Bill Text: IL HB0320 | 2019-2020 | 101st General Assembly | Introduced


Bill Title: Amends the Property Tax Code. Provides that, beginning with the 2019 levy year, the Property Tax Extension Limitation Law applies to all taxing districts, including home rule units. Provides that, for the 2019 levy year, the limiting rate under the Property Tax Extension Limitation Law shall be calculated by reducing the district's 2016 aggregate extension by 5%. Provides that, for the 2020 levy year, the limiting rate under the Property Tax Extension Limitation Law shall be calculated by reducing the district's 2018 aggregate extension by 10%. Provides that, beginning with the 2021 levy year, the extension limitation is 0%. Preempts home rule. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.

Spectrum: Bipartisan Bill

Status: (Introduced) 2019-03-29 - Rule 19(a) / Re-referred to Rules Committee [HB0320 Detail]

Download: Illinois-2019-HB0320-Introduced.html


101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB0320

Introduced , by Rep. David McSweeney

SYNOPSIS AS INTRODUCED:
35 ILCS 200/18-185
35 ILCS 200/18-205
35 ILCS 200/18-212
35 ILCS 200/18-213
35 ILCS 200/18-214
35 ILCS 200/18-242 new
30 ILCS 805/8.43 new

Amends the Property Tax Code. Provides that, beginning with the 2019 levy year, the Property Tax Extension Limitation Law applies to all taxing districts, including home rule units. Provides that, for the 2019 levy year, the limiting rate under the Property Tax Extension Limitation Law shall be calculated by reducing the district's 2016 aggregate extension by 5%. Provides that, for the 2020 levy year, the limiting rate under the Property Tax Extension Limitation Law shall be calculated by reducing the district's 2018 aggregate extension by 10%. Provides that, beginning with the 2021 levy year, the extension limitation is 0%. Preempts home rule. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.
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FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

A BILL FOR

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1 AN ACT concerning revenue.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Property Tax Code is amended by changing
5Sections 18-185, 18-205, 18-212, 18-213, and 18-214 and by
6adding Section 18-242 as follows:
7 (35 ILCS 200/18-185)
8 Sec. 18-185. Short title; definitions. This Division 5 may
9be cited as the Property Tax Extension Limitation Law. As used
10in this Division 5:
11 "Consumer Price Index" means the Consumer Price Index for
12All Urban Consumers for all items published by the United
13States Department of Labor.
14 "Extension limitation" means, for levy years prior to 2019,
15(a) the lesser of 5% or the percentage increase in the Consumer
16Price Index during the 12-month calendar year preceding the
17levy year or (b) the rate of increase approved by voters under
18Section 18-205.
19 For levy years 2019 and 2020, the limiting rate shall not
20be calculated using an extension limitation, but shall be
21calculated according to the reduction provided in the
22definition of limiting rate in this Section. Beginning in levy
23year 2021, "extension limitation" means 0% or the rate of

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1increase approved by voters under Section 18-205.
2 "Affected county" means a county of 3,000,000 or more
3inhabitants or a county contiguous to a county of 3,000,000 or
4more inhabitants.
5 "Taxing district" has the same meaning provided in Section
61-150, except as otherwise provided in this Section. For the
71991 through 1994 levy years only, "taxing district" includes
8only each non-home rule taxing district having the majority of
9its 1990 equalized assessed value within any county or counties
10contiguous to a county with 3,000,000 or more inhabitants.
11Beginning with the 1995 levy year and through the 2018 levy
12year, "taxing district" includes only each non-home rule taxing
13district subject to this Law before the 1995 levy year and each
14non-home rule taxing district not subject to this Law before
15the 1995 levy year having the majority of its 1994 equalized
16assessed value in an affected county or counties. Beginning
17with the levy year in which this Law becomes applicable to a
18taxing district as provided in Section 18-213, "taxing
19district" also includes those taxing districts made subject to
20this Law as provided in Section 18-213. Beginning with the 2019
21levy year, "taxing district" has the same meaning provided in
22Section 1-150 and includes home rule units.
23 "Aggregate extension" for taxing districts to which this
24Law applied before the 1995 levy year means the annual
25corporate extension for the taxing district and those special
26purpose extensions that are made annually for the taxing

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1district, excluding special purpose extensions: (a) made for
2the taxing district to pay interest or principal on general
3obligation bonds that were approved by referendum; (b) made for
4any taxing district to pay interest or principal on general
5obligation bonds issued before October 1, 1991; (c) made for
6any taxing district to pay interest or principal on bonds
7issued to refund or continue to refund those bonds issued
8before October 1, 1991; (d) made for any taxing district to pay
9interest or principal on bonds issued to refund or continue to
10refund bonds issued after October 1, 1991 that were approved by
11referendum; (e) made for any taxing district to pay interest or
12principal on revenue bonds issued before October 1, 1991 for
13payment of which a property tax levy or the full faith and
14credit of the unit of local government is pledged; however, a
15tax for the payment of interest or principal on those bonds
16shall be made only after the governing body of the unit of
17local government finds that all other sources for payment are
18insufficient to make those payments; (f) made for payments
19under a building commission lease when the lease payments are
20for the retirement of bonds issued by the commission before
21October 1, 1991, to pay for the building project; (g) made for
22payments due under installment contracts entered into before
23October 1, 1991; (h) made for payments of principal and
24interest on bonds issued under the Metropolitan Water
25Reclamation District Act to finance construction projects
26initiated before October 1, 1991; (i) made for payments of

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1principal and interest on limited bonds, as defined in Section
23 of the Local Government Debt Reform Act, in an amount not to
3exceed the debt service extension base less the amount in items
4(b), (c), (e), and (h) of this definition for non-referendum
5obligations, except obligations initially issued pursuant to
6referendum; (j) made for payments of principal and interest on
7bonds issued under Section 15 of the Local Government Debt
8Reform Act; (k) made by a school district that participates in
9the Special Education District of Lake County, created by
10special education joint agreement under Section 10-22.31 of the
11School Code, for payment of the school district's share of the
12amounts required to be contributed by the Special Education
13District of Lake County to the Illinois Municipal Retirement
14Fund under Article 7 of the Illinois Pension Code; the amount
15of any extension under this item (k) shall be certified by the
16school district to the county clerk; (l) made to fund expenses
17of providing joint recreational programs for persons with
18disabilities under Section 5-8 of the Park District Code or
19Section 11-95-14 of the Illinois Municipal Code; (m) made for
20temporary relocation loan repayment purposes pursuant to
21Sections 2-3.77 and 17-2.2d of the School Code; (n) made for
22payment of principal and interest on any bonds issued under the
23authority of Section 17-2.2d of the School Code; (o) made for
24contributions to a firefighter's pension fund created under
25Article 4 of the Illinois Pension Code, to the extent of the
26amount certified under item (5) of Section 4-134 of the

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1Illinois Pension Code; and (p) made for road purposes in the
2first year after a township assumes the rights, powers, duties,
3assets, property, liabilities, obligations, and
4responsibilities of a road district abolished under the
5provisions of Section 6-133 of the Illinois Highway Code.
6 "Aggregate extension" for the taxing districts to which
7this Law did not apply before the 1995 levy year (except taxing
8districts subject to this Law in accordance with Section 18-213
9or this amendatory Act of the 101st General Assembly) means the
10annual corporate extension for the taxing district and those
11special purpose extensions that are made annually for the
12taxing district, excluding special purpose extensions: (a)
13made for the taxing district to pay interest or principal on
14general obligation bonds that were approved by referendum; (b)
15made for any taxing district to pay interest or principal on
16general obligation bonds issued before March 1, 1995; (c) made
17for any taxing district to pay interest or principal on bonds
18issued to refund or continue to refund those bonds issued
19before March 1, 1995; (d) made for any taxing district to pay
20interest or principal on bonds issued to refund or continue to
21refund bonds issued after March 1, 1995 that were approved by
22referendum; (e) made for any taxing district to pay interest or
23principal on revenue bonds issued before March 1, 1995 for
24payment of which a property tax levy or the full faith and
25credit of the unit of local government is pledged; however, a
26tax for the payment of interest or principal on those bonds

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1shall be made only after the governing body of the unit of
2local government finds that all other sources for payment are
3insufficient to make those payments; (f) made for payments
4under a building commission lease when the lease payments are
5for the retirement of bonds issued by the commission before
6March 1, 1995 to pay for the building project; (g) made for
7payments due under installment contracts entered into before
8March 1, 1995; (h) made for payments of principal and interest
9on bonds issued under the Metropolitan Water Reclamation
10District Act to finance construction projects initiated before
11October 1, 1991; (h-4) made for stormwater management purposes
12by the Metropolitan Water Reclamation District of Greater
13Chicago under Section 12 of the Metropolitan Water Reclamation
14District Act; (i) made for payments of principal and interest
15on limited bonds, as defined in Section 3 of the Local
16Government Debt Reform Act, in an amount not to exceed the debt
17service extension base less the amount in items (b), (c), and
18(e) of this definition for non-referendum obligations, except
19obligations initially issued pursuant to referendum and bonds
20described in subsection (h) of this definition; (j) made for
21payments of principal and interest on bonds issued under
22Section 15 of the Local Government Debt Reform Act; (k) made
23for payments of principal and interest on bonds authorized by
24Public Act 88-503 and issued under Section 20a of the Chicago
25Park District Act for aquarium or museum projects; (l) made for
26payments of principal and interest on bonds authorized by

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1Public Act 87-1191 or 93-601 and (i) issued pursuant to Section
221.2 of the Cook County Forest Preserve District Act, (ii)
3issued under Section 42 of the Cook County Forest Preserve
4District Act for zoological park projects, or (iii) issued
5under Section 44.1 of the Cook County Forest Preserve District
6Act for botanical gardens projects; (m) made pursuant to
7Section 34-53.5 of the School Code, whether levied annually or
8not; (n) made to fund expenses of providing joint recreational
9programs for persons with disabilities under Section 5-8 of the
10Park District Code or Section 11-95-14 of the Illinois
11Municipal Code; (o) made by the Chicago Park District for
12recreational programs for persons with disabilities under
13subsection (c) of Section 7.06 of the Chicago Park District
14Act; (p) made for contributions to a firefighter's pension fund
15created under Article 4 of the Illinois Pension Code, to the
16extent of the amount certified under item (5) of Section 4-134
17of the Illinois Pension Code; (q) made by Ford Heights School
18District 169 under Section 17-9.02 of the School Code; and (r)
19made for the purpose of making employer contributions to the
20Public School Teachers' Pension and Retirement Fund of Chicago
21under Section 34-53 of the School Code.
22 "Aggregate extension" for all taxing districts to which
23this Law applies in accordance with Section 18-213, except for
24those taxing districts subject to paragraph (2) of subsection
25(e) of Section 18-213, means the annual corporate extension for
26the taxing district and those special purpose extensions that

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1are made annually for the taxing district, excluding special
2purpose extensions: (a) made for the taxing district to pay
3interest or principal on general obligation bonds that were
4approved by referendum; (b) made for any taxing district to pay
5interest or principal on general obligation bonds issued before
6the date on which the referendum making this Law applicable to
7the taxing district is held; (c) made for any taxing district
8to pay interest or principal on bonds issued to refund or
9continue to refund those bonds issued before the date on which
10the referendum making this Law applicable to the taxing
11district is held; (d) made for any taxing district to pay
12interest or principal on bonds issued to refund or continue to
13refund bonds issued after the date on which the referendum
14making this Law applicable to the taxing district is held if
15the bonds were approved by referendum after the date on which
16the referendum making this Law applicable to the taxing
17district is held; (e) made for any taxing district to pay
18interest or principal on revenue bonds issued before the date
19on which the referendum making this Law applicable to the
20taxing district is held for payment of which a property tax
21levy or the full faith and credit of the unit of local
22government is pledged; however, a tax for the payment of
23interest or principal on those bonds shall be made only after
24the governing body of the unit of local government finds that
25all other sources for payment are insufficient to make those
26payments; (f) made for payments under a building commission

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1lease when the lease payments are for the retirement of bonds
2issued by the commission before the date on which the
3referendum making this Law applicable to the taxing district is
4held to pay for the building project; (g) made for payments due
5under installment contracts entered into before the date on
6which the referendum making this Law applicable to the taxing
7district is held; (h) made for payments of principal and
8interest on limited bonds, as defined in Section 3 of the Local
9Government Debt Reform Act, in an amount not to exceed the debt
10service extension base less the amount in items (b), (c), and
11(e) of this definition for non-referendum obligations, except
12obligations initially issued pursuant to referendum; (i) made
13for payments of principal and interest on bonds issued under
14Section 15 of the Local Government Debt Reform Act; (j) made
15for a qualified airport authority to pay interest or principal
16on general obligation bonds issued for the purpose of paying
17obligations due under, or financing airport facilities
18required to be acquired, constructed, installed or equipped
19pursuant to, contracts entered into before March 1, 1996 (but
20not including any amendments to such a contract taking effect
21on or after that date); (k) made to fund expenses of providing
22joint recreational programs for persons with disabilities
23under Section 5-8 of the Park District Code or Section 11-95-14
24of the Illinois Municipal Code; (l) made for contributions to a
25firefighter's pension fund created under Article 4 of the
26Illinois Pension Code, to the extent of the amount certified

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1under item (5) of Section 4-134 of the Illinois Pension Code;
2and (m) made for the taxing district to pay interest or
3principal on general obligation bonds issued pursuant to
4Section 19-3.10 of the School Code.
5 "Aggregate extension" for all taxing districts to which
6this Law applies in accordance with paragraph (2) of subsection
7(e) of Section 18-213 or this amendatory Act of the 101st
8General Assembly means the annual corporate extension for the
9taxing district and those special purpose extensions that are
10made annually for the taxing district, excluding special
11purpose extensions: (a) made for the taxing district to pay
12interest or principal on general obligation bonds that were
13approved by referendum; (b) made for any taxing district to pay
14interest or principal on general obligation bonds issued before
15the effective date of this amendatory Act of 1997; (c) made for
16any taxing district to pay interest or principal on bonds
17issued to refund or continue to refund those bonds issued
18before the effective date of this amendatory Act of 1997; (d)
19made for any taxing district to pay interest or principal on
20bonds issued to refund or continue to refund bonds issued after
21the effective date of this amendatory Act of 1997 if the bonds
22were approved by referendum after the effective date of this
23amendatory Act of 1997; (e) made for any taxing district to pay
24interest or principal on revenue bonds issued before the
25effective date of this amendatory Act of 1997 for payment of
26which a property tax levy or the full faith and credit of the

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1unit of local government is pledged; however, a tax for the
2payment of interest or principal on those bonds shall be made
3only after the governing body of the unit of local government
4finds that all other sources for payment are insufficient to
5make those payments; (f) made for payments under a building
6commission lease when the lease payments are for the retirement
7of bonds issued by the commission before the effective date of
8this amendatory Act of 1997 to pay for the building project;
9(g) made for payments due under installment contracts entered
10into before the effective date of this amendatory Act of 1997;
11(h) made for payments of principal and interest on limited
12bonds, as defined in Section 3 of the Local Government Debt
13Reform Act, in an amount not to exceed the debt service
14extension base less the amount in items (b), (c), and (e) of
15this definition for non-referendum obligations, except
16obligations initially issued pursuant to referendum; (i) made
17for payments of principal and interest on bonds issued under
18Section 15 of the Local Government Debt Reform Act; (j) made
19for a qualified airport authority to pay interest or principal
20on general obligation bonds issued for the purpose of paying
21obligations due under, or financing airport facilities
22required to be acquired, constructed, installed or equipped
23pursuant to, contracts entered into before March 1, 1996 (but
24not including any amendments to such a contract taking effect
25on or after that date); (k) made to fund expenses of providing
26joint recreational programs for persons with disabilities

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1under Section 5-8 of the Park District Code or Section 11-95-14
2of the Illinois Municipal Code; and (l) made for contributions
3to a firefighter's pension fund created under Article 4 of the
4Illinois Pension Code, to the extent of the amount certified
5under item (5) of Section 4-134 of the Illinois Pension Code.
6 "Debt service extension base" means an amount equal to that
7portion of the extension for a taxing district for the
8preceding levy year for the 1994 levy year, or for those taxing
9districts subject to this Law in accordance with Section
1018-213, except for those subject to paragraph (2) of subsection
11(e) of Section 18-213, for the levy year in which the
12referendum making this Law applicable to the taxing district is
13held, or for those taxing districts subject to this Law in
14accordance with paragraph (2) of subsection (e) of Section
1518-213 for the 1996 levy year, constituting an extension for
16payment of principal and interest on bonds issued by the taxing
17district without referendum, but not including excluded
18non-referendum bonds. For park districts (i) that were first
19subject to this Law in 1991 or 1995 and (ii) whose extension
20for the 1994 levy year for the payment of principal and
21interest on bonds issued by the park district without
22referendum (but not including excluded non-referendum bonds)
23was less than 51% of the amount for the 1991 levy year
24constituting an extension for payment of principal and interest
25on bonds issued by the park district without referendum (but
26not including excluded non-referendum bonds), "debt service

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1extension base" means an amount equal to that portion of the
2extension for the 1991 levy year constituting an extension for
3payment of principal and interest on bonds issued by the park
4district without referendum (but not including excluded
5non-referendum bonds). For levy years prior to 2019, a A debt
6service extension base established or increased at any time
7pursuant to any provision of this Law, except Section 18-212,
8shall be increased each year commencing with the later of (i)
9the 2009 levy year or (ii) the first levy year in which this
10Law becomes applicable to the taxing district, by the lesser of
115% or the percentage increase in the Consumer Price Index
12during the 12-month calendar year preceding the levy year. For
13levy year 2019, for taxing districts that were subject to this
14Law in the 2018 levy year, the debt service extension base
15shall be reduced by 5% from the district's 2018 debt service
16extension base. For levy year 2020, for taxing districts that
17were subject to this Law in the 2018 levy year, the debt
18service extension base shall be reduced by 10% from the
19district's 2018 debt service extension base. Beginning in levy
20year 2021, the debt service extension base shall be increased
21by 0%. The debt service extension base may be established or
22increased as provided under Section 18-212. "Excluded
23non-referendum bonds" means (i) bonds authorized by Public Act
2488-503 and issued under Section 20a of the Chicago Park
25District Act for aquarium and museum projects; (ii) bonds
26issued under Section 15 of the Local Government Debt Reform

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1Act; or (iii) refunding obligations issued to refund or to
2continue to refund obligations initially issued pursuant to
3referendum.
4 "Special purpose extensions" include, but are not limited
5to, extensions for levies made on an annual basis for
6unemployment and workers' compensation, self-insurance,
7contributions to pension plans, and extensions made pursuant to
8Section 6-601 of the Illinois Highway Code for a road
9district's permanent road fund whether levied annually or not.
10The extension for a special service area is not included in the
11aggregate extension.
12 "Aggregate extension base" means the taxing district's
13last preceding aggregate extension as adjusted under Sections
1418-135, 18-215, 18-230, and 18-206. An adjustment under Section
1518-135 shall be made for the 2007 levy year and all subsequent
16levy years whenever one or more counties within which a taxing
17district is located (i) used estimated valuations or rates when
18extending taxes in the taxing district for the last preceding
19levy year that resulted in the over or under extension of
20taxes, or (ii) increased or decreased the tax extension for the
21last preceding levy year as required by Section 18-135(c).
22Whenever an adjustment is required under Section 18-135, the
23aggregate extension base of the taxing district shall be equal
24to the amount that the aggregate extension of the taxing
25district would have been for the last preceding levy year if
26either or both (i) actual, rather than estimated, valuations or

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1rates had been used to calculate the extension of taxes for the
2last levy year, or (ii) the tax extension for the last
3preceding levy year had not been adjusted as required by
4subsection (c) of Section 18-135.
5 Notwithstanding any other provision of law, for levy year
62012, the aggregate extension base for West Northfield School
7District No. 31 in Cook County shall be $12,654,592.
8 "Levy year" has the same meaning as "year" under Section
91-155.
10 "New property" means (i) the assessed value, after final
11board of review or board of appeals action, of new improvements
12or additions to existing improvements on any parcel of real
13property that increase the assessed value of that real property
14during the levy year multiplied by the equalization factor
15issued by the Department under Section 17-30, (ii) the assessed
16value, after final board of review or board of appeals action,
17of real property not exempt from real estate taxation, which
18real property was exempt from real estate taxation for any
19portion of the immediately preceding levy year, multiplied by
20the equalization factor issued by the Department under Section
2117-30, including the assessed value, upon final stabilization
22of occupancy after new construction is complete, of any real
23property located within the boundaries of an otherwise or
24previously exempt military reservation that is intended for
25residential use and owned by or leased to a private corporation
26or other entity, (iii) in counties that classify in accordance

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1with Section 4 of Article IX of the Illinois Constitution, an
2incentive property's additional assessed value resulting from
3a scheduled increase in the level of assessment as applied to
4the first year final board of review market value, and (iv) any
5increase in assessed value due to oil or gas production from an
6oil or gas well required to be permitted under the Hydraulic
7Fracturing Regulatory Act that was not produced in or accounted
8for during the previous levy year. In addition, the county
9clerk in a county containing a population of 3,000,000 or more
10shall include in the 1997 recovered tax increment value for any
11school district, any recovered tax increment value that was
12applicable to the 1995 tax year calculations.
13 "Qualified airport authority" means an airport authority
14organized under the Airport Authorities Act and located in a
15county bordering on the State of Wisconsin and having a
16population in excess of 200,000 and not greater than 500,000.
17 "Recovered tax increment value" means, except as otherwise
18provided in this paragraph, the amount of the current year's
19equalized assessed value, in the first year after a
20municipality terminates the designation of an area as a
21redevelopment project area previously established under the
22Tax Increment Allocation Development Act in the Illinois
23Municipal Code, previously established under the Industrial
24Jobs Recovery Law in the Illinois Municipal Code, previously
25established under the Economic Development Project Area Tax
26Increment Act of 1995, or previously established under the

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1Economic Development Area Tax Increment Allocation Act, of each
2taxable lot, block, tract, or parcel of real property in the
3redevelopment project area over and above the initial equalized
4assessed value of each property in the redevelopment project
5area. For the taxes which are extended for the 1997 levy year,
6the recovered tax increment value for a non-home rule taxing
7district that first became subject to this Law for the 1995
8levy year because a majority of its 1994 equalized assessed
9value was in an affected county or counties shall be increased
10if a municipality terminated the designation of an area in 1993
11as a redevelopment project area previously established under
12the Tax Increment Allocation Development Act in the Illinois
13Municipal Code, previously established under the Industrial
14Jobs Recovery Law in the Illinois Municipal Code, or previously
15established under the Economic Development Area Tax Increment
16Allocation Act, by an amount equal to the 1994 equalized
17assessed value of each taxable lot, block, tract, or parcel of
18real property in the redevelopment project area over and above
19the initial equalized assessed value of each property in the
20redevelopment project area. In the first year after a
21municipality removes a taxable lot, block, tract, or parcel of
22real property from a redevelopment project area established
23under the Tax Increment Allocation Development Act in the
24Illinois Municipal Code, the Industrial Jobs Recovery Law in
25the Illinois Municipal Code, or the Economic Development Area
26Tax Increment Allocation Act, "recovered tax increment value"

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1means the amount of the current year's equalized assessed value
2of each taxable lot, block, tract, or parcel of real property
3removed from the redevelopment project area over and above the
4initial equalized assessed value of that real property before
5removal from the redevelopment project area.
6 Except as otherwise provided in this Section, "limiting
7rate" means a fraction the numerator of which is the last
8preceding aggregate extension base times an amount equal to one
9plus the extension limitation defined in this Section and the
10denominator of which is the current year's equalized assessed
11value of all real property in the territory under the
12jurisdiction of the taxing district during the prior levy year.
13For those taxing districts that reduced their aggregate
14extension for the last preceding levy year, except for school
15districts that reduced their extension for educational
16purposes pursuant to Section 18-206, the highest aggregate
17extension in any of the last 3 preceding levy years shall be
18used for the purpose of computing the limiting rate. The
19denominator shall not include new property or the recovered tax
20increment value. Notwithstanding any other provision of law:
21(1) for levy year 2019, "limiting rate" means the taxing
22district's aggregate extension for the 2018 levy year (or, in
23the case of taxing districts that were not subject to this Law
24in the 2016 levy year, the aggregate extension that would have
25applied to that taxing district in the 2018 levy year if the
26district had been subject to this Law in that year) reduced by

HB0320- 19 -LRB101 04003 HLH 49011 b
15%; and (2) for levy year 2020, "limiting rate" means the
2taxing district's aggregate extension for the 2018 levy year
3(or, in the case of taxing districts that were not subject to
4this Law in the 2018 levy year, the aggregate extension that
5would have applied to that taxing district in the 2018 levy
6year if the district had been subject to this Law in that year)
7reduced by 10%. If a new rate, a rate decrease, or a limiting
8rate increase has been approved at an election held after March
921, 2006, then (i) the otherwise applicable limiting rate shall
10be increased by the amount of the new rate or shall be reduced
11by the amount of the rate decrease, as the case may be, or (ii)
12in the case of a limiting rate increase, the limiting rate
13shall be equal to the rate set forth in the proposition
14approved by the voters for each of the years specified in the
15proposition, after which the limiting rate of the taxing
16district shall be calculated as otherwise provided. In the case
17of a taxing district that obtained referendum approval for an
18increased limiting rate on March 20, 2012, the limiting rate
19for tax year 2012 shall be the rate that generates the
20approximate total amount of taxes extendable for that tax year,
21as set forth in the proposition approved by the voters; this
22rate shall be the final rate applied by the county clerk for
23the aggregate of all capped funds of the district for tax year
242012.
25(Source: P.A. 99-143, eff. 7-27-15; 99-521, eff. 6-1-17;
26100-465, eff. 8-31-17.)

HB0320- 20 -LRB101 04003 HLH 49011 b
1 (35 ILCS 200/18-205)
2 Sec. 18-205. Referendum to increase the extension
3limitation. A taxing district is limited to an extension
4limitation as defined in Section 18-185 of 5% or the percentage
5increase in the Consumer Price Index during the 12-month
6calendar year preceding the levy year, whichever is less. A
7taxing district may increase its extension limitation for one
8or more levy years if that taxing district holds a referendum
9before the levy date for the first levy year at which a
10majority of voters voting on the issue approves adoption of a
11higher extension limitation. Referenda shall be conducted at a
12regularly scheduled election in accordance with the Election
13Code. The question shall be presented in substantially the
14following manner for all elections held after March 21, 2006:
15 Shall the extension limitation under the Property Tax
16 Extension Limitation Law for (insert the legal name,
17 number, if any, and county or counties of the taxing
18 district and geographic or other common name by which a
19 school or community college district is known and referred
20 to), Illinois, be increased from (extension limitation
21 under Section 18-185) the lesser of 5% or the percentage
22 increase in the Consumer Price Index over the prior levy
23 year to (insert the percentage of the proposed increase)%
24 per year for (insert each levy year for which the increased
25 extension limitation will apply)?

HB0320- 21 -LRB101 04003 HLH 49011 b
1The votes must be recorded as "Yes" or "No".
2If a majority of voters voting on the issue approves the
3adoption of the increase, the increase shall be applicable for
4each levy year specified.
5 The ballot for any question submitted pursuant to this
6Section shall have printed thereon, but not as a part of the
7question submitted, only the following supplemental
8information (which shall be supplied to the election authority
9by the taxing district) in substantially the following form:
10 (1) For the (insert the first levy year for which the
11 increased extension limitation will be applicable) levy
12 year the approximate amount of the additional tax
13 extendable against property containing a single family
14 residence and having a fair market value at the time of the
15 referendum of $100,000 is estimated to be $....
16 (2) Based upon an average annual percentage increase
17 (or decrease) in the market value of such property of ...%
18 (insert percentage equal to the average annual percentage
19 increase or decrease for the prior 3 levy years, at the
20 time the submission of the question is initiated by the
21 taxing district, in the amount of (A) the equalized
22 assessed value of the taxable property in the taxing
23 district less (B) the new property included in the
24 equalized assessed value), the approximate amount of the
25 additional tax extendable against such property for the ...
26 levy year is estimated to be $... and for the ... levy year

HB0320- 22 -LRB101 04003 HLH 49011 b
1 is estimated to be $....
2 Paragraph (2) shall be included only if the increased
3extension limitation will be applicable for more than one year
4and shall list each levy year for which the increased extension
5limitation will be applicable. The additional tax shown for
6each levy year shall be the approximate dollar amount of the
7increase over the amount of the most recently completed
8extension at the time the submission of the question is
9initiated by the taxing district. The approximate amount of the
10additional tax extendable shown in paragraphs (1) and (2) shall
11be calculated by multiplying $100,000 (the fair market value of
12the property without regard to any property tax exemptions) by
13(i) the percentage level of assessment prescribed for that
14property by statute, or by ordinance of the county board in
15counties that classify property for purposes of taxation in
16accordance with Section 4 of Article IX of the Illinois
17Constitution; (ii) the most recent final equalization factor
18certified to the county clerk by the Department of Revenue at
19the time the taxing district initiates the submission of the
20proposition to the electors; (iii) the last known aggregate
21extension base of the taxing district at the time the
22submission of the question is initiated by the taxing district;
23and (iv) the difference between the percentage increase
24proposed in the question and (A) the lesser of 5% or the
25percentage increase in the Consumer Price Index for the prior
26levy year (or an estimate of the percentage increase for the

HB0320- 23 -LRB101 04003 HLH 49011 b
1prior levy year if the increase is unavailable at the time the
2submission of the question is initiated by the taxing district)
3or (B) 0%, as applicable; and dividing the result by the last
4known equalized assessed value of the taxing district at the
5time the submission of the question is initiated by the taxing
6district. This amendatory Act of the 97th General Assembly is
7intended to clarify the existing requirements of this Section,
8and shall not be construed to validate any prior non-compliant
9referendum language. Any notice required to be published in
10connection with the submission of the question shall also
11contain this supplemental information and shall not contain any
12other supplemental information. Any error, miscalculation, or
13inaccuracy in computing any amount set forth on the ballot or
14in the notice that is not deliberate shall not invalidate or
15affect the validity of any proposition approved. Notice of the
16referendum shall be published and posted as otherwise required
17by law, and the submission of the question shall be initiated
18as provided by law.
19(Source: P.A. 97-1087, eff. 8-24-12.)
20 (35 ILCS 200/18-212)
21 Sec. 18-212. Referendum on debt service extension base. A
22taxing district may establish or increase its debt service
23extension base if (i) that taxing district holds a referendum
24before the date on which the levy must be filed with the county
25clerk of the county or counties in which the taxing district is

HB0320- 24 -LRB101 04003 HLH 49011 b
1situated and (ii) a majority of voters voting on the issue
2approves the establishment of or increase in the debt service
3extension base. A debt service extension base established or
4increased by a referendum held pursuant to this Section after
5February 2, 2010 and prior to the effective date of this
6amendatory Act of the 101st General Assembly, shall be
7increased each year, commencing with the first levy year
8beginning after the date of the referendum, by the lesser of 5%
9or the percentage increase in the Consumer Price Index during
10the 12-month calendar year preceding the levy year if the
11optional language concerning the annual increase is included in
12the question submitted to the electors of the taxing district.
13Referenda under this Section shall be conducted at a regularly
14scheduled election in accordance with the Election Code. The
15governing body of the taxing district shall certify the
16question to the proper election authorities who shall submit
17the question to the electors of the taxing district in
18substantially the following form:
19 "Shall the debt service extension base under the Property
20 Tax Extension Limitation Law for ... (taxing district name)
21 ... for payment of principal and interest on limited bonds
22 be .... ((established at $ ....) . (or) (increased from $
23 .... to $ ....)) .. for the ..... levy year and all
24 subsequent levy years (optional language: , such debt
25 service extension base to be increased each year by the
26 lesser of 5% or the percentage increase in the Consumer

HB0320- 25 -LRB101 04003 HLH 49011 b
1 Price Index during the 12-month calendar year preceding the
2 levy year)?"
3 Votes on the question shall be recorded as "Yes" or "No".
4 If a majority of voters voting on the issue approves the
5establishment of or increase in the debt service extension
6base, the establishment of or increase in the debt service
7extension base shall be applicable for the levy years
8specified.
9(Source: P.A. 96-1202, eff. 7-22-10.)
10 (35 ILCS 200/18-213)
11 Sec. 18-213. Referenda on applicability of the Property Tax
12Extension Limitation Law.
13 (a) The provisions of this Section do not apply to a taxing
14district subject to this Law because a majority of its 1990
15equalized assessed value is in a county or counties contiguous
16to a county of 3,000,000 or more inhabitants, or because a
17majority of its 1994 equalized assessed value is in an affected
18county and the taxing district was not subject to this Law
19before the 1995 levy year.
20 (b) Prior to taxable year 2019, the The county board of a
21county that is not subject to this Law may, by ordinance or
22resolution, submit to the voters of the county the question of
23whether to make all non-home rule taxing districts that have
24all or a portion of their equalized assessed valuation situated
25in the county subject to this Law in the manner set forth in

HB0320- 26 -LRB101 04003 HLH 49011 b
1this Section.
2 For purposes of this Section only:
3 "Taxing district" has the same meaning provided in Section
41-150.
5 "Equalized assessed valuation" means the equalized
6assessed valuation for a taxing district for the immediately
7preceding levy year.
8 (c) The ordinance or resolution shall request the
9submission of the proposition at any election, except a
10consolidated primary election, for the purpose of voting for or
11against making the Property Tax Extension Limitation Law
12applicable to all non-home rule taxing districts that have all
13or a portion of their equalized assessed valuation situated in
14the county.
15 The question shall be placed on a separate ballot and shall
16be in substantially the following form:
17 Shall the Property Tax Extension Limitation Law (35
18 ILCS 200/18-185 through 18-245), which limits annual
19 property tax extension increases, apply to non-home rule
20 taxing districts with all or a portion of their equalized
21 assessed valuation located in (name of county)?
22Votes on the question shall be recorded as "yes" or "no".
23 (d) The county clerk shall order the proposition submitted
24to the electors of the county at the election specified in the
25ordinance or resolution. If part of the county is under the
26jurisdiction of a board or boards of election commissioners,

HB0320- 27 -LRB101 04003 HLH 49011 b
1the county clerk shall submit a certified copy of the ordinance
2or resolution to each board of election commissioners, which
3shall order the proposition submitted to the electors of the
4taxing district within its jurisdiction at the election
5specified in the ordinance or resolution.
6 (e) (1) With respect to taxing districts having all of
7 their equalized assessed valuation located in the county,
8 if a majority of the votes cast on the proposition are in
9 favor of the proposition, then this Law becomes applicable
10 to the taxing district beginning on January 1 of the year
11 following the date of the referendum.
12 (2) With respect to taxing districts that meet all the
13 following conditions this Law shall become applicable to
14 the taxing district beginning on January 1, 1997. The
15 districts to which this paragraph (2) is applicable
16 (A) do not have all of their equalized assessed
17 valuation located in a single county,
18 (B) have equalized assessed valuation in an
19 affected county,
20 (C) meet the condition that each county, other than
21 an affected county, in which any of the equalized
22 assessed valuation of the taxing district is located
23 has held a referendum under this Section at any
24 election, except a consolidated primary election, held
25 prior to the effective date of this amendatory Act of
26 1997, and

HB0320- 28 -LRB101 04003 HLH 49011 b
1 (D) have a majority of the district's equalized
2 assessed valuation located in one or more counties in
3 each of which the voters have approved a referendum
4 under this Section prior to the effective date of this
5 amendatory Act of 1997. For purposes of this Section,
6 in determining whether a majority of the equalized
7 assessed valuation of the taxing district is located in
8 one or more counties in which the voters have approved
9 a referendum under this Section, the equalized
10 assessed valuation of the taxing district in any
11 affected county shall be included with the equalized
12 assessed value of the taxing district in counties in
13 which the voters have approved the referendum.
14 (3) With respect to taxing districts that do not have
15 all of their equalized assessed valuation located in a
16 single county and to which paragraph (2) of subsection (e)
17 is not applicable, if each county other than an affected
18 county in which any of the equalized assessed valuation of
19 the taxing district is located has held a referendum under
20 this Section at any election, except a consolidated primary
21 election, held in any year and if a majority of the
22 equalized assessed valuation of the taxing district is
23 located in one or more counties that have each approved a
24 referendum under this Section, then this Law shall become
25 applicable to the taxing district on January 1 of the year
26 following the year in which the last referendum in a county

HB0320- 29 -LRB101 04003 HLH 49011 b
1 in which the taxing district has any equalized assessed
2 valuation is held. For the purposes of this Law, the last
3 referendum shall be deemed to be the referendum making this
4 Law applicable to the taxing district. For purposes of this
5 Section, in determining whether a majority of the equalized
6 assessed valuation of the taxing district is located in one
7 or more counties that have approved a referendum under this
8 Section, the equalized assessed valuation of the taxing
9 district in any affected county shall be included with the
10 equalized assessed value of the taxing district in counties
11 that have approved the referendum.
12 (f) Immediately after a referendum is held under this
13Section, the county clerk of the county holding the referendum
14shall give notice of the referendum having been held and its
15results to all taxing districts that have all or a portion of
16their equalized assessed valuation located in the county, the
17county clerk of any other county in which any of the equalized
18assessed valuation of any taxing district is located, and the
19Department of Revenue. After the last referendum affecting a
20multi-county taxing district is held, the Department of Revenue
21shall determine whether the taxing district is subject to this
22Law and, if so, shall notify the taxing district and the county
23clerks of all of the counties in which a portion of the
24equalized assessed valuation of the taxing district is located
25that, beginning the following January 1, the taxing district is
26subject to this Law. For each taxing district subject to

HB0320- 30 -LRB101 04003 HLH 49011 b
1paragraph (2) of subsection (e) of this Section, the Department
2of Revenue shall notify the taxing district and the county
3clerks of all of the counties in which a portion of the
4equalized assessed valuation of the taxing district is located
5that, beginning January 1, 1997, the taxing district is subject
6to this Law.
7 (g) Referenda held under this Section shall be conducted in
8accordance with the Election Code.
9(Source: P.A. 89-510, eff. 7-11-96; 89-718, eff. 3-7-97.)
10 (35 ILCS 200/18-214)
11 Sec. 18-214. Referenda on removal of the applicability of
12the Property Tax Extension Limitation Law to non-home rule
13taxing districts.
14 (a) The provisions of this Section do not apply to a taxing
15district that is subject to this Law because a majority of its
161990 equalized assessed value is in a county or counties
17contiguous to a county of 3,000,000 or more inhabitants, or
18because a majority of its 1994 equalized assessed value is in
19an affected county and the taxing district was not subject to
20this Law before the 1995 levy year.
21 (b) For purposes of this Section only:
22 "Taxing district" means any non-home rule taxing district
23that became subject to this Law under Section 18-213 of this
24Law.
25 "Equalized assessed valuation" means the equalized

HB0320- 31 -LRB101 04003 HLH 49011 b
1assessed valuation for a taxing district for the immediately
2preceding levy year.
3 (c) The county board of a county that became subject to
4this Law by a referendum approved by the voters of the county
5under Section 18-213 may, by ordinance or resolution, in the
6manner set forth in this Section, submit to the voters of the
7county the question of whether this Law applies to all non-home
8rule taxing districts that have all or a portion of their
9equalized assessed valuation situated in the county in the
10manner set forth in this Section.
11 (d) The ordinance or resolution shall request the
12submission of the proposition at any election, except a
13consolidated primary election, for the purpose of voting for or
14against the continued application of the Property Tax Extension
15Limitation Law to all non-home rule taxing districts that have
16all or a portion of their equalized assessed valuation situated
17in the county.
18 The question shall be placed on a separate ballot and shall
19be in substantially the following form:
20 Shall the Property Tax Extension Limitation Law (35
21 ILCS 200/18-185 through 35 ILCS 200/18-245), which limits
22 annual property tax extension increases, apply to non-home
23 rule taxing districts with all or a portion of their
24 equalized assessed valuation located in (name of county)?
25Votes on the question shall be recorded as "yes" or "no".
26 (e) The county clerk shall order the proposition submitted

HB0320- 32 -LRB101 04003 HLH 49011 b
1to the electors of the county at the election specified in the
2ordinance or resolution. If part of the county is under the
3jurisdiction of a board or boards of election commissioners,
4the county clerk shall submit a certified copy of the ordinance
5or resolution to each board of election commissioners, which
6shall order the proposition submitted to the electors of the
7taxing district within its jurisdiction at the election
8specified in the ordinance or resolution.
9 (f) With respect to taxing districts having all of their
10equalized assessed valuation located in one county, if a
11majority of the votes cast on the proposition are against the
12proposition, then this Law shall not apply to the taxing
13district beginning on January 1 of the year following the date
14of the referendum.
15 (g) With respect to taxing districts that do not have all
16of their equalized assessed valuation located in a single
17county, if both of the following conditions are met, then this
18Law shall no longer apply to the taxing district beginning on
19January 1 of the year following the date of the referendum.
20 (1) Each county in which the district has any equalized
21 assessed valuation must either, (i) have held a referendum
22 under this Section, (ii) be an affected county, or (iii)
23 have held a referendum under Section 18-213 at which the
24 voters rejected the proposition at the most recent election
25 at which the question was on the ballot in the county.
26 (2) The majority of the equalized assessed valuation of

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1 the taxing district, other than any equalized assessed
2 valuation in an affected county, is in one or more counties
3 in which the voters rejected the proposition. For purposes
4 of this Section, in determining whether a majority of the
5 equalized assessed valuation of the taxing district is
6 located in one or more counties in which the voters have
7 rejected the proposition under this Section, the equalized
8 assessed valuation of any taxing district in a county which
9 has held a referendum under Section 18-213 at which the
10 voters rejected that proposition, at the most recent
11 election at which the question was on the ballot in the
12 county, will be included with the equalized assessed value
13 of the taxing district in counties in which the voters have
14 rejected the referendum held under this Section.
15 (h) Immediately after a referendum is held under this
16Section, the county clerk of the county holding the referendum
17shall give notice of the referendum having been held and its
18results to all taxing districts that have all or a portion of
19their equalized assessed valuation located in the county, the
20county clerk of any other county in which any of the equalized
21assessed valuation of any such taxing district is located, and
22the Department of Revenue. After the last referendum affecting
23a multi-county taxing district is held, the Department of
24Revenue shall determine whether the taxing district is no
25longer subject to this Law and, if the taxing district is no
26longer subject to this Law, the Department of Revenue shall

HB0320- 34 -LRB101 04003 HLH 49011 b
1notify the taxing district and the county clerks of all of the
2counties in which a portion of the equalized assessed valuation
3of the taxing district is located that, beginning on January 1
4of the year following the date of the last referendum, the
5taxing district is no longer subject to this Law.
6 (i) Notwithstanding any other provision of law, no
7referendum may be submitted under this Section for taxable year
82019 or thereafter.
9(Source: P.A. 89-718, eff. 3-7-97.)
10 (35 ILCS 200/18-242 new)
11 Sec. 18-242. Home rule. This Division 5 is a limitation,
12under subsection (g) of Section 6 of Article VII of the
13Illinois Constitution, on the power of home rule units to tax.
14 Section 90. The State Mandates Act is amended by adding
15Section 8.43 as follows:
16 (30 ILCS 805/8.43 new)
17 Sec. 8.43. Exempt mandate. Notwithstanding Sections 6 and 8
18of this Act, no reimbursement by the State is required for the
19implementation of any mandate created by this amendatory Act of
20the 101st General Assembly.
21 Section 99. Effective date. This Act takes effect upon
22becoming law.
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