The bill amends the Use Tax Act of 1937 by updating Section 21, which outlines the distribution of funds collected under the act. It specifies that all money received must be deposited into the state treasury for the general fund, with certain collections from the use tax imposed at an additional rate of 2% directed to the state school aid fund. The bill also details the revenue losses that must be compensated to the state school aid fund due to various exemptions related to personal property and data center equipment.

Additionally, the bill introduces changes to the distribution of funds from the use tax on aviation fuel, mandating that 35% be allocated to the state aeronautics fund and 65% to the qualified airport fund. It establishes a new requirement for the local government reimbursement fund, stipulating that $75 million must be deposited each year until September 30, 2025, after which the amount will decrease to $25 million annually. The bill also clarifies definitions related to aviation fuel and qualified airports, ensuring proper allocation and use of the funds collected under the act.

Statutes affected:
House Introduced Bill: 205.111