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| [ Introduced ] | [ Enrolled ] | [ House Amendment 001 ] |
91_SB0033eng SB33 Engrossed LRB9101535PTpk 1 AN ACT to amend the Property Tax Code by changing Section 2 9-195 and adding Section 15-103. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The Property Tax Code is amended by changing 6 Sections 9-195 and adding Section 15-103 as follows: 7 (35 ILCS 200/9-195) 8 Sec. 9-195. Leasing of exempt property. 9 (a) Except as provided in SectionsSection15-55,and10 15-100, and 15-103, when property which is exempt from 11 taxation is leased to another whose property is not exempt, 12 and the leasing of which does not make the property taxable, 13 the leasehold estate and the appurtenances shall be listed as 14 the property of the lessee thereof, or his or her assignee. 15 Taxes on that property shall be collected in the same manner 16 as on property that is not exempt, and the lessee shall be 17 liable for those taxes. However, no tax lien shall attach to 18 the exempt real estate. The changes made by this amendatory 19 Act of 1997 are declaratory of existing law and shall not be 20 construed as a new enactment. The changes made by Public 21 Acts 88-221 and 88-420 that are incorporated into this 22 Section by this amendatory Act of 1993 are declarative of 23 existing law and are not a new enactment. 24 (b) The provisions of this Section regarding taxation of 25 leasehold interests in exempt property do not apply to any 26 leasehold interest created pursuant to any transaction 27 described in subsection (b) of Section 15-100 or in Section 28 15-103. 29 (Source: P.A. 90-562, eff. 12-16-97.) 30 (35 ILCS 200/15-103 new) SB33 Engrossed -2- LRB9101535PTpk 1 Sec. 15-103. Bi-State Development Agency. 2 (a) Property owned by the Bi-State Development Agency of 3 the Missouri-Illinois Metropolitan District is exempt. 4 (b) The exemption under this Section is not affected by 5 any transaction in which, for the purpose of obtaining 6 financing, the Agency, directly or indirectly, leases or 7 otherwise transfers the property to another for which or whom 8 property is not exempt and immediately after the lease or 9 transfer enters into a leaseback or other agreement that 10 directly or indirectly gives the Agency a right to use, 11 control, and possess the property. In the case of a 12 conveyance of the property, the Agency must retain an option 13 to purchase the property at a future date or, within the 14 limitations period for reverters, the property must revert 15 back to the Agency. 16 (c) If the property has been conveyed as described in 17 subsection (b), the property is no longer exempt under this 18 Section as of the date when: 19 (1) the right of the Agency to use, control, and 20 possess the property is terminated; 21 (2) the Agency no longer has an option to purchase 22 or otherwise acquire the property; and 23 (3) there is no provision for a reverter of the 24 property to the Agency within the limitations period for 25 reverters. 26 (d) Pursuant to Sections 15-15 and 15-20 of this Code, 27 the Agency shall notify the chief county assessment officer 28 of any transaction under subsection (b). The chief county 29 assessment officer shall determine initial and continuing 30 compliance with the requirements of this Section for tax 31 exemption. Failure to notify the chief county assessment 32 officer of a transaction under this Section or to otherwise 33 comply with the requirements of Sections 15-15 and 15-20 of 34 this Code shall, in the discretion of the chief county SB33 Engrossed -3- LRB9101535PTpk 1 assessment officer, constitute cause to terminate the 2 exemption, notwithstanding any other provision of this Code. 3 (e) No provision of this Section shall be construed to 4 affect the obligation of the Agency under Section 15-10 of 5 this Code to file an annual certificate of status or to 6 notify the chief county assessment officer of transfers of 7 interest or other changes in the status of the property as 8 required by this Code. 9 Section 99. Effective date. This Act takes effect upon 10 becoming law.