The Illinois House and Senate adjourned their spring legislative session concluding what turned out to be a very successful session for the aggregates industry, according to the Illinois Association of Aggregate Producers (IAAP).
“The IAAP and our Transportation for Illinois Coalition (TFIC) partners secured passage of a robust and sustainably-funded infrastructure package that will invest more than $41 billion in Illinois’ transportation and vertical infrastructure over the next six years,” IAAP said. “Pay-as-you-go funding growth will continue beyond the initial six-year program.”
Transportation infrastructure funding is contained in SB1939, which passed the House 83-29 and the Senate 48-9, and is expected to be signed by Democratic Gov. J.B. Pritzker. Transportation infrastructure funding will come from motor fuel tax increases of 19 cents on gas and 24 cents on diesel. Both increases are indexed to keep up with inflation. Vehicle registration and title fees are also increased.
In addition, beginning in July 2021 the sales tax added to motor fuel sales will be incrementally repurposed into the Road Fund (these revenues currently go into the state’s General Revenue Fund and are not used for transportation). Lake and Will counties, and municipalities in Cook County, will be granted authority to tack-on additional motor fuel taxes. The Commercial Distribution Fee for trucks will be eliminated.
In addition to the transportation funding, the package includes separate funding for vertical infrastructure, financed primarily through the expansion of gaming and new targeted taxes.