Bill Amendment: IL HB5166 | 2025-2026 | 104th General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: DISSOLVE SPECIAL DISTRICTS ACT

Status: 2026-05-21 - Added as Alternate Chief Co-Sponsor Sen. Chris Balkema [HB5166 Detail]

Download: Illinois-2025-HB5166-House_Amendment_002.html

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Rep. Lawrence "Larry" Walsh, Jr.

Filed: 4/14/2026

 

 

 

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AMENDMENT TO HOUSE BILL 5166
AMENDMENT NO. ______. Amend House Bill 5166, AS AMENDED,
by replacing everything after the enacting clause with the
following:
"Section 5. The Illinois Drainage Code is amended by
adding Section 10-3.5 as follows:
(70 ILCS 605/10-3.5 new)
Sec. 10-3.5. Dissolution of sanitary districts having more
than 650,000 but fewer than 1,000,000 inhabitants.
(a) As used in this Section:
"Date of dissolution" means the date that a dissolving
district is dissolved.
"Dissolving district" means a district proposed to be
dissolved under this Section.
"Governing body" includes, but is not limited to, the
board of a special district, the corporate authorities of a

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municipality, the township board of a township, and the county
board of a county.
"Receiving unit of local government" means the unit of
local government receiving the rights, duties, and liabilities
of a district proposed to be dissolved under this Section.
(b) In addition to other methods of dissolution provided
in this Code, a district having more than 650,000 but fewer
than 1,000,000 inhabitants shall be dissolved upon the
affirmative vote of:
(1) a majority of the commissioners of a district to
dissolve the district on a specified date of dissolution
and transfer the district's rights, duties, and
liabilities to a receiving unit of local government on or
before a specified date of dissolution; and
(2) a majority of the governing body of the receiving
unit of local government to receive the rights, duties,
and liabilities of the dissolving district on or before a
specified date of dissolution.
(c) On or before the date of dissolution, all real and
personal property, and any other assets, together with all
personnel, contractual obligations, and liabilities of the
dissolving district shall be transferred to the receiving unit
of local government.
(d) On the date of dissolution, the dissolving district is
dissolved.
(e) On and after the date of dissolution, all rights and

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duties of the dissolving district may be exercised by the
receiving unit of local government.
(f) Before the date of dissolution, the receiving unit of
local government shall submit a service continuation plan
confirming that the receiving unit of local government has the
resources to continue providing the services provided by the
dissolving district.
(g) In addition to the requirements of any other law
providing for the discontinuation or change to a tax imposed
within a special district, within 30 days of the date of
dissolution of the dissolving district, the dissolving
district must provide to the Department of Revenue and the
county or counties in which property is located and in which
taxes are levied or extended by or for the dissolving district
a certified copy of the ordinance or resolution adopted by the
governing body of the dissolving district that dissolved the
dissolving district and transferred the dissolving district's
rights, duties, and liabilities to a receiving unit of local
government.
(h) In addition to the requirements of any other law
providing for the discontinuation or change to a tax imposed
within a special district, within 30 days of the date that a
receiving unit of local government will receive the rights,
duties, and liabilities of a dissolving district, the
receiving unit of local government must provide to the
Department of Revenue and the county or counties in which

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property is located and in which taxes are levied or extended
by or for the dissolving district a certified copy of the
ordinance or resolution adopted by the governing body of the
receiving unit of local government that approved of the
receipt, acceptance, and assumption of the rights, duties, and
liabilities of the dissolving district.
Section 10. The Sanitary District Act of 1936 is amended
by adding Section 33.2 as follows:
(70 ILCS 2805/33.2 new)
Sec. 33.2. Dissolution of sanitary districts having more
than 650,000 but fewer than 1,000,000 inhabitants.
(a) As used in this Section:
"Date of dissolution" means the date that a dissolving
sanitary district is dissolved.
"Dissolving sanitary district" means the sanitary district
proposed to be dissolved under this Section.
"Governing body" includes, but is not limited to, the
board of a sanitary district, the corporate authorities of a
municipality, the township board of a township, and the county
board of a county.
"Receiving unit of local government" means the unit of
local government receiving the rights, duties, and liabilities
of the sanitary district proposed to be dissolved under this
Section.

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(b) In addition to other methods of dissolution provided
in this Act, a sanitary district organized under this Act
having more than 650,000 but fewer than 1,000,000 inhabitants
shall be dissolved upon the affirmative vote of:
(1) a majority of the governing body of the dissolving
sanitary district to dissolve the sanitary district on a
specified date of dissolution and transfer the sanitary
district's rights, duties, and liabilities to a receiving
unit of local government on or before a specified date of
dissolution; and
(2) a majority of the governing body of the receiving
unit of local government to receive the rights, duties,
and liabilities of the dissolving sanitary district on or
before a specified date of dissolution.
(c) On or before the date of dissolution, all real and
personal property, and any other assets, together with all
personnel, contractual obligations, and liabilities of the
dissolving sanitary district shall be transferred to the
receiving unit of local government.
(d) On the date of dissolution, the dissolving sanitary
district is dissolved.
(e) On and after the date of dissolution, all rights and
duties of the dissolving sanitary district may be exercised by
the receiving unit of local government.
(f) Before the date of dissolution, the receiving unit of
local government shall submit a service continuation plan

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confirming that the receiving unit of local government has the
resources to continue providing the services provided by the
dissolving sanitary district.
(g) In addition to the requirements of any other law
providing for the discontinuation or change to a tax imposed
within a special district, within 30 days of the date of
dissolution of the dissolving district, the dissolving
district must provide to the Department of Revenue and the
county or counties in which property is located and in which
taxes are levied or extended by or for the dissolving district
a certified copy of the ordinance or resolution adopted by the
governing body of the dissolving district that dissolved the
dissolving district and transferred the dissolving district's
rights, duties, and liabilities to a receiving unit of local
government.
(h) In addition to the requirements of any other law
providing for the discontinuation or change to a tax imposed
within a special district, within 30 days of the date that a
receiving unit of local government will receive the rights,
duties, and liabilities of a dissolving district, the
receiving unit of local government must provide to the
Department of Revenue and the county or counties in which
property is located and in which taxes are levied or extended
by or for the dissolving district a certified copy of the
ordinance or resolution adopted by the governing body of the
receiving unit of local government that approved of the

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receipt, acceptance, and assumption of the rights, duties, and
liabilities of the dissolving district.
Section 99. Effective date. This Act takes effect upon
becoming law.".