Holmes backs SB3321 to change credit card payment rules for Illinois local governments

Linda Holmes, Illinois State Senator for 42nd District
Linda Holmes, Illinois State Senator for 42nd District | Official website
By H. J. Chang

Sen. Linda Holmes (D-42nd) cast a Yes vote on SB3321, a bill focused on changing credit card payment rules for local governments during the 104th General Assembly on May 31, 2026, according to the Illinois Senate. The bill was approved unanimously, 57-0.

The bill's official summary describes it as: "LOC GOV-CREDIT CARD AGREEMENTS."

The information below is derived from the actual text of the bill, with explanations added for clarity regarding its provisions.

This legislation amends the Local Governmental Acceptance of Credit Cards Act to permit local governing entities that receive credit card payments to contract with third-party software providers for proper remittance of those payments. Additionally, it specifies that agreements made by governmental bodies with financial institutions or service providers for processing credit card payments cannot prohibit or prevent use of the payment process system under the State Treasurer Act or another lawful system that a government entity obtains. The bill is set to take effect immediately after becoming law.

The legislative note for SB3321 reads: 'House Floor Amendment No. 2 Senate Concurs.'

Holmes earned a BA from National College of Education in 1984.

She was elected to the Illinois State Senate to represent the 42nd District in 2007 after succeeding Phyllis Petka.

In Illinois, bills are subject to a multi-step legislative process starting with introduction to the House or Senate, succeeding through committee reviews, debates, and both chambers' votes, before they are sent to the governor for a decision. The state’s General Assembly runs biennially, with only a portion of thousands of introduced bills successfully becoming law each session.


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