O-15-97 04/28/97ITEM V.B.2
VILLAGE OF LEMONT
ORDINANCE NO. f 5' 97
AN ORDINANCE APPROVING A 5% MUNICIPAL
UTILITY TAX ON THE SALE OF ELECTRICITY,
NATURAL GAS AND TELEPHONE SERVICE.
ADOPTED BY THE
PRESIDENT AND BOARD OF TRUSTEES
OF THE VILLAGE OF LEMONT
This 28th day of April , 1997.
Published in pamphlet form by
authority of the President and
Board of Trustees of the Village of
Lemont, Counties of Cook, Will, and
DuPage, Illinois this 28th
day of April , 1997
ORDINANCE 1 -/ S '
ORDINANCE APPROVING A 5% MUNICIPAL
UTILITY TAX ON THE SALE OF ELECTRICITY,
NATURAL GAS AND TELEPHONE SERVICE.
WHEREAS, the Village of Lemont seeks to impose a 5% municipal utility tax upon the sales
of electricity, natural gas and telephone service; and
WHEREAS, the revenues to be generated from the municipal utility tax shall be directed to
finance the repair and maintenance of Village streets; and
WHEREAS, the revenues shall be segregated from other Village revenues in order to provide
an accounting of the use of these funds.
NOW,'1'HEREFORE, BE IT ORDAINED by the President and Board of Trustees of the
Village of Lemont as follows:
SECTION ONE: That a 5% utility tax shall be adopted by the Village of Lemont in
accordance with the requirements of 65 ILCS 5/8 -11 -2.
SECTION TWO: That the Lemont Municipal Code shall be amended to add Section 5.90
titled "Municipal Utility Tax." and shall appear in words and figures as listed in Exhibit "A."
SECTION THREE: Units of local government located within the corporate boundaries of
the Village of Lemont shall be exempted from the collection of the municipal utility tax
established by the adoption of this ordinance.
SECTION FOUR: The effective date of the collection of this tax shall be July 1, 1997.
SECTION FIVE: The provisions and sections of this ordinance shall be deemed separable
and the invalidity of any portion of this ordinance shall not affect the validity of the remainder.
PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
111E VILLAGE OF LEMONT, COUNTIES OF COOK, WILL AND DU PAGE, ILLINOIS
ON THIS 28th DAY OF April , 19 97 .
AYES NAYS PASSED ABSENT
Barbara Buschman
Alice Chin
Keith Latz
Connie Markiewicz
Richard Rimbo
Ralph Schobert
ENE SMOLLEN, Village Clerk
Approved by me this 28th Day of April �, 19 97 .
0 - ifi Ad_ g,
"C : �i
Atte
CHA ' ENE SMOLLEN, Village Clerk
ASNESKI, Village President
SECTION 5.90 MUNICIPAL UTILITIES TAX
A. Definitions
For the purpose of the taxes in this Section the following shall apply:
(1)
EXHIBIT A
"Gross receipts" means the consideration received for the transmission of messages,
the consideration received for distributing, supplying, furnishing or selling gas for use
or consumption and not for resale, and the consideration received for distributing,
supplying, furnishing or selling electricity for use or consumption and not for resale,
and for all services rendered in connection therewith valued in money, whether
received in money or otherwise, including cash, credit, services and property of every
kind and material and for all services rendered therewith, and shall be determined
without any deduction on account of the cost of transmitting such messages, without
any deduction on account of the cost of the service, product or commodity supplied,
the cost of materials used, labor or service cost, or any other expenses whatsoever.
(2) The words "transmitting messages" in addition to the usual and popular meaning of
person to person communication, shall include the furnishing, for a consideration, of
services or facilities (whether owned or leased), or both, to persons in connection
with the transmission of messages where such persons do not, in turn, receive any
consideration in connection therewith, but shall not include such furnishing of services
or facilities to persons for the transmission of messages to the extent that any such
services or facilities for the transmission of messages are furnished for a consideration,
by such persons to other persons, for the transmission of messages.
(3)
"Person" means any natural individual, firm, trust, estate, partnership, association,
joint stock company, joint adventure, corporation, municipal corporation or political
subdivision of this State, or a receiver, trustee, guardian or other representative
appointed by order of any court.
(4) "Public utility" shall have the meaning ascribed to it in Section 3 -105 of the Public
Utilities Act, as amended (220 ILCS 5/3 -105) and shall include telecommunications
carriers as defined in Section 13 -202 of such act (220 ILCS 5/13 -202).
(5)
"Taxpayer" means a person engaged int he business of transmitting messages by
means of electricity; a person engaged in the business of distributing, supplying,
furnishing or selling electricity for use or consumption and not for resale; and /or a
person engaged in the business of distributing, supplying, furnishing, or selling gas for
use or consumption and not for resale.
(6) "Treasurer" means the Treasurer of the Village of Lemont.
(7)
In the case of persons engaged in the business of transmitting messages through the
use of mobile equipment, such as cellular phones and paging systems, the gross
receipts from the business shall be deemed to originate within the corporate limits of
a municipality only if the address to which the bills for the service are sent is within
those corporate limits. If, however, that address is not located within a municipality
that imposes a tax under this Section, then (a) if the party responsible for the bill is not
an individual, the gross receipts from the business shall be deemed to originate within
the corporate limits of the municipality where that party's principal place of business
in Illinois is located, and (b) if the party responsible for the bill is an individual, the
gross receipts from the business shall be deemed to originate within the corporate
limits of the municipality where the party's principal residence in Illinois is located.
B. Tax imposed
A tax is imposed on all persons engaged in the following occupations or privileges and at the
following rates:
(1) Persons engaged in the business of distributing, supplying, furnishing, or selling gas
for use or consumption within the corporate limits of the Village of Lemont and not
for resale, at the rate of 5% of the gross receipts therefrom.
(2) Persons engaged in the business of transmitting messages by means of electricity or
radio magnetic waves, or fiber optics within the corporate limits of the Village of
Lemont at the rate of 5% of the gross receipts therefrom.
(3)
Persons engaged in the business of distributing, supplying, furnishing or selling
electricity for use or consumption within the corporate limits of the Village of
Lemont, and not for resale, at the rate of 5% of the gross receipts therefrom.
C. Interstate Commerce
No tax is imposed by this Section with respect to any transaction in interstate commerce or
otherwise to the extent to which such business may not, under the constitution and statutes
of the United States, be made subject to taxation by this State or any political subdivision
there -of, nor shall any persons engaged in the business of distributing, supplying, furnishing
or selling gas or electricity, or engaged in the business of transmitting messages be subject to
taxation under the provisions of this Section for such transactions as are or may become
subject to taxation under the provisions of the "Municipal Retailers' Occupation Tax Act"
authorized by Section 8 -11 -1 of the Illinois Municipal Code.
D. Tax in Addition to Other Payments
Such tax shall be in addition to the payment of money, or value of products or services
furnished to this municipality by the taxpayer as compensation for the use of its streets, alleys,
or other public places, or installation and maintenance therein, thereon or thereunder of poles,
wires, pipes or other equipment used in the operation of the taxpayer's business.
E. Reports by Taxpayer
Each taxpayer must make a report to the Village stating:
1. Name.
2. Principal place of business.
3. Gross receipts during the month upon the basis of which the tax is imposed.
4. Amount of tax
5. Such other reasonable and related information the corporate authorities may require.
Such report shall be made to the Village Treasurer by those persons described in Section
5.90B above on or before the last day of each month of each year for the corresponding
month preceding each of said report dates.
The taxpayer making the return herein provided for shall, at the time of making such return,
pay to the Village Treasurer, the amount of tax herein imposed; provided that in connection
with any return the taxpayer may, if he so elects, report and pay an amount based upon his
total billings of business subject to the tax during the period for which the return is made
(exclusive of any amounts previously billed) with prompt adjustments of later payments based
upon any differences between such billings and the taxable gross receipts.
F. Erroneous Payment
If it shall appear that an amount of tax has been paid which was not due under the provisions
of this Section, whether as the result of a mistake of fact or error of law, then such amount
shall be credited against any tax due, or to become due, under this Section from the taxpayer
who made the erroneous payment; provided that no amounts erroneously paid more than
three (3) years prior to the filing of a claim therefor shall be so credited.
G. Recovery Limited
No action to recover any amount of tax due under the provisions of this Section shall be
commenced more than three (3) years after the due date of such amount.
H. Penalty
Any taxpayer who fails to make a return, or who makes a fraudulent return, or who wilfully
violates any other provision of this Section 5.90 B is guilty of a misdemeanor and, upon
conviction thereof, shall be fined not less than one hundred dollars ($100) nor more than
seven hundred fifty dollars ($750) and in addition shall be liable in a civil action for the
amount of the tax due.