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91_SB1032sam001
LRB9101829PTpkam
1 AMENDMENT TO SENATE BILL 1032
2 AMENDMENT NO. . Amend Senate Bill 1032 by replacing
3 everything after the enacting clause with the following:
4 "Section 5. The Property Tax Code is amended by changing
5 Section 18-185 as follows:
6 (35 ILCS 200/18-185)
7 Sec. 18-185. Short title; definitions. This Division 5
8 Section and Sections 18-190 through 18-245 may be cited as
9 the Property Tax Extension Limitation Law. As used in this
10 Division 5 Sections 18-190 through 18-245:
11 "Consumer Price Index" means the Consumer Price Index for
12 All Urban Consumers for all items published by the United
13 States Department of Labor.
14 "Extension limitation" means (a) the lesser of 5% or the
15 percentage increase in the Consumer Price Index during the
16 12-month calendar year preceding the levy year or (b) the
17 rate of increase approved by voters under Section 18-205.
18 "Affected county" means a county of 3,000,000 or more
19 inhabitants or a county contiguous to a county of 3,000,000
20 or more inhabitants.
21 "Taxing district" has the same meaning provided in
22 Section 1-150, except as otherwise provided in this Section.
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1 For the 1991 through 1994 levy years only, "taxing district"
2 includes only each non-home rule taxing district having the
3 majority of its 1990 equalized assessed value within any
4 county or counties contiguous to a county with 3,000,000 or
5 more inhabitants. Beginning with the 1995 levy year, "taxing
6 district" includes only each non-home rule taxing district
7 subject to this Law before the 1995 levy year and each
8 non-home rule taxing district not subject to this Law before
9 the 1995 levy year having the majority of its 1994 equalized
10 assessed value in an affected county or counties. Beginning
11 with the levy year in which this Law becomes applicable to a
12 taxing district as provided in Section 18-213, "taxing
13 district" also includes those taxing districts made subject
14 to this Law as provided in Section 18-213.
15 "Aggregate extension" for taxing districts to which this
16 Law applied before the 1995 levy year means the annual
17 corporate extension for the taxing district and those special
18 purpose extensions that are made annually for the taxing
19 district, excluding special purpose extensions: (a) made for
20 the taxing district to pay interest or principal on general
21 obligation bonds that were approved by referendum; (b) made
22 for any taxing district to pay interest or principal on
23 general obligation bonds issued before October 1, 1991; (c)
24 made for any taxing district to pay interest or principal on
25 bonds issued to refund or continue to refund those bonds
26 issued before October 1, 1991; (d) made for any taxing
27 district to pay interest or principal on bonds issued to
28 refund or continue to refund bonds issued after October 1,
29 1991 that were approved by referendum; (e) made for any
30 taxing district to pay interest or principal on revenue bonds
31 issued before October 1, 1991 for payment of which a property
32 tax levy or the full faith and credit of the unit of local
33 government is pledged; however, a tax for the payment of
34 interest or principal on those bonds shall be made only after
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1 the governing body of the unit of local government finds that
2 all other sources for payment are insufficient to make those
3 payments; (f) made for payments under a building commission
4 lease when the lease payments are for the retirement of bonds
5 issued by the commission before October 1, 1991, to pay for
6 the building project; (g) made for payments due under
7 installment contracts entered into before October 1, 1991;
8 (h) made for payments of principal and interest on bonds
9 issued under the Metropolitan Water Reclamation District Act
10 to finance construction projects initiated before October 1,
11 1991; (i) made for payments of principal and interest on
12 limited bonds, as defined in Section 3 of the Local
13 Government Debt Reform Act, in an amount not to exceed the
14 debt service extension base less the amount in items (b),
15 (c), (e), and (h) of this definition for non-referendum
16 obligations, except obligations initially issued pursuant to
17 referendum; (j) made for payments of principal and interest
18 on bonds issued under Section 15 of the Local Government Debt
19 Reform Act; and (k) made by a school district that
20 participates in the Special Education District of Lake
21 County, created by special education joint agreement under
22 Section 10-22.31 of the School Code, for payment of the
23 school district's share of the amounts required to be
24 contributed by the Special Education District of Lake County
25 to the Illinois Municipal Retirement Fund under Article 7 of
26 the Illinois Pension Code; the amount of any extension under
27 this item (k) shall be certified by the school district to
28 the county clerk.
29 "Aggregate extension" for the taxing districts to which
30 this Law did not apply before the 1995 levy year (except
31 taxing districts subject to this Law in accordance with
32 Section 18-213) means the annual corporate extension for the
33 taxing district and those special purpose extensions that are
34 made annually for the taxing district, excluding special
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1 purpose extensions: (a) made for the taxing district to pay
2 interest or principal on general obligation bonds that were
3 approved by referendum; (b) made for any taxing district to
4 pay interest or principal on general obligation bonds issued
5 before March 1, 1995; (c) made for any taxing district to pay
6 interest or principal on bonds issued to refund or continue
7 to refund those bonds issued before March 1, 1995; (d) made
8 for any taxing district to pay interest or principal on bonds
9 issued to refund or continue to refund bonds issued after
10 March 1, 1995 that were approved by referendum; (e) made for
11 any taxing district to pay interest or principal on revenue
12 bonds issued before March 1, 1995 for payment of which a
13 property tax levy or the full faith and credit of the unit of
14 local government is pledged; however, a tax for the payment
15 of interest or principal on those bonds shall be made only
16 after the governing body of the unit of local government
17 finds that all other sources for payment are insufficient to
18 make those payments; (f) made for payments under a building
19 commission lease when the lease payments are for the
20 retirement of bonds issued by the commission before March 1,
21 1995 to pay for the building project; (g) made for payments
22 due under installment contracts entered into before March 1,
23 1995; (h) made for payments of principal and interest on
24 bonds issued under the Metropolitan Water Reclamation
25 District Act to finance construction projects initiated
26 before October 1, 1991; (i) made for payments of principal
27 and interest on limited bonds, as defined in Section 3 of the
28 Local Government Debt Reform Act, in an amount not to exceed
29 the debt service extension base less the amount in items (b),
30 (c), and (e) of this definition for non-referendum
31 obligations, except obligations initially issued pursuant to
32 referendum and bonds described in subsection (h) of this
33 definition; (j) made for payments of principal and interest
34 on bonds issued under Section 15 of the Local Government Debt
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1 Reform Act; (k) made for payments of principal and interest
2 on bonds authorized by Public Act 88-503 and issued under
3 Section 20a of the Chicago Park District Act for aquarium or
4 museum projects; and (l) made for payments of principal and
5 interest on bonds authorized by Public Act 87-1191 and issued
6 under Section 42 of the Cook County Forest Preserve District
7 Act for zoological park projects.
8 "Aggregate extension" for all taxing districts to which
9 this Law applies in accordance with Section 18-213, except
10 for those taxing districts subject to paragraph (2) of
11 subsection (e) of Section 18-213, means the annual corporate
12 extension for the taxing district and those special purpose
13 extensions that are made annually for the taxing district,
14 excluding special purpose extensions: (a) made for the taxing
15 district to pay interest or principal on general obligation
16 bonds that were approved by referendum; (b) made for any
17 taxing district to pay interest or principal on general
18 obligation bonds issued before the date on which the
19 referendum making this Law applicable to the taxing district
20 is held; (c) made for any taxing district to pay interest or
21 principal on bonds issued to refund or continue to refund
22 those bonds issued before the date on which the referendum
23 making this Law applicable to the taxing district is held;
24 (d) made for any taxing district to pay interest or principal
25 on bonds issued to refund or continue to refund bonds issued
26 after the date on which the referendum making this Law
27 applicable to the taxing district is held if the bonds were
28 approved by referendum after the date on which the referendum
29 making this Law applicable to the taxing district is held;
30 (e) made for any taxing district to pay interest or principal
31 on revenue bonds issued before the date on which the
32 referendum making this Law applicable to the taxing district
33 is held for payment of which a property tax levy or the full
34 faith and credit of the unit of local government is pledged;
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1 however, a tax for the payment of interest or principal on
2 those bonds shall be made only after the governing body of
3 the unit of local government finds that all other sources for
4 payment are insufficient to make those payments; (f) made for
5 payments under a building commission lease when the lease
6 payments are for the retirement of bonds issued by the
7 commission before the date on which the referendum making
8 this Law applicable to the taxing district is held to pay for
9 the building project; (g) made for payments due under
10 installment contracts entered into before the date on which
11 the referendum making this Law applicable to the taxing
12 district is held; (h) made for payments of principal and
13 interest on limited bonds, as defined in Section 3 of the
14 Local Government Debt Reform Act, in an amount not to exceed
15 the debt service extension base less the amount in items (b),
16 (c), and (e) of this definition for non-referendum
17 obligations, except obligations initially issued pursuant to
18 referendum; (i) made for payments of principal and interest
19 on bonds issued under Section 15 of the Local Government Debt
20 Reform Act; and (j) made for a qualified airport authority to
21 pay interest or principal on general obligation bonds issued
22 for the purpose of paying obligations due under, or financing
23 airport facilities required to be acquired, constructed,
24 installed or equipped pursuant to, contracts entered into
25 before March 1, 1996 (but not including any amendments to
26 such a contract taking effect on or after that date).
27 "Aggregate extension" for all taxing districts to which
28 this Law applies in accordance with paragraph (2) of
29 subsection (e) of Section 18-213 means the annual corporate
30 extension for the taxing district and those special purpose
31 extensions that are made annually for the taxing district,
32 excluding special purpose extensions: (a) made for the taxing
33 district to pay interest or principal on general obligation
34 bonds that were approved by referendum; (b) made for any
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1 taxing district to pay interest or principal on general
2 obligation bonds issued before the effective date of this
3 amendatory Act of 1997; (c) made for any taxing district to
4 pay interest or principal on bonds issued to refund or
5 continue to refund those bonds issued before the effective
6 date of this amendatory Act of 1997; (d) made for any taxing
7 district to pay interest or principal on bonds issued to
8 refund or continue to refund bonds issued after the effective
9 date of this amendatory Act of 1997 if the bonds were
10 approved by referendum after the effective date of this
11 amendatory Act of 1997; (e) made for any taxing district to
12 pay interest or principal on revenue bonds issued before the
13 effective date of this amendatory Act of 1997 for payment of
14 which a property tax levy or the full faith and credit of the
15 unit of local government is pledged; however, a tax for the
16 payment of interest or principal on those bonds shall be made
17 only after the governing body of the unit of local government
18 finds that all other sources for payment are insufficient to
19 make those payments; (f) made for payments under a building
20 commission lease when the lease payments are for the
21 retirement of bonds issued by the commission before the
22 effective date of this amendatory Act of 1997 to pay for the
23 building project; (g) made for payments due under installment
24 contracts entered into before the effective date of this
25 amendatory Act of 1997; (h) made for payments of principal
26 and interest on limited bonds, as defined in Section 3 of the
27 Local Government Debt Reform Act, in an amount not to exceed
28 the debt service extension base less the amount in items (b),
29 (c), and (e) of this definition for non-referendum
30 obligations, except obligations initially issued pursuant to
31 referendum; (i) made for payments of principal and interest
32 on bonds issued under Section 15 of the Local Government Debt
33 Reform Act; and (j) made for a qualified airport authority to
34 pay interest or principal on general obligation bonds issued
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1 for the purpose of paying obligations due under, or financing
2 airport facilities required to be acquired, constructed,
3 installed or equipped pursuant to, contracts entered into
4 before March 1, 1996 (but not including any amendments to
5 such a contract taking effect on or after that date).
6 "Debt service extension base" means an amount equal to
7 that portion of the extension for a taxing district for the
8 1994 levy year, or for those taxing districts subject to this
9 Law in accordance with Section 18-213, except for those
10 subject to paragraph (2) of subsection (e) of Section 18-213,
11 for the levy year in which the referendum making this Law
12 applicable to the taxing district is held, or for those
13 taxing districts subject to this Law in accordance with
14 paragraph (2) of subsection (e) of Section 18-213 for the
15 1996 levy year, constituting an extension for payment of
16 principal and interest on bonds issued by the taxing district
17 without referendum, but not including (i) bonds authorized by
18 Public Act 88-503 and issued under Section 20a of the Chicago
19 Park District Act for aquarium and museum projects; (ii)
20 bonds issued under Section 15 of the Local Government Debt
21 Reform Act; or (iii) refunding obligations issued to refund
22 or to continue to refund obligations initially issued
23 pursuant to referendum. The debt service extension base may
24 be established or increased as provided under Section 18-212.
25 "Special purpose extensions" include, but are not limited
26 to, extensions for levies made on an annual basis for
27 unemployment and workers' compensation, self-insurance,
28 contributions to pension plans, and extensions made pursuant
29 to Section 6-601 of the Illinois Highway Code for a road
30 district's permanent road fund whether levied annually or
31 not. The extension for a special service area is not
32 included in the aggregate extension.
33 "Aggregate extension base" means the taxing district's
34 last preceding aggregate extension as adjusted under Sections
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1 18-215 through 18-230.
2 "Levy year" has the same meaning as "year" under Section
3 1-155.
4 "New property" means (i) the assessed value, after final
5 board of review or board of appeals action, of new
6 improvements or additions to existing improvements on any
7 parcel of real property that increase the assessed value of
8 that real property during the levy year multiplied by the
9 equalization factor issued by the Department under Section
10 17-30 and (ii) the assessed value, after final board of
11 review or board of appeals action, of real property not
12 exempt from real estate taxation, which real property was
13 exempt from real estate taxation for any portion of the
14 immediately preceding levy year, multiplied by the
15 equalization factor issued by the Department under Section
16 17-30. In addition, the county clerk in a county containing
17 a population of 3,000,000 or more shall include in the 1997
18 recovered tax increment value for any school district, any
19 recovered tax increment value that was applicable to the 1995
20 tax year calculations.
21 "Qualified airport authority" means an airport authority
22 organized under the Airport Authorities Act and located in a
23 county bordering on the State of Wisconsin and having a
24 population in excess of 200,000 and not greater than 500,000.
25 "Recovered tax increment value" means, except as
26 otherwise provided in this paragraph, the amount of the
27 current year's equalized assessed value, in the first year
28 after a municipality terminates the designation of an area as
29 a redevelopment project area previously established under the
30 Tax Increment Allocation Development Act in the Illinois
31 Municipal Code, previously established under the Industrial
32 Jobs Recovery Law in the Illinois Municipal Code, or
33 previously established under the Economic Development Area
34 Tax Increment Allocation Act, of each taxable lot, block,
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1 tract, or parcel of real property in the redevelopment
2 project area over and above the initial equalized assessed
3 value of each property in the redevelopment project area.
4 For the taxes which are extended for the 1997 levy year, the
5 recovered tax increment value for a non-home rule taxing
6 district that first became subject to this Law for the 1995
7 levy year because a majority of its 1994 equalized assessed
8 value was in an affected county or counties shall be
9 increased if a municipality terminated the designation of an
10 area in 1993 as a redevelopment project area previously
11 established under the Tax Increment Allocation Development
12 Act in the Illinois Municipal Code, previously established
13 under the Industrial Jobs Recovery Law in the Illinois
14 Municipal Code, or previously established under the Economic
15 Development Area Tax Increment Allocation Act, by an amount
16 equal to the 1994 equalized assessed value of each taxable
17 lot, block, tract, or parcel of real property in the
18 redevelopment project area over and above the initial
19 equalized assessed value of each property in the
20 redevelopment project area. In the first year after a
21 municipality removes a taxable lot, block, tract, or parcel
22 of real property from a redevelopment project area
23 established under the Tax Increment Allocation Development
24 Act in the Illinois Municipal Code, the Industrial Jobs
25 Recovery Law in the Illinois Municipal Code, or the Economic
26 Development Area Tax Increment Allocation Act, "recovered tax
27 increment value" means the amount of the current year's
28 equalized assessed value of each taxable lot, block, tract,
29 or parcel of real property removed from the redevelopment
30 project area over and above the initial equalized assessed
31 value of that real property before removal from the
32 redevelopment project area.
33 Except as otherwise provided in this Section, "limiting
34 rate" means a fraction the numerator of which is the last
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1 preceding aggregate extension base times an amount equal to
2 one plus the extension limitation defined in this Section and
3 the denominator of which is the current year's equalized
4 assessed value of all real property in the territory under
5 the jurisdiction of the taxing district during the prior levy
6 year. For those taxing districts that reduced their
7 aggregate extension for the last preceding levy year, the
8 highest aggregate extension in any of the last 3 preceding
9 levy years shall be used for the purpose of computing the
10 limiting rate. The denominator shall not include new
11 property. The denominator shall not include the recovered
12 tax increment value.
13 (Source: P.A. 89-1, eff. 2-12-95; 89-138, eff. 7-14-95;
14 89-385, eff. 8-18-95; 89-436, eff. 1-1-96; 89-449, eff.
15 6-1-96; 89-510, eff. 7-11-96; 89-718, eff. 3-7-97; 90-485,
16 eff. 1-1-98; 90-511, eff. 8-22-97; 90-568, eff. 1-1-99;
17 90-616, eff. 7-10-98; 90-655, eff. 7-30-98; revised
18 10-28-98.)
19 Section 10. The Governmental Account Audit Act is
20 amended by changing Section 3 as follows:
21 (50 ILCS 310/3) (from Ch. 85, par. 703)
22 Sec. 3. Financial report. Any governmental unit
23 appropriating less than $200,000 for any fiscal year shall,
24 in lieu of complying with the requirements of Section 2 for
25 audits and audit reports, file with the Comptroller a
26 financial report containing information required by the
27 Comptroller. In addition, a governmental unit appropriating
28 less than $200,000 may file with the Comptroller any audit
29 reports which may have been prepared under any other law. Any
30 governmental unit appropriating $200,000 or more for any
31 fiscal year shall, in addition to complying with the
32 requirements of Section 2 for audits and audit reports, file
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1 with the Comptroller the financial report required by this
2 Section. The financial report filed under this Section shall
3 include the information required by subsection (d) of Section
4 11-74.4-5 of the Tax Increment Allocation Redevelopment Act
5 in the Illinois Municipal Code. Such financial reports shall
6 be on forms so designed by the Comptroller as not to require
7 professional accounting services for its preparation.
8 (Source: P.A. 90-104, eff. 7-11-97.)
9 Section 15. The Illinois Municipal Code is amended by
10 changing Sections 11-74.4-3, 11-74.4-4, 11-74.4-4.1,
11 11-74.4-5, 11-74.4-6, 11-74.4-7, 11-74.4-7.1, 11-74.4-8, and
12 11-74.4-8a and adding Section 11-74.4-4.2 as follows:
13 (65 ILCS 5/11-74.4-3) (from Ch. 24, par. 11-74.4-3)
14 Sec. 11-74.4-3. Definitions. The following terms,
15 wherever used or referred to in this Division 74.4 shall have
16 the following respective meanings, unless in any case a
17 different meaning clearly appears from the context.
18 (a) For any redevelopment project area that has been
19 designated pursuant to this Section by an ordinance adopted
20 prior to the effective date of this amendatory Act of the
21 91st General Assembly, "blighted area" shall have the meaning
22 set forth in this Section prior to the effective date of this
23 amendatory Act of the 91st General Assembly.
24 On and after the effective date of this amendatory Act of
25 the 91st General Assembly, "blighted area" means any improved
26 or vacant area within the boundaries of a redevelopment
27 project area located within the territorial limits of the
28 municipality where:
29 (1) If improved, industrial, commercial, and
30 residential buildings or improvements are detrimental to
31 the public safety, health, or welfare because of a
32 combination of 5 or more of the following factors, each
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1 of which is (i) present, with that presence documented,
2 to a meaningful extent so that a municipality may
3 reasonably find that the factor is clearly present within
4 the intent of the Act and (ii) reasonably distributed
5 throughout the improved part of the redevelopment project
6 area:
7 (A) Dilapidation. An advanced state of
8 disrepair or neglect of necessary repairs to the
9 primary structural components of buildings or
10 improvements in such a combination that a documented
11 building condition analysis determines that major
12 repair is required or the defects are so serious and
13 so extensive that the buildings must be removed.
14 (B) Obsolescence. The condition or process of
15 falling into disuse. Structures have become
16 ill-suited for the original use.
17 (C) Deterioration. With respect to buildings,
18 defects including, but not limited to, major defects
19 in the secondary building components such as doors,
20 windows, porches, gutters and downspouts, and
21 fascia. With respect to surface improvements, that
22 the condition of roadways, alleys, curbs, gutters,
23 sidewalks, off-street parking, and surface storage
24 areas evidence deterioration, including, but not
25 limited to, surface cracking, crumbling, potholes,
26 depressions, loose paving material, and weeds
27 protruding through paved surfaces.
28 (D) Presence of structures below minimum code
29 standards. All structures that do not meet the
30 standards of zoning, subdivision, building, fire,
31 and other governmental codes applicable to property,
32 but not including housing and property maintenance
33 codes.
34 (E) Illegal use of individual structures. The
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1 use of structures in violation of applicable
2 federal, State, or local laws, exclusive of those
3 applicable to the presence of structures below
4 minimum code standards.
5 (F) Excessive vacancies. The presence of
6 buildings that are unoccupied or under-utilized and
7 that represent an adverse influence on the area
8 because of the frequency, extent, or duration of the
9 vacancies.
10 (G) Lack of ventilation, light, or sanitary
11 facilities. The absence of adequate ventilation for
12 light or air circulation in spaces or rooms without
13 windows, or that require the removal of dust, odor,
14 gas, smoke, or other noxious airborne materials.
15 Inadequate natural light and ventilation means the
16 absence of skylights or windows for interior spaces
17 or rooms and improper window sizes and amounts by
18 room area to window area ratios. Inadequate
19 sanitary facilities refers to the absence or
20 inadequacy of garbage storage and enclosure,
21 bathroom facilities, hot water and kitchens, and
22 structural inadequacies preventing ingress and
23 egress to and from all rooms and units within a
24 building.
25 (H) Inadequate utilities. Underground and
26 overhead utilities such as storm sewers and storm
27 drainage, water lines, and gas, telephone, and
28 electrical services that are shown to be inadequate.
29 Inadequate utilities are those that are: (i) of
30 insufficient capacity to serve the uses in the
31 redevelopment project area, (ii) deteriorated,
32 antiquated, obsolete, or in disrepair, or (iii)
33 lacking within the redevelopment project area.
34 (I) Excessive land coverage and overcrowding
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1 of structures and community facilities. The
2 over-intensive use of property and the crowding of
3 buildings and accessory facilities onto a site.
4 Examples of problem conditions warranting the
5 designation of an area as one exhibiting excessive
6 land coverage are: (i) the presence of buildings
7 either improperly situated on parcels or located on
8 parcels of inadequate size and shape in relation to
9 present-day standards of development for health and
10 safety and (ii) the presence of multiple buildings
11 on a single parcel. For there to be a finding of
12 excessive land coverage, these parcels must exhibit
13 one or more of the following conditions:
14 insufficient provision for light and air within or
15 around buildings, increased threat of spread of fire
16 due to the close proximity of buildings, lack of
17 adequate or proper access to a public right-of-way,
18 lack of reasonably required off-street parking, or
19 inadequate provision for loading and service.
20 (J) Deleterious land use or layout. The
21 existence of incompatible land-use relationships,
22 buildings occupied by inappropriate mixed-uses, or
23 uses considered to be noxious, offensive, or
24 unsuitable for the surrounding area.
25 (K) Environmental clean-up. The proposed
26 redevelopment project area has incurred Illinois
27 Environmental Protection Agency or United States
28 Environmental Protection Agency remediation costs
29 for, or a study conducted by an independent
30 consultant recognized as having expertise in
31 environmental remediation has determined a need for,
32 the clean-up of hazardous waste, hazardous
33 substances, or underground storage tanks required by
34 State or federal law, provided that the remediation
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1 costs constitute a material impediment to the
2 development or redevelopment of the redevelopment
3 project area.
4 (L) Lack of community planning. The proposed
5 redevelopment project area was developed prior to or
6 without the benefit or guidance of a community plan.
7 This means that the development occurred prior to
8 the adoption by the municipality of a comprehensive
9 or other community plan or that the plan was not
10 followed at the time of the area's development.
11 This factor must be documented by evidence of
12 adverse or incompatible land-use relationships,
13 inadequate street layout, improper subdivision,
14 parcels of inadequate shape and size to meet
15 contemporary development standards, or other
16 evidence demonstrating an absence of effective
17 community planning.
18 (M) The total equalized assessed value of the
19 proposed redevelopment project area has declined for
20 3 of the last 5 calendar years for which information
21 is available or is increasing at an annual rate that
22 is less than the balance of the municipality for 3
23 of the last 5 calendar years for which information
24 is available or is increasing at an annual rate that
25 is less than the Consumer Price Index for All Urban
26 Consumers published by the United States Department
27 of Labor or successor agency for 3 of the last 5
28 calendar years for which information is available.
29 (2) If vacant, the sound growth of the
30 redevelopment project area is impaired by a combination
31 of 2 or more of the following factors, each of which is
32 (i) present, with that presence documented, to a
33 meaningful extent so that a municipality may reasonably
34 find that the factor is clearly present within the intent
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1 of the Act and (ii) reasonably distributed throughout the
2 vacant part of the redevelopment project area:
3 (A) Obsolete platting of vacant land that
4 results in parcels of limited or narrow size or
5 configurations of parcels of irregular size or shape
6 that would be difficult to develop on a planned
7 basis and in a manner compatible with contemporary
8 standards and requirements, or platting that failed
9 to create rights-of-ways for streets or alleys or
10 that created inadequate right-of-way widths for
11 streets, alleys, or other public rights-of-way or
12 that omitted easements for public utilities.
13 (B) Diversity of ownership of parcels of
14 vacant land sufficient in number to retard or impede
15 the ability to assemble the land for development.
16 (C) Tax and special assessment delinquencies
17 for an unreasonable period of time.
18 (D) Deterioration of structures or site
19 improvements in neighboring areas adjacent to the
20 vacant land.
21 (E) The area has incurred Illinois
22 Environmental Protection Agency or United States
23 Environmental Protection Agency remediation costs
24 for, or a study conducted by an independent
25 consultant recognized as having expertise in
26 environmental remediation has determined a need for,
27 the clean-up of hazardous waste, hazardous
28 substances, or underground storage tanks required by
29 State or federal law, provided that the remediation
30 costs constitute a material impediment to the
31 development or redevelopment of the redevelopment
32 project area.
33 (F) The total equalized assessed value of the
34 proposed redevelopment project area has declined for
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1 3 of the last 5 calendar years for which information
2 is available or is increasing at an annual rate that
3 is less than the balance of the municipality for 3
4 of the last 5 calendar years for which information
5 is available or is increasing at an annual rate that
6 is less than the Consumer Price Index for All Urban
7 Consumers published by the United States Department
8 of Labor or successor agency for 3 of the last 5
9 calendar years for which information is available.
10 (3) If vacant, the sound growth of the
11 redevelopment project area is impaired by one of the
12 following factors that (i) is present, with that presence
13 documented, to a meaningful extent so that a municipality
14 may reasonably find that the factor is clearly present
15 within the intent of the Act and (ii) is reasonably
16 distributed throughout the vacant part of the
17 redevelopment project area:
18 (A) The area consists of one or more unused
19 quarries, mines, or strip mine ponds.
20 (B) The area consists of unused railyards,
21 rail tracks, or railroad rights-of-way.
22 (C) The area, prior to its designation, is
23 subject to chronic flooding that adversely impacts
24 on real property in the area as certified by a
25 registered professional engineer or appropriate
26 regulatory agency.
27 (D) The area consists of an unused or illegal
28 disposal site containing earth, stone, building
29 debris, or similar materials that were removed from
30 construction, demolition, excavation, or dredge
31 sites.
32 (E) Prior to the effective date of this
33 amendatory Act of the 91st General Assembly, the
34 area is not less than 50 nor more than 100 acres and
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1 75% of which is vacant (notwithstanding that the
2 area has been used for commercial agricultural
3 purposes within 5 years prior to the designation of
4 the redevelopment project area), and the area meets
5 at least one of the factors itemized in paragraph
6 (1) of this subsection, the area has been designated
7 as a town or village center by ordinance or
8 comprehensive plan adopted prior to January 1, 1982,
9 and the area has not been developed for that
10 designated purpose.
11 (F) The area qualified as a blighted improved
12 area immediately prior to becoming vacant, unless
13 there has been substantial private investment in the
14 immediately surrounding area., if improved,
15 industrial, commercial and residential buildings or
16 improvements, because of a combination of 5 or more
17 of the following factors: age; dilapidation;
18 obsolescence; deterioration; illegal use of
19 individual structures; presence of structures below
20 minimum code standards; excessive vacancies;
21 overcrowding of structures and community facilities;
22 lack of ventilation, light or sanitary facilities;
23 inadequate utilities; excessive land coverage;
24 deleterious land use or layout; depreciation of
25 physical maintenance; lack of community planning, is
26 detrimental to the public safety, health, morals or
27 welfare, or if vacant, the sound growth of the
28 taxing districts is impaired by, (1) a combination
29 of 2 or more of the following factors: obsolete
30 platting of the vacant land; diversity of ownership
31 of such land; tax and special assessment
32 delinquencies on such land; flooding on all or part
33 of such vacant land; deterioration of structures or
34 site improvements in neighboring areas adjacent to
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1 the vacant land, or (2) the area immediately prior
2 to becoming vacant qualified as a blighted improved
3 area, or (3) the area consists of an unused quarry
4 or unused quarries, or (4) the area consists of
5 unused railyards, rail tracks or railroad
6 rights-of-way, or (5) the area, prior to its
7 designation, is subject to chronic flooding which
8 adversely impacts on real property in the area and
9 such flooding is substantially caused by one or more
10 improvements in or in proximity to the area which
11 improvements have been in existence for at least 5
12 years, or (6) the area consists of an unused
13 disposal site, containing earth, stone, building
14 debris or similar material, which were removed from
15 construction, demolition, excavation or dredge
16 sites, or (7) the area is not less than 50 nor more
17 than 100 acres and 75% of which is vacant,
18 notwithstanding the fact that such area has been
19 used for commercial agricultural purposes within 5
20 years prior to the designation of the redevelopment
21 project area, and which area meets at least one of
22 the factors itemized in provision (1) of this
23 subsection (a), and the area has been designated as
24 a town or village center by ordinance or
25 comprehensive plan adopted prior to January 1, 1982,
26 and the area has not been developed for that
27 designated purpose.
28 (b) For any redevelopment project area that has been
29 designated pursuant to this Section by an ordinance adopted
30 prior to the effective date of this amendatory Act of the
31 91st General Assembly, "conservation area" shall have the
32 meaning set forth in this Section prior to the effective date
33 of this amendatory Act of the 91st General Assembly.
34 On and after the effective date of this amendatory Act of
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1 the 91st General Assembly, "conservation area" means any
2 improved area within the boundaries of a redevelopment
3 project area located within the territorial limits of the
4 municipality in which 50% or more of the structures in the
5 area have an age of 35 years or more. Such an area is not
6 yet a blighted area but because of a combination of 3 or more
7 of the following factors dilapidation; obsolescence;
8 deterioration; illegal use of individual structures; presence
9 of structures below minimum code standards; abandonment;
10 excessive vacancies; overcrowding of structures and community
11 facilities; lack of ventilation, light or sanitary
12 facilities; inadequate utilities; excessive land coverage;
13 deleterious land use or layout; depreciation of physical
14 maintenance; lack of community planning, is detrimental to
15 the public safety, health, morals or welfare and such an area
16 may become a blighted area:.
17 (1) Dilapidation. An advanced state of disrepair
18 or neglect of necessary repairs to the primary structural
19 components of buildings or improvements in such a
20 combination that a documented building condition analysis
21 determines that major repair is required or the defects
22 are so serious and so extensive that the buildings must
23 be removed.
24 (2) Obsolescence. The condition or process of
25 falling into disuse. Structures have become ill-suited
26 for the original use.
27 (3) Deterioration. With respect to buildings,
28 defects including, but not limited to, major defects in
29 the secondary building components such as doors, windows,
30 porches, gutters and downspouts, and fascia. With
31 respect to surface improvements, that the condition of
32 roadways, alleys, curbs, gutters, sidewalks, off-street
33 parking, and surface storage areas evidence
34 deterioration, including, but not limited to, surface
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1 cracking, crumbling, potholes, depressions, loose paving
2 material, and weeds protruding through paved surfaces.
3 (4) Presence of structures below minimum code
4 standards. All structures that do not meet the standards
5 of zoning, subdivision, building, fire, and other
6 governmental codes applicable to property, but not
7 including housing and property maintenance codes.
8 (5) Illegal use of individual structures. The use
9 of structures in violation of applicable federal, State,
10 or local laws, exclusive of those applicable to the
11 presence of structures below minimum code standards.
12 (6) Excessive vacancies. The presence of buildings
13 that are unoccupied or under-utilized and that represent
14 an adverse influence on the area because of the
15 frequency, extent, or duration of the vacancies.
16 (7) Lack of ventilation, light, or sanitary
17 facilities. The absence of adequate ventilation for
18 light or air circulation in spaces or rooms without
19 windows, or that require the removal of dust, odor, gas,
20 smoke, or other noxious airborne materials. Inadequate
21 natural light and ventilation means the absence or
22 inadequacy of skylights or windows for interior spaces or
23 rooms and improper window sizes and amounts by room area
24 to window area ratios. Inadequate sanitary facilities
25 refers to the absence or inadequacy of garbage storage
26 and enclosure, bathroom facilities, hot water and
27 kitchens, and structural inadequacies preventing ingress
28 and egress to and from all rooms and units within a
29 building.
30 (8) Inadequate utilities. Underground and overhead
31 utilities such as storm sewers and storm drainage, water
32 lines, and gas, telephone, and electrical services that
33 are shown to be inadequate. Inadequate utilities are
34 those that are: (i) of insufficient capacity to serve the
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1 uses in the redevelopment project area, (ii)
2 deteriorated, antiquated, obsolete, or in disrepair, or
3 (iii) lacking within the redevelopment project area.
4 (9) Excessive land coverage and overcrowding of
5 structures and community facilities. The over-intensive
6 use of property and the crowding of buildings and
7 accessory facilities onto a site. Examples of problem
8 conditions warranting the designation of an area as one
9 exhibiting excessive land coverage are: the presence of
10 buildings either improperly situated on parcels or
11 located on parcels of inadequate size and shape in
12 relation to present-day standards of development for
13 health and safety and the presence of multiple buildings
14 on a single parcel. For there to be a finding of
15 excessive land coverage, these parcels must exhibit one
16 or more of the following conditions: insufficient
17 provision for light and air within or around buildings,
18 increased threat of spread of fire due to the close
19 proximity of buildings, lack of adequate or proper access
20 to a public right-of-way, lack of reasonably required
21 off-street parking, or inadequate provision for loading
22 and service.
23 (10) Deleterious land use or layout. The existence
24 of incompatible land-use relationships, buildings
25 occupied by inappropriate mixed-uses, or uses considered
26 to be noxious, offensive, or unsuitable for the
27 surrounding area.
28 (11) Lack of community planning. The proposed
29 redevelopment project area was developed prior to or
30 without the benefit or guidance of a community plan. This
31 means that the development occurred prior to the adoption
32 by the municipality of a comprehensive or other community
33 plan or that the plan was not followed at the time of the
34 area's development. This factor must be documented by
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1 evidence of adverse or incompatible land-use
2 relationships, inadequate street layout, improper
3 subdivision, parcels of inadequate shape and size to meet
4 contemporary development standards, or other evidence
5 demonstrating an absence of effective community planning.
6
7 (12) The area has incurred Illinois Environmental
8 Protection Agency or United States Environmental
9 Protection Agency remediation costs for, or a study
10 conducted by an independent consultant recognized as
11 having expertise in environmental remediation has
12 determined a need for, the clean-up of hazardous waste,
13 hazardous substances, or underground storage tanks
14 required by State or federal law, provided that the
15 remediation costs constitute a material impediment to the
16 development or redevelopment of the redevelopment project
17 area.
18 (13) The total equalized assessed value of the
19 proposed redevelopment project area has declined for 3 of
20 the last 5 calendar years for which information is
21 available or is increasing at an annual rate that is less
22 than the balance of the municipality for 3 of the last 5
23 calendar years for which information is available or is
24 increasing at an annual rate that is less than the
25 Consumer Price Index for All Urban Consumers published by
26 the United States Department of Labor or successor agency
27 for 3 of the last 5 calendar years for which information
28 is available.
29 (c) "Industrial park" means an area in a blighted or
30 conservation area suitable for use by any manufacturing,
31 industrial, research or transportation enterprise, of
32 facilities to include but not be limited to factories, mills,
33 processing plants, assembly plants, packing plants,
34 fabricating plants, industrial distribution centers,
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1 warehouses, repair overhaul or service facilities, freight
2 terminals, research facilities, test facilities or railroad
3 facilities.
4 (d) "Industrial park conservation area" means an area
5 within the boundaries of a redevelopment project area located
6 within the territorial limits of a municipality that is a
7 labor surplus municipality or within 1 1/2 miles of the
8 territorial limits of a municipality that is a labor surplus
9 municipality if the area is annexed to the municipality;
10 which area is zoned as industrial no later than at the time
11 the municipality by ordinance designates the redevelopment
12 project area, and which area includes both vacant land
13 suitable for use as an industrial park and a blighted area or
14 conservation area contiguous to such vacant land.
15 (e) "Labor surplus municipality" means a municipality in
16 which, at any time during the 6 months before the
17 municipality by ordinance designates an industrial park
18 conservation area, the unemployment rate was over 6% and was
19 also 100% or more of the national average unemployment rate
20 for that same time as published in the United States
21 Department of Labor Bureau of Labor Statistics publication
22 entitled "The Employment Situation" or its successor
23 publication. For the purpose of this subsection, if
24 unemployment rate statistics for the municipality are not
25 available, the unemployment rate in the municipality shall be
26 deemed to be the same as the unemployment rate in the
27 principal county in which the municipality is located.
28 (f) "Municipality" shall mean a city, village or
29 incorporated town.
30 (g) "Initial Sales Tax Amounts" means the amount of
31 taxes paid under the Retailers' Occupation Tax Act, Use Tax
32 Act, Service Use Tax Act, the Service Occupation Tax Act, the
33 Municipal Retailers' Occupation Tax Act, and the Municipal
34 Service Occupation Tax Act by retailers and servicemen on
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1 transactions at places located in a State Sales Tax Boundary
2 during the calendar year 1985.
3 (g-1) "Revised Initial Sales Tax Amounts" means the
4 amount of taxes paid under the Retailers' Occupation Tax Act,
5 Use Tax Act, Service Use Tax Act, the Service Occupation Tax
6 Act, the Municipal Retailers' Occupation Tax Act, and the
7 Municipal Service Occupation Tax Act by retailers and
8 servicemen on transactions at places located within the State
9 Sales Tax Boundary revised pursuant to Section 11-74.4-8a(9)
10 of this Act.
11 (h) "Municipal Sales Tax Increment" means an amount
12 equal to the increase in the aggregate amount of taxes paid
13 to a municipality from the Local Government Tax Fund arising
14 from sales by retailers and servicemen within the
15 redevelopment project area or State Sales Tax Boundary, as
16 the case may be, for as long as the redevelopment project
17 area or State Sales Tax Boundary, as the case may be, exist
18 over and above the aggregate amount of taxes as certified by
19 the Illinois Department of Revenue and paid under the
20 Municipal Retailers' Occupation Tax Act and the Municipal
21 Service Occupation Tax Act by retailers and servicemen, on
22 transactions at places of business located in the
23 redevelopment project area or State Sales Tax Boundary, as
24 the case may be, during the base year which shall be the
25 calendar year immediately prior to the year in which the
26 municipality adopted tax increment allocation financing. For
27 purposes of computing the aggregate amount of such taxes for
28 base years occurring prior to 1985, the Department of Revenue
29 shall determine the Initial Sales Tax Amounts for such taxes
30 and deduct therefrom an amount equal to 4% of the aggregate
31 amount of taxes per year for each year the base year is prior
32 to 1985, but not to exceed a total deduction of 12%. The
33 amount so determined shall be known as the "Adjusted Initial
34 Sales Tax Amounts". For purposes of determining the
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1 Municipal Sales Tax Increment, the Department of Revenue
2 shall for each period subtract from the amount paid to the
3 municipality from the Local Government Tax Fund arising from
4 sales by retailers and servicemen on transactions located in
5 the redevelopment project area or the State Sales Tax
6 Boundary, as the case may be, the certified Initial Sales Tax
7 Amounts, the Adjusted Initial Sales Tax Amounts or the
8 Revised Initial Sales Tax Amounts for the Municipal
9 Retailers' Occupation Tax Act and the Municipal Service
10 Occupation Tax Act. For the State Fiscal Year 1989, this
11 calculation shall be made by utilizing the calendar year 1987
12 to determine the tax amounts received. For the State Fiscal
13 Year 1990, this calculation shall be made by utilizing the
14 period from January 1, 1988, until September 30, 1988, to
15 determine the tax amounts received from retailers and
16 servicemen pursuant to the Municipal Retailers' Occupation
17 Tax and the Municipal Service Occupation Tax Act, which shall
18 have deducted therefrom nine-twelfths of the certified
19 Initial Sales Tax Amounts, the Adjusted Initial Sales Tax
20 Amounts or the Revised Initial Sales Tax Amounts as
21 appropriate. For the State Fiscal Year 1991, this calculation
22 shall be made by utilizing the period from October 1, 1988,
23 to June 30, 1989, to determine the tax amounts received from
24 retailers and servicemen pursuant to the Municipal Retailers'
25 Occupation Tax and the Municipal Service Occupation Tax Act
26 which shall have deducted therefrom nine-twelfths of the
27 certified Initial Sales Tax Amounts, Adjusted Initial Sales
28 Tax Amounts or the Revised Initial Sales Tax Amounts as
29 appropriate. For every State Fiscal Year thereafter, the
30 applicable period shall be the 12 months beginning July 1 and
31 ending June 30 to determine the tax amounts received which
32 shall have deducted therefrom the certified Initial Sales Tax
33 Amounts, the Adjusted Initial Sales Tax Amounts or the
34 Revised Initial Sales Tax Amounts, as the case may be.
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1 (i) "Net State Sales Tax Increment" means the sum of the
2 following: (a) 80% of the first $100,000 of State Sales Tax
3 Increment annually generated within a State Sales Tax
4 Boundary; (b) 60% of the amount in excess of $100,000 but not
5 exceeding $500,000 of State Sales Tax Increment annually
6 generated within a State Sales Tax Boundary; and (c) 40% of
7 all amounts in excess of $500,000 of State Sales Tax
8 Increment annually generated within a State Sales Tax
9 Boundary. If, however, a municipality established a tax
10 increment financing district in a county with a population in
11 excess of 3,000,000 before January 1, 1986, and the
12 municipality entered into a contract or issued bonds after
13 January 1, 1986, but before December 31, 1986, to finance
14 redevelopment project costs within a State Sales Tax
15 Boundary, then the Net State Sales Tax Increment means, for
16 the fiscal years beginning July 1, 1990, and July 1, 1991,
17 100% of the State Sales Tax Increment annually generated
18 within a State Sales Tax Boundary; and notwithstanding any
19 other provision of this Act, for those fiscal years the
20 Department of Revenue shall distribute to those
21 municipalities 100% of their Net State Sales Tax Increment
22 before any distribution to any other municipality and
23 regardless of whether or not those other municipalities will
24 receive 100% of their Net State Sales Tax Increment. For
25 Fiscal Year 1999, and every year thereafter until the year
26 2007, for any municipality that has not entered into a
27 contract or has not issued bonds prior to June 1, 1988 to
28 finance redevelopment project costs within a State Sales Tax
29 Boundary, the Net State Sales Tax Increment shall be
30 calculated as follows: By multiplying the Net State Sales Tax
31 Increment by 90% in the State Fiscal Year 1999; 80% in the
32 State Fiscal Year 2000; 70% in the State Fiscal Year 2001;
33 60% in the State Fiscal Year 2002; 50% in the State Fiscal
34 Year 2003; 40% in the State Fiscal Year 2004; 30% in the
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1 State Fiscal Year 2005; 20% in the State Fiscal Year 2006;
2 and 10% in the State Fiscal Year 2007. No payment shall be
3 made for State Fiscal Year 2008 and thereafter.
4 Municipalities that issued bonds in connection with a
5 redevelopment project in a redevelopment project area within
6 the State Sales Tax Boundary prior to July 29, 1991, or that
7 entered into contracts in connection with a redevelopment
8 project in a redevelopment project area before June 1, 1988,
9 shall continue to receive their proportional share of the
10 Illinois Tax Increment Fund distribution until the date on
11 which the redevelopment project is completed or terminated,
12 or the date on which the bonds are retired or the contracts
13 are completed, whichever date occurs first. Refunding of any
14 bonds issued prior to July 29, 1991, shall not alter the Net
15 State Sales Tax Increment.
16 (j) "State Utility Tax Increment Amount" means an amount
17 equal to the aggregate increase in State electric and gas tax
18 charges imposed on owners and tenants, other than residential
19 customers, of properties located within the redevelopment
20 project area under Section 9-222 of the Public Utilities Act,
21 over and above the aggregate of such charges as certified by
22 the Department of Revenue and paid by owners and tenants,
23 other than residential customers, of properties within the
24 redevelopment project area during the base year, which shall
25 be the calendar year immediately prior to the year of the
26 adoption of the ordinance authorizing tax increment
27 allocation financing.
28 (k) "Net State Utility Tax Increment" means the sum of
29 the following: (a) 80% of the first $100,000 of State Utility
30 Tax Increment annually generated by a redevelopment project
31 area; (b) 60% of the amount in excess of $100,000 but not
32 exceeding $500,000 of the State Utility Tax Increment
33 annually generated by a redevelopment project area; and (c)
34 40% of all amounts in excess of $500,000 of State Utility Tax
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1 Increment annually generated by a redevelopment project area.
2 For the State Fiscal Year 1999, and every year thereafter
3 until the year 2007, for any municipality that has not
4 entered into a contract or has not issued bonds prior to June
5 1, 1988 to finance redevelopment project costs within a
6 redevelopment project area, the Net State Utility Tax
7 Increment shall be calculated as follows: By multiplying the
8 Net State Utility Tax Increment by 90% in the State Fiscal
9 Year 1999; 80% in the State Fiscal Year 2000; 70% in the
10 State Fiscal Year 2001; 60% in the State Fiscal Year 2002;
11 50% in the State Fiscal Year 2003; 40% in the State Fiscal
12 Year 2004; 30% in the State Fiscal Year 2005; 20% in the
13 State Fiscal Year 2006; and 10% in the State Fiscal Year
14 2007. No payment shall be made for the State Fiscal Year 2008
15 and thereafter.
16 Municipalities that issue bonds in connection with the
17 redevelopment project during the period from June 1, 1988
18 until 3 years after the effective date of this Amendatory Act
19 of 1988 shall receive the Net State Utility Tax Increment,
20 subject to appropriation, for 15 State Fiscal Years after the
21 issuance of such bonds. For the 16th through the 20th State
22 Fiscal Years after issuance of the bonds, the Net State
23 Utility Tax Increment shall be calculated as follows: By
24 multiplying the Net State Utility Tax Increment by 90% in
25 year 16; 80% in year 17; 70% in year 18; 60% in year 19; and
26 50% in year 20. Refunding of any bonds issued prior to June
27 1, 1988, shall not alter the revised Net State Utility Tax
28 Increment payments set forth above.
29 (l) "Obligations" mean bonds, loans, debentures, notes,
30 special certificates or other evidence of indebtedness issued
31 by the municipality to carry out a redevelopment project or
32 to refund outstanding obligations.
33 (m) "Payment in lieu of taxes" means those estimated tax
34 revenues from real property in a redevelopment project area
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1 derived from real property that has been acquired by a
2 municipality which according to the redevelopment project or
3 plan is to be used for a private use which taxing districts
4 would have received had a municipality not acquired the real
5 property and adopted tax increment allocation financing and
6 which would result from levies made after the time of the
7 adoption of tax increment allocation financing to the time
8 the current equalized value of real property in the
9 redevelopment project area exceeds the total initial
10 equalized value of real property in said area.
11 (n) "Redevelopment plan" means the comprehensive program
12 of the municipality for development or redevelopment intended
13 by the payment of redevelopment project costs to reduce or
14 eliminate those conditions the existence of which qualified
15 the redevelopment project area as a "blighted area" or
16 "conservation area" or combination thereof or "industrial
17 park conservation area," and thereby to enhance the tax bases
18 of the taxing districts which extend into the redevelopment
19 project area. On and after the effective date of this
20 amendatory Act of the 91st General Assembly, no redevelopment
21 plan may be approved or amended that includes the development
22 of vacant land (i) with a golf course and related clubhouse
23 and other facilities or (ii) designated by federal, State,
24 county, or municipal government as public land for outdoor
25 recreational activities or for nature preserves and used for
26 that purpose within 5 years prior to the adoption of the
27 redevelopment plan. For the purpose of this subsection,
28 "recreational activities" is limited to mean camping and
29 hunting. Each redevelopment plan shall set forth in writing
30 the program to be undertaken to accomplish the objectives
31 and shall include but not be limited to:
32 (A) an itemized list of estimated redevelopment
33 project costs;
34 (B) evidence indicating that the redevelopment
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1 project area on the whole has not been subject to growth
2 and development through investment by private enterprise;
3 (C) an assessment of any financial impact of the
4 redevelopment project area on or any increased demand for
5 services from any taxing district affected by the plan
6 and any program to address such financial impact or
7 increased demand;
8 (D) the sources of funds to pay costs;
9 (E) the nature and term of the obligations to be
10 issued;
11 (F) the most recent equalized assessed valuation of
12 the redevelopment project area;
13 (G) an estimate as to the equalized assessed
14 valuation after redevelopment and the general land uses
15 to apply in the redevelopment project area;
16 (H) a commitment to fair employment practices and
17 an affirmative action plan;
18 (I) if it concerns an industrial park conservation
19 area, the plan shall also include a general description
20 of any proposed developer, user and tenant of any
21 property, a description of the type, structure and
22 general character of the facilities to be developed, a
23 description of the type, class and number of new
24 employees to be employed in the operation of the
25 facilities to be developed; and
26 (J) if property is to be annexed to the
27 municipality, the plan shall include the terms of the
28 annexation agreement.
29 The provisions of items (B) and (C) of this subsection
30 (n) shall not apply to a municipality that before March 14,
31 1994 (the effective date of Public Act 88-537) had fixed,
32 either by its corporate authorities or by a commission
33 designated under subsection (k) of Section 11-74.4-4, a time
34 and place for a public hearing as required by subsection (a)
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1 of Section 11-74.4-5. No redevelopment plan shall be adopted
2 unless a municipality complies with all of the following
3 requirements:
4 (1) The municipality finds that the redevelopment
5 project area on the whole has not been subject to growth
6 and development through investment by private enterprise
7 and would not reasonably be anticipated to be developed
8 without the adoption of the redevelopment plan.
9 (2) The municipality finds that the redevelopment
10 plan and project conform to the comprehensive plan for
11 the development of the municipality as a whole, or, for
12 municipalities with a population of 100,000 or more,
13 regardless of when the redevelopment plan and project was
14 adopted, the redevelopment plan and project either: (i)
15 conforms to the strategic economic development or
16 redevelopment plan issued by the designated planning
17 authority of the municipality, or (ii) includes land uses
18 that have been approved by the planning commission of the
19 municipality.
20 (3) The redevelopment plan establishes the
21 estimated dates of completion of the redevelopment
22 project and retirement of obligations issued to finance
23 redevelopment project costs. Those dates shall not be
24 later than December 31 of the year in which the payment
25 to the municipal treasurer as provided in subsection (b)
26 of Section 11-74.4-8 of this Act is to be made with
27 respect to ad valorem taxes levied in the twenty-third
28 calendar year after the year in which the ordinance
29 approving the redevelopment project area is adopted more
30 than 23 years from the adoption of the ordinance
31 approving the redevelopment project area if the ordinance
32 was adopted on or after January 15, 1981, and not later
33 than December 31 of the year in which the payment to the
34 municipal treasurer as provided in subsection (b) of
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1 Section 11-74.4-8 of this Act is to be made with respect
2 to ad valorem taxes levied in the thirty-fifth calendar
3 year after the year in which the ordinance approving the
4 redevelopment project area is adopted not more than 35
5 years if the ordinance was adopted before January 15,
6 1981, or if the ordinance was adopted in April 1984 or
7 July 1985, or if the ordinance was adopted in December
8 1987 and the redevelopment project is located within one
9 mile of Midway Airport, or if the municipality is subject
10 to the Local Government Financial Planning and
11 Supervision Act, or if the ordinance was adopted on
12 December 31, 1986 by a municipality located in Clinton
13 County for which at least $250,000 of tax increment bonds
14 were authorized on June 17, 1997. However, for
15 redevelopment project areas for which bonds were issued
16 before July 29, 1991, or for which contracts were entered
17 into before June 1, 1988, in connection with a
18 redevelopment project in the area within the State Sales
19 Tax Boundary, the estimated dates of completion of the
20 redevelopment project and retirement of obligations to
21 finance redevelopment project costs may be extended by
22 municipal ordinance to December 31, 2013. The extension
23 allowed by this amendatory Act of 1993 shall not apply to
24 real property tax increment allocation financing under
25 Section 11-74.4-8. A municipality may by municipal
26 ordinance amend an existing redevelopment plan to conform
27 to this paragraph (3) as amended by this amendatory Act
28 of the 91st General Assembly, which municipal ordinance
29 may be adopted without further hearing or notice and
30 without complying with the procedures provided in this
31 Act pertaining to an amendment to or the initial approval
32 of a redevelopment plan and project and designation of a
33 redevelopment project area.
34 Those dates, for purposes of real property tax
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1 increment allocation financing pursuant to Section
2 11-74.4-8 only, shall be not more than 35 years for
3 redevelopment project areas that were adopted on or after
4 December 16, 1986 and for which at least $8 million worth
5 of municipal bonds were authorized on or after December
6 19, 1989 but before January 1, 1990; provided that the
7 municipality elects to extend the life of the
8 redevelopment project area to 35 years by the adoption of
9 an ordinance after at least 14 but not more than 30 days'
10 written notice to the taxing bodies, that would otherwise
11 constitute the joint review board for the redevelopment
12 project area, before the adoption of the ordinance.
13 Those dates, for purposes of real property tax
14 increment allocation financing pursuant to Section
15 11-74.4-8 only, shall be not more than 35 years for
16 redevelopment project areas that were established on or
17 after December 1, 1981 but before January 1, 1982 and for
18 which at least $1,500,000 worth of tax increment revenue
19 bonds were authorized on or after September 30, 1990 but
20 before July 1, 1991; provided that the municipality
21 elects to extend the life of the redevelopment project
22 area to 35 years by the adoption of an ordinance after at
23 least 14 but not more than 30 days' written notice to the
24 taxing bodies, that would otherwise constitute the joint
25 review board for the redevelopment project area, before
26 the adoption of the ordinance.
27 (3.5) (4) The municipality finds, in the case of an
28 industrial park conservation area, also that the
29 municipality is a labor surplus municipality and that the
30 implementation of the redevelopment plan will reduce
31 unemployment, create new jobs and by the provision of new
32 facilities enhance the tax base of the taxing districts
33 that extend into the redevelopment project area.
34 (4) (5) If any incremental revenues are being
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1 utilized under Section 8(a)(1) or 8(a)(2) of this Act in
2 redevelopment project areas approved by ordinance after
3 January 1, 1986, the municipality finds: (a) that the
4 redevelopment project area would not reasonably be
5 developed without the use of such incremental revenues,
6 and (b) that such incremental revenues will be
7 exclusively utilized for the development of the
8 redevelopment project area.
9 (5) On and after the effective date of this
10 amendatory Act of the 91st General Assembly, if the
11 redevelopment plan will not result in displacement of
12 residents from inhabited units, and the municipality
13 certifies in the plan that displacement will not result
14 from the plan, a housing impact study need not be
15 performed. If, however, the redevelopment plan would
16 result in the displacement of residents from 10 or more
17 inhabited residential units, or if the redevelopment
18 project area contains 75 or more inhabited residential
19 units and no certification is made, then the municipality
20 shall prepare, as part of the separate feasibility report
21 required by subsection (a) of Section 11-74.4-5, a
22 housing impact study.
23 Part I of the housing impact study shall include (i)
24 data as to whether the residential units are single
25 family or multi-family units, (ii) the number and type of
26 rooms within the units, if that information is available,
27 (iii) whether the units are inhabited or uninhabited, as
28 determined not less than 45 days before the date that the
29 ordinance or resolution required by subsection (a) of
30 Section 11-74.4-5 is passed, and (iv) data as to the
31 racial and ethnic composition of the residents in the
32 inhabited residential units. The data requirement as to
33 the racial and ethnic composition of the residents in the
34 inhabited residential units shall be deemed to be fully
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1 satisfied by data from the most recent federal census.
2 Part II of the housing impact study shall identify
3 the inhabited residential units in the proposed
4 redevelopment project area that are to be or may be
5 removed. If inhabited residential units are to be
6 removed, then the housing impact study shall identify (i)
7 the number and location of those units that will or may
8 be removed, (ii) the municipality's plans for relocation
9 assistance for those residents in the proposed
10 redevelopment project area whose residences are to be
11 removed, (iii) the availability of replacement housing
12 for those residents whose residences are to be removed,
13 and shall identify the type, location, and cost of the
14 housing, and (iv) the type and extent of relocation
15 assistance to be provided.
16 (6) On and after the effective date of this
17 amendatory Act of the 91st General Assembly, the housing
18 impact study required by paragraph (5) shall be
19 incorporated in the redevelopment plan for the
20 redevelopment project area.
21 (7) On and after the effective date of this
22 amendatory Act of the 91st General Assembly, no
23 redevelopment plan shall be adopted, nor an existing plan
24 amended, nor shall residential housing that is occupied
25 by households of low-income and very low-income persons
26 in currently existing redevelopment project areas be
27 removed after the effective date of this amendatory Act
28 of the 91st General Assembly unless the redevelopment
29 plan provides, with respect to inhabited housing units
30 that are to be removed for households of low-income and
31 very low-income persons, affordable housing and
32 relocation assistance not less than that which would be
33 provided under the federal Uniform Relocation Assistance
34 and Real Property Acquisition Policies Act of 1970 and
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1 the regulations under that Act, including the eligibility
2 criteria. Affordable housing may be either existing or
3 newly constructed housing. For purposes of this paragraph
4 (7), "low-income households", "very low-income
5 households", and "affordable housing" have the meanings
6 set forth in the Illinois Affordable Housing Act. The
7 municipality shall make a good faith effort to ensure
8 that this affordable housing is located in or near the
9 redevelopment project area within the municipality.
10 (8) On and after the effective date of this
11 amendatory Act of the 91st General Assembly, if, after
12 the adoption of the redevelopment plan for the
13 redevelopment project area, any municipality desires to
14 amend its redevelopment plan to remove more inhabited
15 residential units than specified in its original
16 redevelopment plan, that increase in the number of units
17 to be removed shall be deemed to be a change in the
18 nature of the redevelopment plan as to require compliance
19 with the procedures in this Act pertaining to the initial
20 approval of a redevelopment plan.
21 (o) "Redevelopment project" means any public and private
22 development project in furtherance of the objectives of a
23 redevelopment plan. On and after the effective date of this
24 amendatory Act of the 91st General Assembly, no redevelopment
25 plan may be approved or amended that includes the development
26 of vacant land (i) with a golf course and related clubhouse
27 and other facilities or (ii) designated by federal, State,
28 county, or municipal government as public land for outdoor
29 recreational activities or for nature preserves and used for
30 that purpose within 5 years prior to the adoption of the
31 redevelopment plan. For the purpose of this subsection,
32 "recreational activities" is limited to mean camping and
33 hunting.
34 (p) "Redevelopment project area" means an area
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1 designated by the municipality, which is not less in the
2 aggregate than 1 1/2 acres and in respect to which the
3 municipality has made a finding that there exist conditions
4 which cause the area to be classified as an industrial park
5 conservation area or a blighted area or a conservation area,
6 or a combination of both blighted areas and conservation
7 areas.
8 (q) "Redevelopment project costs" mean and include the
9 sum total of all reasonable or necessary costs incurred or
10 estimated to be incurred, and any such costs incidental to a
11 redevelopment plan and a redevelopment project. Such costs
12 include, without limitation, the following:
13 (1) Costs of studies, surveys, development of
14 plans, and specifications, implementation and
15 administration of the redevelopment plan including but
16 not limited to staff and professional service costs for
17 architectural, engineering, legal, marketing, financial,
18 planning or other services, provided however that no
19 charges for professional services may be based on a
20 percentage of the tax increment collected; except that on
21 and after the effective date of this amendatory Act of
22 the 91st General Assembly, no contracts for professional
23 services, excluding architectural and engineering
24 services, may be entered into if the terms of the
25 contract extend beyond a period of 3 years. In addition,
26 "redevelopment project costs" shall not include lobbying
27 expenses. After consultation with the municipality, each
28 tax increment consultant or advisor to a municipality
29 that plans to designate or has designated a redevelopment
30 project area shall inform the municipality in writing of
31 any contracts that the consultant or advisor has entered
32 into with entities or individuals that have received, or
33 are receiving, payments financed by tax increment
34 revenues produced by the redevelopment project area with
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1 respect to which the consultant or advisor has performed,
2 or will be performing, service for the municipality.
3 This requirement shall be satisfied by the consultant or
4 advisor before the commencement of services for the
5 municipality and thereafter whenever any other contracts
6 with those individuals or entities are executed by the
7 consultant or advisor;
8 (1.5) After July 1, 1999, annual administrative
9 costs shall not include general overhead or
10 administrative costs of the municipality that would still
11 have been incurred by the municipality if the
12 municipality had not designated a redevelopment project
13 area or approved a redevelopment plan;
14 (1.6) The cost of marketing sites within the
15 redevelopment project area to prospective businesses,
16 developers, and investors;
17 (2) Property assembly costs, including but not
18 limited to acquisition of land and other property, real
19 or personal, or rights or interests therein, demolition
20 of buildings, site preparation, and the clearing and
21 grading of land;
22 (3) Costs of rehabilitation, reconstruction or
23 repair or remodeling of existing public or private
24 buildings and fixtures; and the cost of replacing an
25 existing public building if pursuant to the
26 implementation of a redevelopment project the existing
27 public building is to be demolished to use the site for
28 private investment or devoted to a different use
29 requiring private investment;
30 (4) Costs of the construction of public works or
31 improvements, except that on and after the effective date
32 of this amendatory Act of the 91st General Assembly,
33 redevelopment project costs shall not include the cost of
34 constructing a new municipal public building principally
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1 used to provide offices, storage space, or conference
2 facilities or vehicle storage, maintenance, or repair for
3 administrative, public safety, or public works personnel
4 and that is not intended to replace an existing public
5 building as provided under paragraph (3) of subsection
6 (q) of Section 11-74.4-3 unless either (i) the
7 construction of the new municipal building implements a
8 redevelopment project that was included in a
9 redevelopment plan that was adopted by the municipality
10 prior to the effective date of this amendatory Act of the
11 91st General Assembly or (ii) the municipality makes a
12 reasonable determination in the redevelopment plan,
13 supported by information that provides the basis for that
14 determination, that the new municipal building is
15 required to meet an increase in the need for public
16 safety purposes anticipated to result from the
17 implementation of the redevelopment plan;
18 (5) Costs of job training and retraining projects;
19 (6) Financing costs, including but not limited to
20 all necessary and incidental expenses related to the
21 issuance of obligations and which may include payment of
22 interest on any obligations issued hereunder including
23 interest accruing during the estimated period of
24 construction of any redevelopment project for which such
25 obligations are issued and for not exceeding 36 months
26 thereafter and including reasonable reserves related
27 thereto;
28 (7) To the extent the municipality by written
29 agreement accepts and approves the same, all or a portion
30 of a taxing district's capital costs resulting from the
31 redevelopment project necessarily incurred or to be
32 incurred within a taxing district in furtherance of the
33 objectives of the redevelopment plan and project.
34 (7.5) For redevelopment project areas designated
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1 (or redevelopment project areas amended to add or
2 increase the number of tax-increment-financing assisted
3 housing units) on or after the effective date of this
4 amendatory Act of the 91st General Assembly, an
5 elementary, secondary, or unit school district's
6 increased costs attributable to assisted housing units
7 located within the redevelopment project area for which
8 the developer or redeveloper receives financial
9 assistance through an agreement with the municipality or
10 because the municipality incurs the cost of necessary
11 infrastructure improvements within the boundaries of the
12 assisted housing sites necessary for the completion of
13 that housing as authorized by this Act, and which costs
14 shall be paid by the municipality from the Special Tax
15 Allocation Fund when the tax increment revenue is
16 received as a result of the assisted housing units and
17 shall be calculated annually as follows:
18 (A) for foundation districts, excluding any
19 school district in a municipality with a population
20 in excess of 1,000,000, by multiplying the
21 district's increase in attendance resulting from the
22 net increase in new students enrolled in that school
23 district who reside in housing units within the
24 redevelopment project area that have received
25 financial assistance through an agreement with the
26 municipality or because the municipality incurs the
27 cost of necessary infrastructure improvements within
28 the boundaries of the housing sites necessary for
29 the completion of that housing as authorized by this
30 Act since the designation of the redevelopment
31 project area by the most recently available per
32 capita tuition cost as defined in Section 10-20.12a
33 of the School Code less any increase in general
34 State aid as defined in Section 18-8.05 of the
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1 School Code attributable to these added new students
2 subject to the following annual limitations:
3 (i) for unit school districts with a
4 district average 1995-96 Per Capita Tuition
5 Charge of less than $5,900, no more than 25% of
6 the total amount of property tax increment
7 revenue produced by those housing units that
8 have received tax increment finance assistance
9 under this Act;
10 (ii) for elementary school districts with
11 a district average 1995-96 Per Capita Tuition
12 Charge of less than $5,900, no more than 17% of
13 the total amount of property tax increment
14 revenue produced by those housing units that
15 have received tax increment finance assistance
16 under this Act; and
17 (iii) for secondary school districts with
18 a district average 1995-96 Per Capita Tuition
19 Charge of less than $5,900, no more than 8% of
20 the total amount of property tax increment
21 revenue produced by those housing units that
22 have received tax increment finance assistance
23 under this Act.
24 (B) For alternate method districts, flat grant
25 districts, and foundation districts with a district
26 average 1995-96 Per Capita Tuition Charge equal to
27 or more than $5,900, excluding any school district
28 with a population in excess of 1,000,000, by
29 multiplying the district's increase in attendance
30 resulting from the net increase in new students
31 enrolled in that school district who reside in
32 housing units within the redevelopment project area
33 that have received financial assistance through an
34 agreement with the municipality or because the
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1 municipality incurs the cost of necessary
2 infrastructure improvements within the boundaries of
3 the housing sites necessary for the completion of
4 that housing as authorized by this Act since the
5 designation of the redevelopment project area by the
6 most recently available per capita tuition cost as
7 defined in Section 10-20.12a of the School Code less
8 any increase in general state aid as defined in
9 Section 18-8.05 of the School Code attributable to
10 these added new students subject to the following
11 annual limitations:
12 (i) for unit school districts, no more
13 than 40% of the total amount of property tax
14 increment revenue produced by those housing
15 units that have received tax increment finance
16 assistance under this Act;
17 (ii) for elementary school districts, no
18 more than 27% of the total amount of property
19 tax increment revenue produced by those housing
20 units that have received tax increment finance
21 assistance under this Act; and
22 (iii) for secondary school districts, no
23 more than 13% of the total amount of property
24 tax increment revenue produced by those housing
25 units that have received tax increment finance
26 assistance under this Act.
27 (C) For any school district in a municipality
28 with a population in excess of 1,000,000, the
29 following additional restrictions shall apply to the
30 reimbursement of increased costs under this
31 paragraph (7.5):
32 (i) no increased costs shall be
33 reimbursed unless the school district certifies
34 that each of the schools affected by the
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1 assisted housing project is at or over its
2 student capacity;
3 (ii) the amount reimburseable shall be
4 reduced by the value of any land donated to the
5 school district by the municipality or
6 developer, and by the value of any physical
7 improvements made to the affected schools by
8 the municipality or developer; and
9 (iii) the amount reimbursed may not
10 affect amounts otherwise obligated by the terms
11 of any bonds, notes, or other funding
12 instruments, or the terms of any redevelopment
13 agreement.
14 Any school district seeking payment under this
15 paragraph (7.5) shall, after July 1 and before
16 September 30 of each year, provide the municipality
17 with reasonable evidence to support its claim for
18 reimbursement before the municipality shall be
19 required to approve or make the payment to the
20 school district. If the school district fails to
21 provide the information during this period in any
22 year, it shall forfeit any claim to reimbursement
23 for that year. School districts may adopt a
24 resolution waiving the right to all or a portion of
25 the reimbursement otherwise required by this
26 paragraph (7.5). By acceptance of this
27 reimbursement the school district waives the right
28 to directly or indirectly set aside, modify, or
29 contest in any manner the establishment of the
30 redevelopment project area or projects All or a
31 portion of a taxing district's capital costs
32 resulting from the redevelopment project necessarily
33 incurred or to be incurred in furtherance of the
34 objectives of the redevelopment plan and project, to
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1 the extent the municipality by written agreement
2 accepts and approves such costs;
3 (8) Relocation costs to the extent that a
4 municipality determines that relocation costs shall be
5 paid or is required to make payment of relocation costs
6 by federal or State law or in order to satisfy
7 subparagraph (7) of subsection (n);
8 (9) Payment in lieu of taxes;
9 (10) Costs of job training, retraining, advanced
10 vocational education or career education, including but
11 not limited to courses in occupational, semi-technical or
12 technical fields leading directly to employment, incurred
13 by one or more taxing districts, provided that such costs
14 (i) are related to the establishment and maintenance of
15 additional job training, advanced vocational education or
16 career education programs for persons employed or to be
17 employed by employers located in a redevelopment project
18 area; and (ii) when incurred by a taxing district or
19 taxing districts other than the municipality, are set
20 forth in a written agreement by or among the municipality
21 and the taxing district or taxing districts, which
22 agreement describes the program to be undertaken,
23 including but not limited to the number of employees to
24 be trained, a description of the training and services to
25 be provided, the number and type of positions available
26 or to be available, itemized costs of the program and
27 sources of funds to pay for the same, and the term of the
28 agreement. Such costs include, specifically, the payment
29 by community college districts of costs pursuant to
30 Sections 3-37, 3-38, 3-40 and 3-40.1 of the Public
31 Community College Act and by school districts of costs
32 pursuant to Sections 10-22.20a and 10-23.3a of The School
33 Code;
34 (11) Interest cost incurred by a redeveloper
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1 related to the construction, renovation or rehabilitation
2 of a redevelopment project provided that:
3 (A) such costs are to be paid directly from
4 the special tax allocation fund established pursuant
5 to this Act; and
6 (B) such payments in any one year may not
7 exceed 30% of the annual interest costs incurred by
8 the redeveloper with regard to the redevelopment
9 project during that year;
10 (C) if there are not sufficient funds
11 available in the special tax allocation fund to make
12 the payment pursuant to this paragraph (11) then the
13 amounts so due shall accrue and be payable when
14 sufficient funds are available in the special tax
15 allocation fund; and
16 (D) the total of such interest payments paid
17 pursuant to this Act may not exceed 30% of the total
18 (i) cost paid or incurred by the redeveloper for the
19 redevelopment project plus (ii) redevelopment
20 project costs excluding any property assembly costs
21 and any relocation costs incurred by a municipality
22 pursuant to this Act; and.
23 (E) the limits set forth in subparagraphs (B)
24 and (D) of paragraph (11) shall be modified for the
25 financing of rehabilitated or new housing units for
26 low-income households and very low-income
27 households, as defined in Section 3 of the Illinois
28 Affordable Housing Act. The percentage of 75% shall
29 be substituted for 30% in subparagraphs (B) and (D)
30 of paragraph (11).
31 Instead of the benefits provided by
32 subparagraphs (B) and (D) of paragraph (11), as
33 modified by this subparagraph, and notwithstanding
34 any other provisions of this Act to the contrary,
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1 the municipality may pay from tax increment revenues
2 up to 50% of the cost of construction of new housing
3 units to be occupied by low-income households and
4 very low-income households as defined in Section 3
5 of the Illinois Affordable Housing Act. The cost of
6 construction of those units may be derived from the
7 proceeds of bonds issued by the municipality under
8 this Act or other constitutional or statutory
9 authority or from other sources of municipal revenue
10 that may be reimbursed from tax increment revenues
11 or the proceeds of bonds issued to finance the
12 construction of that housing.
13 The benefits provided under this subparagraph
14 (E) of paragraph (11) shall be an eligible benefit
15 for the construction, renovation, and rehabilitation
16 of all low and very low-income housing units, as
17 defined in Section 3 of the Illinois Affordable
18 Housing Act, within the redevelopment project area.
19 If the low and very low-income units are part of a
20 residential redevelopment project that includes
21 units not affordable to low and very low-income
22 households, only the low and very low-income units
23 shall be eligible for benefits under subparagraph
24 (E) of paragraph (11). The standards for
25 maintaining the occupancy by low-income households
26 and very low-income households, as defined in
27 Section 3 of the Illinois Affordable Housing Act, of
28 those units constructed with benefits made available
29 under the provisions of this subparagraph (E) of
30 paragraph (11) shall be established by guidelines
31 adopted by the municipality. The responsibility for
32 annually documenting the initial occupancy of the
33 units by low-income households and very low-income
34 households, as defined in Section 3 of the Illinois
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1 Affordable Housing Act, shall be that of the then
2 current owner of the property. For ownership units,
3 the guidelines will provide, at a minimum, for a
4 reasonable recapture of funds, or other appropriate
5 methods designed to preserve the original
6 affordability of the ownership units. For rental
7 units, the guidelines will provide, at a minimum,
8 for the affordability of rent to low and very
9 low-income households. As units become available,
10 they shall be rented to income-eligible tenants.
11 The municipality may modify these guidelines from
12 time to time; the guidelines, however, shall be in
13 effect for as long as tax increment revenue is being
14 used to pay for costs associated with the units or
15 for the retirement of bonds issued to finance the
16 units or for the life of the redevelopment project
17 area, whichever is later.
18 (12) Unless explicitly stated herein the cost of
19 construction of new privately-owned buildings shall not
20 be an eligible redevelopment project cost.
21 (13) After the effective date of this amendatory
22 Act of the 91st General Assembly, none of the
23 redevelopment project costs enumerated in this subsection
24 shall be eligible redevelopment project costs if those
25 costs would provide direct financial support to a retail
26 entity initiating operations in the redevelopment project
27 area while terminating operations at another Illinois
28 location within 10 miles of the redevelopment project
29 area but outside the boundaries of the redevelopment
30 project area municipality. For purposes of this
31 paragraph, termination means a closing of a retail
32 operation that is directly related to the opening of the
33 same operation or like retail entity owned or operated by
34 more than 50% of the original ownership in a
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1 redevelopment project area, but it does not mean closing
2 an operation for reasons beyond the control of the retail
3 entity, as documented by the retail entity, subject to a
4 reasonable finding by the municipality that the current
5 location contained inadequate space, had become
6 economically obsolete, or was no longer a viable location
7 for the retailer or serviceman.
8 If a special service area has been established pursuant
9 to the Special Service Area Tax Act or Special Service Area
10 Tax Law, then any tax increment revenues derived from the tax
11 imposed pursuant to the Special Service Area Tax Act or
12 Special Service Area Tax Law may be used within the
13 redevelopment project area for the purposes permitted by that
14 Act or Law as well as the purposes permitted by this Act.
15 (r) "State Sales Tax Boundary" means the redevelopment
16 project area or the amended redevelopment project area
17 boundaries which are determined pursuant to subsection (9) of
18 Section 11-74.4-8a of this Act. The Department of Revenue
19 shall certify pursuant to subsection (9) of Section
20 11-74.4-8a the appropriate boundaries eligible for the
21 determination of State Sales Tax Increment.
22 (s) "State Sales Tax Increment" means an amount equal to
23 the increase in the aggregate amount of taxes paid by
24 retailers and servicemen, other than retailers and servicemen
25 subject to the Public Utilities Act, on transactions at
26 places of business located within a State Sales Tax Boundary
27 pursuant to the Retailers' Occupation Tax Act, the Use Tax
28 Act, the Service Use Tax Act, and the Service Occupation Tax
29 Act, except such portion of such increase that is paid into
30 the State and Local Sales Tax Reform Fund, the Local
31 Government Distributive Fund, the Local Government Tax
32 Fund and the County and Mass Transit District Fund, for as
33 long as State participation exists, over and above the
34 Initial Sales Tax Amounts, Adjusted Initial Sales Tax Amounts
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1 or the Revised Initial Sales Tax Amounts for such taxes as
2 certified by the Department of Revenue and paid under those
3 Acts by retailers and servicemen on transactions at places of
4 business located within the State Sales Tax Boundary during
5 the base year which shall be the calendar year immediately
6 prior to the year in which the municipality adopted tax
7 increment allocation financing, less 3.0% of such amounts
8 generated under the Retailers' Occupation Tax Act, Use Tax
9 Act and Service Use Tax Act and the Service Occupation Tax
10 Act, which sum shall be appropriated to the Department of
11 Revenue to cover its costs of administering and enforcing
12 this Section. For purposes of computing the aggregate amount
13 of such taxes for base years occurring prior to 1985, the
14 Department of Revenue shall compute the Initial Sales Tax
15 Amount for such taxes and deduct therefrom an amount equal to
16 4% of the aggregate amount of taxes per year for each year
17 the base year is prior to 1985, but not to exceed a total
18 deduction of 12%. The amount so determined shall be known as
19 the "Adjusted Initial Sales Tax Amount". For purposes of
20 determining the State Sales Tax Increment the Department of
21 Revenue shall for each period subtract from the tax amounts
22 received from retailers and servicemen on transactions
23 located in the State Sales Tax Boundary, the certified
24 Initial Sales Tax Amounts, Adjusted Initial Sales Tax Amounts
25 or Revised Initial Sales Tax Amounts for the Retailers'
26 Occupation Tax Act, the Use Tax Act, the Service Use Tax Act
27 and the Service Occupation Tax Act. For the State Fiscal
28 Year 1989 this calculation shall be made by utilizing the
29 calendar year 1987 to determine the tax amounts received. For
30 the State Fiscal Year 1990, this calculation shall be made by
31 utilizing the period from January 1, 1988, until September
32 30, 1988, to determine the tax amounts received from
33 retailers and servicemen, which shall have deducted therefrom
34 nine-twelfths of the certified Initial Sales Tax Amounts,
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1 Adjusted Initial Sales Tax Amounts or the Revised Initial
2 Sales Tax Amounts as appropriate. For the State Fiscal Year
3 1991, this calculation shall be made by utilizing the period
4 from October 1, 1988, until June 30, 1989, to determine the
5 tax amounts received from retailers and servicemen, which
6 shall have deducted therefrom nine-twelfths of the certified
7 Initial State Sales Tax Amounts, Adjusted Initial Sales Tax
8 Amounts or the Revised Initial Sales Tax Amounts as
9 appropriate. For every State Fiscal Year thereafter, the
10 applicable period shall be the 12 months beginning July 1 and
11 ending on June 30, to determine the tax amounts received
12 which shall have deducted therefrom the certified Initial
13 Sales Tax Amounts, Adjusted Initial Sales Tax Amounts or the
14 Revised Initial Sales Tax Amounts. Municipalities intending
15 to receive a distribution of State Sales Tax Increment must
16 report a list of retailers to the Department of Revenue by
17 October 31, 1988 and by July 31, of each year thereafter.
18 (t) "Taxing districts" means counties, townships, cities
19 and incorporated towns and villages, school, road, park,
20 sanitary, mosquito abatement, forest preserve, public health,
21 fire protection, river conservancy, tuberculosis sanitarium
22 and any other municipal corporations or districts with the
23 power to levy taxes.
24 (u) "Taxing districts' capital costs" means those costs
25 of taxing districts for capital improvements that are found
26 by the municipal corporate authorities to be necessary and
27 directly result from the redevelopment project.
28 (v) As used in subsection (a) of Section 11-74.4-3 of
29 this Act, "vacant land" means any parcel or combination of
30 parcels of real property without industrial, commercial, and
31 residential buildings which has not been used for commercial
32 agricultural purposes within 5 years prior to the designation
33 of the redevelopment project area, unless the parcel is
34 included in an industrial park conservation area or the
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1 parcel has been subdivided; provided that if the parcel was
2 part of a larger tract that has been divided into 3 or more
3 smaller tracts that were accepted for recording during the
4 period from 1950 to 1990, then the parcel shall be deemed to
5 have been subdivided, and all proceedings and actions of the
6 municipality taken in that connection with respect to any
7 previously approved or designated redevelopment project area
8 or amended redevelopment project area are hereby validated
9 and hereby declared to be legally sufficient for all purposes
10 of this Act. For purposes of this Section and only for land
11 subject to the subdivision requirements of the Plat Act, land
12 is subdivided when the original plat of the proposed
13 Redevelopment Project Area or relevant portion thereof has
14 been properly certified, acknowledged, approved, and recorded
15 or filed in accordance with the Plat Act and a preliminary
16 plat, if any, for any subsequent phases of the proposed
17 Redevelopment Project Area or relevant portion thereof has
18 been properly approved and filed in accordance with the
19 applicable ordinance of the municipality.
20 (w) "Annual Total Increment" means the sum of each
21 municipality's annual Net Sales Tax Increment and each
22 municipality's annual Net Utility Tax Increment. The ratio
23 of the Annual Total Increment of each municipality to the
24 Annual Total Increment for all municipalities, as most
25 recently calculated by the Department, shall determine the
26 proportional shares of the Illinois Tax Increment Fund to be
27 distributed to each municipality.
28 (Source: P.A. 89-235, eff. 8-4-95; 89-705, eff. 1-31-97;
29 90-379, eff. 8-14-97.)
30 (65 ILCS 5/11-74.4-4) (from Ch. 24, par. 11-74.4-4)
31 Sec. 11-74.4-4. Municipal powers and duties;
32 redevelopment project areas. A municipality may:
33 (a) By ordinance introduced in the governing body of the
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1 municipality within 14 to 90 days from the completion of the
2 hearing specified in Section 11-74.4-5 approve redevelopment
3 plans and redevelopment projects, and designate redevelopment
4 project areas pursuant to notice and hearing required by this
5 Act. No redevelopment project area shall be designated
6 unless a plan and project are approved prior to the
7 designation of such area and such area shall include only
8 those contiguous parcels of real property and improvements
9 thereon substantially benefited by the proposed redevelopment
10 project improvements. Upon adoption of the ordinances, the
11 municipality shall forthwith transmit to the county clerk of
12 the county or counties within which the redevelopment project
13 area is located a certified copy of the ordinances, a legal
14 description of the redevelopment project area, a map of the
15 redevelopment project area, identification of the year that
16 the county clerk shall use for determining the total initial
17 equalized assessed value of the redevelopment project area
18 consistent with subsection (a) of Section 11-74.4-9, and a
19 list of the parcel or tax identification number of each
20 parcel of property included in the redevelopment project
21 area.
22 (b) Make and enter into all contracts with property
23 owners, developers, tenants, overlapping taxing bodies, and
24 others necessary or incidental to the implementation and
25 furtherance of its redevelopment plan and project.
26 (c) Within a redevelopment project area, acquire by
27 purchase, donation, lease or eminent domain; own, convey,
28 lease, mortgage or dispose of land and other property, real
29 or personal, or rights or interests therein, and grant or
30 acquire licenses, easements and options with respect thereto,
31 all in the manner and at such price the municipality
32 determines is reasonably necessary to achieve the objectives
33 of the redevelopment plan and project. No conveyance, lease,
34 mortgage, disposition of land or other property owned by a
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1 municipality, or agreement relating to the development of
2 such municipal the property shall be made except upon the
3 adoption of an ordinance by the corporate authorities of the
4 municipality. Furthermore, no conveyance, lease, mortgage, or
5 other disposition of land owned by a municipality or
6 agreement relating to the development of such municipal
7 property shall be made without making public disclosure of
8 the terms of the disposition and all bids and proposals made
9 in response to the municipality's request. The procedures
10 for obtaining such bids and proposals shall provide
11 reasonable opportunity for any person to submit alternative
12 proposals or bids.
13 (d) Within a redevelopment project area, clear any area
14 by demolition or removal of any existing buildings and
15 structures.
16 (e) Within a redevelopment project area, renovate or
17 rehabilitate or construct any structure or building, as
18 permitted under this Act.
19 (f) Install, repair, construct, reconstruct or relocate
20 streets, utilities and site improvements essential to the
21 preparation of the redevelopment area for use in accordance
22 with a redevelopment plan.
23 (g) Within a redevelopment project area, fix, charge and
24 collect fees, rents and charges for the use of any building
25 or property owned or leased by it or any part thereof, or
26 facility therein.
27 (h) Accept grants, guarantees and donations of property,
28 labor, or other things of value from a public or private
29 source for use within a project redevelopment area.
30 (i) Acquire and construct public facilities within a
31 redevelopment project area, as permitted under this Act.
32 (j) Incur project redevelopment costs; provided,
33 however, that on and after the effective date of this
34 amendatory Act of the 91st General Assembly, no municipality
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1 shall incur redevelopment project costs (except for planning
2 costs and any other eligible costs authorized by municipal
3 ordinance or resolution that are subsequently included in the
4 redevelopment plan for the area and are incurred by the
5 municipality after the ordinance or resolution is adopted)
6 that are not consistent with the program for accomplishing
7 the objectives of the redevelopment plan as included in that
8 plan and approved by the municipality until the municipality
9 has amended the redevelopment plan as provided elsewhere in
10 this Act.
11 (k) Create a commission of not less than 5 or more than
12 15 persons to be appointed by the mayor or president of the
13 municipality with the consent of the majority of the
14 governing board of the municipality. Members of a commission
15 appointed after the effective date of this amendatory Act of
16 1987 shall be appointed for initial terms of 1, 2, 3, 4 and 5
17 years, respectively, in such numbers as to provide that the
18 terms of not more than 1/3 of all such members shall expire
19 in any one year. Their successors shall be appointed for a
20 term of 5 years. The commission, subject to approval of the
21 corporate authorities may exercise the powers enumerated in
22 this Section. The commission shall also have the power to
23 hold the public hearings required by this division and make
24 recommendations to the corporate authorities concerning the
25 adoption of redevelopment plans, redevelopment projects and
26 designation of redevelopment project areas.
27 (l) Make payment in lieu of taxes or a portion thereof
28 to taxing districts. If payments in lieu of taxes or a
29 portion thereof are made to taxing districts, those payments
30 shall be made to all districts within a project redevelopment
31 area on a basis which is proportional to the current
32 collections of revenue which each taxing district receives
33 from real property in the redevelopment project area.
34 (m) Exercise any and all other powers necessary to
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1 effectuate the purposes of this Act.
2 (n) If any member of the corporate authority, a member
3 of a commission established pursuant to Section 11-74.4-4(k)
4 of this Act, or an employee or consultant of the municipality
5 involved in the planning and preparation of a redevelopment
6 plan, or project for a redevelopment project area or proposed
7 redevelopment project area, as defined in Sections
8 11-74.4-3(i) through (k) of this Act, owns or controls an
9 interest, direct or indirect, in any property included in any
10 redevelopment area, or proposed redevelopment area, he or she
11 shall disclose the same in writing to the clerk of the
12 municipality, and shall also so disclose the dates and terms
13 and conditions of any disposition of any such interest, which
14 disclosures shall be acknowledged by the corporate
15 authorities and entered upon the minute books of the
16 corporate authorities. If an individual holds such an
17 interest then that individual shall refrain from any further
18 official involvement in regard to such redevelopment plan,
19 project or area, from voting on any matter pertaining to such
20 redevelopment plan, project or area, or communicating with
21 other members concerning corporate authorities, commission or
22 employees concerning any matter pertaining to said
23 redevelopment plan, project or area. Furthermore, no such
24 member or employee shall acquire of any interest direct, or
25 indirect, in any property in a redevelopment area or proposed
26 redevelopment area after either (a) such individual obtains
27 knowledge of such plan, project or area or (b) first public
28 notice of such plan, project or area pursuant to Section
29 11-74.4-6 of this Division, whichever occurs first. For the
30 purposes of this subsection, a month-to-month leasehold
31 interest shall not be deemed to constitute an interest in any
32 property included in any redevelopment area or proposed
33 redevelopment area.
34 (o) Create a Tax Increment Economic Development Advisory
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1 Committee to be appointed by the Mayor or President of the
2 municipality with the consent of the majority of the
3 governing board of the municipality, the members of which
4 Committee shall be appointed for initial terms of 1, 2, 3, 4
5 and 5 years respectively, in such numbers as to provide that
6 the terms of not more than 1/3 of all such members shall
7 expire in any one year. Their successors shall be appointed
8 for a term of 5 years. The Committee shall have none of the
9 powers enumerated in this Section. The Committee shall serve
10 in an advisory capacity only. The Committee may advise the
11 governing Board of the municipality and other municipal
12 officials regarding development issues and opportunities
13 within the redevelopment project area or the area within the
14 State Sales Tax Boundary. The Committee may also promote and
15 publicize development opportunities in the redevelopment
16 project area or the area within the State Sales Tax Boundary.
17 (p) Municipalities may jointly undertake and perform
18 redevelopment plans and projects and utilize the provisions
19 of the Act wherever they have contiguous redevelopment
20 project areas or they determine to adopt tax increment
21 financing with respect to a redevelopment project area which
22 includes contiguous real property within the boundaries of
23 the municipalities, and in doing so, they may, by agreement
24 between municipalities, issue obligations, separately or
25 jointly, and expend revenues received under the Act for
26 eligible expenses anywhere within contiguous redevelopment
27 project areas or as otherwise permitted in the Act.
28 (q) Utilize revenues, other than State sales tax
29 increment revenues, received under this Act from one
30 redevelopment project area for eligible costs in another
31 redevelopment project area that is either contiguous to, or
32 is separated only by a public right of way from, the
33 redevelopment project area from which the revenues are
34 received. Utilize tax increment revenues for eligible costs
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1 that are received from a redevelopment project area created
2 under the Industrial Jobs Recovery Law that is either
3 contiguous to, or is separated only by a public right of way
4 from, the redevelopment project area created under this Act
5 which initially receives these revenues. Utilize revenues,
6 other than State sales tax increment revenues, by
7 transferring or loaning such revenues to a redevelopment
8 project area created under the Industrial Jobs Recovery Law
9 that is either contiguous to, or separated only by a public
10 right of way from the redevelopment project area that
11 initially produced and received those revenues.
12 (r) If no redevelopment project has been initiated in a
13 redevelopment project area within 7 years after the area was
14 designated by ordinance under subsection (a), the
15 municipality shall adopt an ordinance repealing the area's
16 designation as a redevelopment project area; provided,
17 however, that if an area received its designation more than 3
18 years before the effective date of this amendatory Act of
19 1994 and no redevelopment project has been initiated within 4
20 years after the effective date of this amendatory Act of
21 1994, the municipality shall adopt an ordinance repealing its
22 designation as a redevelopment project area. Initiation of a
23 redevelopment project shall be evidenced by either a signed
24 redevelopment agreement or expenditures on eligible
25 redevelopment project costs associated with a redevelopment
26 project.
27 (Source: P.A. 90-258, eff. 7-30-97.)
28 (65 ILCS 5/11-74.4-4.1)
29 Sec. 11-74.4-4.1. Feasibility study.
30 (a) If a municipality by its corporate authorities, or
31 as it may determine by any commission designated under
32 subsection (k) of Section 11-74.4-4, adopts an ordinance or
33 resolution providing for a feasibility study on the
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1 designation of an area as a redevelopment project area, a
2 copy of the ordinance or resolution shall immediately be sent
3 to all taxing districts that would be affected by the
4 designation.
5 On and after the effective date of this amendatory Act of
6 the 91st General Assembly, the ordinance or resolution shall
7 include:
8 (1) The boundaries of the area to be studied for
9 possible designation as a redevelopment project area.
10 (2) The purpose or purposes of the proposed
11 redevelopment plan and project.
12 (3) A general description of tax increment
13 allocation financing under this Act.
14 (4) The name, phone number, and address of the
15 municipal officer who can be contacted for additional
16 information about the proposed redevelopment project area
17 and who should receive all comments and suggestions
18 regarding the redevelopment of the area to be studied.
19 (b) If one of the purposes of the planned redevelopment
20 project area should reasonably be expected to result in the
21 displacement of residents from 10 or more inhabited
22 residential units, the municipality shall adopt a resolution
23 or ordinance providing for the feasibility study described in
24 subsection (a). The ordinance or resolution shall also
25 require that the feasibility study include the preparation of
26 the housing impact study set forth in paragraph (5) of
27 subsection (n) of Section 11-74.4-3. If the redevelopment
28 plan will not result in displacement of residents from
29 inhabited units, and the municipality certifies in the plan
30 that displacement will not result from the plan, then a
31 resolution or ordinance need not be adopted.
32 (Source: P.A. 88-537.)
33 (65 ILCS 5/11-74.4-4.2 new)
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1 Sec. 11-74.4-4.2. Interested parties registry. On and
2 after the effective date of this amendatory Act of the 91st
3 General Assembly, the municipality shall by its corporate
4 authority create an "interested parties" registry for
5 activities related to the redevelopment project area. The
6 municipality shall adopt reasonable registration rules and
7 shall prescribe the necessary registration forms for
8 residents and organizations active within the municipality
9 that seek to be placed on the "interested parties" registry.
10 At a minimum, the rules for registration shall provide for a
11 renewable period of registration of not less than 3 years and
12 notification to registered organizations and individuals by
13 mail at the address provided upon registration prior to
14 termination of their registration, unless the municipality
15 decides that it will establish a policy of not terminating
16 interested parties from the registry, in which case no notice
17 will be required. Such rules shall not be used to prohibit
18 or otherwise interfere with the ability of eligible
19 organizations and individuals to register for receipt of
20 information to which they are entitled under this statute,
21 including the information required by:
22 (1) subsection (a) of Section 11-74.4-5;
23 (2) paragraph (9) of subsection (d) of Section
24 11-74.4-5; and
25 (3) subsection (e) of Section 11-74.4-6.
26 (65 ILCS 5/11-74.4-5) (from Ch. 24, par. 11-74.4-5)
27 Sec. 11-74.4-5. (a) Prior to the adoption of an
28 ordinance proposing the designation of a redevelopment
29 project area, or approving a redevelopment plan or
30 redevelopment project, the municipality by its corporate
31 authorities, or as it may determine by any commission
32 designated under subsection (k) of Section 11-74.4-4 shall
33 adopt an ordinance or resolution fixing a time and place for
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1 public hearing. Prior to the adoption of the ordinance or
2 resolution establishing the time and place for the public
3 hearing, the municipality shall make available for public
4 inspection a redevelopment plan or a separate report that
5 provides in reasonable detail the basis for the eligibility
6 of the redevelopment project area qualifying as a blighted
7 area, conservation area, or an industrial park conservation
8 area. The report along with the name of a person to contact
9 for further information shall be sent within a reasonable
10 time after the adoption of such ordinance or resolution to
11 the affected taxing districts by certified mail. On and after
12 the effective date of this amendatory Act of the 91st General
13 Assembly, the municipality shall print in a newspaper of
14 general circulation within the municipality a notice that
15 interested persons may register with the municipality in
16 order to receive information on the proposed designation of a
17 redevelopment project area or the approval of a redevelopment
18 plan. The notice shall state the place of registration and
19 the operating hours of that place. The municipality shall
20 have adopted reasonable rules to implement this registration
21 process under Section 11-74.4-4.2. Notice of the
22 availability of the redevelopment plan and eligibility
23 report, including how to obtain this information, shall also
24 be sent by mail within a reasonable time after the adoption
25 of the ordinance or resolution to all residents within the
26 postal zip code area or areas contained in whole or in part
27 within the proposed redevelopment project area or
28 organizations that operate in the municipality that have
29 registered with the municipality for that information in
30 accordance with the registration guidelines established by
31 the municipality under Section 11-74.4-4.2.
32 At the public hearing any interested person or affected
33 taxing district may file with the municipal clerk written
34 objections to and may be heard orally in respect to any
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1 issues embodied in the notice. The municipality shall hear
2 and determine all protests and objections at the hearing and
3 the hearing may be adjourned to another date without further
4 notice other than a motion to be entered upon the minutes
5 fixing the time and place of the subsequent hearing. At the
6 public hearing or at any time prior to the adoption by the
7 municipality of an ordinance approving a redevelopment plan,
8 the municipality may make changes in the redevelopment plan.
9 Changes which (1) add additional parcels of property to the
10 proposed redevelopment project area, (2) substantially affect
11 the general land uses proposed in the redevelopment plan, (3)
12 substantially change the nature of or extend the life of the
13 redevelopment project, or (4) increase the number of low or
14 very low income households to be displaced from the
15 redevelopment project area, provided that measured from the
16 time of creation of the redevelopment project area the total
17 displacement of the households will exceed 10, shall be made
18 only after the municipality gives notice, convenes a joint
19 review board, and conducts a public hearing pursuant to the
20 procedures set forth in this Section and in Section 11-74.4-6
21 of this Act. Changes which do not (1) add additional parcels
22 of property to the proposed redevelopment project area, (2)
23 substantially affect the general land uses proposed in the
24 redevelopment plan, (3) substantially change the nature of or
25 extend the life of the redevelopment project, or (4) increase
26 the number of low or very low income households to be
27 displaced from the redevelopment project area, provided that
28 measured from the time of creation of the redevelopment
29 project area the total displacement of the households will
30 exceed 10, may be made without further hearing, provided that
31 the municipality shall give notice of any such changes by
32 mail to each affected taxing district and registrant on the
33 interested parties registry, provided for under Section
34 11-74.4-4.2, and by publication in a newspaper of general
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1 circulation within the affected taxing district. Such notice
2 by mail and by publication shall each occur not later than 10
3 days following the adoption by ordinance of such changes.
4 Prior to the adoption of an ordinance approving a
5 redevelopment plan or redevelopment project, or designating a
6 redevelopment project area, changes may be made in the
7 redevelopment plan or project or area which changes do not
8 alter the exterior boundaries, or do not substantially affect
9 the general land uses established in the plan or
10 substantially change the nature of the redevelopment project,
11 without further hearing or notice, provided that notice of
12 such changes is given by mail to each affected taxing
13 district and by publication in a newspaper or newspapers of
14 general circulation within the taxing districts not less than
15 10 days prior to the adoption of the changes by ordinance.
16 After the adoption of an ordinance approving a redevelopment
17 plan or project or designating a redevelopment project area,
18 no ordinance shall be adopted altering the exterior
19 boundaries, affecting the general land uses established
20 pursuant to the plan or changing the nature of the
21 redevelopment project without complying with the procedures
22 provided in this division pertaining to the initial approval
23 of a redevelopment plan project and designation of
24 redevelopment project area. Hearings with regard to a
25 redevelopment project area, project or plan may be held
26 simultaneously.
27 (b) Prior to holding a public hearing to approve or
28 amend a redevelopment plan or to designate or add additional
29 parcels of property to a After the effective date of this
30 amendatory Act of 1989, prior to the adoption of an ordinance
31 proposing the designation of a redevelopment project area or
32 amending the boundaries of an existing redevelopment project
33 area, the municipality shall convene a joint review board to
34 consider the proposal. The board shall consist of a
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1 representative selected by each community college district,
2 local elementary school district and high school district or
3 each local community unit school district, park district,
4 library district, township, fire protection district, and
5 county that will have the has authority to directly levy
6 taxes on the property within the proposed redevelopment
7 project area at the time that the proposed redevelopment
8 project area is approved, a representative selected by the
9 municipality and a public member. The public member shall
10 first be selected and then the board's chairperson shall be
11 selected by a majority of the other board members present and
12 voting.
13 For redevelopment project areas with redevelopment plans
14 or proposed redevelopment plans that would result in the
15 displacement of residents from 10 or more inhabited
16 residential units or that include 75 or more inhabited
17 residential units, the public member shall be a person who
18 resides in the redevelopment project area. If, as determined
19 by the housing impact study provided for in paragraph (5) of
20 subsection (n) of Section 11-74.4-3, or if no housing impact
21 study is required then based on other reasonable data, the
22 majority of residential units are occupied by very low, low,
23 or moderate income households, as defined in Section 3 of the
24 Illinois Affordable Housing Act, the public member shall be a
25 person who resides in very low, low, or moderate income
26 housing within the redevelopment project area.
27 Municipalities with fewer than 15,000 residents shall not be
28 required to select a person who lives in very low, low, or
29 moderate income housing within the redevelopment project
30 area, provided that the redevelopment plan or project will
31 not result in displacement of residents from 10 or more
32 inhabited units, and the municipality so certifies in the
33 plan. If no person satisfying these requirements is
34 available or if no qualified person will serve as the public
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1 member, then the joint review board is relieved of this
2 paragraph's selection requirements for the public member.
3 Within 90 days of the effective date of this amendatory
4 Act of the 91st General Assembly, each municipality that
5 designated a redevelopment project area for which it was not
6 required to convene a joint review board under this Section
7 shall Municipalities that have designated redevelopment
8 project areas prior to the effective date of this amendatory
9 Act of 1989 may convene a joint review board to perform the
10 duties specified under paragraph (e) of this Section.
11 All board members shall be appointed and the first board
12 meeting held within 14 days following at least 14 days after
13 the notice by the municipality to all the taxing districts as
14 required by Section 11-74.4-6(c) 11-74.4-6c. Such notice
15 shall also advise the taxing bodies represented on the joint
16 review board of the time and place of the first meeting of
17 the board. Additional meetings of the board shall be held
18 upon the call of any member. The municipality seeking
19 designation of the redevelopment project area shall may
20 provide administrative support to the board.
21 The board shall review (i) the public record, planning
22 documents and proposed ordinances approving the redevelopment
23 plan and project and (ii) proposed amendments to the
24 redevelopment plan or additions of parcels of property to the
25 redevelopment project area to be adopted by the municipality.
26 As part of its deliberations, the board may hold additional
27 hearings on the proposal. A board's recommendation shall be
28 an advisory, non-binding recommendation. The recommendation
29 shall be adopted by a majority of those members present and
30 voting. The recommendations shall be which recommendation
31 shall be adopted by a majority vote of the board and
32 submitted to the municipality within 30 days after convening
33 of the board. Failure of the board to submit its report on a
34 timely basis shall not be cause to delay the public hearing
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1 or any other step in the process of designating establishing
2 or amending the redevelopment project area but shall be
3 deemed to constitute approval by the joint review board of
4 the matters before it.
5 The board shall base its recommendation to approve or
6 disapprove the redevelopment plan and the designation of the
7 redevelopment project area or the amendment of the
8 redevelopment plan or addition of parcels of property to the
9 redevelopment project area decision to approve or deny the
10 proposal on the basis of the redevelopment project area and
11 redevelopment plan satisfying the plan requirements, the
12 eligibility criteria defined in Section 11-74.4-3, and the
13 objectives of the Act eligibility criteria defined in Section
14 11-74.4-3.
15 The board shall issue a written report describing why the
16 redevelopment plan and project area or the amendment there of
17 meets or fails to meet one or more of the objectives of this
18 Act and both the plan requirements and the eligibility
19 criteria defined in Section 11-74.4-3. In the event the Board
20 does not file a report it shall be presumed that these taxing
21 bodies find the redevelopment project area and redevelopment
22 plan to satisfy the objectives of this Act and the plan
23 requirements and eligibility criteria.
24 If the board recommends rejection of the matters before
25 it, the municipality will have 30 days within which to
26 resubmit the plan or amendment. During this period, the
27 municipality will meet and confer with the board and attempt
28 to resolve those issues set forth in the board's written
29 report that lead to the rejection of the plan or amendment.
30 In the event that the municipality and the board are unable
31 to resolve these differences, or in the event that the
32 resubmitted plan or amendment is rejected by the board, the
33 municipality may proceed with the plan or amendment, but only
34 upon a three-fifths vote of the corporate authority
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1 responsible for approval of the plan or amendment, excluding
2 positions of members that are vacant and those members that
3 are ineligible to vote because of conflicts of interest.
4 (c) After a municipality has by ordinance approved a
5 redevelopment plan and designated a redevelopment project
6 area, the plan may be amended and additional properties may
7 be added to the redevelopment project area only as herein
8 provided. Amendments which (1) add additional parcels of
9 property to the proposed redevelopment project area, (2)
10 substantially affect the general land uses proposed in the
11 redevelopment plan, (3) substantially change the nature of
12 the redevelopment project, (4) increase the total estimated
13 redevelopment project costs set out in the redevelopment plan
14 by more than 5% after adjustment for inflation from the date
15 the plan was adopted, (5) add additional redevelopment
16 project costs to the itemized list of redevelopment project
17 costs set out in the redevelopment plan, or (6) increase the
18 number of low or very low income households to be displaced
19 from the redevelopment project area, provided that measured
20 from the time of creation of the redevelopment project area
21 the total displacement of the households will exceed 10,
22 shall be made only after the municipality gives notice,
23 convenes a joint review board, and conducts a public hearing
24 pursuant to the procedures set forth in this Section and in
25 Section 11-74.4-6 of this Act. Changes which do not (1) add
26 additional parcels of property to the proposed redevelopment
27 project area, (2) substantially affect the general land uses
28 proposed in the redevelopment plan, (3) substantially change
29 the nature of the redevelopment project, (4) increase the
30 total estimated redevelopment project cost set out in the
31 redevelopment plan by more than 5% after adjustment for
32 inflation from the date the plan was adopted, (5) add
33 additional redevelopment project costs to the itemized list
34 of redevelopment project costs set out in the redevelopment
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1 plan, or (6) increase the number of low or very low income
2 households to be displaced from the redevelopment project
3 area, provided that measured from the time of creation of the
4 redevelopment project area the total displacement of the
5 households will exceed 10, may be made without further
6 hearing, provided that the municipality shall give notice of
7 any such changes by mail to each affected taxing district and
8 registrant on the interested parties registry, provided for
9 under Section 11-74.4-4.2, and by publication in a newspaper
10 of general circulation within the affected taxing district.
11 Such notice by mail and by publication shall each occur not
12 later than 10 days following the adoption by ordinance of
13 such changes. After the adoption of an ordinance approving a
14 redevelopment plan or project or designating a redevelopment
15 project area, no ordinance shall be adopted altering the
16 exterior boundaries, affecting the general land uses
17 established pursuant to the plan or changing the nature of
18 the redevelopment project without complying with the
19 procedures provided in this division pertaining to the
20 initial approval of a redevelopment plan project and
21 designation of a redevelopment project area.
22 (d) After the effective date of this amendatory Act of
23 the 91st General Assembly 1994 and adoption of an ordinance
24 approving a redevelopment plan or project, a municipality
25 with a population of less than 1,000,000 shall submit the
26 following information for each redevelopment project area (i)
27 to the State Comptroller in the financial report required
28 under Section 3 of the Governmental Account Audit Act and
29 (ii) to all taxing districts overlapping the redevelopment
30 project area within 90 days after the close of each municipal
31 fiscal year notify all taxing districts represented on the
32 joint review board in which the redevelopment project area is
33 located that any or all of the following information will be
34 made available no later than 180 days after the close of each
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1 municipal fiscal year or as soon thereafter as the audited
2 financial statements become available and, in any case, shall
3 be submitted before the annual meeting of the Joint Review
4 Board to each of the taxing districts that overlap the
5 redevelopment project area upon receipt of a written request
6 of a majority of such taxing districts for such information:
7 (1) Any amendments to the redevelopment plan, the
8 redevelopment project area, or the State Sales Tax
9 Boundary.
10 (1.5) A list of the redevelopment project areas
11 administered by the municipality and, if applicable, the
12 date each redevelopment project area was designated or
13 terminated by the municipality.
14 (2) Audited financial statements of the special tax
15 allocation fund once a cumulative total of $100,000 has
16 been deposited in the fund.
17 (3) Certification of the Chief Executive Officer of
18 the municipality that the municipality has complied with
19 all of the requirements of this Act during the preceding
20 fiscal year.
21 (4) An opinion of legal counsel that the
22 municipality is in compliance with this Act.
23 (5) An analysis of the special tax allocation fund
24 which sets forth:
25 (A) the balance in the special tax allocation
26 fund at the beginning of the fiscal year;
27 (B) all amounts deposited in the special tax
28 allocation fund by source;
29 (C) an itemized list of all expenditures from
30 the special tax allocation fund by category of
31 permissible redevelopment project cost; and
32 (D) the balance in the special tax allocation
33 fund at the end of the fiscal year including a
34 breakdown of that balance by source and a breakdown
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1 of that balance identifying any portion of the
2 balance that is required, pledged, earmarked, or
3 otherwise designated for payment of or securing of
4 obligations and anticipated redevelopment project
5 costs. Any portion of such ending balance that has
6 not been identified or is not identified as being
7 required, pledged, earmarked, or otherwise
8 designated for payment of or securing of obligations
9 or anticipated redevelopment projects costs shall be
10 designated as surplus if it is not required for
11 anticipated redevelopment project costs or to pay
12 debt service on bonds issued to finance
13 redevelopment project costs, as set forth in Section
14 11-74.4-7 hereof.
15 (6) A description of all property purchased by the
16 municipality within the redevelopment project area
17 including:
18 (A) Street address.
19 (B) Approximate size or description of
20 property.
21 (C) Purchase price.
22 (D) Seller of property.
23 (7) A statement setting forth all activities
24 undertaken in furtherance of the objectives of the
25 redevelopment plan, including:
26 (A) Any project implemented in the preceding
27 fiscal year.
28 (B) A description of the redevelopment
29 activities undertaken.
30 (C) A description of any agreements entered
31 into by the municipality with regard to the
32 disposition or redevelopment of any property within
33 the redevelopment project area or the area within
34 the State Sales Tax Boundary.
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1 (D) Additional information on the use of all
2 funds received under this Division and steps taken
3 by the municipality to achieve the objectives of the
4 redevelopment plan.
5 (E) Information regarding contracts that the
6 municipality's tax increment advisors or consultants
7 have entered into with entities or persons that have
8 received, or are receiving, payments financed by tax
9 increment revenues produced by the same
10 redevelopment project area.
11 (F) Any reports submitted to the municipality
12 by the joint review board.
13 (G) A review of public and, to the extent
14 possible, private investment actually undertaken to
15 date after the effective date of this amendatory Act
16 of the 91st General Assembly and estimated to be
17 undertaken during the following year. This review
18 shall, on a project-by-project basis, set forth the
19 estimated amounts of public and private investment
20 incurred after the effective date of this amendatory
21 Act of the 91st General Assembly and provide the
22 ratio of private investment to public investment to
23 the date of the report and as estimated to the
24 completion of the redevelopment project.
25 (8) With regard to any obligations issued by the
26 municipality:
27 (A) copies of any official statements; and
28 (B) an analysis prepared by financial advisor
29 or underwriter setting forth: (i) nature and term of
30 obligation; and (ii) projected debt service
31 including required reserves and debt coverage.
32 (9) For special tax allocation funds that have
33 experienced cumulative deposits of incremental tax
34 revenues of $100,000 or more, a certified audit report
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1 reviewing compliance with this Act performed by an
2 independent public accountant certified and licensed by
3 the authority of the State of Illinois. The financial
4 portion of the audit must be conducted in accordance with
5 Standards for Audits of Governmental Organizations,
6 Programs, Activities, and Functions adopted by the
7 Comptroller General of the United States (1981), as
8 amended. The audit report shall contain a letter from
9 the independent certified public accountant indicating
10 compliance or noncompliance with the requirements of
11 subsection (q) of Section 11-74.4-3. For redevelopment
12 plans or projects that would result in the displacement
13 of residents from 10 or more inhabited residential units
14 or that contain 75 or more inhabited residential units,
15 notice of the availability of the information, including
16 how to obtain the report, required in this subsection
17 shall also be sent by mail to all residents or
18 organizations that operate in the municipality that
19 register with the municipality for that information
20 according to registration procedures adopted under
21 Section 11-74.4-4.2. All municipalities are subject to
22 this provision.
23 (d-1) Prior to the effective date of this amendatory Act
24 of the 91st General Assembly, municipalities with populations
25 of over 1,000,000 shall, after adoption of a redevelopment
26 plan or project, make available upon request to any taxing
27 district in which the redevelopment project area is located
28 the following information:
29 (1) Any amendments to the redevelopment plan, the
30 redevelopment project area, or the State Sales Tax
31 Boundary; and
32 (2) In connection with any redevelopment project
33 area for which the municipality has outstanding
34 obligations issued to provide for redevelopment project
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1 costs pursuant to Section 11-74.4-7, audited financial
2 statements of the special tax allocation fund.
3 (e) One year, two years and at the end of every
4 subsequent three year period thereafter, The joint review
5 board shall meet annually 180 days after the close of the
6 municipal fiscal year or as soon as the redevelopment project
7 audit for that fiscal year becomes available to review the
8 effectiveness and status of the redevelopment project area up
9 to that date.
10 (f) (Blank). If the redevelopment project area has been
11 in existence for at least 5 years and the municipality
12 proposes a redevelopment project with a total redevelopment
13 project cost exceeding 35% of the total amount budgeted in
14 the redevelopment plan for all redevelopment projects, the
15 municipality, in addition to any other requirements imposed
16 by this Act, shall convene a meeting of the joint review
17 board as provided in this Act for the purpose of reviewing
18 the redevelopment project.
19 (g) In the event that a municipality has held a public
20 hearing under this Section prior to March 14, 1994 (the
21 effective date of Public Act 88-537), the requirements
22 imposed by Public Act 88-537 relating to the method of fixing
23 the time and place for public hearing, the materials and
24 information required to be made available for public
25 inspection, and the information required to be sent after
26 adoption of an ordinance or resolution fixing a time and
27 place for public hearing shall not be applicable.
28 (Source: P.A. 88-537; 88-688, eff. 1-24-95; revised
29 10-31-98.)
30 (65 ILCS 5/11-74.4-6) (from Ch. 24, par. 11-74.4-6)
31 Sec. 11-74.4-6. (a) Except as provided herein, notice of
32 the public hearing shall be given by publication and mailing.
33 Notice by publication shall be given by publication at least
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1 twice, the first publication to be not more than 30 nor less
2 than 10 days prior to the hearing in a newspaper of general
3 circulation within the taxing districts having property in
4 the proposed redevelopment project area. Notice by mailing
5 shall be given by depositing such notice in the United States
6 mails by certified mail addressed to the person or persons
7 in whose name the general taxes for the last preceding year
8 were paid on each lot, block, tract, or parcel of land lying
9 within the project redevelopment area. Said notice shall be
10 mailed not less than 10 days prior to the date set for the
11 public hearing. In the event taxes for the last preceding
12 year were not paid, the notice shall also be sent to the
13 persons last listed on the tax rolls within the preceding 3
14 years as the owners of such property. For redevelopment
15 project areas with redevelopment plans or proposed
16 redevelopment plans that would require removal of 10 or more
17 inhabited residential units or that contain 75 or more
18 inhabited residential units, the municipality shall make a
19 good faith effort to notify by mail all residents of the
20 redevelopment project area. At a minimum, the municipality
21 shall mail a notice to each residential address located
22 within the redevelopment project area. The municipality
23 shall endeavor to ensure that all such notices are
24 effectively communicated and shall include (in addition to
25 notice in English) notice in the predominant language other
26 than English when appropriate.
27 (b) The notices issued pursuant to this Section shall
28 include the following:
29 (1) The time and place of public hearing;
30 (2) The boundaries of the proposed redevelopment
31 project area by legal description and by street location
32 where possible;
33 (3) A notification that all interested persons will
34 be given an opportunity to be heard at the public
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1 hearing;
2 (4) A description of the redevelopment plan or
3 redevelopment project for the proposed redevelopment
4 project area if a plan or project is the subject matter
5 of the hearing.
6 (5) Such other matters as the municipality may deem
7 appropriate.
8 (c) Not less than 45 days prior to the date set for
9 hearing, the municipality shall give notice by mail as
10 provided in subsection (a) to all taxing districts of which
11 taxable property is included in the redevelopment project
12 area, project or plan and to the Department of Commerce and
13 Community Affairs, and in addition to the other requirements
14 under subsection (b) the notice shall include an invitation
15 to the Department of Commerce and Community Affairs and each
16 taxing district to submit comments to the municipality
17 concerning the subject matter of the hearing prior to the
18 date of hearing.
19 (d) In the event that any municipality has by ordinance
20 adopted tax increment financing prior to 1987, and has
21 complied with the notice requirements of this Section, except
22 that the notice has not included the requirements of
23 subsection (b), paragraphs (2), (3) and (4), and within 90
24 days of the effective date of this amendatory Act of 1991,
25 that municipality passes an ordinance which contains findings
26 that: (1) all taxing districts prior to the time of the
27 hearing required by Section 11-74.4-5 were furnished with
28 copies of a map incorporated into the redevelopment plan and
29 project substantially showing the legal boundaries of the
30 redevelopment project area; (2) the redevelopment plan and
31 project, or a draft thereof, contained a map substantially
32 showing the legal boundaries of the redevelopment project
33 area and was available to the public at the time of the
34 hearing; and (3) since the adoption of any form of tax
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1 increment financing authorized by this Act, and prior to June
2 1, 1991, no objection or challenge has been made in writing
3 to the municipality in respect to the notices required by
4 this Section, then the municipality shall be deemed to have
5 met the notice requirements of this Act and all actions of
6 the municipality taken in connection with such notices as
7 were given are hereby validated and hereby declared to be
8 legally sufficient for all purposes of this Act.
9 (e) If a municipality desires to propose a redevelopment
10 plan for a redevelopment project area that would result in
11 the displacement of residents from 10 or more inhabited
12 residential units or for a redevelopment project area that
13 contains 75 or more inhabited residential units, the
14 municipality shall hold a public meeting before the mailing
15 of the notices of public hearing as provided in subsection
16 (c) of this Section. The meeting shall be for the purpose of
17 enabling the municipality to advise the public, taxing
18 districts having real property in the redevelopment project
19 area, taxpayers who own property in the proposed
20 redevelopment project area, and residents in the area as to
21 the municipality's possible intent to prepare a redevelopment
22 plan and designate a redevelopment project area and to
23 receive public comment. The time and place for the meeting
24 shall be set by the head of the municipality's Department of
25 Planning or other department official designated by the mayor
26 or city or village manager without the necessity of a
27 resolution or ordinance of the municipality and may be held
28 by a member of the staff of the Department of Planning of the
29 municipality or by any other person, body, or commission
30 designated by the corporate authorities. The meeting shall
31 be held at least 14 business days before the mailing of the
32 notice of public hearing provided for in subsection (c) of
33 this Section.
34 Notice of the public meeting shall be given by mail.
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1 Notice by mail shall be not less than 15 days before the date
2 of the meeting and shall be sent by certified mail to all
3 taxing districts having real property in the proposed
4 redevelopment project area and to all entities requesting
5 that information that have registered with a person and
6 department designated by the municipality in accordance with
7 registration guidelines established by the municipality
8 pursuant to Section 11-74.4-4.2. The municipality shall make
9 a good faith effort to notify all residents and the last
10 known persons who paid property taxes on real estate in a
11 redevelopment project area. This requirement shall be deemed
12 to be satisfied if the municipality mails, by regular mail, a
13 notice to each residential address and the person or persons
14 in whose name property taxes were paid on real property for
15 the last preceding year located within the redevelopment
16 project area. Notice shall be in languages other than
17 English when appropriate. The notices issued under this
18 subsection shall include the following:
19 (1) The time and place of the meeting.
20 (2) The boundaries of the area to be studied for
21 possible designation as a redevelopment project area by
22 street and location.
23 (3) The purpose or purposes of establishing a
24 redevelopment project area.
25 (4) A brief description of tax increment financing.
26 (5) The name, telephone number, and address of the
27 person who can be contacted for additional information
28 about the proposed redevelopment project area and who
29 should receive all comments and suggestions regarding
30 the development of the area to be studied.
31 (6) Notification that all interested persons will
32 be given an opportunity to be heard at the public
33 meeting.
34 (7) Such other matters as the municipality deems
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1 appropriate.
2 At the public meeting, any interested person or
3 representative of an affected taxing district may be heard
4 orally and may file, with the person conducting the meeting,
5 statements that pertain to the subject matter of the meeting.
6
7 (Source: P.A. 86-142; 87-813.)
8 (65 ILCS 5/11-74.4-7) (from Ch. 24, par. 11-74.4-7)
9 Sec. 11-74.4-7. Obligations secured by the special tax
10 allocation fund set forth in Section 11-74.4-8 for the
11 redevelopment project area may be issued to provide for
12 redevelopment project costs. Such obligations, when so
13 issued, shall be retired in the manner provided in the
14 ordinance authorizing the issuance of such obligations by the
15 receipts of taxes levied as specified in Section 11-74.4-9
16 against the taxable property included in the area, by
17 revenues as specified by Section 11-74.4-8a and other revenue
18 designated by the municipality. A municipality may in the
19 ordinance pledge all or any part of the funds in and to be
20 deposited in the special tax allocation fund created pursuant
21 to Section 11-74.4-8 to the payment of the redevelopment
22 project costs and obligations. Any pledge of funds in the
23 special tax allocation fund shall provide for distribution to
24 the taxing districts and to the Illinois Department of
25 Revenue of moneys not required, pledged, earmarked, or
26 otherwise designated for payment and securing of the
27 obligations and anticipated redevelopment project costs and
28 such excess funds shall be calculated annually and deemed to
29 be "surplus" funds. In the event a municipality only applies
30 or pledges a portion of the funds in the special tax
31 allocation fund for the payment or securing of anticipated
32 redevelopment project costs or of obligations, any such funds
33 remaining in the special tax allocation fund after complying
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1 with the requirements of the application or pledge, shall
2 also be calculated annually and deemed "surplus" funds. All
3 surplus funds in the special tax allocation fund, subject to
4 the provisions of (6.1) of Section 11-74.4-8a, shall be
5 distributed annually within 180 days after the close of the
6 municipality's fiscal year by being paid by the municipal
7 treasurer to the County Collector, to the Department of
8 Revenue and to the municipality in direct proportion to the
9 tax incremental revenue received as a result of an increase
10 in the equalized assessed value of property in the
11 redevelopment project area, tax incremental revenue received
12 from the State and tax incremental revenue received from the
13 municipality, but not to exceed as to each such source the
14 total incremental revenue received from that source. Except
15 that any special tax allocation fund subject to provision in
16 (6.1) of Section 11-74.4-8a shall comply with the provisions
17 in that Section. The County Collector shall thereafter make
18 distribution to the respective taxing districts in the same
19 manner and proportion as the most recent distribution by the
20 county collector to the affected districts of real property
21 taxes from real property in the redevelopment project area.
22 Without limiting the foregoing in this Section, the
23 municipality may in addition to obligations secured by the
24 special tax allocation fund pledge for a period not greater
25 than the term of the obligations towards payment of such
26 obligations any part or any combination of the following: (a)
27 net revenues of all or part of any redevelopment project; (b)
28 taxes levied and collected on any or all property in the
29 municipality; (c) the full faith and credit of the
30 municipality; (d) a mortgage on part or all of the
31 redevelopment project; or (e) any other taxes or anticipated
32 receipts that the municipality may lawfully pledge.
33 Such obligations may be issued in one or more series
34 bearing interest at such rate or rates as the corporate
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1 authorities of the municipality shall determine by ordinance.
2 Such obligations shall bear such date or dates, mature at
3 such time or times not exceeding 20 years from their
4 respective dates, be in such denomination, carry such
5 registration privileges, be executed in such manner, be
6 payable in such medium of payment at such place or places,
7 contain such covenants, terms and conditions, and be subject
8 to redemption as such ordinance shall provide. Obligations
9 issued pursuant to this Act may be sold at public or private
10 sale at such price as shall be determined by the corporate
11 authorities of the municipalities. No referendum approval of
12 the electors shall be required as a condition to the issuance
13 of obligations pursuant to this Division except as provided
14 in this Section.
15 In the event the municipality authorizes issuance of
16 obligations pursuant to the authority of this Division
17 secured by the full faith and credit of the municipality,
18 which obligations are other than obligations which may be
19 issued under home rule powers provided by Article VII,
20 Section 6 of the Illinois Constitution, or pledges taxes
21 pursuant to (b) or (c) of the second paragraph of this
22 section, the ordinance authorizing the issuance of such
23 obligations or pledging such taxes shall be published within
24 10 days after such ordinance has been passed in one or more
25 newspapers, with general circulation within such
26 municipality. The publication of the ordinance shall be
27 accompanied by a notice of (1) the specific number of voters
28 required to sign a petition requesting the question of the
29 issuance of such obligations or pledging taxes to be
30 submitted to the electors; (2) the time in which such
31 petition must be filed; and (3) the date of the prospective
32 referendum. The municipal clerk shall provide a petition
33 form to any individual requesting one.
34 If no petition is filed with the municipal clerk, as
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1 hereinafter provided in this Section, within 30 days after
2 the publication of the ordinance, the ordinance shall be in
3 effect. But, if within that 30 day period a petition is
4 filed with the municipal clerk, signed by electors in the
5 municipality numbering 10% or more of the number of
6 registered voters in the municipality, asking that the
7 question of issuing obligations using full faith and credit
8 of the municipality as security for the cost of paying for
9 redevelopment project costs, or of pledging taxes for the
10 payment of such obligations, or both, be submitted to the
11 electors of the municipality, the corporate authorities of
12 the municipality shall call a special election in the manner
13 provided by law to vote upon that question, or, if a general,
14 State or municipal election is to be held within a period of
15 not less than 30 or more than 90 days from the date such
16 petition is filed, shall submit the question at the next
17 general, State or municipal election. If it appears upon the
18 canvass of the election by the corporate authorities that a
19 majority of electors voting upon the question voted in favor
20 thereof, the ordinance shall be in effect, but if a majority
21 of the electors voting upon the question are not in favor
22 thereof, the ordinance shall not take effect.
23 The ordinance authorizing the obligations may provide
24 that the obligations shall contain a recital that they are
25 issued pursuant to this Division, which recital shall be
26 conclusive evidence of their validity and of the regularity
27 of their issuance.
28 In the event the municipality authorizes issuance of
29 obligations pursuant to this Section secured by the full
30 faith and credit of the municipality, the ordinance
31 authorizing the obligations may provide for the levy and
32 collection of a direct annual tax upon all taxable property
33 within the municipality sufficient to pay the principal
34 thereof and interest thereon as it matures, which levy may be
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1 in addition to and exclusive of the maximum of all other
2 taxes authorized to be levied by the municipality, which
3 levy, however, shall be abated to the extent that monies from
4 other sources are available for payment of the obligations
5 and the municipality certifies the amount of said monies
6 available to the county clerk.
7 A certified copy of such ordinance shall be filed with
8 the county clerk of each county in which any portion of the
9 municipality is situated, and shall constitute the authority
10 for the extension and collection of the taxes to be deposited
11 in the special tax allocation fund.
12 A municipality may also issue its obligations to refund
13 in whole or in part, obligations theretofore issued by such
14 municipality under the authority of this Act, whether at or
15 prior to maturity, provided however, that the last maturity
16 of the refunding obligations shall not be expressed to mature
17 later than December 31 of the year in which the payment to
18 the municipal treasurer as provided in subsection (b) of
19 Section 11-74.4-8 of this Act is to be made with respect to
20 ad valorem taxes levied in the twenty-third calendar year
21 after the year in which the ordinance approving the
22 redevelopment project area is adopted 23 years from the date
23 of the ordinance approving the redevelopment project area if
24 the ordinance was adopted on or after January 15, 1981, and
25 not later than December 31 of the year in which the payment
26 to the municipal treasurer as provided in subsection (b) of
27 Section 11-74.4-8 of this Act is to be made with respect to
28 ad valorem taxes levied in the thirty-fifth calendar year
29 after the year in which the ordinance approving the
30 redevelopment project area is adopted more than 35 years if
31 the ordinance was adopted before January 15, 1981, or if the
32 ordinance was adopted in April, 1984, July, 1985, or if the
33 ordinance was adopted in December, 1987 and the redevelopment
34 project is located within one mile of Midway Airport, or if
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1 the municipality is subject to the Local Government Financial
2 Planning and Supervision Act, or if the ordinance was adopted
3 on December 31, 1986 by a municipality located in Clinton
4 County for which at least $250,000 of tax increment bonds
5 were authorized on June 17, 1997 and, for redevelopment
6 project areas for which bonds were issued before July 29,
7 1991, in connection with a redevelopment project in the area
8 within the State Sales Tax Boundary and which were extended
9 by municipal ordinance under subsection (n) of Section
10 11-74.4-3, the last maturity of the refunding obligations
11 shall not be expressed to mature later than the date on which
12 the redevelopment project area is terminated or December 31,
13 2013, whichever date occurs first.
14 In the event a municipality issues obligations under home
15 rule powers or other legislative authority the proceeds of
16 which are pledged to pay for redevelopment project costs, the
17 municipality may, if it has followed the procedures in
18 conformance with this division, retire said obligations from
19 funds in the special tax allocation fund in amounts and in
20 such manner as if such obligations had been issued pursuant
21 to the provisions of this division.
22 All obligations heretofore or hereafter issued pursuant
23 to this Act shall not be regarded as indebtedness of the
24 municipality issuing such obligations or any other taxing
25 district for the purpose of any limitation imposed by law.
26 (Source: P.A. 89-357; eff. 8-17-95; 90-379, eff. 8-14-97.)
27 (65 ILCS 5/11-74.4-7.1)
28 Sec. 11-74.4-7.1. After the effective date of this
29 amendatory Act of 1994 and prior to the effective date of
30 this amendatory Act of the 91st General Assembly, a
31 municipality with a population of less than 1,000,000, prior
32 to construction of a new municipal public building that
33 provides governmental services to be financed with tax
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1 increment revenues as authorized in paragraph (4) of
2 subsection (q) of Section 11-74.4-3, shall agree with the
3 affected taxing districts to pay them, to the extent tax
4 increment finance revenues are available, over the life of
5 the redevelopment project area, an amount equal to 25% of the
6 cost of the building, such payments to be paid to the taxing
7 districts in the same proportion as the most recent
8 distribution by the county collector to the affected taxing
9 districts of real property taxes from taxable real property
10 in the redevelopment project area.
11 This Section does not apply to a municipality that,
12 before March 14, 1994 (the effective date of Public Act
13 88-537), acquired or leased the land (i) upon which a new
14 municipal public building is to be constructed and (ii) for
15 which an existing redevelopment plan or a redevelopment
16 agreement includes provisions for the construction of a new
17 municipal public building.
18 (Source: P.A. 88-537; 88-688, eff. 1-24-95.)
19 (65 ILCS 5/11-74.4-8) (from Ch. 24, par. 11-74.4-8)
20 Sec. 11-74.4-8. A municipality may not adopt tax
21 increment financing in a redevelopment project area after the
22 effective date of this amendatory Act of 1997 that will
23 encompass an area that is currently included in an enterprise
24 zone created under the Illinois Enterprise Zone Act unless
25 that municipality, pursuant to Section 5.4 of the Illinois
26 Enterprise Zone Act, amends the enterprise zone designating
27 ordinance to limit the eligibility for tax abatements as
28 provided in Section 5.4.1 of the Illinois Enterprise Zone
29 Act. A municipality, at the time a redevelopment project
30 area is designated, may adopt tax increment allocation
31 financing by passing an ordinance providing that the ad
32 valorem taxes, if any, arising from the levies upon taxable
33 real property in such redevelopment project area by taxing
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1 districts and tax rates determined in the manner provided in
2 paragraph (c) of Section 11-74.4-9 each year after the
3 effective date of the ordinance until redevelopment project
4 costs and all municipal obligations financing redevelopment
5 project costs incurred under this Division have been paid
6 shall be divided as follows:
7 (a) That portion of taxes levied upon each taxable lot,
8 block, tract or parcel of real property which is attributable
9 to the lower of the current equalized assessed value or the
10 initial equalized assessed value of each such taxable lot,
11 block, tract or parcel of real property in the redevelopment
12 project area shall be allocated to and when collected shall
13 be paid by the county collector to the respective affected
14 taxing districts in the manner required by law in the absence
15 of the adoption of tax increment allocation financing.
16 (b) That portion, if any, of such taxes which is
17 attributable to the increase in the current equalized
18 assessed valuation of each taxable lot, block, tract or
19 parcel of real property in the redevelopment project area
20 over and above the initial equalized assessed value of each
21 property in the project area shall be allocated to and when
22 collected shall be paid to the municipal treasurer who shall
23 deposit said taxes into a special fund called the special tax
24 allocation fund of the municipality for the purpose of paying
25 redevelopment project costs and obligations incurred in the
26 payment thereof. In any county with a population of 3,000,000
27 or more that has adopted a procedure for collecting taxes
28 that provides for one or more of the installments of the
29 taxes to be billed and collected on an estimated basis, the
30 municipal treasurer shall be paid for deposit in the special
31 tax allocation fund of the municipality, from the taxes
32 collected from estimated bills issued for property in the
33 redevelopment project area, the difference between the amount
34 actually collected from each taxable lot, block, tract, or
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1 parcel of real property within the redevelopment project area
2 and an amount determined by multiplying the rate at which
3 taxes were last extended against the taxable lot, block,
4 track, or parcel of real property in the manner provided in
5 subsection (c) of Section 11-74.4-9 by the initial equalized
6 assessed value of the property divided by the number of
7 installments in which real estate taxes are billed and
8 collected within the county;, provided that the payments on
9 or before December 31, 1999 to a municipal treasurer shall be
10 made only if each of the following conditions are met:
11 (1) The total equalized assessed value of the
12 redevelopment project area as last determined was not
13 less than 175% of the total initial equalized assessed
14 value.
15 (2) Not more than 50% of the total equalized
16 assessed value of the redevelopment project area as last
17 determined is attributable to a piece of property
18 assigned a single real estate index number.
19 (3) The municipal clerk has certified to the county
20 clerk that the municipality has issued its obligations to
21 which there has been pledged the incremental property
22 taxes of the redevelopment project area or taxes levied
23 and collected on any or all property in the municipality
24 or the full faith and credit of the municipality to pay
25 or secure payment for all or a portion of the
26 redevelopment project costs. The certification shall be
27 filed annually no later than September 1 for the
28 estimated taxes to be distributed in the following year;
29 however, for the year 1992 the certification shall be
30 made at any time on or before March 31, 1992.
31 (4) The municipality has not requested that the
32 total initial equalized assessed value of real property
33 be adjusted as provided in subsection (b) of Section
34 11-74.4-9.
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1 The conditions of paragraphs (1) through (4) do not apply
2 after December 31, 1999 to payments to a municipal treasurer
3 made by a county with 3,000,000 or more inhabitants that has
4 adopted an estimated billing procedure for collecting taxes.
5 If a county that has adopted the estimated billing procedure
6 makes an erroneous overpayment of tax revenue to the
7 municipal treasurer, then the county may seek a refund of
8 that overpayment. The county shall send the municipal
9 treasurer a notice of liability for the overpayment on or
10 before the mailing date of the next real estate tax bill
11 within the county. The refund shall be limited to the amount
12 of the overpayment.
13 It is the intent of this Division that after the
14 effective date of this amendatory Act of 1988 a
15 municipality's own ad valorem tax arising from levies on
16 taxable real property be included in the determination of
17 incremental revenue in the manner provided in paragraph (c)
18 of Section 11-74.4-9. If the municipality does not extend
19 such a tax, it shall annually deposit in the municipality's
20 Special Tax Increment Fund an amount equal to 10% of the
21 total contributions to the fund from all other taxing
22 districts in that year. The annual 10% deposit required by
23 this paragraph shall be limited to the actual amount of
24 municipally produced incremental tax revenues available to
25 the municipality from taxpayers located in the redevelopment
26 project area in that year if: (a) the plan for the area
27 restricts the use of the property primarily to industrial
28 purposes, (b) the municipality establishing the redevelopment
29 project area is a home-rule community with a 1990 population
30 of between 25,000 and 50,000, (c) the municipality is wholly
31 located within a county with a 1990 population of over
32 750,000 and (d) the redevelopment project area was
33 established by the municipality prior to June 1, 1990. This
34 payment shall be in lieu of a contribution of ad valorem
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1 taxes on real property. If no such payment is made, any
2 redevelopment project area of the municipality shall be
3 dissolved.
4 If a municipality has adopted tax increment allocation
5 financing by ordinance and the County Clerk thereafter
6 certifies the "total initial equalized assessed value as
7 adjusted" of the taxable real property within such
8 redevelopment project area in the manner provided in
9 paragraph (b) of Section 11-74.4-9, each year after the date
10 of the certification of the total initial equalized assessed
11 value as adjusted until redevelopment project costs and all
12 municipal obligations financing redevelopment project costs
13 have been paid the ad valorem taxes, if any, arising from the
14 levies upon the taxable real property in such redevelopment
15 project area by taxing districts and tax rates determined in
16 the manner provided in paragraph (c) of Section 11-74.4-9
17 shall be divided as follows:
18 (1) That portion of the taxes levied upon each
19 taxable lot, block, tract or parcel of real property
20 which is attributable to the lower of the current
21 equalized assessed value or "current equalized assessed
22 value as adjusted" or the initial equalized assessed
23 value of each such taxable lot, block, tract, or parcel
24 of real property existing at the time tax increment
25 financing was adopted, minus the total current homestead
26 exemptions provided by Sections 15-170 and 15-175 of the
27 Property Tax Code in the redevelopment project area shall
28 be allocated to and when collected shall be paid by the
29 county collector to the respective affected taxing
30 districts in the manner required by law in the absence of
31 the adoption of tax increment allocation financing.
32 (2) That portion, if any, of such taxes which is
33 attributable to the increase in the current equalized
34 assessed valuation of each taxable lot, block, tract, or
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1 parcel of real property in the redevelopment project
2 area, over and above the initial equalized assessed value
3 of each property existing at the time tax increment
4 financing was adopted, minus the total current homestead
5 exemptions pertaining to each piece of property provided
6 by Sections 15-170 and 15-175 of the Property Tax Code in
7 the redevelopment project area, shall be allocated to and
8 when collected shall be paid to the municipal Treasurer,
9 who shall deposit said taxes into a special fund called
10 the special tax allocation fund of the municipality for
11 the purpose of paying redevelopment project costs and
12 obligations incurred in the payment thereof.
13 The municipality may pledge in the ordinance the funds in
14 and to be deposited in the special tax allocation fund for
15 the payment of such costs and obligations. No part of the
16 current equalized assessed valuation of each property in the
17 redevelopment project area attributable to any increase above
18 the total initial equalized assessed value, or the total
19 initial equalized assessed value as adjusted, of such
20 properties shall be used in calculating the general State
21 school aid formula, provided for in Section 18-8 of the
22 School Code, until such time as all redevelopment project
23 costs have been paid as provided for in this Section.
24 Whenever a municipality issues bonds for the purpose of
25 financing redevelopment project costs, such municipality may
26 provide by ordinance for the appointment of a trustee, which
27 may be any trust company within the State, and for the
28 establishment of such funds or accounts to be maintained by
29 such trustee as the municipality shall deem necessary to
30 provide for the security and payment of the bonds. If such
31 municipality provides for the appointment of a trustee, such
32 trustee shall be considered the assignee of any payments
33 assigned by the municipality pursuant to such ordinance and
34 this Section. Any amounts paid to such trustee as assignee
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1 shall be deposited in the funds or accounts established
2 pursuant to such trust agreement, and shall be held by such
3 trustee in trust for the benefit of the holders of the bonds,
4 and such holders shall have a lien on and a security interest
5 in such funds or accounts so long as the bonds remain
6 outstanding and unpaid. Upon retirement of the bonds, the
7 trustee shall pay over any excess amounts held to the
8 municipality for deposit in the special tax allocation fund.
9 When such redevelopment projects costs, including without
10 limitation all municipal obligations financing redevelopment
11 project costs incurred under this Division, have been paid,
12 all surplus funds then remaining in the special tax
13 allocation fund shall be distributed by being paid by the
14 municipal treasurer to the Department of Revenue, the
15 municipality and the county collector; first to the
16 Department of Revenue and the municipality in direct
17 proportion to the tax incremental revenue received from the
18 State and the municipality, but not to exceed the total
19 incremental revenue received from the State or the
20 municipality less any annual surplus distribution of
21 incremental revenue previously made; with any remaining funds
22 to be paid to the County Collector who shall immediately
23 thereafter pay said funds to the taxing districts in the
24 redevelopment project area in the same manner and proportion
25 as the most recent distribution by the county collector to
26 the affected districts of real property taxes from real
27 property in the redevelopment project area.
28 Upon the payment of all redevelopment project costs,
29 retirement of obligations and the distribution of any excess
30 monies pursuant to this Section, the municipality shall adopt
31 an ordinance dissolving the special tax allocation fund for
32 the redevelopment project area and terminating the
33 designation of the redevelopment project area as a
34 redevelopment project area. Municipalities shall notify
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1 affected taxing districts prior to November 1 if the
2 redevelopment project area is to be terminated by December 31
3 of that same year. If a municipality extends estimated dates
4 of completion of a redevelopment project and retirement of
5 obligations to finance a redevelopment project, as allowed by
6 this amendatory Act of 1993, that extension shall not extend
7 the property tax increment allocation financing authorized by
8 this Section. Thereafter the rates of the taxing districts
9 shall be extended and taxes levied, collected and distributed
10 in the manner applicable in the absence of the adoption of
11 tax increment allocation financing.
12 Nothing in this Section shall be construed as relieving
13 property in such redevelopment project areas from being
14 assessed as provided in the Property Tax Code or as relieving
15 owners of such property from paying a uniform rate of taxes,
16 as required by Section 4 of Article 9 of the Illinois
17 Constitution.
18 (Source: P.A. 90-258, eff. 7-30-97.)
19 (65 ILCS 5/11-74.4-8a) (from Ch. 24, par. 11-74.4-8a)
20 Sec. 11-74.4-8a. (1) Until June 1, 1988, a municipality
21 which has adopted tax increment allocation financing prior to
22 January 1, 1987, may by ordinance (1) authorize the
23 Department of Revenue, subject to appropriation, to annually
24 certify and cause to be paid from the Illinois Tax Increment
25 Fund to such municipality for deposit in the municipality's
26 special tax allocation fund an amount equal to the Net State
27 Sales Tax Increment and (2) authorize the Department of
28 Revenue to annually notify the municipality of the amount of
29 the Municipal Sales Tax Increment which shall be deposited by
30 the municipality in the municipality's special tax allocation
31 fund. Provided that for purposes of this Section no
32 amendments adding additional area to the redevelopment
33 project area which has been certified as the State Sales Tax
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1 Boundary shall be taken into account if such amendments are
2 adopted by the municipality after January 1, 1987. If an
3 amendment is adopted which decreases the area of a State
4 Sales Tax Boundary, the municipality shall update the list
5 required by subsection (3)(a) of this Section. The Retailers'
6 Occupation Tax liability, Use Tax liability, Service
7 Occupation Tax liability and Service Use Tax liability for
8 retailers and servicemen located within the disconnected area
9 shall be excluded from the base from which tax increments are
10 calculated and the revenue from any such retailer or
11 serviceman shall not be included in calculating incremental
12 revenue payable to the municipality. A municipality adopting
13 an ordinance under this subsection (1) of this Section for a
14 redevelopment project area which is certified as a State
15 Sales Tax Boundary shall not be entitled to payments of State
16 taxes authorized under subsection (2) of this Section for the
17 same redevelopment project area. Nothing herein shall be
18 construed to prevent a municipality from receiving payment of
19 State taxes authorized under subsection (2) of this Section
20 for a separate redevelopment project area that does not
21 overlap in any way with the State Sales Tax Boundary
22 receiving payments of State taxes pursuant to subsection (1)
23 of this Section.
24 A certified copy of such ordinance shall be submitted by
25 the municipality to the Department of Commerce and Community
26 Affairs and the Department of Revenue not later than 30 days
27 after the effective date of the ordinance. Upon submission
28 of the ordinances, and the information required pursuant to
29 subsection 3 of this Section, the Department of Revenue shall
30 promptly determine the amount of such taxes paid under the
31 Retailers' Occupation Tax Act, Use Tax Act, Service Use Tax
32 Act, the Service Occupation Tax Act, the Municipal Retailers'
33 Occupation Tax Act and the Municipal Service Occupation Tax
34 Act by retailers and servicemen on transactions at places
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1 located in the redevelopment project area during the base
2 year, and shall certify all the foregoing "initial sales tax
3 amounts" to the municipality within 60 days of submission of
4 the list required of subsection (3)(a) of this Section.
5 If a retailer or serviceman with a place of business
6 located within a redevelopment project area also has one or
7 more other places of business within the municipality but
8 outside the redevelopment project area, the retailer or
9 serviceman shall, upon request of the Department of Revenue,
10 certify to the Department of Revenue the amount of taxes paid
11 pursuant to the Retailers' Occupation Tax Act, the Municipal
12 Retailers' Occupation Tax Act, the Service Occupation Tax Act
13 and the Municipal Service Occupation Tax Act at each place of
14 business which is located within the redevelopment project
15 area in the manner and for the periods of time requested by
16 the Department of Revenue.
17 When the municipality determines that a portion of an
18 increase in the aggregate amount of taxes paid by retailers
19 and servicemen under the Retailers' Occupation Tax Act, Use
20 Tax Act, Service Use Tax Act, or the Service Occupation Tax
21 Act is the result of a retailer or serviceman initiating
22 retail or service operations in the redevelopment project
23 area by such retailer or serviceman with a resulting
24 termination of retail or service operations by such retailer
25 or serviceman at another location in Illinois in the standard
26 metropolitan statistical area of such municipality, the
27 Department of Revenue shall be notified that the retailers
28 occupation tax liability, use tax liability, service
29 occupation tax liability, or service use tax liability from
30 such retailer's or serviceman's terminated operation shall be
31 included in the base Initial Sales Tax Amounts from which the
32 State Sales Tax Increment is calculated for purposes of State
33 payments to the affected municipality; provided, however, for
34 purposes of this paragraph "termination" shall mean a closing
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1 of a retail or service operation which is directly related to
2 the opening of the same retail or service operation in a
3 redevelopment project area which is included within a State
4 Sales Tax Boundary, but it shall not include retail or
5 service operations closed for reasons beyond the control of
6 the retailer or serviceman, as determined by the Department.
7 If the municipality makes the determination referred to in
8 the prior paragraph and notifies the Department and if the
9 relocation is from a location within the municipality, the
10 Department, at the request of the municipality, shall adjust
11 the certified aggregate amount of taxes that constitute the
12 Municipal Sales Tax Increment paid by retailers and
13 servicemen on transactions at places of business located
14 within the State Sales Tax Boundary during the base year
15 using the same procedures as are employed to make the
16 adjustment referred to in the prior paragraph. The adjusted
17 Municipal Sales Tax Increment calculated by the Department
18 shall be sufficient to satisfy the requirements of subsection
19 (1) of this Section.
20 When a municipality which has adopted tax increment
21 allocation financing in 1986 determines that a portion of the
22 aggregate amount of taxes paid by retailers and servicemen
23 under the Retailers Occupation Tax Act, Use Tax Act, Service
24 Use Tax Act, or Service Occupation Tax Act, the Municipal
25 Retailers' Occupation Tax Act and the Municipal Service
26 Occupation Tax Act, includes revenue of a retailer or
27 serviceman which terminated retailer or service operations in
28 1986, prior to the adoption of tax increment allocation
29 financing, the Department of Revenue shall be notified by
30 such municipality that the retailers' occupation tax
31 liability, use tax liability, service occupation tax
32 liability or service use tax liability, from such retailer's
33 or serviceman's terminated operations shall be excluded from
34 the Initial Sales Tax Amounts for such taxes. The revenue
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1 from any such retailer or serviceman which is excluded from
2 the base year under this paragraph, shall not be included in
3 calculating incremental revenues if such retailer or
4 serviceman reestablishes such business in the redevelopment
5 project area.
6 For State fiscal year 1992, the Department of Revenue
7 shall budget, and the Illinois General Assembly shall
8 appropriate from the Illinois Tax Increment Fund in the State
9 treasury, an amount not to exceed $18,000,000 to pay to each
10 eligible municipality the Net State Sales Tax Increment to
11 which such municipality is entitled.
12 Beginning on January 1, 1993, each municipality's
13 proportional share of the Illinois Tax Increment Fund shall
14 be determined by adding the annual Net State Sales Tax
15 Increment and the annual Net Utility Tax Increment to
16 determine the Annual Total Increment. The ratio of the Annual
17 Total Increment of each municipality to the Annual Total
18 Increment for all municipalities, as most recently calculated
19 by the Department, shall determine the proportional shares of
20 the Illinois Tax Increment Fund to be distributed to each
21 municipality.
22 Beginning in October, 1993, and each January, April, July
23 and October thereafter, the Department of Revenue shall
24 certify to the Treasurer and the Comptroller the amounts
25 payable quarter annually during the fiscal year to each
26 municipality under this Section. The Comptroller shall
27 promptly then draw warrants, ordering the State Treasurer to
28 pay such amounts from the Illinois Tax Increment Fund in the
29 State treasury.
30 The Department of Revenue shall utilize the same periods
31 established for determining State Sales Tax Increment to
32 determine the Municipal Sales Tax Increment for the area
33 within a State Sales Tax Boundary and certify such amounts to
34 such municipal treasurer who shall transfer such amounts to
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1 the special tax allocation fund.
2 The provisions of this subsection (1) do not apply to
3 additional municipal retailers' occupation or service
4 occupation taxes imposed by municipalities using their home
5 rule powers or imposed pursuant to Sections 8-11-1.3,
6 8-11-1.4 and 8-11-1.5 of this Act. A municipality shall not
7 receive from the State any share of the Illinois Tax
8 Increment Fund unless such municipality deposits all its
9 Municipal Sales Tax Increment and the local incremental real
10 property tax revenues, as provided herein, into the
11 appropriate special tax allocation fund. A municipality
12 located within an economic development project area created
13 under the County Economic Development Project Area Property
14 Tax Allocation Act which has abated any portion of its
15 property taxes which otherwise would have been deposited in
16 its special tax allocation fund shall not receive from the
17 State the Net Sales Tax Increment.
18 (2) A municipality which has adopted tax increment
19 allocation financing with regard to an industrial park or
20 industrial park conservation area, prior to January 1, 1988,
21 may by ordinance authorize the Department of Revenue to
22 annually certify and pay from the Illinois Tax Increment Fund
23 to such municipality for deposit in the municipality's
24 special tax allocation fund an amount equal to the Net State
25 Utility Tax Increment. Provided that for purposes of this
26 Section no amendments adding additional area to the
27 redevelopment project area shall be taken into account if
28 such amendments are adopted by the municipality after January
29 1, 1988. Municipalities adopting an ordinance under this
30 subsection (2) of this Section for a redevelopment project
31 area shall not be entitled to payment of State taxes
32 authorized under subsection (1) of this Section for the same
33 redevelopment project area which is within a State Sales Tax
34 Boundary. Nothing herein shall be construed to prevent a
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1 municipality from receiving payment of State taxes authorized
2 under subsection (1) of this Section for a separate
3 redevelopment project area within a State Sales Tax Boundary
4 that does not overlap in any way with the redevelopment
5 project area receiving payments of State taxes pursuant to
6 subsection (2) of this Section.
7 A certified copy of such ordinance shall be submitted to
8 the Department of Commerce and Community Affairs and the
9 Department of Revenue not later than 30 days after the
10 effective date of the ordinance.
11 When a municipality determines that a portion of an
12 increase in the aggregate amount of taxes paid by industrial
13 or commercial facilities under the Public Utilities Act, is
14 the result of an industrial or commercial facility initiating
15 operations in the redevelopment project area with a resulting
16 termination of such operations by such industrial or
17 commercial facility at another location in Illinois, the
18 Department of Revenue shall be notified by such municipality
19 that such industrial or commercial facility's liability under
20 the Public Utility Tax Act shall be included in the base from
21 which tax increments are calculated for purposes of State
22 payments to the affected municipality.
23 After receipt of the calculations by the public utility
24 as required by subsection (4) of this Section, the Department
25 of Revenue shall annually budget and the Illinois General
26 Assembly shall annually appropriate from the General Revenue
27 Fund through State Fiscal Year 1989, and thereafter from the
28 Illinois Tax Increment Fund, an amount sufficient to pay to
29 each eligible municipality the amount of incremental revenue
30 attributable to State electric and gas taxes as reflected by
31 the charges imposed on persons in the project area to which
32 such municipality is entitled by comparing the preceding
33 calendar year with the base year as determined by this
34 Section. Beginning on January 1, 1993, each municipality's
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1 proportional share of the Illinois Tax Increment Fund shall
2 be determined by adding the annual Net State Utility Tax
3 Increment and the annual Net Utility Tax Increment to
4 determine the Annual Total Increment. The ratio of the Annual
5 Total Increment of each municipality to the Annual Total
6 Increment for all municipalities, as most recently calculated
7 by the Department, shall determine the proportional shares of
8 the Illinois Tax Increment Fund to be distributed to each
9 municipality.
10 A municipality shall not receive any share of the
11 Illinois Tax Increment Fund from the State unless such
12 municipality imposes the maximum municipal charges authorized
13 pursuant to Section 9-221 of the Public Utilities Act and
14 deposits all municipal utility tax incremental revenues as
15 certified by the public utilities, and all local real estate
16 tax increments into such municipality's special tax
17 allocation fund.
18 (3) Within 30 days after the adoption of the ordinance
19 required by either subsection (1) or subsection (2) of this
20 Section, the municipality shall transmit to the Department of
21 Commerce and Community Affairs and the Department of Revenue
22 the following:
23 (a) if applicable, a certified copy of the
24 ordinance required by subsection (1) accompanied by a
25 complete list of street names and the range of street
26 numbers of each street located within the redevelopment
27 project area for which payments are to be made under this
28 Section in both the base year and in the year preceding
29 the payment year; and the addresses of persons registered
30 with the Department of Revenue; and, the name under which
31 each such retailer or serviceman conducts business at
32 that address, if different from the corporate name; and
33 the Illinois Business Tax Number of each such person (The
34 municipality shall update this list in the event of a
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1 revision of the redevelopment project area, or the
2 opening or closing or name change of any street or part
3 thereof in the redevelopment project area, or if the
4 Department of Revenue informs the municipality of an
5 addition or deletion pursuant to the monthly updates
6 given by the Department.);
7 (b) if applicable, a certified copy of the
8 ordinance required by subsection (2) accompanied by a
9 complete list of street names and range of street numbers
10 of each street located within the redevelopment project
11 area, the utility customers in the project area, and the
12 utilities serving the redevelopment project areas;
13 (c) certified copies of the ordinances approving
14 the redevelopment plan and designating the redevelopment
15 project area;
16 (d) a copy of the redevelopment plan as approved by
17 the municipality;
18 (e) an opinion of legal counsel that the
19 municipality had complied with the requirements of this
20 Act; and
21 (f) a certification by the chief executive officer
22 of the municipality that with regard to a redevelopment
23 project area: (1) the municipality has committed all of
24 the municipal tax increment created pursuant to this Act
25 for deposit in the special tax allocation fund, (2) the
26 redevelopment projects described in the redevelopment
27 plan would not be completed without the use of State
28 incremental revenues pursuant to this Act, (3) the
29 municipality will pursue the implementation of the
30 redevelopment plan in an expeditious manner, (4) the
31 incremental revenues created pursuant to this Section
32 will be exclusively utilized for the development of the
33 redevelopment project area, and (5) the increased revenue
34 created pursuant to this Section shall be used
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1 exclusively to pay redevelopment project costs as defined
2 in this Act.
3 (4) The Department of Revenue upon receipt of the
4 information set forth in paragraph (b) of subsection (3)
5 shall immediately forward such information to each public
6 utility furnishing natural gas or electricity to buildings
7 within the redevelopment project area. Upon receipt of such
8 information, each public utility shall promptly:
9 (a) provide to the Department of Revenue and the
10 municipality separate lists of the names and addresses of
11 persons within the redevelopment project area receiving
12 natural gas or electricity from such public utility.
13 Such list shall be updated as necessary by the public
14 utility. Each month thereafter the public utility shall
15 furnish the Department of Revenue and the municipality
16 with an itemized listing of charges imposed pursuant to
17 Sections 9-221 and 9-222 of the Public Utilities Act on
18 persons within the redevelopment project area.
19 (b) determine the amount of charges imposed
20 pursuant to Sections 9-221 and 9-222 of the Public
21 Utilities Act on persons in the redevelopment project
22 area during the base year, both as a result of municipal
23 taxes on electricity and gas and as a result of State
24 taxes on electricity and gas and certify such amounts
25 both to the municipality and the Department of Revenue;
26 and
27 (c) determine the amount of charges imposed
28 pursuant to Sections 9-221 and 9-222 of the Public
29 Utilities Act on persons in the redevelopment project
30 area on a monthly basis during the base year, both as a
31 result of State and municipal taxes on electricity and
32 gas and certify such separate amounts both to the
33 municipality and the Department of Revenue.
34 After the determinations are made in paragraphs (b) and
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1 (c), the public utility shall monthly during the existence of
2 the redevelopment project area notify the Department of
3 Revenue and the municipality of any increase in charges over
4 the base year determinations made pursuant to paragraphs (b)
5 and (c).
6 (5) The payments authorized under this Section shall be
7 deposited by the municipal treasurer in the special tax
8 allocation fund of the municipality, which for accounting
9 purposes shall identify the sources of each payment as:
10 municipal receipts from the State retailers occupation,
11 service occupation, use and service use taxes; and municipal
12 public utility taxes charged to customers under the Public
13 Utilities Act and State public utility taxes charged to
14 customers under the Public Utilities Act.
15 (6) Before the effective date of this amendatory Act of
16 the 91st General Assembly, any municipality receiving
17 payments authorized under this Section for any redevelopment
18 project area or area within a State Sales Tax Boundary within
19 the municipality shall submit to the Department of Revenue
20 and to the taxing districts which are sent the notice
21 required by Section 6 of this Act annually within 180 days
22 after the close of each municipal fiscal year the following
23 information for the immediately preceding fiscal year:
24 (a) Any amendments to the redevelopment plan, the
25 redevelopment project area, or the State Sales Tax
26 Boundary.
27 (b) Audited financial statements of the special tax
28 allocation fund.
29 (c) Certification of the Chief Executive Officer of
30 the municipality that the municipality has complied with
31 all of the requirements of this Act during the preceding
32 fiscal year.
33 (d) An opinion of legal counsel that the
34 municipality is in compliance with this Act.
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1 (e) An analysis of the special tax allocation fund
2 which sets forth:
3 (1) the balance in the special tax allocation
4 fund at the beginning of the fiscal year;
5 (2) all amounts deposited in the special tax
6 allocation fund by source;
7 (3) all expenditures from the special tax
8 allocation fund by category of permissible
9 redevelopment project cost; and
10 (4) the balance in the special tax allocation
11 fund at the end of the fiscal year including a
12 breakdown of that balance by source. Such ending
13 balance shall be designated as surplus if it is not
14 required for anticipated redevelopment project costs
15 or to pay debt service on bonds issued to finance
16 redevelopment project costs, as set forth in Section
17 11-74.4-7 hereof.
18 (f) A description of all property purchased by the
19 municipality within the redevelopment project area
20 including
21 1. Street address
22 2. Approximate size or description of property
23 3. Purchase price
24 4. Seller of property.
25 (g) A statement setting forth all activities
26 undertaken in furtherance of the objectives of the
27 redevelopment plan, including:
28 1. Any project implemented in the preceding
29 fiscal year
30 2. A description of the redevelopment
31 activities undertaken
32 3. A description of any agreements entered
33 into by the municipality with regard to the
34 disposition or redevelopment of any property within
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1 the redevelopment project area or the area within
2 the State Sales Tax Boundary.
3 (h) With regard to any obligations issued by the
4 municipality:
5 1. copies of bond ordinances or resolutions
6 2. copies of any official statements
7 3. an analysis prepared by financial advisor
8 or underwriter setting forth: (a) nature and term of
9 obligation; and (b) projected debt service including
10 required reserves and debt coverage.
11 (i) A certified audit report reviewing compliance
12 with this statute performed by an independent public
13 accountant certified and licensed by the authority of the
14 State of Illinois. The financial portion of the audit
15 must be conducted in accordance with Standards for Audits
16 of Governmental Organizations, Programs, Activities, and
17 Functions adopted by the Comptroller General of the
18 United States (1981), as amended. The audit report shall
19 contain a letter from the independent certified public
20 accountant indicating compliance or noncompliance with
21 the requirements of subsection (q) of Section 11-74.4-3.
22 If the audit indicates that expenditures are not in
23 compliance with the law, the Department of Revenue shall
24 withhold State sales and utility tax increment payments
25 to the municipality until compliance has been reached,
26 and an amount equal to the ineligible expenditures has
27 been returned to the Special Tax Allocation Fund.
28 (6.1) After July 29, 1988 and before the effective date
29 of this amendatory Act of the 91st General Assembly, any
30 funds which have not been designated for use in a specific
31 development project in the annual report shall be designated
32 as surplus. No funds may be held in the Special Tax
33 Allocation Fund for more than 36 months from the date of
34 receipt unless the money is required for payment of
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1 contractual obligations for specific development project
2 costs. If held for more than 36 months in violation of the
3 preceding sentence, such funds shall be designated as
4 surplus. Any funds designated as surplus must first be used
5 for early redemption of any bond obligations. Any funds
6 designated as surplus which are not disposed of as otherwise
7 provided in this paragraph, shall be distributed as surplus
8 as provided in Section 11-74.4-7.
9 (7) Any appropriation made pursuant to this Section for
10 the 1987 State fiscal year shall not exceed the amount of $7
11 million and for the 1988 State fiscal year the amount of $10
12 million. The amount which shall be distributed to each
13 municipality shall be the incremental revenue to which each
14 municipality is entitled as calculated by the Department of
15 Revenue, unless the requests of the municipality exceed the
16 appropriation, then the amount to which each municipality
17 shall be entitled shall be prorated among the municipalities
18 in the same proportion as the increment to which the
19 municipality would be entitled bears to the total increment
20 which all municipalities would receive in the absence of this
21 limitation, provided that no municipality may receive an
22 amount in excess of 15% of the appropriation. For the 1987
23 Net State Sales Tax Increment payable in Fiscal Year 1989, no
24 municipality shall receive more than 7.5% of the total
25 appropriation; provided, however, that any of the
26 appropriation remaining after such distribution shall be
27 prorated among municipalities on the basis of their pro rata
28 share of the total increment. Beginning on January 1, 1993,
29 each municipality's proportional share of the Illinois Tax
30 Increment Fund shall be determined by adding the annual Net
31 State Sales Tax Increment and the annual Net Utility Tax
32 Increment to determine the Annual Total Increment. The ratio
33 of the Annual Total Increment of each municipality to the
34 Annual Total Increment for all municipalities, as most
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1 recently calculated by the Department, shall determine the
2 proportional shares of the Illinois Tax Increment Fund to be
3 distributed to each municipality.
4 (7.1) No distribution of Net State Sales Tax Increment
5 to a municipality for an area within a State Sales Tax
6 Boundary shall exceed in any State Fiscal Year an amount
7 equal to 3 times the sum of the Municipal Sales Tax
8 Increment, the real property tax increment and deposits of
9 funds from other sources, excluding state and federal funds,
10 as certified by the city treasurer to the Department of
11 Revenue for an area within a State Sales Tax Boundary. After
12 July 29, 1988, for those municipalities which issue bonds
13 between June 1, 1988 and 3 years from July 29, 1988 to
14 finance redevelopment projects within the area in a State
15 Sales Tax Boundary, the distribution of Net State Sales Tax
16 Increment during the 16th through 20th years from the date of
17 issuance of the bonds shall not exceed in any State Fiscal
18 Year an amount equal to 2 times the sum of the Municipal
19 Sales Tax Increment, the real property tax increment and
20 deposits of funds from other sources, excluding State and
21 federal funds.
22 (8) Any person who knowingly files or causes to be filed
23 false information for the purpose of increasing the amount of
24 any State tax incremental revenue commits a Class A
25 misdemeanor.
26 (9) The following procedures shall be followed to
27 determine whether municipalities have complied with the Act
28 for the purpose of receiving distributions after July 1, 1989
29 pursuant to subsection (1) of this Section 11-74.4-8a.
30 (a) The Department of Revenue shall conduct a
31 preliminary review of the redevelopment project areas and
32 redevelopment plans pertaining to those municipalities
33 receiving payments from the State pursuant to subsection
34 (1) of Section 8a of this Act for the purpose of
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1 determining compliance with the following standards:
2 (1) For any municipality with a population of
3 more than 12,000 as determined by the 1980 U.S.
4 Census: (a) the redevelopment project area, or in
5 the case of a municipality which has more than one
6 redevelopment project area, each such area, must be
7 contiguous and the total of all such areas shall not
8 comprise more than 25% of the area within the
9 municipal boundaries nor more than 20% of the
10 equalized assessed value of the municipality; (b)
11 the aggregate amount of 1985 taxes in the
12 redevelopment project area, or in the case of a
13 municipality which has more than one redevelopment
14 project area, the total of all such areas, shall be
15 not more than 25% of the total base year taxes paid
16 by retailers and servicemen on transactions at
17 places of business located within the municipality
18 under the Retailers' Occupation Tax Act, the Use Tax
19 Act, the Service Use Tax Act, and the Service
20 Occupation Tax Act. Redevelopment project areas
21 created prior to 1986 are not subject to the above
22 standards if their boundaries were not amended in
23 1986.
24 (2) For any municipality with a population of
25 12,000 or less as determined by the 1980 U.S.
26 Census: (a) the redevelopment project area, or in
27 the case of a municipality which has more than one
28 redevelopment project area, each such area, must be
29 contiguous and the total of all such areas shall not
30 comprise more than 35% of the area within the
31 municipal boundaries nor more than 30% of the
32 equalized assessed value of the municipality; (b)
33 the aggregate amount of 1985 taxes in the
34 redevelopment project area, or in the case of a
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1 municipality which has more than one redevelopment
2 project area, the total of all such areas, shall not
3 be more than 35% of the total base year taxes paid
4 by retailers and servicemen on transactions at
5 places of business located within the municipality
6 under the Retailers' Occupation Tax Act, the Use Tax
7 Act, the Service Use Tax Act, and the Service
8 Occupation Tax Act. Redevelopment project areas
9 created prior to 1986 are not subject to the above
10 standards if their boundaries were not amended in
11 1986.
12 (3) Such preliminary review of the
13 redevelopment project areas applying the above
14 standards shall be completed by November 1, 1988,
15 and on or before November 1, 1988, the Department
16 shall notify each municipality by certified mail,
17 return receipt requested that either (1) the
18 Department requires additional time in which to
19 complete its preliminary review; or (2) the
20 Department is issuing either (a) a Certificate of
21 Eligibility or (b) a Notice of Review. If the
22 Department notifies a municipality that it requires
23 additional time to complete its preliminary
24 investigation, it shall complete its preliminary
25 investigation no later than February 1, 1989, and by
26 February 1, 1989 shall issue to each municipality
27 either (a) a Certificate of Eligibility or (b) a
28 Notice of Review. A redevelopment project area for
29 which a Certificate of Eligibility has been issued
30 shall be deemed a "State Sales Tax Boundary."
31 (4) The Department of Revenue shall also issue
32 a Notice of Review if the Department has received a
33 request by November 1, 1988 to conduct such a review
34 from taxpayers in the municipality, local taxing
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1 districts located in the municipality or the State
2 of Illinois, or if the redevelopment project area
3 has more than 5 retailers and has had growth in
4 State sales tax revenue of more than 15% from
5 calendar year 1985 to 1986.
6 (b) For those municipalities receiving a Notice of
7 Review, the Department will conduct a secondary review
8 consisting of: (i) application of the above standards
9 contained in subsection (9)(a)(1)(a) and (b) or
10 (9)(a)(2)(a) and (b), and (ii) the definitions of
11 blighted and conservation area provided for in Section
12 11-74.4-3. Such secondary review shall be completed by
13 July 1, 1989.
14 Upon completion of the secondary review, the
15 Department will issue (a) a Certificate of Eligibility or
16 (b) a Preliminary Notice of Deficiency. Any municipality
17 receiving a Preliminary Notice of Deficiency may amend
18 its redevelopment project area to meet the standards and
19 definitions set forth in this paragraph (b). This amended
20 redevelopment project area shall become the "State Sales
21 Tax Boundary" for purposes of determining the State Sales
22 Tax Increment.
23 (c) If the municipality advises the Department of
24 its intent to comply with the requirements of paragraph
25 (b) of this subsection outlined in the Preliminary Notice
26 of Deficiency, within 120 days of receiving such notice
27 from the Department, the municipality shall submit
28 documentation to the Department of the actions it has
29 taken to cure any deficiencies. Thereafter, within 30
30 days of the receipt of the documentation, the Department
31 shall either issue a Certificate of Eligibility or a
32 Final Notice of Deficiency. If the municipality fails to
33 advise the Department of its intent to comply or fails to
34 submit adequate documentation of such cure of
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1 deficiencies the Department shall issue a Final Notice of
2 Deficiency that provides that the municipality is
3 ineligible for payment of the Net State Sales Tax
4 Increment.
5 (d) If the Department issues a final determination
6 of ineligibility, the municipality shall have 30 days
7 from the receipt of determination to protest and request
8 a hearing. Such hearing shall be conducted in accordance
9 with Sections 10-25, 10-35, 10-40, and 10-50 of the
10 Illinois Administrative Procedure Act. The decision
11 following the hearing shall be subject to review under
12 the Administrative Review Law.
13 (e) Any Certificate of Eligibility issued pursuant
14 to this subsection 9 shall be binding only on the State
15 for the purposes of establishing municipal eligibility to
16 receive revenue pursuant to subsection (1) of this
17 Section 11-74.4-8a.
18 (f) It is the intent of this subsection that the
19 periods of time to cure deficiencies shall be in addition
20 to all other periods of time permitted by this Section,
21 regardless of the date by which plans were originally
22 required to be adopted. To cure said deficiencies,
23 however, the municipality shall be required to follow the
24 procedures and requirements pertaining to amendments, as
25 provided in Sections 11-74.4-5 and 11-74.4-6 of this Act.
26 (10) If a municipality adopts a State Sales Tax Boundary
27 in accordance with the provisions of subsection (9) of this
28 Section, such boundaries shall subsequently be utilized to
29 determine Revised Initial Sales Tax Amounts and the Net State
30 Sales Tax Increment; provided, however, that such revised
31 State Sales Tax Boundary shall not have any effect upon the
32 boundary of the redevelopment project area established for
33 the purposes of determining the ad valorem taxes on real
34 property pursuant to Sections 11-74.4-7 and 11-74.4-8 of this
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1 Act nor upon the municipality's authority to implement the
2 redevelopment plan for that redevelopment project area. For
3 any redevelopment project area with a smaller State Sales Tax
4 Boundary within its area, the municipality may annually elect
5 to deposit the Municipal Sales Tax Increment for the
6 redevelopment project area in the special tax allocation fund
7 and shall certify the amount to the Department prior to
8 receipt of the Net State Sales Tax Increment. Any
9 municipality required by subsection (9) to establish a State
10 Sales Tax Boundary for one or more of its redevelopment
11 project areas shall submit all necessary information required
12 by the Department concerning such boundary and the retailers
13 therein, by October 1, 1989, after complying with the
14 procedures for amendment set forth in Sections 11-74.4-5 and
15 11-74.4-6 of this Act. Net State Sales Tax Increment
16 produced within the State Sales Tax Boundary shall be spent
17 only within that area. However expenditures of all municipal
18 property tax increment and municipal sales tax increment in a
19 redevelopment project area are not required to be spent
20 within the smaller State Sales Tax Boundary within such
21 redevelopment project area.
22 (11) The Department of Revenue shall have the authority
23 to issue rules and regulations for purposes of this Section.
24 and regulations for purposes of this Section.
25 (12) If, under Section 5.4.1 of the Illinois Enterprise
26 Zone Act, a municipality determines that property that lies
27 within a State Sales Tax Boundary has an improvement,
28 rehabilitation, or renovation that is entitled to a property
29 tax abatement, then that property along with any
30 improvements, rehabilitation, or renovations shall be
31 immediately removed from any State Sales Tax Boundary. The
32 municipality that made the determination shall notify the
33 Department of Revenue within 30 days after the determination.
34 Once a property is removed from the State Sales Tax Boundary
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1 because of the existence of a property tax abatement
2 resulting from an enterprise zone, then that property shall
3 not be permitted to be amended into a State Sales Tax
4 Boundary.
5 (Source: P.A. 90-258, eff. 7-30-97.)
6 Section 90. The State Mandates Act is amended by adding
7 Section 8.23 as follows:
8 (30 ILCS 805/8.23 new)
9 Sec. 8.23. Exempt mandate. Notwithstanding Sections 6
10 and 8 of this Act, no reimbursement by the State is required
11 for the implementation of any mandate created by this
12 amendatory Act of the 91st General Assembly.
13 Section 99. Effective date. This Act takes effect on
14 the first day of the third month after becoming law.".