SB3238ham001 100TH GENERAL ASSEMBLY

Rep. Jonathan Carroll

Filed: 5/30/2018

10000SB3238ham001 LRB100 16105 HLH 41029 a

AMENDMENT TO SENATE BILL 3238

AMENDMENT NO. ______. Amend Senate Bill 3238 by replacing everything after the enacting clause with the following:

"Section 1. Short title. This Act may be cited as the Local Government Charitable Fund Act.

Section 5. Definitions.

"Annual credit-eligible donation cap" means the cap on the total value of local charitable donations that are eligible for a local property tax credit, as established in this Act.

"Charitable fund" means a fund established pursuant to this Act.

"Fund administrator" means the official or entity designated to be responsible for the collection, distribution, and administration of donations to charitable funds; that person shall be an official serving as the custodian of public funds for the local unit establishing the charitable fund.

"Local charitable donation" means a donation paid in money by or on behalf of a local property owner to a charitable fund established by a local unit.

"Local property owner" means a person or entity who owns real property within a local unit that has established a charitable fund to which a local charitable donation is made.

"Local unit" means any unit of local government or school district that imposes a property tax.

"Mortgagee" means the holder of a mortgage loan.

"Property tax credit" means the credit established pursuant to this Act.

"Qualified donation" means a local charitable donation that may qualify real property of the donor for a property tax credit.

"Servicing organization" means a mortgagee or an agent of a mortgagee, pursuant to a written agreement between the agent and the mortgagee, that is responsible for one or more mortgage escrow accounts.

Section 10. Charitable funds; creation; donation caps.

(a) A county may, by ordinance or resolution, authorize local units located in whole or in part within that county to establish charitable funds. If such authority is granted, a local unit may establish, by ordinance or resolution, as appropriate, one or more charitable funds for specific public purposes of that local unit. A charitable fund shall be held in one or more bank accounts in the name of the local unit and shall be kept separate from the other accounts of the local unit. A charitable fund shall not be administered jointly by more than one local unit. All such charitable funds and the moneys deposited into such funds shall be governed in the same manner as other funds established by the local unit. All moneys deposited into a charitable fund shall be expended in accordance with applicable State law exclusively for public purposes of the local unit. Moneys deposited into a charitable fund shall be equivalent to tax revenues for the purposes of the State aid formula, local unit revenue calculations, local unit bonding capacity, and similar State or municipal computations. Moneys deposited into a charitable fund shall be immediately available to the establishing local unit for the payment of budgeted and emergency mandatory expenses, including debt service, upon request of the local unit to the fund administrator.

(b) The ordinance or resolution establishing a charitable fund shall designate the official serving as the local unit's custodian of public funds to serve as the fund administrator. The fund administrator shall assume responsibility for the collection, administration, and distribution of donations made to the charitable fund and shall continually track the total of all qualified donations with respect to a fiscal year.

(c) A charitable fund shall have one or more specified public purposes in its authorizing ordinance or resolution. The specified public purposes shall be more limited than the general purposes of the local unit. The specified public purposes shall be described in documents and records made publicly available.

(d) The ordinance or resolution establishing a charitable fund shall set forth an annual credit-eligible donation cap, which shall be the maximum amount of credit-eligible moneys the fund may collect. The ordinance or resolution shall also limit the total amount of money an individual or entity may donate through local charitable donations to a particular charitable fund or combination of charitable funds that qualify for a local property tax credit. The ordinance or resolution establishing a charitable fund shall establish an initial annual credit-eligible donation cap and shall set an initial annual limit on tax credit funding that shall be available as a result of local charitable donations to the particular charitable fund. The annual limit on available local property tax credit funding shall equal 90% of the annual credit-eligible donation cap. The ordinance or resolution establishing a charitable fund shall also limit the extent to which an eligible local charitable donation on behalf of a specific real property may count against the annual credit-eligible donation cap. Both the maximum amount of local property tax credit funding made available and the annual credit-eligible donation cap shall be established by the ordinance or resolution adopted to establish the charitable fund but may be adjusted through subsequent ordinances or resolutions, as applicable, of the governing body of the local unit. The annual credit-eligible donation cap shall be established prior to the beginning of each fiscal year. The annual credit-eligible donation cap shall not be construed to limit all donations to the charitable fund. The annual credit-eligible donation cap shall limit only the amount of donations that are credit-eligible against property tax payments. The annual credit eligible donation cap for a given year shall be based upon the tax levy from the prior calendar year. The annual credit-eligible donation cap established prior to the start of the calendar year may not exceed 85% of the prior year budget. Upon certification of a current-year budget tax levy, a local unit may amend a charitable fund's credit-eligible donation cap to reflect the estimate of the current tax levy.

Section 15. Donations by local property owners.

(a) Any person or entity may donate to a charitable fund regardless of property ownership or location of residence by directing the payment to the fund administrator of the applicable charitable fund. A donation to a charitable fund may be made on behalf of a local property owner by directing the payment to the fund administrator of the applicable charitable fund.

(b) If a local property owner makes a donation to a local charitable fund that is eligible for a property tax credit, that property owner shall indicate at the time of the donation the specific parcel of property to which the donation shall apply in order for such credit to issue. A donation may be credited to more than one parcel of real property.

(c) Following receipt of a local charitable donation, the fund administrator shall:

(1) issue a receipt to the donor confirming the amount of the donation and the real property associated with the donation; and

(2) notify the county collector and the chief financial officer or business administrator of the local unit, within 5 business days after the donation, of the amount of the donation and the amount of credit made available as a result of the donation; thereafter, the county collector shall notify the donor of the amount of the available local property tax credit.

(d) Charitable fund donations shall be used for the following purposes:

(1) public purposes as specified in Section 170 of the Internal Revenue Code relating to charitable contributions and gifts;

(2) the payment of any administrative fees of the county that may be required by the county; such fees may not exceed 2% of collections;

(3) the remainder of the funds shall be used for the payment of administrative costs associated with the establishment and continued operation of the fund.

Section 20. Property tax credits.

(a) For fiscal years beginning on or after January 1, 2019, the tax collector shall allow a property owner a credit to be applied to property taxes as set forth in this Section.

(b) The credit shall be equal to 100% of the amount of local charitable donations contributed by or on behalf of the owner's specified local real property to a charitable fund established by the local unit, up to the previous year's tax liability for the property for that local unit. Any excess donation shall be retained by the charitable fund and used for the specified charitable purposes of that fund. No credit shall issue to any owner of local real property who is delinquent in any local property tax or any county charges at the time the donation to the charitable fund is made.

(c) The county collector shall apply the credit against the first local property tax bill with respect to the specified local real property that is assessed on or after the fifth business day following receipt of the notification sent pursuant to Section 15; provided that each county shall impose a deadline for donations to the charitable fund and a deadline by which the fund administrator shall supply the county collector with all donation amounts received and the amounts of the credits to be made available as a result of those donations in order for the credits to be applied to the next annual property tax bill. The county shall have the sole discretion as to whether to establish a deadline by which donations made to a charitable fund established by a local unit may be credited against an annual property tax bill that already has been issued, in which case the taxpayer shall have access to a statement showing how the credit has been applied.

(d) If the total amount of all local property tax credits available for specific real property exceeds the amount of property tax due during the year in which the donation was made and the county tax collector is unable to apply all or a portion of a credit awarded under this Act against the local property tax bill for the property, then the excess credit amount shall not be refunded to the taxpayer and shall not be carried forward to future tax years.

(e) The county collector shall indicate on each local property tax bill the value of the tax credits that apply to the property pursuant to this Act.

(f) The county collector shall apply credits granted under this Act to a specified local parcel of real property and not to an individual person or entity.

(g) For each notification sent, the county may require a fee to be paid by the fund administrator to be allocated toward the county's administrative expenses attributable to the county tax collector's office and the county treasurer's office. The fee shall be deposited into the Tax Sale Automation Fund. The amount collected by the county tax collector through such fees shall not be greater than 2% of the funds distributed for property tax credits to compensate for reasonable expenses associated with the county tax collector's responsibilities under this Act.

Section 25. Other charitable donations. Nothing in this Act shall be construed to prohibit a local unit from accepting bequests, legacies, or gifts, or from accepting charitable donations in accordance with any other legal authority.

Section 30. Liability of local property owners.

(a) Notwithstanding any State law, rule, or contract term to the contrary, no mortgagee or servicing organization shall be entitled to hold a local property owner liable for electing to meet his or her obligations to a local unit by means of a charitable donation and resulting credit made and obtained in conformity with this Act.

(b) Notwithstanding any State law, regulation, agreement, or contract terms to the contrary, no mortgagee shall be entitled to hold a servicing organization liable for complying with the election by a local property owner to meet his or her local real property tax due to a local unit by means of a charitable donation and resulting property tax credit made and obtained in conformity with this Act, including, but not limited to, actions a servicing organization takes to implement such election, and actions taken in accordance with any other applicable law or rule.

Section 35. Internal Revenue Service guidance. The Department of Revenue shall request authorization in writing from the Internal Revenue Service verifying that contributions to a local charitable fund established under this Act and contributions to the Illinois Education Excellence Fund established under 6z-105 of the State Finance Act qualify as charitable deductions under Section 170 of the Internal Revenue Code. The Department shall transmit a copy of that authorization to the Index Department of the Office of the Secretary of State upon receipt.

Section 895. The Illinois Administrative Procedure Act is amended by changing Section 5-45 as follows:

(5 ILCS 100/5-45) (from Ch. 127, par. 1005-45)

Sec. 5-45. Emergency rulemaking.

(a) "Emergency" means the existence of any situation that any agency finds reasonably constitutes a threat to the public interest, safety, or welfare.

(b) If any agency finds that an emergency exists that requires adoption of a rule upon fewer days than is required by Section 5-40 and states in writing its reasons for that finding, the agency may adopt an emergency rule without prior notice or hearing upon filing a notice of emergency rulemaking with the Secretary of State under Section 5-70. The notice shall include the text of the emergency rule and shall be published in the Illinois Register. Consent orders or other court orders adopting settlements negotiated by an agency may be adopted under this Section. Subject to applicable constitutional or statutory provisions, an emergency rule becomes effective immediately upon filing under Section 5-65 or at a stated date less than 10 days thereafter. The agency's finding and a statement of the specific reasons for the finding shall be filed with the rule. The agency shall take reasonable and appropriate measures to make emergency rules known to the persons who may be affected by them.

(c) An emergency rule may be effective for a period of not longer than 150 days, but the agency's authority to adopt an identical rule under Section 5-40 is not precluded. No emergency rule may be adopted more than once in any 24-month period, except that this limitation on the number of emergency rules that may be adopted in a 24-month period does not apply to (i) emergency rules that make additions to and deletions from the Drug Manual under Section 5-5.16 of the Illinois Public Aid Code or the generic drug formulary under Section 3.14 of the Illinois Food, Drug and Cosmetic Act, (ii) emergency rules adopted by the Pollution Control Board before July 1, 1997 to implement portions of the Livestock Management Facilities Act, (iii) emergency rules adopted by the Illinois Department of Public Health under subsections (a) through (i) of Section 2 of the Department of Public Health Act when necessary to protect the public's health, (iv) emergency rules adopted pursuant to subsection (n) of this Section, (v) emergency rules adopted pursuant to subsection (o) of this Section, or (vi) emergency rules adopted pursuant to subsection (c-5) of this Section. Two or more emergency rules having substantially the same purpose and effect shall be deemed to be a single rule for purposes of this Section.

(c-5) To facilitate the maintenance of the program of group health benefits provided to annuitants, survivors, and retired employees under the State Employees Group Insurance Act of 1971, rules to alter the contributions to be paid by the State, annuitants, survivors, retired employees, or any combination of those entities, for that program of group health benefits, shall be adopted as emergency rules. The adoption of those rules shall be considered an emergency and necessary for the public interest, safety, and welfare.

(d) In order to provide for the expeditious and timely implementation of the State's fiscal year 1999 budget, emergency rules to implement any provision of Public Act 90-587 or 90-588 or any other budget initiative for fiscal year 1999 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (d). The adoption of emergency rules authorized by this subsection (d) shall be deemed to be necessary for the public interest, safety, and welfare.

(e) In order to provide for the expeditious and timely implementation of the State's fiscal year 2000 budget, emergency rules to implement any provision of Public Act 91-24 or any other budget initiative for fiscal year 2000 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (e). The adoption of emergency rules authorized by this subsection (e) shall be deemed to be necessary for the public interest, safety, and welfare.

(f) In order to provide for the expeditious and timely implementation of the State's fiscal year 2001 budget, emergency rules to implement any provision of Public Act 91-712 or any other budget initiative for fiscal year 2001 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (f). The adoption of emergency rules authorized by this subsection (f) shall be deemed to be necessary for the public interest, safety, and welfare.

(g) In order to provide for the expeditious and timely implementation of the State's fiscal year 2002 budget, emergency rules to implement any provision of Public Act 92-10 or any other budget initiative for fiscal year 2002 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (g). The adoption of emergency rules authorized by this subsection (g) shall be deemed to be necessary for the public interest, safety, and welfare.

(h) In order to provide for the expeditious and timely implementation of the State's fiscal year 2003 budget, emergency rules to implement any provision of Public Act 92-597 or any other budget initiative for fiscal year 2003 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (h). The adoption of emergency rules authorized by this subsection (h) shall be deemed to be necessary for the public interest, safety, and welfare.

(i) In order to provide for the expeditious and timely implementation of the State's fiscal year 2004 budget, emergency rules to implement any provision of Public Act 93-20 or any other budget initiative for fiscal year 2004 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (i). The adoption of emergency rules authorized by this subsection (i) shall be deemed to be necessary for the public interest, safety, and welfare.

(j) In order to provide for the expeditious and timely implementation of the provisions of the State's fiscal year 2005 budget as provided under the Fiscal Year 2005 Budget Implementation (Human Services) Act, emergency rules to implement any provision of the Fiscal Year 2005 Budget Implementation (Human Services) Act may be adopted in accordance with this Section by the agency charged with administering that provision, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (j). The Department of Public Aid may also adopt rules under this subsection (j) necessary to administer the Illinois Public Aid Code and the Children's Health Insurance Program Act. The adoption of emergency rules authorized by this subsection (j) shall be deemed to be necessary for the public interest, safety, and welfare.

(k) In order to provide for the expeditious and timely implementation of the provisions of the State's fiscal year 2006 budget, emergency rules to implement any provision of Public Act 94-48 or any other budget initiative for fiscal year 2006 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative, except that the 24-month limitation on the adoption of emergency rules and the provisions of Sections 5-115 and 5-125 do not apply to rules adopted under this subsection (k). The Department of Healthcare and Family Services may also adopt rules under this subsection (k) necessary to administer the Illinois Public Aid Code, the Senior Citizens and Persons with Disabilities Property Tax Relief Act, the Senior Citizens and Disabled Persons Prescription Drug Discount Program Act (now the Illinois Prescription Drug Discount Program Act), and the Children's Health Insurance Program Act. The adoption of emergency rules authorized by this subsection (k) shall be deemed to be necessary for the public interest, safety, and welfare.

(l) In order to provide for the expeditious and timely implementation of the provisions of the State's fiscal year 2007 budget, the Department of Healthcare and Family Services may adopt emergency rules during fiscal year 2007, including rules effective July 1, 2007, in accordance with this subsection to the extent necessary to administer the Department's responsibilities with respect to amendments to the State plans and Illinois waivers approved by the federal Centers for Medicare and Medicaid Services necessitated by the requirements of Title XIX and Title XXI of the federal Social Security Act. The adoption of emergency rules authorized by this subsection (l) shall be deemed to be necessary for the public interest, safety, and welfare.

(m) In order to provide for the expeditious and timely implementation of the provisions of the State's fiscal year 2008 budget, the Department of Healthcare and Family Services may adopt emergency rules during fiscal year 2008, including rules effective July 1, 2008, in accordance with this subsection to the extent necessary to administer the Department's responsibilities with respect to amendments to the State plans and Illinois waivers approved by the federal Centers for Medicare and Medicaid Services necessitated by the requirements of Title XIX and Title XXI of the federal Social Security Act. The adoption of emergency rules authorized by this subsection (m) shall be deemed to be necessary for the public interest, safety, and welfare.

(n) In order to provide for the expeditious and timely implementation of the provisions of the State's fiscal year 2010 budget, emergency rules to implement any provision of Public Act 96-45 or any other budget initiative authorized by the 96th General Assembly for fiscal year 2010 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative. The adoption of emergency rules authorized by this subsection (n) shall be deemed to be necessary for the public interest, safety, and welfare. The rulemaking authority granted in this subsection (n) shall apply only to rules promulgated during Fiscal Year 2010.

(o) In order to provide for the expeditious and timely implementation of the provisions of the State's fiscal year 2011 budget, emergency rules to implement any provision of Public Act 96-958 or any other budget initiative authorized by the 96th General Assembly for fiscal year 2011 may be adopted in accordance with this Section by the agency charged with administering that provision or initiative. The adoption of emergency rules authorized by this subsection (o) is deemed to be necessary for the public interest, safety, and welfare. The rulemaking authority granted in this subsection (o) applies only to rules promulgated on or after July 1, 2010 (the effective date of Public Act 96-958) through June 30, 2011.

(p) In order to provide for the expeditious and timely implementation of the provisions of Public Act 97-689, emergency rules to implement any provision of Public Act 97-689 may be adopted in accordance with this subsection (p) by the agency charged with administering that provision or initiative. The 150-day limitation of the effective period of emergency rules does not apply to rules adopted under this subsection (p), and the effective period may continue through June 30, 2013. The 24-month limitation on the adoption of emergency rules does not apply to rules adopted under this subsection (p). The adoption of emergency rules authorized by this subsection (p) is deemed to be necessary for the public interest, safety, and welfare.

(q) In order to provide for the expeditious and timely implementation of the provisions of Articles 7, 8, 9, 11, and 12 of Public Act 98-104, emergency rules to implement any provision of Articles 7, 8, 9, 11, and 12 of Public Act 98-104 may be adopted in accordance with this subsection (q) by the agency charged with administering that provision or initiative. The 24-month limitation on the adoption of emergency rules does not apply to rules adopted under this subsection (q). The adoption of emergency rules authorized by this subsection (q) is deemed to be necessary for the public interest, safety, and welfare.

(r) In order to provide for the expeditious and timely implementation of the provisions of Public Act 98-651, emergency rules to implement Public Act 98-651 may be adopted in accordance with this subsection (r) by the Department of Healthcare and Family Services. The 24-month limitation on the adoption of emergency rules does not apply to rules adopted under this subsection (r). The adoption of emergency rules authorized by this subsection (r) is deemed to be necessary for the public interest, safety, and welfare.

(s) In order to provide for the expeditious and timely implementation of the provisions of Sections 5-5b.1 and 5A-2 of the Illinois Public Aid Code, emergency rules to implement any provision of Section 5-5b.1 or Section 5A-2 of the Illinois Public Aid Code may be adopted in accordance with this subsection (s) by the Department of Healthcare and Family Services. The rulemaking authority granted in this subsection (s) shall apply only to those rules adopted prior to July 1, 2015. Notwithstanding any other provision of this Section, any emergency rule adopted under this subsection (s) shall only apply to payments made for State fiscal year 2015. The adoption of emergency rules authorized by this subsection (s) is deemed to be necessary for the public interest, safety, and welfare.

(t) In order to provide for the expeditious and timely implementation of the provisions of Article II of Public Act 99-6, emergency rules to implement the changes made by Article II of Public Act 99-6 to the Emergency Telephone System Act may be adopted in accordance with this subsection (t) by the Department of State Police. The rulemaking authority granted in this subsection (t) shall apply only to those rules adopted prior to July 1, 2016. The 24-month limitation on the adoption of emergency rules does not apply to rules adopted under this subsection (t). The adoption of emergency rules authorized by this subsection (t) is deemed to be necessary for the public interest, safety, and welfare.

(u) In order to provide for the expeditious and timely implementation of the provisions of the Burn Victims Relief Act, emergency rules to implement any provision of the Act may be adopted in accordance with this subsection (u) by the Department of Insurance. The rulemaking authority granted in this subsection (u) shall apply only to those rules adopted prior to December 31, 2015. The adoption of emergency rules authorized by this subsection (u) is deemed to be necessary for the public interest, safety, and welfare.

(v) In order to provide for the expeditious and timely implementation of the provisions of Public Act 99-516, emergency rules to implement Public Act 99-516 may be adopted in accordance with this subsection (v) by the Department of Healthcare and Family Services. The 24-month limitation on the adoption of emergency rules does not apply to rules adopted under this subsection (v). The adoption of emergency rules authorized by this subsection (v) is deemed to be necessary for the public interest, safety, and welfare.

(w) In order to provide for the expeditious and timely implementation of the provisions of Public Act 99-796, emergency rules to implement the changes made by Public Act 99-796 may be adopted in accordance with this subsection (w) by the Adjutant General. The adoption of emergency rules authorized by this subsection (w) is deemed to be necessary for the public interest, safety, and welfare.

(x) In order to provide for the expeditious and timely implementation of the provisions of Public Act 99-906, emergency rules to implement subsection (i) of Section 16-115D, subsection (g) of Section 16-128A, and subsection (a) of Section 16-128B of the Public Utilities Act may be adopted in accordance with this subsection (x) by the Illinois Commerce Commission. The rulemaking authority granted in this subsection (x) shall apply only to those rules adopted within 180 days after June 1, 2017 (the effective date of Public Act 99-906). The adoption of emergency rules authorized by this subsection (x) is deemed to be necessary for the public interest, safety, and welfare.

(y) In order to provide for the expeditious and timely implementation of the provisions of this amendatory Act of the 100th General Assembly, emergency rules to implement the changes made by this amendatory Act of the 100th General Assembly to Section 4.02 of the Illinois Act on Aging, Sections 5.5.4 and 5-5.4i of the Illinois Public Aid Code, Section 55-30 of the Alcoholism and Other Drug Abuse and Dependency Act, and Sections 74 and 75 of the Mental Health and Developmental Disabilities Administrative Act may be adopted in accordance with this subsection (y) by the respective Department. The adoption of emergency rules authorized by this subsection (y) is deemed to be necessary for the public interest, safety, and welfare.

(z) In order to provide for the expeditious and timely implementation of the provisions of this amendatory Act of the 100th General Assembly, emergency rules to implement the changes made by this amendatory Act of the 100th General Assembly to Section 4.7 of the Lobbyist Registration Act may be adopted in accordance with this subsection (z) by the Secretary of State. The adoption of emergency rules authorized by this subsection (z) is deemed to be necessary for the public interest, safety, and welfare.

(aa) In order to provide for the expeditious and timely initial implementation of the changes made to Articles 5, 5A, 12, and 14 of the Illinois Public Aid Code under the provisions of this amendatory Act of the 100th General Assembly, the Department of Healthcare and Family Services may adopt emergency rules in accordance with this subsection (aa). The 24-month limitation on the adoption of emergency rules does not apply to rules to initially implement the changes made to Articles 5, 5A, 12, and 14 of the Illinois Public Aid Code adopted under this subsection (aa). The adoption of emergency rules authorized by this subsection (aa) is deemed to be necessary for the public interest, safety, and welfare.

(bb) In order to provide for the expeditious and timely implementation of the provisions of this amendatory Act of the 100th General Assembly, emergency rules to administer the Illinois Education Excellence Fund, as provided in Section 6z-105 of the State Finance Act, may be adopted in accordance with this subsection (bb) by the Treasurer. The adoption of emergency rules authorized by this subsection (bb) is deemed to be necessary for the public interest, safety, and welfare.

(Source: P.A. 99-2, eff. 3-26-15; 99-6, eff. 1-1-16; 99-143, eff. 7-27-15; 99-455, eff. 1-1-16; 99-516, eff. 6-30-16; 99-642, eff. 7-28-16; 99-796, eff. 1-1-17; 99-906, eff. 6-1-17; 100-23, eff. 7-6-17; 100-554, eff. 11-16-17; 100-581, eff. 3-12-18.)

Section 900. The State Finance Act is amended by adding Sections 5.886 and 6z-105 as follows:

(30 ILCS 105/5.886 new)

Sec. 5.886. The Illinois Education Excellence Fund.

(30 ILCS 105/6z-105 new)

Sec. 6z-105. The Illinois Education Excellence Fund; creation.

(a) The Illinois Education Excellence Fund is hereby created as a special fund in the State treasury. The Fund may accept contributions for exclusively public education purposes, as specified under Section 170 of the Internal Revenue Code relating to charitable contributions and gifts. All moneys deposited into the Fund and interest earned on those moneys shall be transferred to the Common School Fund on an annual basis and used for those public education purposes, subject to appropriation by the General Assembly. "Public education purposes" includes, but is not limited to, early childhood education, elementary and secondary education, higher education, adult education, and teachers' employment benefits.

(b) The State Treasurer shall adopt any rules necessary or appropriate to administer the Fund, including rules allowing the public to make monetary contributions to the Fund and obtain a certification from the Treasurer for the credit allowed under Section 228 of the Illinois Income Tax Act. The Treasurer shall adopt rules, including emergency rules under subsection (bb) of Section 5-45 of the Illinois Administrative Procedure Act, to allow individuals to choose to make contributions to the Illinois Education Excellence Fund through payroll deductions. The General Assembly finds that the adoption of rules to implement this Section is deemed an emergency and necessary for the public interest, safety, and welfare. The Treasurer shall certify the contribution amount eligible for credit within 45 days following receipt of the contribution and shall provide a copy of the certification, which may be provided electronically, to the taxpayer and the Department of Revenue as soon as possible after the certification.

Section 905. The Illinois Income Tax Act is amended by adding Section 228 as follows:

(35 ILCS 5/228 new)

Sec. 228. Contributions to the Illinois Education Excellence Fund.

(a) For taxable years ending after December 31, 2017 and before January 1, 2026, any individual taxpayer who makes a contribution to the Illinois Education Excellence Fund is entitled to a credit against the taxes imposed under subsections (a) and (b) of Section 201 in an amount equal to 100% of the contributions made by the taxpayer to the Fund during the taxable year.

(b) For partners, shareholders of Subchapter S corporations, and owners of limited liability companies, if the liability company is treated as a partnership for the purposes of federal and State income taxation, there shall be allowed a credit under this Section to be determined in accordance with the determination of income and distributive share of income under Sections 702 and 704 and Subchapter S of the Internal Revenue Code.

(c) In no event shall a credit under this Section reduce a taxpayer's liability to less than zero. If the amount of credit exceeds the tax liability for the year, the excess may be carried forward and applied to the tax liability for the 5 taxable years following the excess credit year. The tax credit shall be applied to the earliest year for which there is a tax liability. If there are credits for more than one year that are available to offset liability, the earlier credit shall be applied first.

(d) This Section is exempt from the provisions of Section 250.

Section 999. Effective date. This Act takes effect upon becoming law, except that, other than Section 35 and this Section, this Act does not take effect at all unless the Department of Revenue requests and receives written authorization from the Internal Revenue Service verifying that contributions to a local charitable fund and contributions to the Illinois Education Excellence Fund qualify as charitable deductions, as provided in Section 35 of this Act.".