98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB5751

 

Introduced , by Rep. Michael W. Tryon

 

SYNOPSIS AS INTRODUCED:
 
70 ILCS 3605/34  from Ch. 111 2/3, par. 334
70 ILCS 3615/3A.10  from Ch. 111 2/3, par. 703A.10
70 ILCS 3615/3B.10  from Ch. 111 2/3, par. 703B.10
70 ILCS 3615/4.11  from Ch. 111 2/3, par. 704.11

    Amends the Metropolitan Transit Authority Act and the Regional Transportation Authority Act. Requires that the budget and 2-year financial plan submitted by each Service Board (Chicago Transit Authority, Suburban Bus Board, and Commuter Rail Board) to the Regional Transportation Authority to include specific line-items for revenues and expenses and be divided into detailed categories established by rule by the Board of the Regional Transportation Authority. Provides that the Board of the Regional Transportation Authority may reduce or veto any item of appropriations in the budget or plan submitted by a Service Board and shall return the item vetoed or reduced with its objections to the Service Board that submitted the budget or plan. Makes similar changes in provisions concerning the approval of a Service Board's revised budget.


LRB098 20226 JLK 55577 b

 

 

A BILL FOR

 

HB5751LRB098 20226 JLK 55577 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Metropolitan Transit Authority Act is
5amended by changing Sections 28a, 30, and 34 as follows:
 
6    (70 ILCS 3605/34)  (from Ch. 111 2/3, par. 334)
7    Sec. 34. Budget and Program. The Authority, subject to the
8powers of the Regional Transportation Authority in Section 4.11
9of the Regional Transportation Authority Act, shall control the
10finances of the Authority. It shall by ordinance appropriate
11money to perform the Authority's purposes and provide for
12payment of debts and expenses of the Authority. Each year the
13Authority shall prepare and publish a comprehensive annual
14budget and five-year capital program document, and a financial
15plan for the 2 years thereafter describing the state of the
16Authority and presenting for the forthcoming fiscal year and
17the two following years the Authority's plans for such
18operations and capital expenditures as it intends to undertake
19and the means by which it intends to finance them. The proposed
20budget, financial plan, and five-year capital program shall be
21based on the Regional Transportation Authority's estimate of
22funds to be made available to the Authority by or through the
23Regional Transportation Authority and shall conform in all

 

 

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1respects to the requirements established by the Regional
2Transportation Authority. The proposed budget, financial plan,
3and five-year capital program shall contain a statement of the
4funds estimated to be on hand at the beginning of the fiscal
5year, the funds estimated to be received from all sources for
6such year and the funds estimated to be on hand at the end of
7such year. The proposed budget, financial plan, and five-year
8capital program shall be available at no cost for public
9inspection at the Authority's main office and at the Regional
10Transportation Authority's main office at least 3 weeks prior
11to any public hearing. Before the proposed budget, financial
12plan, and five-year capital program are submitted to the
13Regional Transportation Authority, the Authority shall hold at
14least one public hearing thereon in each of the counties in
15which the Authority provides service. All Board members of the
16Authority shall attend a majority of the public hearings unless
17reasonable cause is given for their absence. After the public
18hearings, the Board of the Authority shall hold at least one
19meeting for consideration of the proposed program and budget
20with the Cook County Board. After conducting such hearings and
21holding such meetings and after making such changes in the
22proposed budget, financial plan, and five-year capital program
23as the Board deems appropriate, it shall adopt an annual budget
24ordinance at least by November 15th preceding the beginning of
25each fiscal year. The budget, financial plan, and five-year
26capital program shall then be submitted to the Regional

 

 

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1Transportation Authority as provided in Section 4.11 of the
2Regional Transportation Authority Act.
3    In the event that the Board of the Regional Transportation
4Authority determines that the budget, financial plan, and
5five-year capital program do not meet the standards of said
6Section 4.11 , the Board of the Authority shall make such
7changes as are necessary to meet such requirements and adopt an
8amended budget ordinance. The amended budget ordinance shall be
9resubmitted to the Regional Transportation Authority pursuant
10to said Section 4.11. The ordinance shall appropriate such sums
11of money as are deemed necessary to defray all necessary
12expenses and obligations of the Authority, specifying purposes
13and the objects or programs for which appropriations are made
14and the amount appropriated for each object or program.
15Additional appropriations, transfers between items and other
16changes in such ordinance which do not alter the basis upon
17which the balanced budget determination was made by the
18Regional Transportation Authority may be made from time to time
19by the Board.
20    The budget shall:
21        (i) show a balance between (A) anticipated revenues
22    from all sources including operating subsidies and (B) the
23    costs of providing the services specified and of funding
24    any operating deficits or encumbrances incurred in prior
25    periods, including provision for payment when due of
26    principal and interest on outstanding indebtedness;

 

 

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1        (ii) show cash balances including the proceeds of any
2    anticipated cash flow borrowing sufficient to pay with
3    reasonable promptness all costs and expenses as incurred;
4        (iii) provide for a level of fares or charges and
5    operating or administrative costs for the public
6    transportation provided by or subject to the jurisdiction
7    of the Board sufficient to allow the Board to meet its
8    required system generated revenue recovery ratio as
9    determined in accordance with subsection (a) of Section
10    4.11 of the Regional Transportation Authority Act;
11        (iv) be based upon and employ assumptions and
12    projections which are reasonable and prudent;
13        (v) have been prepared in accordance with sound
14    financial practices as determined by the Board of the
15    Regional Transportation Authority;
16        (vi) meet such other financial, budgetary, or fiscal
17    requirements that the Board of the Regional Transportation
18    Authority may by rule or regulation establish; and
19        (vii) be consistent with the goals and objectives
20    adopted by the Regional Transportation Authority in the
21    Strategic Plan; and .
22        (viii) include specific line-items for revenues and
23    expenses, and be divided into detailed categories, as
24    determined by rule by the Board of the Regional
25    Transportation Authority.
26    The Board shall establish a fiscal operating year. At least

 

 

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1thirty days prior to the beginning of the first full fiscal
2year after the creation of the Authority, and annually
3thereafter, the Board shall cause to be prepared a tentative
4budget which shall include all operation and maintenance
5expense for the ensuing fiscal year. The tentative budget shall
6be considered by the Board and, subject to any revision and
7amendments as may be determined, shall be adopted prior to the
8first day of the ensuing fiscal year as the budget for that
9year. No expenditures for operations and maintenance in excess
10of the budget shall be made during any fiscal year except by
11the affirmative vote of at least five members of the Board. It
12shall not be necessary to include in the annual budget any
13statement of necessary expenditures for pensions or retirement
14annuities, or for interest or principal payments on bonds or
15certificates, or for capital outlays, but it shall be the duty
16of the Board to make provision for payment of same from
17appropriate funds. The Board may not alter its fiscal year
18without the prior approval of the Board of the Regional
19Transportation Authority.
20(Source: P.A. 95-708, eff. 1-18-08.)
 
21    Section 10. The Regional Transportation Authority Act is
22amended by changing Sections 2.04, 3A.10, 3B.10, and 4.11 as
23follows:
 
24    (70 ILCS 3615/3A.10)  (from Ch. 111 2/3, par. 703A.10)

 

 

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1    Sec. 3A.10. Budget and Program. The Suburban Bus Board,
2subject to the powers of the Authority in Section 4.11, shall
3control the finances of the Division. It shall by ordinance
4appropriate money to perform the Division's purposes and
5provide for payment of debts and expenses of the Division. Each
6year the Suburban Bus Board shall prepare and publish a
7comprehensive annual budget and proposed five-year capital
8program document, and a financial plan for the 2 years
9thereafter describing the state of the Division and presenting
10for the forthcoming fiscal year and the 2 following years the
11Suburban Bus Board's plans for such operations and capital
12expenditures as it intends to undertake and the means by which
13it intends to finance them. The proposed budget, financial
14plan, and five-year capital program shall be based on the
15Authority's estimate of funds to be made available to the
16Suburban Bus Board by or through the Authority and shall
17conform in all respects to the requirements established by the
18Authority. The proposed budget, financial plan, and five-year
19capital program shall contain a statement of the funds
20estimated to be on hand at the beginning of the fiscal year,
21the funds estimated to be received from all sources for such
22year and the funds estimated to be on hand at the end of such
23year. The fiscal year of the Division shall be the same as the
24fiscal year of the Authority. Before the proposed budget,
25financial plan, and five-year capital program are submitted to
26the Authority, the Suburban Bus Board shall hold at least one

 

 

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1public hearing thereon in each of the counties in the
2metropolitan region in which the Division provides service. The
3Suburban Bus Board shall hold at least one meeting for
4consideration of the proposed budget, financial plan, and
5five-year capital program with the county board of each of the
6several counties in the metropolitan region in which the
7Division provides service. After conducting such hearings and
8holding such meetings and after making such changes in the
9proposed budget, financial plan, and five-year capital program
10as the Suburban Bus Board deems appropriate, it shall adopt an
11annual budget ordinance at least by November 15 next preceding
12the beginning of each fiscal year. The budget, financial plan,
13and five-year capital program shall then be submitted to the
14Authority as provided in Section 4.11. In the event that the
15Board of the Authority determines that the budget and financial
16plan do not meet the standards of Section 4.11, the Suburban
17Bus Board shall make such changes as are necessary to meet such
18requirements and adopt an amended budget ordinance. The amended
19budget ordinance shall be resubmitted to the Authority pursuant
20to Section 4.11. The ordinance shall appropriate such sums of
21money as are deemed necessary to defray all necessary expenses
22and obligations of the Division, specifying purposes and the
23objects or programs for which appropriations are made and the
24amount appropriated for each object or program. Additional
25appropriations, transfers between items and other changes in
26such ordinance which do not alter the basis upon which the

 

 

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1balanced budget determination was made by the Board of the
2Authority may be made from time to time by the Suburban Bus
3Board.
4    The budget shall:
5        (i) show a balance between (A) anticipated revenues
6    from all sources including operating subsidies and (B) the
7    costs of providing the services specified and of funding
8    any operating deficits or encumbrances incurred in prior
9    periods, including provision for payment when due of
10    principal and interest on outstanding indebtedness;
11        (ii) show cash balances including the proceeds of any
12    anticipated cash flow borrowing sufficient to pay with
13    reasonable promptness all costs and expenses as incurred;
14        (iii) provide for a level of fares or charges and
15    operating or administrative costs for the public
16    transportation provided by or subject to the jurisdiction
17    of the Suburban Bus Board sufficient to allow the Suburban
18    Bus Board to meet its required system generated revenues
19    recovery ratio and, beginning with the 2007 fiscal year,
20    its system generated ADA paratransit services revenue
21    recovery ratio;
22        (iv) be based upon and employ assumptions and
23    projections which are reasonable and prudent;
24        (v) have been prepared in accordance with sound
25    financial practices as determined by the Board of the
26    Authority;

 

 

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1        (vi) meet such other uniform financial, budgetary, or
2    fiscal requirements that the Board of the Authority may by
3    rule or regulation establish; and
4        (vii) be consistent with the goals and objectives
5    adopted by the Regional Transportation Authority in the
6    Strategic Plan; and .
7        (viii) include specific line-items for revenues and
8    expenses, and be divided into detailed categories, as
9    determined by rule by the Board of the Regional
10    Transportation Authority.
11(Source: P.A. 94-370, eff. 7-29-05; 95-708, eff. 1-18-08.)
 
12    (70 ILCS 3615/3B.10)  (from Ch. 111 2/3, par. 703B.10)
13    Sec. 3B.10. Budget and Program. The Commuter Rail Board,
14subject to the powers of the Authority in Section 4.11, shall
15control the finances of the Division. It shall by ordinance
16appropriate money to perform the Division's purposes and
17provide for payment of debts and expenses of the Division. Each
18year the Commuter Rail Board shall prepare and publish a
19comprehensive annual budget and proposed five-year capital
20program document, and a financial plan for the two years
21thereafter describing the state of the Division and presenting
22for the forthcoming fiscal year and the two following years the
23Commuter Rail Board's plans for such operations and capital
24expenditures as the Commuter Rail Board intends to undertake
25and the means by which it intends to finance them. The proposed

 

 

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1budget, financial plan, and five-year capital program shall be
2based on the Authority's estimate of funds to be made available
3to the Commuter Rail Board by or through the Authority and
4shall conform in all respects to the requirements established
5by the Authority. The proposed budget, financial plan, and
6five-year capital program shall contain a statement of the
7funds estimated to be on hand at the beginning of the fiscal
8year, the funds estimated to be received from all sources for
9such year and the funds estimated to be on hand at the end of
10such year. The fiscal year of the Division shall be the same as
11the fiscal year of the Authority. Before the proposed budget,
12financial plan, and five-year capital program are submitted to
13the Authority, the Commuter Rail Board shall hold at least one
14public hearing thereon in each of the counties in the
15metropolitan region in which the Division provides service. The
16Commuter Rail Board shall hold at least one meeting for
17consideration of the proposed budget, financial plan, and
18five-year capital plan with the county board of each of the
19several counties in the metropolitan region in which the
20Division provides service. After conducting such hearings and
21holding such meetings and after making such changes in the
22proposed budget, financial plan, and five-year capital plan as
23the Commuter Rail Board deems appropriate, the board shall
24adopt its annual budget ordinance at least by November 15 next
25preceding the beginning of each fiscal year. The budget,
26financial plan, and five-year capital program shall then be

 

 

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1submitted to the Authority as provided in Section 4.11. In the
2event that the Board of the Authority determines that the
3budget and program, and financial plan do not meet the
4standards of Section 4.11, the Commuter Rail Board shall make
5such changes as are necessary to meet such requirements and
6adopt an amended budget ordinance. The amended budget ordinance
7shall be resubmitted to the Authority pursuant to Section 4.11.
8The ordinance shall appropriate such sums of money as are
9deemed necessary to defray all necessary expenses and
10obligations of the Division, specifying purposes and the
11objects or programs for which appropriations are made and the
12amount appropriated for each object or program. Additional
13appropriations, transfers between items and other changes in
14such ordinance which do not alter the basis upon which the
15balanced budget determination was made by the Board of the
16Authority may be made from time to time by the Commuter Rail
17Board.
18    The budget shall:
19        (i) show a balance between (A) anticipated revenues
20    from all sources including operating subsidies and (B) the
21    costs of providing the services specified and of funding
22    any operating deficits or encumbrances incurred in prior
23    periods, including provision for payment when due of
24    principal and interest on outstanding indebtedness;
25        (ii) show cash balances including the proceeds of any
26    anticipated cash flow borrowing sufficient to pay with

 

 

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1    reasonable promptness all costs and expenses as incurred;
2        (iii) provide for a level of fares or charges for the
3    public transportation provided by or subject to the
4    jurisdiction of such Commuter Rail Board sufficient to
5    allow the Commuter Rail Board to meet its required system
6    generated revenue recovery ratio;
7        (iv) be based upon and employ assumptions and
8    projections which the Board of the Authority finds to be
9    reasonable and prudent;
10        (v) have been prepared in accordance with sound
11    financial practices as determined by the Board of the
12    Authority;
13        (vi) meet such other uniform financial, budgetary, or
14    fiscal requirements that the Board of the Authority may by
15    rule or regulation establish; and
16        (vii) be consistent with the goals and objectives
17    adopted by the Regional Transportation Authority in the
18    Strategic Plan; and .
19        (viii) include specific line-items for revenues and
20    expenses, and be divided into detailed categories, as
21    determined by rule by the Board of the Regional
22    Transportation Authority.
23(Source: P.A. 95-708, eff. 1-18-08.)
 
24    (70 ILCS 3615/4.11)  (from Ch. 111 2/3, par. 704.11)
25    Sec. 4.11. Budget Review Powers.

 

 

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1    (a) Based upon estimates which shall be given to the
2Authority by the Director of the Governor's Office of
3Management and Budget (formerly Bureau of the Budget) of the
4receipts to be received by the Authority from the taxes imposed
5by the Authority and the authorized estimates of amounts to be
6available from State and other sources to the Service Boards,
7and the times at which such receipts and amounts will be
8available, the Board shall, not later than the next preceding
9September 15th prior to the beginning of the Authority's next
10fiscal year, advise each Service Board of the amounts estimated
11by the Board to be available for such Service Board during such
12fiscal year and the two following fiscal years and the times at
13which such amounts will be available. The Board shall, at the
14same time, also advise each Service Board of its required
15system generated revenues recovery ratio for the next fiscal
16year which shall be the percentage of the aggregate costs of
17providing public transportation by or under jurisdiction of
18that Service Board which must be recovered from system
19generated revenues. The Board shall, at the same time, consider
20the written determination of the Executive Director, made
21pursuant to Section 2.01d, of the costs of ADA paratransit
22services that are required to be provided under the federal
23Americans with Disabilities Act of 1990 and its implementing
24regulations, and shall amend the current year budgets of the
25Authority and the Service Boards to provide for additional
26funding for the provision of ADA paratransit services, if

 

 

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1needed. The Board shall, at the same time, beginning with the
22007 fiscal year, also advise each Service Board that provides
3ADA paratransit services of its required system generated ADA
4paratransit services revenue recovery ratio for the next fiscal
5year which shall be the percentage of the aggregate costs of
6providing ADA paratransit services by or under jurisdiction of
7that Service Board which must be recovered from fares charged
8for such services, except that such required system generated
9ADA paratransit services revenue recovery ratio shall not
10exceed the minimum percentage established pursuant to Section
114.01(b)(ii) of this Act. In determining a Service Board's
12system generated revenue recovery ratio, the Board shall
13consider the historical system generated revenues recovery
14ratio for the services subject to the jurisdiction of that
15Service Board. The Board shall not increase a Service Board's
16system generated revenues recovery ratio for the next fiscal
17year over such ratio for the current fiscal year
18disproportionately or prejudicially to increases in such
19ratios for other Service Boards. The Board may, by ordinance,
20provide that (i) the cost of research and development projects
21in the fiscal year beginning January 1, 1986 and ending
22December 31, 1986 conducted pursuant to Section 2.09 of this
23Act, (ii) the costs for passenger security, and (iii)
24expenditures of amounts granted to a Service Board from the
25Innovation, Coordination, and Enhancement Fund for operating
26purposes may be exempted from the farebox recovery ratio or the

 

 

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1system generated revenues recovery ratio of the Chicago Transit
2Authority, the Suburban Bus Board, and the Commuter Rail Board,
3or any of them. During fiscal years 2008 through 2012, the
4Board may also allocate the exemption of $200,000,000 and the
5reducing amounts of costs provided by this amendatory Act of
6the 95th General Assembly from the farebox recovery ratio or
7system generated revenues recovery ratio of each Service Board.
8    (b)(1) Not later than the next preceding November 15 prior
9to the commencement of such fiscal year, each Service Board
10shall submit to the Authority its proposed budget for such
11fiscal year and its proposed financial plan for the two
12following fiscal years. Such budget and financial plan shall
13(i) be prepared in the format, follow the financial and
14budgetary practices, and be based on any assumptions and
15projections required by the Authority and (ii) not project or
16assume a receipt of revenues from the Authority in amounts
17greater than those set forth in the estimates provided by the
18Authority pursuant to subsection (a) of this Section.
19    (2) The Board shall review and approve or disapprove the
20proposed budget and two-year financial plan submitted by each
21Service Board. The Board shall approve the budget and two-year
22financial plan of a Service Board if:
23        (i) such budget and plan show a balance between (A)
24    anticipated revenues from all sources including operating
25    subsidies and (B) the costs of providing the services
26    specified and of funding any operating deficits or

 

 

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1    encumbrances incurred in prior periods, including
2    provision for payment when due of principal and interest on
3    outstanding indebtedness;
4        (ii) such budget and plan show cash balances including
5    the proceeds of any anticipated cash flow borrowing
6    sufficient to pay with reasonable promptness all costs and
7    expenses as incurred;
8        (iii) such budget and plan provide for a level of fares
9    or charges and operating or administrative costs for the
10    public transportation provided by or subject to the
11    jurisdiction of such Service Board sufficient to allow the
12    Service Board to meet its required system generated revenue
13    recovery ratio and, beginning with the 2007 fiscal year,
14    system generated ADA paratransit services revenue recovery
15    ratio;
16        (iv) such budget and plan are based upon and employ
17    assumptions and projections which are reasonable and
18    prudent;
19        (v) such budget and plan have been prepared in
20    accordance with sound financial practices as determined by
21    the Board;
22        (vi) such budget and plan meet such other financial,
23    budgetary, or fiscal requirements that the Board may by
24    rule or regulation establish; and
25        (vii) such budget and plan are consistent with the
26    goals and objectives adopted by the Authority in the

 

 

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1    Strategic Plan; and .
2        (viii) include specific line-items for revenues and
3    expenses, and be divided into detailed categories, as
4    determined by rule by the Board.
5    (3) (Blank).
6    (4) For any budget and plan approved under paragraph (2) of
7this subsection (b), the Board may, by an affirmative vote of
812 of the then Directors, reduce or veto any item of
9appropriations in the budget or plan and a copy of the veto
10with the Board's objections shall be delivered to the Service
11Board that submitted the budget or plan for approval. Portions
12of the budget or plan not reduced or vetoed shall be considered
13approved. If, within 30 calendar days after the veto has been
14delivered the appropriate Service Board, the Board votes to
15restore an item that has been reduced, the item shall be
16considered approved in the restored amount. If a reduced item
17is not restored, then it shall be considered approved in the
18reduced amount.
19    Unless the Board by an affirmative vote of 12 of the then
20Directors determines that the budget and financial plan of a
21Service Board meets the criteria specified in clauses (i)
22through (vii) of subparagraph (2) of this paragraph (b), the
23Board shall withhold from that Service Board 25% of the cash
24proceeds of taxes imposed by the Authority under Section 4.03
25and Section 4.03.1 and received after February 1 and 25% of the
26amounts transferred to the Authority from the Public

 

 

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1Transportation Fund under Section 4.09(a) (but not including
2Section 4.09(a)(3)(iv)) after February 1 that the Board has
3estimated to be available to that Service Board under Section
44.11(a). Such funding shall be released to the Service Board
5only upon approval of a budget and financial plan under this
6Section or adoption of a budget and financial plan on behalf of
7the Service Board by the Authority.
8    (5) If the Board has not found that the budget and
9financial plan of a Service Board meets the criteria specified
10in clauses (i) through (vii) of subparagraph (2) of this
11paragraph (b), the Board, by the affirmative vote of at least
1212 of its then Directors, shall adopt a budget and financial
13plan meeting such criteria for that Service Board.
14    (c)(1) If the Board shall at any time have received a
15revised estimate, or revises any estimate the Board has made,
16pursuant to this Section of the receipts to be collected by the
17Authority which, in the judgment of the Board, requires a
18change in the estimates on which the budget of any Service
19Board is based, the Board shall advise the affected Service
20Board of such revised estimates, and such Service Board shall
21within 30 days after receipt of such advice submit a revised
22budget incorporating such revised estimates. If the revised
23estimates require, in the judgment of the Board, that the
24system generated revenues recovery ratio of one or more Service
25Boards be revised in order to allow the Authority to meet its
26required ratio, the Board shall advise any such Service Board

 

 

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1of its revised ratio and such Service Board shall within 30
2days after receipt of such advice submit a revised budget
3incorporating such revised estimates or ratio.
4    (2) Each Service Board shall, within such period after the
5end of each fiscal quarter as shall be specified by the Board,
6report to the Authority its financial condition and results of
7operations and the financial condition and results of
8operations of the public transportation services subject to its
9jurisdiction, as at the end of and for such quarter. If in the
10judgment of the Board such condition and results are not
11substantially in accordance with such Service Board's budget
12for such period, the Board shall so advise such Service Board
13and such Service Board shall within the period specified by the
14Board submit a revised budget incorporating such results.
15    (2.5) For any revised budget submitted under this
16subsection (c), the Board may, by a vote of 12 of the then
17Directors, reduce or veto any item of appropriations in the
18revised budget and shall return a copy of the item vetoed or
19reduced with the Board's objections to the Service Board that
20submitted the revised budget for approval. Portions of the
21revised budget not reduced or vetoed shall be considered
22approved. If, within 30 calendar days after the veto has been
23delivered to the appropriate Service Board, the Board restores
24an item that has been reduced, the item shall be considered
25approved in the restored amount. If a reduced item is not
26restored, then it shall be considered approved in the reduced

 

 

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1amount.
2    (3) If the Board shall determine that a revised budget
3submitted by a Service Board pursuant to subparagraph (1) or
4(2) of this paragraph (c) does not meet the criteria specified
5in clauses (i) through (vii) of subparagraph (2) of paragraph
6(b) of this Section, the Board shall withhold from that Service
7Board 25% of the cash proceeds of taxes imposed by the
8Authority under Section 4.03 or 4.03.1 and received by the
9Authority after February 1 and 25% of the amounts transferred
10to the Authority from the Public Transportation Fund under
11Section 4.09(a) (but not including Section 4.09(a)(3)(iv))
12after February 1 that the Board has estimated to be available
13to that Service Board under Section 4.11(a). If the Service
14Board submits a revised financial plan and budget which plan
15and budget shows that the criteria will be met within a four
16quarter period, the Board shall release any such withheld funds
17to the Service Board. The Board by the affirmative vote of at
18least 12 of its then Directors may require a Service Board to
19submit a revised financial plan and budget which shows that the
20criteria will be met in a time period less than four quarters.
21    (d) All budgets and financial plans, financial statements,
22audits and other information presented to the Authority
23pursuant to this Section or which may be required by the Board
24to permit it to monitor compliance with the provisions of this
25Section shall be prepared and presented in such manner and
26frequency and in such detail as shall have been prescribed by

 

 

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1the Board, shall be prepared on both an accrual and cash flow
2basis as specified by the Board, shall present such information
3as the Authority shall prescribe that fairly presents the
4condition of any pension plan or trust for health care benefits
5with respect to retirees established by the Service Board and
6describes the plans of the Service Board to meet the
7requirements of Sections 4.02a and 4.02b, and shall identify
8and describe the assumptions and projections employed in the
9preparation thereof to the extent required by the Board. If the
10Executive Director certifies that a Service Board has not
11presented its budget and two-year financial plan in conformity
12with the rules adopted by the Authority under the provisions of
13Section 4.01(f) and this subsection (d), and such certification
14is accepted by the affirmative vote of at least 12 of the then
15Directors of the Authority, the Authority shall not distribute
16to that Service Board any funds for operating purposes in
17excess of the amounts distributed for such purposes to the
18Service Board in the previous fiscal year. Except when the
19Board adopts a budget and a financial plan for a Service Board
20under paragraph (b)(5), a Service Board shall provide for such
21levels of transportation services and fares or charges therefor
22as it deems appropriate and necessary in the preparation of a
23budget and financial plan meeting the criteria set forth in
24clauses (i) through (vii) of subparagraph (2) of paragraph (b)
25of this Section. The Authority shall have access to and the
26right to examine and copy all books, documents, papers,

 

 

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1records, or other source data of a Service Board relevant to
2any information submitted pursuant to this Section.
3    (e) Whenever this Section requires the Board to make
4determinations with respect to estimates, budgets or financial
5plans, or rules or regulations with respect thereto such
6determinations shall be made upon the affirmative vote of at
7least 12 of the then Directors and shall be incorporated in a
8written report of the Board and such report shall be submitted
9within 10 days after such determinations are made to the
10Governor, the Mayor of Chicago (if such determinations relate
11to the Chicago Transit Authority), and the Auditor General of
12Illinois.
13(Source: P.A. 97-399, eff. 8-16-11.)