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| Public Act 101-0551 | ||||
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AN ACT concerning revenue.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Property Tax Code is amended by changing | ||||
Section 15-185 as follows:
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(35 ILCS 200/15-185)
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Sec. 15-185. Exemption for leaseback property and | ||||
qualified leased property.
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(a) Notwithstanding anything in this Code to
the
contrary, | ||||
all property owned by a municipality with a population of over
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500,000
inhabitants, a unit of local government whose | ||||
jurisdiction includes
territory located in
whole or in part | ||||
within a municipality with a population of over 500,000
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inhabitants, or a municipality with home rule powers that is | ||||
contiguous to a municipality with a population of over 500,000 | ||||
inhabitants,
shall remain exempt from taxation and any | ||||
leasehold interest in that property
shall not be
subject to | ||||
taxation under Section 9-195 if
the
property is directly or | ||||
indirectly leased, sold, or otherwise transferred to
another | ||||
entity
whose property is not exempt and immediately thereafter | ||||
is the subject of a
leaseback or
other agreement that directly | ||||
or indirectly gives the municipality or unit of
local
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government (i) a right to use, control, and possess the | ||||
property or (ii) a
right to require
the other entity, or the | ||
other entity's designee or assignee, to use the
property in the
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performance of services for the municipality or unit of local | ||
government. Property
shall no longer be exempt under this | ||
subsection as of the date when the right of
the
municipality or | ||
unit of local government to use, control, and possess the
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property or to
require the performance of services is | ||
terminated and the municipality or unit
of local
government no | ||
longer has any option to purchase or otherwise reacquire the
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interest in
the property which was transferred by the | ||
municipality or unit of local
government.
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(b) Notwithstanding anything in this Code to
the
contrary, | ||
all property owned by a municipality with a population of over
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500,000
inhabitants, a unit of local government whose | ||
jurisdiction includes
territory located in
whole or in part | ||
within a municipality with a population of over 500,000
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inhabitants, or a municipality with home rule powers that is | ||
contiguous to a municipality with a population of over 500,000 | ||
inhabitants,
shall remain exempt from taxation and any | ||
leasehold interest in that property
is not
subject to taxation | ||
under Section 9-195 if the property, including dedicated public | ||
property, is used by a municipality or other unit of local | ||
government for the purpose of an airport or parking or for | ||
waste disposal or processing and is leased for continued use | ||
for the same purpose to another entity whose property is not | ||
exempt. If property located in a municipality with a population | ||
of more than 500,000 inhabitants is not subject to taxation due | ||
to its use for the purpose of parking, and any portion of the | ||
property is used for a purpose other than parking, that portion | ||
of the property shall be subject to taxation under Section | ||
9-195 for the period of time during which it is used for that | ||
non-exempt purpose; provided, however, that the use of a | ||
portion of such property for a non-exempt purpose shall have no | ||
effect on (i) the exemption of the remaining portion of the | ||
property that continues to be used for an exempt purpose, as | ||
identified in this subsection, or (ii) the future exemption of | ||
that same portion of the property if it ceases to be used for a | ||
non-exempt purpose and returned to use for an exempt purpose as | ||
identified in this subsection. No taxes shall be assessed on | ||
any portion of the property identified in this subsection prior | ||
to the effective date of this amendatory Act of the 101st | ||
General Assembly. | ||
For the purposes of this subsection (b), "airport" does not | ||
include any airport property, as defined under Section 10 of | ||
the O'Hare Modernization Act. | ||
Any transaction described under this subsection must be | ||
undertaken in accordance with all appropriate federal laws and | ||
regulations. | ||
(c) For purposes of this Section, "municipality" means a | ||
municipality as defined
in
Section 1-1-2 of the Illinois | ||
Municipal Code, and "unit of local government"
means a unit
of | ||
local government as defined in Article VII, Section 1 of the | ||
Constitution of
the State of
Illinois. The provisions of this | ||
Section supersede and control over any
conflicting
provisions | ||
of this Code.
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(Source: P.A. 96-779, eff. 8-28-09.)
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