - Bill Status for SB2404 Page 7 of 7
5/10/2013 House Added Alternate Chief Co-Sponsor Re p. Mike Smiddy 5/10/2013 House Added Alternate Co-Sponsor Rep. Jehan A. Gordon-Booth 5/10/2013 House First Reading 5/10/2013 House Referred to Rules Committee 5/13/2013 House Added Alternate Co-Sponsor Rep. Emanuel Chris Welch 5/13/2013 House Added Alternate Co-Sponsor Rep. Elgie R. Sims, Jr. 5/13/2013 House Added Alternate Co-Sponsor Rep. Al Riley 5/14/2013 House Added Alternate Co-Sponsor Rep. Rita Mayfield 5/15/2013 House Added Alternate Co-Sponsor Rep. Maria Antonia Berrios 5/16/2013 House Added Alternate Co-Sponsor Rep. Kelly Burke 5/17/2013 House Added Alternate Co-Sponsor Rep. Frances Ann Hurley 5/20/2013 House Added Alternate Co-Sponsor Rep. Camille Y. Lilly
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