Illinois Transportation Taxes and Fees Lockbox Amendment

Last updated

On November 8, 2016, Illinois voters approved the Illinois Transportation Taxes and Fees Lockbox Amendment, a legislatively referred constitutional amendment that prohibits lawmakers from using transportation funds for anything other than their stated purpose. [1]

Contents

Amendment text

The amendment added the following a Section 11 to Article IX of the Illinois Constitution:

Section 11. Transportation Funds

(a) No moneys, including bond proceeds, derived from taxes, fees, excises, or license taxes relating to registration, title, or operation or use of vehicles, or related to the use of highways, roads, streets, bridges, mass transit, intercity passenger rail, ports, airports, or to fuels used for propelling vehicles, or derived from taxes, fees, excises, or license taxes relating to any other transportation infrastructure or transportation operation, shall be expended for purposes other than as provided in subsections (b) and (c).

(b) Transportation funds may be expended for the following: the costs of administering laws related to vehicles and transportation, including statutory refunds and adjustments provided in those laws; payment of highway obligations; costs for construction, reconstruction, maintenance, repair, and betterment of highways, roads, streets, bridges, mass transit, intercity passenger rail, ports, airports, or other forms of transportation; and other statutory highway purposes. Transportation funds may also be expended for the State or local share of highway funds to match federal aid highway funds, and expenses of grade separation of highways and railroad crossings, including protection of at-grade highways and railroad crossings, and, with respect to local governments, other transportation purposes as authorized by law.

(c) The costs of administering laws related to vehicles and transportation shall be limited to direct program expenses related to the following: the enforcement of traffic, railroad, and motor carrier laws; the safety of highways, roads, streets, bridges, mass transit, intercity passenger rail, ports, or airports; and the construction, reconstruction, improvement, repair, maintenance, operation, and administration of highways, under any related provisions of law or any purpose related or incident to, including grade separation of highways and railroad crossings. The limitations to the costs of administering laws related to vehicles and transportation under this subsection (c) shall also include direct program expenses related to workers' compensation claims for death or injury of employees of the State's transportation agency; the acquisition of land and the erection of buildings for highway purposes, including the acquisition of highway rights-of-way or for investigations to determine the reasonable anticipated future highway needs; and the making of surveys, plans, specifications, and estimates for the construction and maintenance of flight strips and highways. The expenses related to the construction and maintenance of flight strips and highways under this subsection (c) are for the purpose of providing access to military and naval reservations, defense-industries, defense-industry sites, and sources of raw materials, including the replacement of existing highways and highway connections shut off from general use at military and naval reservations, defense-industries, and defense-industry sites, or the purchase of rights-of-way.

(d) None of the revenues described in subsection (a) of this Section shall, by transfer, offset, or otherwise, be diverted to any purpose other than those described in subsections (b) and (c) of this Section.

(e) If the General Assembly appropriates funds for a mode of transportation not described in this Section, the General Assembly must provide for a dedicated source of funding.

(f) Federal funds may be spent for any purposes authorized by federal law. [1]

Passage in the legislature

The amendment had been sponsored in the legislature by Democrat Brandon Phelps. [1]

Only four members of the Illinois House of Representatives voted against placing the amendment on the ballot (Democrats Barbara Flynn Currie, Laura Fine, Elaine Nekritz, and Pamela Reaves-Harris). [1] The four published an op-ed in which they argued, "Experience has demonstrated that unexpected events can have drastic impacts on our state budget. A major natural disaster or economic turmoil can blow huge holes in a budget, even in states in healthy financial condition - which Illinois is decidedly not. This amendment would severely curtail the ability of the state to react to these types of events." [1]

Election

In order to be approved, the measure required either 60% support among those specifically voting on the amendment or 50% support among all ballots cast in the elections. [1] [2]

The ballot title was,

The proposed amendment adds a new section to the Revenue Article of the Illinois Constitution. The proposed amendment provides that no moneys derived from taxes, fees, excises, or license taxes, relating to registration, titles, operation, or use of vehicles or public highways, roads, streets, bridges, mass transit, intercity passenger rail, ports, or airports, or motor fuels, including bond proceeds, shall be expended for other than costs of administering laws related to vehicles and transportation, costs for construction, reconstruction, maintenance, repair, and betterment of public highways, roads, streets, bridges, mass transit, intercity passenger rail, ports, airports, or other forms of transportation, and other statutory highway purposes, including the State or local share to match federal aid highway funds. You are asked to decide whether the proposed amendment should become part of the Illinois Constitution. [1]

The ballot summary read,

The proposed amendment adds a new Section to the Revenue Article of the Illinois Constitution that provides revenue generated from transportation related taxes and fees (referred to as “transportation funds”) shall be used exclusively for transportation related purposes. Transportation related taxes and fees include motor fuel taxes, vehicle registration fees, and other taxes and user fees dedicated to public highways, roads, streets, bridges, mass transit (buses and rail), ports, or airports.

Under the proposed amendment, transportation funds may be used by the State or local governments only for the following purposes: (1) costs related to administering transportation and vehicle laws, including public safety purposes and the payment of obligations such as bonds; (2) the State or local share necessary to secure federal funds or for local government transportation purposes as authorized by law; (3) the construction, reconstruction, improvement, repair, maintenance, and operation of highways, mass transit, and railroad crossings; (4) expenses related to workers’ compensation claims for death or injury of transportation agency employees; and (5) to purchase land for building highways or buildings for to be used for highway purposes.

This new Section is a limitation on the power of the General Assembly or a unit of local government to use, divert, or transfer transportation funds for a purpose other than transportation. It does not, and is not intended to, impact or change the way in which the State and local governments use sales taxes, including the sales and excise tax on motor fuel, or alter home rule powers granted under this Constitution. It does not seek to change the way in which the State funds programs administered by the Illinois Secretary of State, Illinois Department of Transportation, and operations by the Illinois State Police directly dedicated to the safety of roads, or entities or programs funded by units of local government. Further, the Section does not impact the expenditure of federal funds, which may be spent for any purpose authorized by federal law [1]

Endorsements

For [1]
Organizations
  • AAA Chicago
  • American Council of Engineering Companies
  • American Council of Engineering Companies-Illinois
  • Americans for Prosperity Illinois
  • American Traffic Safety Services Association
  • Associated General Contractors of Illinois
  • Champaign County Chamber of Commerce
  • Edwardsville-Glen Carbon Chamber of Commerce
  • Excavators, Inc.
  • Federation of Women Contractors
  • Fox Valley AGC
  • Illinois AFL–CIO
  • Illinois Asphalt Pavement Association
  • Illinois Association of Aggregate Producers
  • Illinois Black Chamber of Commerce
  • Illinois Chamber of Commerce
  • Illinois Chapter of American Society of Civil Engineers
  • Illinois Construction Industry Committee
  • Illinois Democratic County Chairmen's Association
  • Illinois Economic Policy Institute
  • Illinois Petroleum Council
  • Illinois Professional Land Surveyor's Association
  • Illinois Republican County Chairmen's Association
  • Illinois Road and Transportation Builders Association
  • Illinois Society of Professional Engineers
  • Illinois Soybean Association
  • Illinois State Council of Operating Engineers
  • Illinois Trucking Association
  • Illinois Valley Contractors Association
  • Indiana, Illinois, Iowa Foundation for Fair Contracting
  • International Association of Iron Workers
  • International Union of Operating Engineers, Local 150
  • Iron Workers District Council of Chicago and Vicinity
  • Iron Workers District Council of St. Louis and Vicinity
  • Lake County Contractors Association
  • Metropolitan Planning Council
  • Mid-West Truckers Association
  • Naperville Chamber
  • Northwestern Illinois Contractors Association
  • PCA Midwest
  • PCI of Illinois and Wisconsin
  • Rockford-Winnebago and Belvidere-Boone County Better Roads Association
  • Southern Illinois Builders Association
  • Southern Illinois Construction Advancement Program
  • Transportation for Illinois Coalition
  • Underground Contractors Association of Illinois
  • Will and Grundy Contractors Association
Officeholders
Individuals
  • Todd Maisch, President and CEO of the Illinois Chamber of Commerce and co-chair of the Transportation for Illinois Coalition
  • Mike Kleinik, Executive Director of the Chicago Laborers District Council-LMCC and co-chair of the Transportation for Illinois Coalition
Against [1]
Organizations
Officeholders

Results

Illinois Transportation Taxes and Fees Lockbox Amendment [3] [2] [1]
OptionVotes % of votes
on measure
 % of all ballots
cast
For3,796,65478.9467.47
Against1,014,46121.0918.03
Total votes4,811,11510085.50
Voter turnout59.92%

Related Research Articles

<span class="mw-page-title-main">California Department of Transportation</span> Executive department of California, US

The California Department of Transportation (Caltrans) is an executive department of the U.S. state of California. The department is part of the cabinet-level California State Transportation Agency (CalSTA). Caltrans is headquartered in Sacramento.

The vast majority of passenger travel in the United States occurs by automobile for shorter distances and airplane or railroad for longer distances. Most cargo in the U.S. is transported by, in descending order, railroad, truck, pipeline, or boat; air shipping is typically used only for perishables and premium express shipments. Transportation is the largest source of greenhouse gas emissions in the United States.

<span class="mw-page-title-main">Federal-Aid Highway Act of 1973</span> Federal highway legislation

The Federal-Aid Highway Act of 1973 is legislation enacted by the United States Congress and signed into law on August 13, 1973, which provided funding for existing interstate and new urban and rural primary and secondary roads in the United States. It also funded a highway safety improvement program, and permitted states for the first time in U.S. history to use Highway Trust Fund money for mass transit. The law also established the first national speed limit.

<span class="mw-page-title-main">Toll road</span> Roadway for which a fee (or toll) is assessed for passage

A toll road, also known as a turnpike or tollway, is a public or private road for which a fee is assessed for passage. It is a form of road pricing typically implemented to help recoup the costs of road construction and maintenance.

Excise tax in the United States is an indirect tax on listed items. Excise taxes can be and are made by federal, state, and local governments and are not uniform throughout the United States. Certain goods, such as gasoline, diesel fuel, alcohol, and tobacco products, are taxed by multiple governments simultaneously. Some excise taxes are collected from the producer or retailer and not paid directly by the consumer, and as such, often remain "hidden" in the price of a product or service rather than being listed separately.

A 529 plan, also called a Qualified Tuition Program, is a tax-advantaged investment vehicle in the United States designed to encourage saving for the future higher education expenses of a designated beneficiary. In 2017, K–12 public, private, and religious school tuition were included as qualified expenses for 529 plans along with post-secondary education costs after passage of the Tax Cuts and Jobs Act.

<span class="mw-page-title-main">Pennsylvania Department of Transportation</span> Government agency of Pennsylvania, United States

The Pennsylvania Department of Transportation (PennDOT) oversees transportation issues in the Commonwealth of Pennsylvania. The administrator of PennDOT is the Pennsylvania Secretary of Transportation, Michael B. Carroll. PennDOT supports nearly 40,000 miles (64,000 km) of state roads and highways, about 25,000 bridges, and new roadway construction with the exception of the Pennsylvania Turnpike Commission.

<span class="mw-page-title-main">Constitution of Michigan</span> Principles, institutions and law of political governance in the U.S. state of Michigan

The Constitution of the State of Michigan is the governing document of the U.S. state of Michigan. It describes the structure and function of the state's government.

<span class="mw-page-title-main">Indiana Department of Transportation</span> State government agency in Indiana

The Indiana Department of Transportation (INDOT) is a governmental agency of the U.S. state of Indiana charged with maintaining and regulating transportation and transportation related infrastructure such as state owned airports, state highways and state owned canals or railroads.

<span class="mw-page-title-main">Wisconsin Department of Transportation</span> Government agency in Wisconsin, United States

The Wisconsin Department of Transportation (WisDOT) is a governmental agency of the U.S. state of Wisconsin responsible for planning, building and maintaining the state's highways. It is also responsible for planning transportation in the state relating to rail, including passenger rail, public transit, freight water transport and air transport, including partial funding of the Milwaukee-to-Chicago Hiawatha Service provided by Amtrak.

The Illinois Department of Transportation (IDOT) is a state agency in charge of state-maintained public roadways of the U.S. state of Illinois. In addition, IDOT provides funding for rail, public transit and airport projects and administers fuel tax and federal funding to local jurisdictions in the state. The Secretary of Transportation reports to the Governor of Illinois. IDOT is headquartered in unincorporated Sangamon County, located near the state capital, Springfield. In addition, the IDOT Division of Highways has offices in nine locations throughout the state.

<span class="mw-page-title-main">Oklahoma Department of Public Safety</span>

The Oklahoma Department of Public Safety (ODPS) is a department of the government of Oklahoma. Under the supervision of the Oklahoma Secretary of Public Safety, DPS provides for the safety of Oklahomans and the administration of justice in the state. DPS is responsible for statewide law enforcement, vehicle regulation, homeland security and such other duties as the Governor of Oklahoma may proscribe.

The Massachusetts Department of Transportation (MassDOT) oversees roads, public transit, aeronautics, and transportation licensing and registration in the US state of Massachusetts. It was created on November 1, 2009, by the 186th Session of the Massachusetts General Court upon enactment of the 2009 Transportation Reform Act.

<span class="mw-page-title-main">Montana Department of Transportation</span> Government agency in Montana, United States

The Montana Department of Transportation (MDT) is a governmental agency in the U.S. state of Montana, responsible for numerous programs related to the construction, maintenance, and monitoring of Montana's transportation infrastructure and operations. While most of MDT's programs relate to the state's highway network, Montana's railroads and airports are also under the agency's purview.

<span class="mw-page-title-main">2007 Texas constitutional amendment election</span>

The 2007 Texas constitutional amendment election took place 6 November 2007.

An employer in the United States may provide transportation benefits to their employees that are tax free up to a certain limit. Under the U.S. Internal Revenue Code section 132(a), the qualified transportation benefits are one of the eight types of statutory employee benefits that are excluded from gross income in calculating federal income tax. The qualified transportation benefits are transit passes, vanpooling, bicycling, and parking associated with these things.

<span class="mw-page-title-main">Wyoming Department of Transportation</span>

The Wyoming Department of Transportation (WYDOT) is a government agency charged with overseeing transportation infrastructure for the U.S. state of Wyoming. WYDOT's stated mission is "to provide a safe, high quality, and efficient transportation system."

The Surface and Air Transportation Program Extension Act of 2011 became a United States law when President Barack Obama signed the Act on September 16, 2011. The law extends taxes which fund federal highway expenditures through March and the Federal Aviation Administration through January. The Surface and Air Transportation Programs Extension Act of 2011 is a direct result of an agreement which was reached by the House and Senate majority leaders. This extension act was a top priority to Congress because federal highway and FAA funding was about to expire.

<span class="mw-page-title-main">Road Repair and Accountability Act</span> California legislative bill

The Road Repair and Accountability Act of 2017, also known as the "Gas Tax", is a California legislative bill that was passed on April 6, 2017 with the aim of repairing roads, improving traffic safety, and expanding public transit systems across the state. The approval of the fuel tax was for a projected $52.4 billion, or $5.24 billion per year, to be raised over the next 10 years to fund the state's infrastructure. The bill passed primarily along party lines, with most Democrats supporting the bill while most Republicans were against it. The bill passed with a vote of 27–11 in the Senate and 54–26 in the Assembly. According to California Department of Transportation, for maintenance projects on state highways, while providing funding to enhance trade corridors, transit, and active transportation facilities, in addition to repairing local streets and roads throughout California.

<span class="mw-page-title-main">2018 California Proposition 69</span>

California Proposition 69 was a legislatively referred constitutional amendment that appeared on ballots in California in the June primary election in 2018. This measure put the revenue from the Road Repair and Accountability Act, which increased fuel taxes, in a "lockbox" so that it can only be used for transportation-related purposes. It also exempts said gas tax revenue from the previously existing appropriations mandate and expenditures limit. This state constitution amendment ensures that revenues from SB1 Gas Taxes established by the Road Repair and Accountability Act of 2017 can only be used for transportation-related purposes.

References

  1. 1 2 3 4 5 6 7 8 9 10 11 "Illinois Transportation Taxes and Fees Lockbox Amendment (2016)". Ballotpedia. Retrieved 26 March 2020.
  2. 1 2 "Illinois Constitution - Amendments Proposed". www.ilga.gov. Illinois General Assembly. Retrieved 26 March 2020.
  3. "Voter Turnout". www.elections.il.gov. Illinois State Board of Elections. Retrieved 22 March 2020.[ permanent dead link ]