Motor Fuel Tax Funds

The Motor Fuel Tax Funds that the Village of Seneca receives are distributed by the State of Illinois from taxes on gasoline and diesel fuel. After the State funds various administrative, regulatory, railroad, and boating requirements, the balance of the funds are allotted monthly to Counties, Townships, and Municipalities, with municipalities receiving about 27% of those available funds. A municipality's share of the total MFT municipal allocation is based on the ratio of that municipality's population to the total population of all incorporated areas in the State. The allotment of each municipality is not based on the total fuel tax collected within that municipality's boundary. It is based on State wide sales.

Uses of Motor Fuel Tax Funds are restricted to the following uses:

Construction and Maintenance of Municipal Streets and Extensions, Municipal Alleys, County Highways and Extensions, State Highways, and Federal-aid Routes within the municipality
Bicycle Signs, Paths, Lanes, or Bicycle Parking Facilities Storm Sewers
Traffic Control and School Crossing Signals
Grade Separations and Approaches
Off-Street Parking Facilities
Street Lighting Systems
Pedestrian Subway or Overhead Crossings
Sidewalks and Pedestrian Paths
Non-dedicated Subdivision Roads established before July 23, 1959

Allotment of Funds for:

Matching Federal-aid Funds
Engineering Services
Retirement of Indebtedness
Local Mass Transit Districts
Motor Vehicle Safety Inspection Lanes Operation and Maintenance
Payment of Principal and Interest on Road Bonds
Engineering Investigation
Toll Bridge Studies

Although the Statutes do not explicitly state that MFT funds can be used for the work items below, IDOT has determined that the costs for these items are eligible if they are related to MFT maintenance or construction.

Curb Ramps
Right-of-Way
Salt Storage Facilities
Wages or Salaries
Equipment Operations Costs
Holidays, Vacation, and Sick Leave
Tree Trimming and Tree Removal
Worker's Compensation Insurance Premiums
Retirement Fund and Social Security Fund
Miscellaneous Expenses in Connection with Bond Issue Improvements
Railroad Signal Protection and Crossing Work
Utility Adjustments
Health, Hospitalization, and Life Insurance.