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| Public Act 101-0532 | ||||
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AN ACT concerning government.
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Be it enacted by the People of the State of Illinois, | ||||
represented in the General Assembly:
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Section 5. The State Finance Act is amended by changing | ||||
Section 6z-59 as follows: | ||||
(30 ILCS 105/6z-59)
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Sec. 6z-59. The Tax Recovery Fund. There is created in the
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State treasury the Tax Recovery Fund. Through December 31, 2030 | ||||
December 31, 2020, all moneys received from
the
rental, | ||||
authorized under Section 2705-555 of the Department of | ||||
Transportation
Law of
the Civil Administrative Code of | ||||
Illinois, of land, buildings, or improvements
on property
held | ||||
for development of an airport in Will County by the Department | ||||
of
Transportation
shall be remitted to the State Treasurer for | ||||
payment into the Tax
Recovery Fund. Subject to appropriation, | ||||
the moneys in the Fund shall be
expended with
the following | ||||
priority: (1)
to compensate taxing districts for leasehold | ||||
taxes
then (2) to the General Revenue Fund less any money
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necessary to pay maintenance and repair
costs for that real | ||||
property.
The tax compensation shall be determined in | ||||
accordance with Sections 9-195 and
15-55 of
the
Property Tax | ||||
Code.
Expenditures for these purposes may be made by
Department | ||||
of Transportation without regard to the fiscal year in which | ||||
tax
compensation
liability and property maintenance and repair | ||
costs
were incurred. Unexpended moneys in the Fund shall not be | ||
transferred or
allocated by
the Comptroller or Treasurer to any | ||
other fund nor shall the Governor authorize
the
transfer or | ||
allocation of those moneys to any other fund. After December | ||
31, 2030 December 31, 2020, all
moneys received from the | ||
rental, authorized under Section 2705-555 of the
Department
of | ||
Transportation Law of the Civil Administrative Code of | ||
Illinois, of land,
buildings, or
improvements on property held | ||
for the development of an airport in Will County
by the
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Department of Transportation shall not be remitted to the Tax
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Recovery
Fund but shall instead be paid to the General Revenue | ||
Fund. The balance
remaining in
the Tax Recovery Fund on | ||
December 31, 2030 December 31, 2020 shall first be
expended to
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compensate taxing districts for loss of revenue leasehold taxes | ||
for the 2030 2020
tax
assessment year, and
then transferred to
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the
General Revenue Fund for the purpose of debt service on | ||
State bonds issued to
provide
funds for airport land | ||
acquisition in Will County.
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(Source: P.A. 96-192, eff. 8-10-09.) | ||
Section 10. The Property Tax Code is amended by changing | ||
Section 15-55 as follows: | ||
(35 ILCS 200/15-55)
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Sec. 15-55. State property.
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(a) All property belonging to the State of Illinois
is | ||
exempt. However, the State agency holding title shall file the | ||
certificate
of ownership and use required by Section 15-10, | ||
together with a copy of any
written lease or agreement, in | ||
effect on March 30 of the assessment year,
concerning parcels | ||
of 1 acre or more, or an explanation of the terms of any
oral | ||
agreement under which the property is leased, subleased or | ||
rented.
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The leased property shall be assessed to the lessee and the | ||
taxes thereon
extended and billed to the lessee, and collected | ||
in the same manner as
for property which is not exempt. The | ||
lessee shall be liable
for the taxes and no lien shall attach | ||
to the property of the State.
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For the purposes of this Section, the word "leases" | ||
includes
licenses, franchises, operating agreements and other | ||
arrangements under which
private individuals, associations or | ||
corporations are granted the right to use
property of the | ||
Illinois State Toll Highway Authority and includes all property
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of the Authority used by others without regard to the size of | ||
the leased
parcel.
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(b) However, all property of every kind belonging to the | ||
State of
Illinois, which
is or may hereafter be leased to the | ||
Illinois Prairie Path Corporation, shall
be exempt from all | ||
assessments, taxation or collection, despite the making of
any | ||
such lease, if it is used for:
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(1) conservation, nature trail or any other | ||
charitable,
scientific,
educational or recreational | ||
purposes with public benefit, including the
preserving and | ||
aiding in the preservation of natural areas, objects, | ||
flora,
fauna or biotic communities;
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(2) the establishment of footpaths, trails and other | ||
protected
areas;
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(3) the conservation of the proper use of natural
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resources or the promotion of the study of plant and animal | ||
communities and
of other phases of ecology, natural history | ||
and conservation;
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(4) the promotion of education in the fields of nature,
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preservation and
conservation; or
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(5) similar public recreational activities conducted | ||
by the
Illinois
Prairie
Path Corporation.
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No lien shall attach to the property of the State. No tax | ||
liability shall
become the obligation of or be enforceable | ||
against Illinois Prairie Path
Corporation.
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(c) If the State sells the
James R.
Thompson Center
or the | ||
Elgin Mental Health Center and surrounding land located at 750 | ||
S.
State Street,
Elgin, Illinois, as provided in subdivision | ||
(a)(2) of Section 7.4 of
the State Property Control Act,
to
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another entity whose property is not exempt and immediately | ||
thereafter enters
into a
leaseback or other agreement that | ||
directly or indirectly gives the State a
right to use,
control, | ||
and possess the property, that portion of the property leased | ||
and
occupied exclusively by the State shall remain exempt under | ||
this
Section.
For the property to remain exempt under this | ||
subsection (c), the State must
retain an
option to purchase the | ||
property at a future date or, within the limitations
period for
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reverters, the property must revert back to the State.
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If the property has been conveyed as described in this | ||
subsection (c), the
property
is no longer exempt pursuant to | ||
this Section as of the date when:
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(1) the right of the State to use, control, and possess | ||
the property has
been
terminated; or
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(2) the State no longer has an option to
purchase or | ||
otherwise acquire the property and
there is no provision | ||
for a reverter of the property to the State
within the | ||
limitations period for reverters.
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Pursuant to Sections 15-15 and 15-20 of this Code, the | ||
State shall notify the
chief
county assessment officer of any | ||
transaction under this subsection (c). The
chief county
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assessment officer shall determine initial and continuing | ||
compliance with the
requirements of this Section for tax | ||
exemption. Failure to notify the chief
county
assessment | ||
officer of a transaction under this subsection (c) or to | ||
otherwise
comply with
the requirements of Sections 15-15 and | ||
15-20 of this Code shall, in the
discretion of the
chief county | ||
assessment officer, constitute cause to terminate the | ||
exemption,
notwithstanding any other provision of this Code.
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(c-1) If the Illinois State Toll Highway Authority sells | ||
the
Illinois State Toll Highway Authority headquarters | ||
building and surrounding
land,
located at 2700 Ogden Avenue, | ||
Downers Grove, Illinois
as provided in subdivision (a)(2) of | ||
Section 7.5 of
the State Property Control Act,
to
another | ||
entity whose property is not exempt and immediately thereafter | ||
enters
into a
leaseback or other agreement that directly or | ||
indirectly gives the State or the
Illinois State Toll Highway | ||
Authority a
right to use,
control, and possess the property, | ||
that portion of the property leased and
occupied exclusively by | ||
the State or the Authority shall remain exempt under
this
| ||
Section.
For the property to remain exempt under this | ||
subsection (c), the Authority must
retain an
option to purchase | ||
the property at a future date or, within the limitations
period | ||
for
reverters, the property must revert back to the Authority.
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If the property has been conveyed as described in this | ||
subsection (c), the
property
is no longer exempt pursuant to | ||
this Section as of the date when:
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(1) the right of the State or the Authority to use, | ||
control, and possess
the
property has
been
terminated; or
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(2) the Authority no longer has an option to
purchase | ||
or otherwise acquire the property and
there is no provision | ||
for a reverter of the property to the Authority
within the | ||
limitations period for reverters.
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Pursuant to Sections 15-15 and 15-20 of this Code, the | ||
Authority
shall notify the
chief
county assessment officer of | ||
any transaction under this subsection (c). The
chief county
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assessment officer shall determine initial and continuing | ||
compliance with the
requirements of this Section for tax | ||
exemption. Failure to notify the chief
county
assessment | ||
officer of a transaction under this subsection (c) or to | ||
otherwise
comply with
the requirements of Sections 15-15 and | ||
15-20 of this Code shall, in the
discretion of the
chief county | ||
assessment officer, constitute cause to terminate the | ||
exemption,
notwithstanding any other provision of this Code.
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(d) For tax years prior to 2019, the The fair market rent | ||
of each parcel of real property in Will
County owned by the | ||
State of Illinois for the purpose of developing an airport
by | ||
the Department of Transportation shall include the assessed | ||
value of
leasehold tax. The lessee of each parcel of real | ||
property in Will
County owned by
the
State of Illinois for the | ||
purpose of developing an airport by the Department of
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Transportation shall not be liable for the taxes thereon. In | ||
order for the
State to
compensate taxing districts for
the loss | ||
of revenue leasehold tax under this paragraph,
the Will County | ||
Supervisor of Assessments shall
annually certify, in
writing, | ||
to the
Department of Transportation, the following amounts: (1) | ||
for tax years prior to 2019, the the amount of leasehold taxes
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extended for the 2002 property tax
year for
each such exempt | ||
parcel; and (2) for tax years 2019 through 2030, the amount of | ||
taxes that would have been extended for the current tax year | ||
for each such exempt parcel if those parcels had been owned by | ||
a person whose property is not exempt.
The Department of | ||
Transportation shall pay to the Will
County
Treasurer, from the | ||
Tax Recovery Fund, on or before July 1 of each
year, the amount | ||
of leasehold taxes for each such exempt parcel as certified
by | ||
the Will County Supervisor of Assessments. The tax compensation | ||
shall
terminate
on
December 31, 2030 December 31, 2020. It is | ||
the duty of the Department of Transportation to file
with the
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Office of the Will County Supervisor of Assessments an | ||
affidavit stating the
termination
date for rental of each such | ||
parcel due to airport construction. The affidavit
shall include
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the property identification number for each such parcel. In no | ||
instance shall
tax
compensation for property owned by the State | ||
be deemed delinquent or bear
interest. In
no instance shall a | ||
lien attach to the property of the State. In no instance
shall | ||
the State
be required to pay leasehold tax compensation under | ||
this subsection in excess of the lesser of (i) the Tax
Recovery | ||
Fund's balance or (ii) $600,000 in any tax year.
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(e) Public Act 81-1026 applies to all leases or agreements | ||
entered into
or
renewed on or after September 24, 1979.
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(f) Notwithstanding anything to the contrary in this Code, | ||
all property owned by the State that is the Illiana Expressway, | ||
as defined in the Public Private Agreements for the Illiana | ||
Expressway Act, and that is used for transportation purposes | ||
and that is leased for those purposes to another entity whose | ||
property is not exempt shall remain exempt, and any leasehold | ||
interest in the property shall not be subject to taxation under | ||
Section 9-195 of this Act. | ||
(g) Notwithstanding anything to the contrary in this | ||
Section, all property owned by the State or the Illinois State | ||
Toll Highway Authority that is defined as a transportation | ||
project under the Public-Private Partnerships for | ||
Transportation Act and that is used for transportation purposes | ||
and that is leased for those purposes to another entity whose | ||
property is not exempt shall remain exempt, and any leasehold | ||
interest in the property shall not be subject to taxation under | ||
Section 9-195 of this Act. | ||
(h) Notwithstanding anything to the contrary in this Code, | ||
all property owned by the State that is the South Suburban | ||
Airport, as defined in the Public-Private Agreements for the | ||
South Suburban Airport Act, and that is used for airport | ||
purposes and that is leased for those purposes to another | ||
entity whose property is not exempt shall remain exempt, and | ||
any leasehold interest in the property shall not be subject to | ||
taxation under Section 9-195 of this Act. | ||
(Source: P.A. 97-502, eff. 8-23-11; 98-109, eff. 7-25-13.)
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Section 99. Effective date. This Act takes effect upon | ||
becoming law. | ||