Synopsis of New Laws Enacted
Affecting Municipal Government

86th GENERAL ASSEMBLY — 1989

By ROGER HUEBNER, Director of Legislative Programs

The following information contains a synopsis of legislation adopted by the General Assembly in 1989 affecting municipalities. The bills are listed in numerical order. The synopsis gives the bill number, subject matter, public act number and a brief explanation of the bill.

This information has been condensed significantly and the full bill should be reviewed with your corporation counsel to determine its application to your municipality. The League will assist you with any questions pertaining to this information.

The League thanks you for your continued support and looks forward to working with you in the 1990 Legislative Session.

HOUSE BILLS

H.B. 33 ZOO AUTHORITY — P.A. 86-0279 — Amends the Municipal Code adding a new Division authorizing a municipality or combination of municipalities of less than 1,000,000, to establish a zoo authority. Effective January 1, 1990.

H.B. 35 STREET LIGHTING/COMFORT STATION TAX — P.A. 86-0280 — Amends the Municipal Code providing that the street light tax and comfort station tax are exclusive of the general corporate rate limit. Effective January 1, 1990.

H.B. 40 SALES TAX REFORM/REVISIONS — P.A. 86-0928 — Amends the State and Local Sales Tax Reform Fund to provide for continuing appropriation rather than annual of local government shares of State occupation and use tax proceeds. Further revises the sales tax reform bill of 1988. Effective September 18, 1989 and Article III January 1, 1990.

H.B. 56 NOTIFICATION OF SUBDIVISION PLAT — P.A. 86-0284 — Amends the Plat Act requiring a municipality to notify the president of the school board that a subdivision plat has been submitted for approval. Effective January 1, 1990.

H.B. 75 POLICE INDEMNIFY INCREASE — P.A. 86-0470 — Amends the Municipal Code providing the municipality shall indemnify a police officer up to $500,000 (now $100,000). Effective January 1, 1990.

H.B. 98 LANDFILL SITING RECORD COST — P.A. 86-0959 — Amends various Acts to provide that the plaintiff in a review proceeding of a landfill siting decision of the county board or municipality must pay for preparing and certifying the record (exempts local citizen's groups from paying). Effective July 1, 1990.

H.B. 103 STATE MANDATE EXEMPTION — P.A. 86-0474 — Amends the State Mandates Act requiring home rule municipalities to pay a policeman injured in the line of duty for one year. Effective January 1, 1990.

H.B. 113 IMPACT FEES — P.A. 86-0097 — Creates a Division of the Highway Code relating to Road Improvement Impact Fees. Sets forth procedures for imposition by local governments of road improvement fees upon developers. Preempts home rule. Effective July 26, 1989.

H.B. 126 OPEN MEETINGS ACT AMENDMENT — P.A. 86-0287 — Amends the Open Meetings Act to specify that closed meetings may be held by boards of trustees of public employee pension funds for the consideration of matters relating to the determination of disability or the results of medical examinations. Effective January 1, 1990.

H.B. 268 ARRESTEE MEDICAL EXPENSES — P.A. 86-0794 — Amends the Act relating to prisoners and jails providing that the arresting authority is responsible for expenses of an arrestee's medical care until such time as the arrestee is placed in the custody of the sheriff. Provides that "medical expenses relating to the arrestee" means only those expenses incurred for medical care or treatment provided to an arrestee on account of an injury suffered by the arrestee during the course of his arrest. Effective January 1, 1990.

H.B. 314 PUBLIC SERVICE WORK FOR ORDINANCE VIOLATION — P.A. 86-0299 — Amends the Municipal Code providing that a penalty imposed for an ordinance violation may include, or consist of, a requirement that the defendant perform public service work. Effective August 30, 1989.

H.B. 333 MAIL ORDER TAX IMPOSITION — P.A. 86-0261 — Amends the State use and service use tax Acts to revise the definition of retailers and servicemen imposing an Illinois tax on items purchased out-of-state but used in Illinois. Effective January 1, 1990.

H.B. 377 PRIVATE ACTIVITY BOND REALLOCATION — P.A. 86-0040 — Amends the Illinois Private Activity Bond Allocation Act reallocating unused bond allocations. Preempts home rule authority. Effective July 13, 1989.

H.B. 441 STATE PAYMENT/SPECIAL ASSESSMENTS — P.A. 86-0933 — Provides for State payment on account of benefits to State property resulting from local improvements made by special assessment. Requires that the State be made a party to the proceedings and any required notices given to the Director of the Department or other State office having jurisdiction over the property, the Director of Commerce and Community Affairs, and to the Attorney General. Effective January 1, 1990.

H.B. 494 ILLINOIS MINIMUM WAGE FEDERAL LEVEL — P.A. 86-0502 — Amends the Minimum Wage Law. Ties the Illinois minimum wage to the federal minimum wage and establishes a minimum wage for employees 18 years or younger. Effective January 1, 1990.

H.B. 525 FEDERAL PROPERTY MAINTENANCE — P.A. 86-0315 — Amends the Municipal Code requiring a person who contracts with a federal agency to care for vacant residential property to maintain the property to prevent and correct health and safety code violations. Effective January 1, 1990.

January 1990 / Illinois Municipal Review / Page 23

H.B. 568 PREVAILING WAGE AMENDMENTS — P.A. 86-0799 — Amends the Prevailing Wage Law. Provides all bid specifications shall list the specified rates of all workers in the locality for each craft or type of worker. If the Department of Labor revises the prevailing rate of hourly wages, the revised rate shall apply to such contract and the public body shall be responsible to notify the contractor and each subcontractor of the revised rate. Defines public works under the Prevailing Wage Law to include projects financed with bonds issued under the Industrial Project Revenue Bond Act, the Industrial Building Revenue Bond Act, Illinois Development Finance Authority Act, Build Illinois Bond Act. Effective January 1, 1990.

H.B. 594 "9-1-1" AMENDMENTS — P.A. 86-0101 — Amends the Emergency Telephone System Act. Provides that counties may not impose a duplicate surcharge in municipalities with a surcharge or a contract to provide 9-1-1 service unless the municipality requests a surcharge. Allows Emergency Telephone System Fund to be used for costs attributable directly to facilities and personnel, but not including public safety agency personnel and equipment dispatched in response to an emergency call. Effective July 26, 1989.

H.B. 714 MOTOR FUEL TAX INCREASE — P.A. 86-0016 —Amends the Motor Fuel Tax Law to increase the tax rate and change the manner in which it is imposed and distributed. Creates the County Motor Fuel Tax Law, authorizing certain counties to impose a tax not to exceed 4 cents per gallon. Effective June 30; Article I, August 1, 1989 and Article IV January 1, 1990.

H.B. 727 ALDERMAN STAGGERED TERMS OPTIONAL — P.A. 86-0802 — Amends the Municipal Code permitting cities of less than 100,000 population to adopt, by referendum, a system of staggered terms for aldermen. Effective September 7, 1989.

H.B. 733 PRIVATE AREAS/TRAFFIC SIGNS — P.A. 86-0521 — Amends the Illinois Vehicle Code. Removes requirement that traffic signs on streets and roads within any private area be installed only by the local authority. Effective September 1, 1989.

H.B. 760 CIGARETTE TAX INCREASE — P.A. 86-0330 — Amends the Cigarette Tax Act and Cigarette Use Tax Act to increase the tax by 10 cents per pack. Appropriates the new revenues to pay debt service on bonds for the Metropolitan Pier and Exposition Authority (Navy Pier) and Wastewater Treatment projects. Effective July 2, 1989.

H.B. 892 ZONING VOTE REQUIREMENT OPTION — P.A. 86-0330 — Provides that the corporate authorities may, by ordinance, increase the vote requirement needed to approve a special use which failed to receive approval of the commission designated to hold a public hearing on the special use, from a majority vote to a two-thirds vote. Effective August 30, 1989.

H.B. 895 LIQUOR LICENSE APPLICANT — P.A. 86-0534 —Amends the Liquor Control Act. Places burden of proving sufficient rehabilitation on a license applicant who has been convicted of a felony. Effective January 1, 1990.

H.B. 896 SURPLUS REAL ESTATE — P.A. 86-0331 — Amends the Municipal Code to allow a public auction or private sale of surplus real estate in a municipality under 20,000 with a high county unemployment rate when another authorized method of sale has failed. Effective January 1, 1990.

H.B. 919 LETTER OF CREDIT — P.A. 86-0333 — Amends an Act in relation to bonds of contractors entering into contracts for public construction to allow a contractor to substitute an irrevocable letter of credit for the bond required under the act where the project is for less than $100,000. Effective January 1, 1990.

H.B. 963 LINEAR PARK — P.A. 86-0267 — Provides that certain forest preserve districts may not acquire easements within a municipality without the concurrence of the municipality or acquire easements in unincorporated areas for linear parks or trails without the concurrence of the township. Effective August 21, 1989.

H.B. 1175 COUNTIES UNDER 100,000 SOLID WASTE PLAN — P.A. 86-0228 — Amends the Solid Waste Planning and Recycling Act to require counties with a population under 100,000 to adopt solid waste management plans by March 1, 1995. Effective January 1, 1990.

H.B. 1313 FOREIGN FIRE INSURANCE REVENUES — P.A. 86-0935 — Amends municipal foreign fire insurance tax removing the municipal option to pay money from the tax into fire pension fund rather than turn it over to the fire department's treasurer (elected by firemen). Requires municipalities under 250,000 to send money to fire department treasurer (now handled by municipal treasurer). Effective January 1, 1990.

H.B. 1453 BID RIGGING MODIFICATION — P.A. 86-0150 — Amends the Criminal Code relating to the offense of bid-rigging. Provides that revealing certain information to any person is a violation (now, only revelation to interested parties is a violation). Provides that any person who makes false statements material to certification or his capacity to contract under the bribery statute is guilty of a Class 3 felony. Effective August 11, 1989.

H.B. 1471 INCREASE BID LIMIT REQUIREMENT — P.A. 86-0576 — Amends the Illinois Municipal Code. Increases the bid limit from $5,000 to $10,000 for public improvements contracts. Effective September 1, 1989.

H.B. 1472 LANDFILL LEAF BAN EXTENSION — P.A. 86-0045 — Amends the Solid Waste Planning and Recycling Act and the Environmental Protection Act repealing September 1, 1989 leaf ban from landfills, however it allows local governments by ordinance to impose the ban. Effective August 3, 1989.

H.B. 1503 EMERGENCY RESPONSE COST/D.U.I. — P.A. 86-0581 — Amends the Unified Code of Corrections providing that an agency which responds to an emergency caused by an accident as a result of a driver being intoxicated, may receive up to $500 as restitution for such response. Effective January 1, 1990.

H.B. 1670 EPA AMENDMENTS — P.A. 86-0365 — Amends the Environmental Protection Act requiring the E.P.A. to promulgate rules setting forth standards in relation to grants to local governments in planning for the management of nonhazardous solid waste. Provides that E.P.A. rules for public water supply project grants from Build Illinois funds shall include a requirement for a local match of 30 percent of the cost of the project. Effective August 30, 1989.

H.B. 1692 RECYCLED MATERIALS MARKET — P.A. 86-0777 — Amends the Solid Waste Planning and Recycling Act to provide that the recycling goals mandated in the county plan are subject to a viable market for the recycled material. Requires plans to include provisions for promoting the use of products made from recycled materials. Effective January 1, 1990.

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H.B. 1695 CLEAN INDOOR AIR ACT — SENT TO THE GOVERNOR — Prohibits smoking in areas which are used by or open to the public in general. Allows for areas to be designated as a smoking area in compliance with the requirements of this Act. Requires officials to make reasonable efforts to prevent smoking in public places by posting appropriate signs or contacting a law enforcement officer, or other appropriate means. Preempts home rule authority except for ordinances passed prior to October 1, 1989.

H.B. 1819 MUNICIPAL PARTICIPATION IN STATE HEALTH PLAN — P.A. 86-0978 — Amends the State Employees Group Insurance Act of 1971. Provides that units of local government may apply to Director of Central Management Services to have employees and dependents covered under a new Local Government Health Insurance Plan, the cost of coverage to be paid by the unit of local government. Effective July 1, 1990.

H.B. 1994 LAND DEVELOPER CONTRIBUTION/SCHOOL DISTRICT INPUT — P.A. 86-0614 — Amends the Municipal Code and the Counties Act providing school district's shall be given an opportunity to participate in the determination of the amount of the donated land or cash contributions. Requires a public hearing before approval of the donation or contribution or approval of the development plan. Effective January 1, 1990.

H.B. 1997 MUNICIPAL BUILDING/LIQUOR DELIVERY — P.A. 86-0374 — Amends the Liquor Control Act. Provides that municipal authorities may, by ordinance, allow alcoholic liquor to be sold or delivered in any building located on land under the control of the municipality. Effective January 1, 1990.

H.B. 2047 SENIOR CITIZEN HOUSING — P.A. 86-0376 — Amends the Municipal Code to provide that municipalities of over 15,000 adjacent to municipalities of over 1,000,000 may establish senior citizen housing. Effective January 1, 1990.

H.B. 2048 MOTOR FUEL TAX DISTRIBUTION — P.A. 86-0982 — Amends the Illinois Vehicle Code and the Motor Fuel Tax Act to simplify the distribution formula for State vehicle registration fees and taxes and motor fuel tax. Effective July 1, 1990.

H.B. 2286 COMMUNITY RESIDENCE LOCATION PLANNING ACT — P.A. 86-0638 — Creates the Community Residence Location Planning Act. Requires home rule municipalities to submit plans and assurances in compliance with provisions of the federal Fair Housing Amendments Act of 1988 for the adequate availability of sites for community residences. Effective September 1, 1989.

H.B. 2520 RURAL BOND BANK ACT — P.A. 86-0927 — Creates the Rural Bond Bank Act. Establishes the Illinois Rural Bond Bank as an instrumentality of the State to assist rural units of local government by purchasing securities issued by them. Effective July 1, 1990.

H.B. 2574 LOCAL TIPPING FEES — P.A. 86-0656 — Amends the Environmental Protection Act to require that local tipping fees be kept in a separate fund, and used according to a program to be developed within one year. Effective January 1, 1990.

H.B. 2712 WATER TESTING FEES — P.A. 86-0670 — Amends the Environmental Protection Act to impose a fee upon laboratory water analyses for community water supplies. The bill specifies the permissible range of testing fees, and creates a special fund for them. Provides that water main construction permits shall be approved or disapproved by the EPA within 45 days of receipt or the application will be deemed approved. Effective January 1, 1990.

H.B. 2739 MANDATORY MUNICIPAL PARTICIPATION IN J.U.L.I.E. — P.A. 86-0674 — Creates the Illinois Underground Utility Facilities Damage Prevention Act. Requires all owners and operators of underground utility facilities to participate as members of the State-Wide One-Call Notice System. Provides for advance notice to owners of underground utility facilities and the use of care to avoid damage by any person engaging in excavation or demolition in the area of underground utility facilities. Preempts home rule authority. Effective January 1, 1991.

H.B. 2805 MUNICIPAL LIEN'S TREATMENT — P.A. 86-0680 — Amends the Municipal Code. Provides that municipal lien notice and enforcement procedures may be the same as those under the State tax lien for recording purposes. Effective September 1, 1989.

SENATE BILLS

S.B. 64 GROUNDWATER PROTECTION/UNDERGROUND STORAGE TANKS — P.A. 86-0125 — Amends the Environmental Protection Act. Provides that no new waste facilities, wells or certain excavations may be placed over certain groundwater recharge areas, within 2,500 feet of a community water supply or within groundwater protection plan areas. Also creates a program whereby the owners and operators of underground storage tanks may be reimbursed from the Underground Storage Tank Fund for the costs of corrective action due to leaking underground storage tanks and indemnified for liability incurred in connection therewith. Imposes a tax on motor fuel to fund the program. Establishes eligibility requirements. Preempts home rule. Defines terms. Effective July 28, 1989.

S.B. 95 POLICE/FIREFIGHTER PENSION CHANGES — P.A. 86-0273 — Amends Article 3 of the Pension Code to allow a chief of police to participate in the Sheriffs personnel formula in the I.M.R.F. rather than the Downstate Police Fund. Amends the downstate firefighter article to allow a firetighter to apply for up to three years service credit for service as a volunteer fireman. Effective August 23, 1989.

S.B. 136 TAX NOTICE/PENSION STATEMENT — P.A. 86-0957 — Amends the Revenue Act providing that a separate taxing statement must be sent to a taxpayer from each taxing body which imposed a tax levied for public pension purposes. The bill provides for major changes in the publication requirements for notice of proposed property tax increases and notice of adopted property tax increase. Effective December 5, 1989.

S.B. 169 INCOME TAX INCREASE/REVENUE DISTRIBUTION — P.A. 86-0018 — Amends the State Revenue Sharing Act, the Income Tax Act, the School Code and the State Finance Act. Increases the State income tax by .5 percent for individuals, and .8 percent for corporations from July 1, 1989 through June 30, 1991. The proceeds from the tax are used for local governments, schools and to increase the income tax deduction for residential real property taxes. Effective July 5, 1989.

S.B. 185 COMPUTER SOFTWARE TAX — P.A. 86-0044 — Amends the various use and occupation tax Acts to impose a tax on computer software beginning October 1, 1989. Increases bond authorizations under the Civic Center Support Act. Provides additional use and occupation tax funding for Build Illinois. Effective October 1, 1989.

January 1990 / Illinois Municipal Review / Page 25

S.B. 219 CITY TREASURER APPOINTMENT — P.A. 86-0397 — Amends the Illinois Municipal Code allowing the corporate authorities to appoint the city treasurer in municipalities under 10,000. Effective August 30, 1989.

S.B. 234 LIQUOR CONTROL ACT/HAPPY HOURS — P.A. 86-0462 — Amends the Liquor Control Act. Changes and restricts the provisions concerning happy hours and establishes statewide regulation thereof. Effective August 31, 1989.

S.B. 240 ENTERPRISE ZONE INCREASES — P.A, 86-0015 — Amends the Illinois Enterprise Zone Act to increase the total number of enterprise zones authorized from 7 to 8 in a calendar year with total not to exceed 74. Effective June 30, 1989.

S.B. 307 SPECIAL EVENT LIQUOR LICENSES COUNTY BUILDING PROVISION — P.A. 86-0404 — Amends the Liquor Control Act. Authorizes special event licenses to be issued by the State commission to certain groups to purchase beer and wine from distributors and sell beer and wine only for consumption at the location and on the dates of the event. Provides that the county board chairman shall be the liquor control commissioner of areas owned by the county within the corporate limits of cities only in cities with a population of less than 1,000,000. Effective August 30, 1989.

S.B. 392 ENERGY ASSISTANCE ACT — P.A. 86-0127 — Creates the Energy Assistance Act of 1989. Authorizes the Department of Commerce and Community Affairs to implement a program to provide energy assistance to certain low income persons and families. Provides that utilities providing energy assistance credits to eligible customers shall be eligible for compensation to be set by rules. Effective August 2, 1989.

S.B. 494 TAX INCREMENT FINANCING CHANGES — P.A. 86-0142 — Amends the tax increment allocation redevelopment provisions of the Illinois Municipal Code. Requires notice to all taxing districts prior to the first board meeting of representatives chosen from the Community College district, local elementary, high school and community unit school district. Requires the municipality to annually report to all taxing districts any increase or decrease in assessed values of project development property for purposes of property taxes. Effective August 7, 1989.

S.B. 500 LIBRARY DISTRICT/HOME RULE TAX LEVY —P.A. 86-0713 — Amends the Public Library District Act. Provides that if a tax supported public library of a home rule unit converts into a public library district, that home rule unit, for the year following the year of conversion, shall reduce its property tax levy by the amount last levied for library purposes in the most recent year before the conversion. Effective January 1, 1990.

H.B. 529 BATES DECISION/INTEREST RATES ON DEBT — P.A. 86-0004 — Amends various Acts. Defines "Omnibus Bond Acts." Makes numerous changes to existing law concerning governmental bonds and other instruments for the payment of debt. This legislation remedies the Bates decision affecting interest rates paid on debt instruments by stating that the Omnibus Interest Rate Act controls the interest rates and specific statutes are amended with rate limitations to state they are controlled by the Act. Effective June 6, 1989.

S.B. 571 COLLECTIVE BARGAINING MODIFICATIONS — P.A. 86-0412 — Amends various Acts relating to labor relations. Makes various changes relating to unfair labor practices, impass procedures, arbitration of certain disputes and enforcement of labor board orders. Effective August 30, 1989.

S.B. 638 PILOT RECYCLING GRANTS/MULTI-MUNICIPALITIES — P.A. 86-0256 — Amends the Solid Waste Planning and Recycling Act to allow combinations of municipalities to apply to the Department of Energy and Natural Resources for pilot recycling grants. Effective January 1, 1990.

H.B. 729 FIREMAN PROBATIONARY PERIOD ONE YEAR — P.A. 86-0990 — Amends the Municipal Code providing that no municipality shall require that any fireman appointed to the lowest rank serve a probationary employment period of longer than one year. Preempts home rule municipalities. Effective July 1, 1990.

S.B. 740 TAX SALE REIMBURSE CITY FOR COSTS — P.A. 86-0418 — Amends the Revenue Act of 1939. Requires the person redeeming from a tax sale to pay all sums paid to a municipality for reimbursement of advancements made from public funds. Effective January 1, 1990.

H.B. 936 MISSING PERSON/RECOVER COSTS — P.A. 86-0423 — Creates a cause of action for the recovery of expended resources in the police search for certain missing persons. Effective January 1, 1990.

H.B. 952 PUBLIC FUNDS INVESTMENT — P.A. 86-0426 —Prohibits the investment of more than 25 percent of the public agency's funds in short term obligation. The obligations are now required to be rated at the highest classification established by at least two standard rating services. The bill prohibits any person acting as treasurer, financial officer or similar capacity from having any interest, direct or indirect, in which the public agency invests in. Effective August 30, 1989.

S.B. 991 SPECIAL CHARTER MUNICIPALITIES/TREASURER RESIDENCY — P.A. 86-0751 — Amends the Illinois Municipal Code. Permits municipalities with fewer than 10,000 inhabitants to waive the requirement, by ordinance, that appointed officers reside in the municipality. Provides an exemption from the residency requirement to appointed village treasurers in villages incorporated under a special charter. Effective January 1, 1990.

H.B. 1078 CONFLICT OF INTEREST — P.A. 86-0757 — Amends the Illinois Municipal Code increasing the amount by which a municipal officer may enter into a contract with the municipality from $1,000 to $2,000; increases the aggregate amount from $2,000 to $4,000 in a year. Effective January 1, 1990.

H.B. 1278 MUNICIPAL WATER SUPPLY/EPA AUTHORITY — P.A. 86-0443 — Amends the Environmental Protection Act. Eliminates the authority of the Director of the Environmental Protection Agency to order the owner of a public water supply to take remedial measures, including supplying water to those not presently being served, whenever there is a release or threat of a release of a hazardous substance into potable water. Effective August 30, 1989.

S.B. 1327 WHEELCHAIR RAMPS/CROSSWALKS - P.A. 86-0447 — Amends the Municipal Code, Vehicle Code and The Highway Code. Requires wheelchair ramps at crosswalks to conform to standards adopted by the Capital Development Board. Effective August 30, 1989.

S.B. 1375 POLICE PROTECTION/ANNEXATION/VARIOUS CHANGES — P.A. 86-0769 — Amends the Municipal Code to allow a municipality in a county under 1,000,000 to contract with the county to furnish police protection in the county outside the municipality. Amends the Counties Act to allow counties under 1,000,000 to contract with a municipality to furnish police protection in the county outside the municipality. Amends Municipal Code Sections concerning annexation to require notice to townships prior to ordinances for annexation. Various other changes. Effective January 1, 1990.

H.B. 1385 ENERGY ASSISTANCE REPORT — P.A. 86-0212 — Amends the Energy Conservation Act to require the Department of Energy and Natural Resources to report annually on its assistance to units of local government in promoting energy efficiency. Effective January 1, 1990.

H.B. 1443 WASTE DISPOSAL/INTERGOVERNMENTAL COOPERATION — P.A. 86-0771 — Amends the Intergovernmental Cooperation Act concerning agreements between municipalities for waste disposal. Effective September 1, 1989. •

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