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| | 101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB4806 Introduced , by Rep. Blaine Wilhour SYNOPSIS AS INTRODUCED:
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| 65 ILCS 5/11-74.4-7 | from Ch. 24, par. 11-74.4-7 | 65 ILCS 5/11-74.4-8 | from Ch. 24, par. 11-74.4-8 |
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Amends the Tax Increment Allocation Redevelopment Act in the Illinois Municipal Code. Provides that moneys in the special tax allocation fund may be used to make distributions to certain taxing districts. Provides that moneys received from the additional distributions shall be used by the affected taxing district to pay debt service on obligations incurred by the taxing district and to provide property tax relief. 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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| | HB4806 | | LRB101 18328 HLH 67774 b |
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1 | | AN ACT concerning local government.
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2 | | Be it enacted by the People of the State of Illinois,
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3 | | represented in the General Assembly:
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4 | | Section 5. The Illinois Municipal Code is amended by |
5 | | changing Sections 11-74.4-7 and 11-74.4-8 as follows:
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6 | | (65 ILCS 5/11-74.4-7) (from Ch. 24, par. 11-74.4-7)
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7 | | Sec. 11-74.4-7. Special tax allocation fund; obligations. |
8 | | (a) Obligations secured by the special tax allocation fund
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9 | | set forth in Section 11-74.4-8 for the redevelopment project |
10 | | area may be
issued to provide for redevelopment project costs. |
11 | | Such obligations, when
so issued, shall be retired in the |
12 | | manner provided in the ordinance
authorizing the issuance of |
13 | | such obligations by the receipts of taxes
levied as specified |
14 | | in Section 11-74.4-9 against the taxable property
included in |
15 | | the area, by revenues as specified by Section 11-74.4-8a and
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16 | | other revenue designated by the municipality. A municipality |
17 | | may in the
ordinance pledge all or any part of the funds in and |
18 | | to be deposited in the
special tax allocation fund created |
19 | | pursuant to Section 11-74.4-8 to the
payment of the |
20 | | redevelopment project costs and obligations. Any pledge of
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21 | | funds in the special tax allocation fund shall provide for |
22 | | distribution to
the taxing districts and to the Illinois |
23 | | Department of Revenue of moneys
not required, pledged, |
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1 | | earmarked, distributed as provided in subsection (b), or |
2 | | otherwise designated for payment and
securing of the |
3 | | obligations and anticipated redevelopment project costs and
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4 | | such excess funds shall be calculated annually and deemed to be |
5 | | "surplus"
funds. In the event a municipality only applies or |
6 | | pledges a portion of the
funds in the special tax allocation |
7 | | fund for the payment or securing of
anticipated redevelopment |
8 | | project costs or of obligations, any such funds
remaining in |
9 | | the special tax allocation fund after complying with the
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10 | | requirements of the application or pledge, shall also be |
11 | | calculated annually
and deemed "surplus" funds. All surplus |
12 | | funds in the special tax allocation
fund shall be distributed |
13 | | annually within 180 days after the close of the
municipality's |
14 | | fiscal year by being paid by the
municipal treasurer to the |
15 | | County Collector, to the Department of Revenue
and to the |
16 | | municipality in direct proportion to the tax incremental |
17 | | revenue
received as a result of an increase in the equalized |
18 | | assessed value of
property in the redevelopment project area, |
19 | | tax incremental revenue
received from the State and tax |
20 | | incremental revenue received from the
municipality, but not to |
21 | | exceed as to each such source the total
incremental revenue |
22 | | received from that source. The County Collector shall
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23 | | thereafter make distribution to the respective taxing |
24 | | districts in the same
manner and proportion as the most recent |
25 | | distribution by the county
collector to the affected districts |
26 | | of real property taxes from real
property in the redevelopment |
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1 | | project area.
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2 | | Without limiting the foregoing in this Section, the |
3 | | municipality may in
addition to obligations secured by the |
4 | | special tax allocation fund pledge
for a period not greater |
5 | | than the term of the obligations towards payment
of such |
6 | | obligations any part or any combination of the following: (a) |
7 | | net
revenues of all or part of any redevelopment project; (b) |
8 | | taxes levied and
collected on any or all property in the |
9 | | municipality; (c) the full faith
and credit of the |
10 | | municipality; (d) a mortgage on part or all of the
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11 | | redevelopment project; (d-5) repayment of bonds issued |
12 | | pursuant to subsection (p-130) of Section 19-1 of the School |
13 | | Code; or (e) any other taxes or anticipated receipts that
the |
14 | | municipality may lawfully pledge.
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15 | | Such obligations may be issued in one or more series |
16 | | bearing interest at
such rate or rates as the corporate |
17 | | authorities of the municipality shall
determine by ordinance. |
18 | | Such obligations shall bear such date or dates,
mature at such |
19 | | time or times not exceeding 20 years from their respective
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20 | | dates, be in such denomination, carry such registration |
21 | | privileges, be executed
in such manner, be payable in such |
22 | | medium of payment at such place or places,
contain such |
23 | | covenants, terms and conditions, and be subject to redemption
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24 | | as such ordinance shall provide. Obligations issued pursuant to |
25 | | this Act
may be sold at public or private sale at such price as |
26 | | shall be determined
by the corporate authorities of the |
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1 | | municipalities. No referendum approval
of the electors shall be |
2 | | required as a condition to the issuance of obligations
pursuant |
3 | | to this Division except as provided in this Section.
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4 | | In the event the municipality authorizes issuance of |
5 | | obligations pursuant
to the authority of this Division secured |
6 | | by the full faith and credit of
the municipality, which |
7 | | obligations are other than obligations which may
be issued |
8 | | under home rule powers provided by Article VII, Section 6 of |
9 | | the
Illinois Constitution, or pledges taxes pursuant to (b) or |
10 | | (c) of the second
paragraph of this section, the ordinance |
11 | | authorizing the issuance of such
obligations or pledging such |
12 | | taxes shall be published within 10 days after
such ordinance |
13 | | has been passed in one or more newspapers, with general
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14 | | circulation within such municipality. The publication of the |
15 | | ordinance
shall be accompanied by a notice of (1) the specific |
16 | | number of voters
required to sign a petition requesting the |
17 | | question of the issuance of such
obligations or pledging taxes |
18 | | to be submitted to the electors; (2) the time
in which such |
19 | | petition must be filed; and (3) the date of the prospective
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20 | | referendum. The municipal clerk shall provide a petition form |
21 | | to any
individual requesting one.
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22 | | If no petition is filed with the municipal clerk, as |
23 | | hereinafter provided
in this Section, within 30 days after the |
24 | | publication of the ordinance,
the ordinance shall be in effect. |
25 | | But, if within that 30 day period a petition
is filed with the |
26 | | municipal clerk, signed by electors in the
municipality |
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1 | | numbering 10% or more of the number of registered voters in the
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2 | | municipality, asking that the question of issuing
obligations |
3 | | using full faith and credit of the municipality as security
for |
4 | | the cost of paying for redevelopment project costs, or of |
5 | | pledging taxes
for the payment of such obligations, or both, be |
6 | | submitted to the electors
of the municipality, the corporate |
7 | | authorities of the municipality shall
call a special election |
8 | | in the manner provided by law to vote upon that
question, or, |
9 | | if a general, State or municipal election is to be held within
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10 | | a period of not less than 30 or more than 90 days from the date |
11 | | such petition
is filed, shall submit the question at the next |
12 | | general, State or municipal
election. If it appears upon the |
13 | | canvass of the election by the corporate
authorities that a |
14 | | majority of electors voting upon the question voted in
favor |
15 | | thereof, the ordinance shall be in effect, but if a majority of |
16 | | the
electors voting upon the question are not in favor thereof, |
17 | | the ordinance
shall not take effect.
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18 | | The ordinance authorizing the obligations may provide that |
19 | | the obligations
shall contain a recital that they are issued |
20 | | pursuant to this Division,
which recital shall be conclusive |
21 | | evidence of their validity and of the
regularity of their |
22 | | issuance.
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23 | | In the event the municipality authorizes issuance of |
24 | | obligations pursuant
to this Section secured by the full faith |
25 | | and credit of the municipality,
the ordinance authorizing the |
26 | | obligations may provide for the levy and
collection of a direct |
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1 | | annual tax upon all taxable property within the
municipality |
2 | | sufficient to pay the principal thereof and interest thereon
as |
3 | | it matures, which levy may be in addition to and exclusive of |
4 | | the
maximum of all other taxes authorized to be levied by the |
5 | | municipality,
which levy, however, shall be abated to the |
6 | | extent that monies from other
sources are available for payment |
7 | | of the obligations and the municipality
certifies the amount of |
8 | | said monies available to the county clerk.
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9 | | A certified copy of such ordinance shall be filed with the |
10 | | county clerk
of each county in which any portion of the |
11 | | municipality is situated, and
shall constitute the authority |
12 | | for the extension and collection of the taxes
to be deposited |
13 | | in the special tax allocation fund.
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14 | | A municipality may also issue its obligations to refund in |
15 | | whole or in
part, obligations theretofore issued by such |
16 | | municipality under the authority
of this Act, whether at or |
17 | | prior to maturity, provided however, that the
last maturity of |
18 | | the refunding obligations may not be later than the dates set |
19 | | forth under Section 11-74.4-3.5.
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20 | | In the event a municipality issues obligations under home |
21 | | rule powers or
other legislative authority the proceeds of |
22 | | which are pledged to pay
for redevelopment project costs, the |
23 | | municipality may, if it has followed
the procedures in |
24 | | conformance with this division, retire said obligations
from |
25 | | funds in the special tax allocation fund in amounts and in such |
26 | | manner
as if such obligations had been issued pursuant to the |
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1 | | provisions of this
division.
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2 | | All obligations heretofore or hereafter issued pursuant to |
3 | | this Act shall
not be regarded as indebtedness of the |
4 | | municipality issuing such obligations
or any other taxing |
5 | | district for the purpose of any limitation imposed by law.
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6 | | (b) Prior to the distribution of any surplus funds under |
7 | | subsection (a), a municipality may make additional |
8 | | distributions from the special tax allocation fund to any |
9 | | affected taxing district, provided that the total amount of |
10 | | such additional distributions may not cause the balance in the |
11 | | special tax allocation fund to be less than the amount pledged |
12 | | to pay obligations secured by the special tax allocation fund. |
13 | | If an additional distribution is made under this subsection |
14 | | (b), the moneys must be used by the affected taxing district to |
15 | | pay debt service on obligations incurred by the taxing district |
16 | | and to provide property tax relief as provided in this |
17 | | subsection. Prior to receiving additional distributions under |
18 | | this Section, the affected taxing district may enter into an |
19 | | intergovernmental agreement with the municipality and must |
20 | | agree to reduce the amount of its property tax levy for the |
21 | | levy year in which the distributions are received by an amount |
22 | | that is not less than the total amount of additional |
23 | | distributions received during the taxable year. |
24 | | As used in this subsection (b), "affected taxing district" |
25 | | means a community college district, school district, park |
26 | | district, library district, township, fire protection |
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1 | | district, or county that has the authority to directly levy |
2 | | taxes on the property within the redevelopment project area. |
3 | | (Source: P.A. 100-531, eff. 9-22-17.)
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4 | | (65 ILCS 5/11-74.4-8)
(from Ch. 24, par. 11-74.4-8)
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5 | | Sec. 11-74.4-8. Tax increment allocation financing. A |
6 | | municipality may
not adopt tax increment financing in a
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7 | | redevelopment
project area after July 30, 1997 ( the effective |
8 | | date of Public Act 90-258) this amendatory Act of 1997 that |
9 | | will
encompass an area that is currently included in an |
10 | | enterprise zone created
under the Illinois Enterprise Zone Act |
11 | | unless that municipality, pursuant to
Section 5.4 of the |
12 | | Illinois Enterprise Zone Act, amends the enterprise zone
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13 | | designating ordinance to limit the eligibility for tax |
14 | | abatements as provided
in Section 5.4.1 of the Illinois |
15 | | Enterprise Zone Act.
A municipality, at the time a |
16 | | redevelopment project area
is designated, may adopt tax |
17 | | increment allocation financing by passing an
ordinance |
18 | | providing that the ad valorem taxes, if any, arising from the
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19 | | levies upon taxable real property in such redevelopment project
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20 | | area by taxing districts and tax rates determined in the manner |
21 | | provided
in paragraph (c) of Section 11-74.4-9 each year after |
22 | | the effective
date of the ordinance until redevelopment project |
23 | | costs and all municipal
obligations financing redevelopment |
24 | | project costs incurred under this Division
have been paid shall |
25 | | be divided as follows, provided, however, that with respect to |
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1 | | any redevelopment project area located within a transit |
2 | | facility improvement area established pursuant to Section |
3 | | 11-74.4-3.3 in a municipality with a population of 1,000,000 or |
4 | | more, ad valorem taxes, if any, arising from the levies upon |
5 | | taxable real property in such redevelopment project area shall |
6 | | be allocated as specifically provided in this Section:
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7 | | (a) That portion of taxes levied upon each taxable lot, |
8 | | block, tract , or
parcel of real property which is |
9 | | attributable to the lower of the current
equalized assessed |
10 | | value or the initial equalized assessed
value of each such |
11 | | taxable lot, block, tract , or parcel of real property
in |
12 | | the redevelopment project area shall be allocated to and |
13 | | when collected
shall be paid by the county collector to the |
14 | | respective affected taxing
districts in the manner |
15 | | required by law in the absence of the adoption of
tax |
16 | | increment allocation financing.
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17 | | (b) Except from a tax levied by a township to retire |
18 | | bonds issued to satisfy
court-ordered damages, that |
19 | | portion, if any, of such taxes which is
attributable to the
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20 | | increase in the current equalized assessed valuation of |
21 | | each taxable lot,
block, tract , or parcel of real property |
22 | | in the redevelopment project area
over and above the |
23 | | initial equalized assessed value of each property in the
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24 | | project area shall be allocated to and when collected shall |
25 | | be paid to the
municipal treasurer who shall deposit said |
26 | | taxes into a special fund called
the special tax allocation |
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1 | | fund of the municipality for the purpose of
paying |
2 | | redevelopment project costs and obligations incurred in |
3 | | the payment
thereof. In any county with a population of |
4 | | 3,000,000 or more that has adopted
a procedure for |
5 | | collecting taxes that provides for one or more of the
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6 | | installments of the taxes to be billed and collected on an |
7 | | estimated basis,
the municipal treasurer shall be paid for |
8 | | deposit in the special tax
allocation fund of the |
9 | | municipality, from the taxes collected from
estimated |
10 | | bills issued for property in the redevelopment project |
11 | | area, the
difference between the amount actually collected |
12 | | from each taxable lot,
block, tract, or parcel of real |
13 | | property within the redevelopment project
area and an |
14 | | amount determined by multiplying the rate at which taxes |
15 | | were
last extended against the taxable lot, block, tract |
16 | | track , or parcel of real
property in the manner provided in |
17 | | subsection (c) of Section 11-74.4-9 by
the initial |
18 | | equalized assessed value of the property divided by the |
19 | | number
of installments in which real estate taxes are |
20 | | billed and collected within
the county; provided that the |
21 | | payments on or before December 31,
1999 to a municipal |
22 | | treasurer shall be made only if each of the following
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23 | | conditions are met:
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24 | | (1) The total equalized assessed value of the |
25 | | redevelopment project
area as last determined was not |
26 | | less than 175% of the total initial
equalized assessed |
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1 | | value.
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2 | | (2) Not more than 50% of the total equalized |
3 | | assessed value of the
redevelopment project area as |
4 | | last determined is attributable to a piece of
property |
5 | | assigned a single real estate index number.
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6 | | (3) The municipal clerk has certified to the county |
7 | | clerk that the
municipality has issued its obligations |
8 | | to which there has been pledged
the incremental |
9 | | property taxes of the redevelopment project area or |
10 | | taxes
levied and collected on any or all property in |
11 | | the municipality or
the full faith and credit of the |
12 | | municipality to pay or secure payment for
all or a |
13 | | portion of the redevelopment project costs. The |
14 | | certification
shall be filed annually no later than |
15 | | September 1 for the estimated taxes
to be distributed |
16 | | in the following year; however, for the year 1992 the
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17 | | certification shall be made at any time on or before |
18 | | March 31, 1992.
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19 | | (4) The municipality has not requested that the |
20 | | total initial
equalized assessed value of real |
21 | | property be adjusted as provided in
subsection (b) of |
22 | | Section 11-74.4-9.
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23 | | The conditions of paragraphs (1) through (4) do not |
24 | | apply after December
31, 1999 to payments to a municipal |
25 | | treasurer
made by a county with 3,000,000 or more |
26 | | inhabitants that has adopted an
estimated billing |
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1 | | procedure for collecting taxes.
If a county that has |
2 | | adopted the estimated billing
procedure makes an erroneous |
3 | | overpayment of tax revenue to the municipal
treasurer, then |
4 | | the county may seek a refund of that overpayment.
The |
5 | | county shall send the municipal treasurer a notice of |
6 | | liability for the
overpayment on or before the mailing date |
7 | | of the next real estate tax bill
within the county. The |
8 | | refund shall be limited to the amount of the
overpayment.
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9 | | It is the intent of this Division that after July 29, |
10 | | 1988 ( the effective date of Public Act 85-1142) this
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11 | | amendatory Act of 1988 a municipality's own ad valorem
tax |
12 | | arising from levies on taxable real property be included in |
13 | | the
determination of incremental revenue in the manner |
14 | | provided in paragraph
(c) of Section 11-74.4-9. If the |
15 | | municipality does not extend such a tax,
it shall annually |
16 | | deposit in the municipality's Special Tax Increment Fund
an |
17 | | amount equal to 10% of the total contributions to the fund |
18 | | from all
other taxing districts in that year. The annual |
19 | | 10% deposit required by
this paragraph shall be limited to |
20 | | the actual amount of municipally
produced incremental tax |
21 | | revenues available to the municipality from
taxpayers |
22 | | located in the redevelopment project area in that year if:
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23 | | (a) the plan for the area restricts the use of the property |
24 | | primarily to
industrial purposes, (b) the municipality |
25 | | establishing the redevelopment
project area is a home rule |
26 | | home-rule community with a 1990 population of between
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1 | | 25,000 and 50,000, (c) the municipality is wholly located |
2 | | within a county
with a 1990 population of over 750,000 and |
3 | | (d) the redevelopment project
area was established by the |
4 | | municipality prior to June 1, 1990. This
payment shall be |
5 | | in lieu of a contribution of ad valorem taxes on real
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6 | | property. If no such payment is made, any redevelopment |
7 | | project area of the
municipality shall be dissolved.
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8 | | If a municipality has adopted tax increment allocation |
9 | | financing by ordinance
and the County Clerk thereafter |
10 | | certifies the "total initial equalized assessed
value as |
11 | | adjusted" of the taxable real property within such |
12 | | redevelopment
project area in the manner provided in |
13 | | paragraph (b) of Section 11-74.4-9,
each year after the |
14 | | date of the certification of the total initial equalized
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15 | | assessed value as adjusted until redevelopment project |
16 | | costs and all
municipal obligations financing |
17 | | redevelopment project costs have been paid
the ad valorem |
18 | | taxes, if any, arising from the levies upon the taxable |
19 | | real
property in such redevelopment project area by taxing |
20 | | districts and tax
rates determined in the manner provided |
21 | | in paragraph (c) of Section
11-74.4-9 shall be divided as |
22 | | follows, provided, however, that with respect to any |
23 | | redevelopment project area located within a transit |
24 | | facility improvement area established pursuant to Section |
25 | | 11-74.4-3.3 in a municipality with a population of |
26 | | 1,000,000 or more, ad valorem taxes, if any, arising from |
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1 | | the levies upon the taxable real property in such |
2 | | redevelopment project area shall be allocated as |
3 | | specifically provided in this Section:
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4 | | (1) That portion of the taxes levied upon each |
5 | | taxable lot, block, tract ,
or parcel of real property |
6 | | which is attributable to the lower of the
current |
7 | | equalized assessed value or "current equalized |
8 | | assessed value as
adjusted" or the initial equalized |
9 | | assessed value of each such taxable lot,
block, tract, |
10 | | or parcel of real property existing at the time tax |
11 | | increment
financing was adopted, minus the total |
12 | | current homestead exemptions under Article 15 of the |
13 | | Property
Tax Code in the
redevelopment project area |
14 | | shall be allocated to and when collected shall be
paid |
15 | | by the county collector to the respective affected |
16 | | taxing districts in the
manner required by law in the |
17 | | absence of the adoption of tax increment
allocation |
18 | | financing.
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19 | | (2) That portion, if any, of such taxes which is |
20 | | attributable to the
increase in the current equalized |
21 | | assessed valuation of each taxable lot,
block, tract, |
22 | | or parcel of real property in the redevelopment project |
23 | | area,
over and above the initial equalized assessed |
24 | | value of each property
existing at the time tax |
25 | | increment financing was adopted, minus the total
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26 | | current homestead exemptions pertaining to each piece |
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1 | | of property provided
by Article 15 of the Property Tax |
2 | | Code
in the redevelopment
project area, shall be |
3 | | allocated to and when collected shall be paid to the
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4 | | municipal Treasurer, who shall deposit said taxes into |
5 | | a special fund called
the special tax allocation fund |
6 | | of the municipality for the purpose of paying
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7 | | redevelopment project costs and obligations incurred |
8 | | in the payment thereof.
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9 | | The municipality may pledge in the ordinance the funds |
10 | | in and to be
deposited in the special tax allocation fund |
11 | | for the payment of such costs
and obligations. No part of |
12 | | the current equalized assessed valuation of
each property |
13 | | in the redevelopment project area attributable to any
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14 | | increase above the total initial equalized assessed value, |
15 | | or the total
initial equalized assessed value as adjusted, |
16 | | of such properties shall be
used in calculating the general |
17 | | State aid formula, provided for in
Section 18-8 of the |
18 | | School Code, or the evidence-based funding formula, |
19 | | provided for in Section 18-8.15 of the School Code, until |
20 | | such time as all redevelopment
project costs have been paid |
21 | | as provided for in this Section.
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22 | | Whenever a municipality issues bonds for the purpose of |
23 | | financing
redevelopment project costs, such municipality |
24 | | may provide by ordinance for the
appointment of a trustee, |
25 | | which may be any trust company within the State,
and for |
26 | | the establishment of such funds or accounts to be |
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1 | | maintained by
such trustee as the municipality shall deem |
2 | | necessary to provide for the
security and payment of the |
3 | | bonds. If such municipality provides for
the appointment of |
4 | | a trustee, such trustee shall be considered the assignee
of |
5 | | any payments assigned by the municipality pursuant to such |
6 | | ordinance
and this Section. Any amounts paid to such |
7 | | trustee as assignee shall be
deposited in the funds or |
8 | | accounts established pursuant to such trust
agreement, and |
9 | | shall be held by such trustee in trust for the benefit of |
10 | | the
holders of the bonds, and such holders shall have a |
11 | | lien on and a security
interest in such funds or accounts |
12 | | so long as the bonds remain outstanding and
unpaid. Upon |
13 | | retirement of the bonds, the trustee shall pay over any |
14 | | excess
amounts held to the municipality for deposit in the |
15 | | special tax allocation
fund.
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16 | | When such redevelopment projects costs, including , |
17 | | without limitation , all
municipal obligations financing |
18 | | redevelopment project costs incurred under
this Division, |
19 | | have been paid, and all distributions under subsection (b) |
20 | | of Section 11-74.4-7 have been made, all surplus funds then |
21 | | remaining in the
special tax allocation fund shall be |
22 | | distributed
by being paid by the
municipal treasurer to the |
23 | | Department of Revenue, the municipality and the
county |
24 | | collector; first to the Department of Revenue and the |
25 | | municipality
in direct proportion to the tax incremental |
26 | | revenue received from the State
and the municipality, but |
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1 | | not to exceed the total incremental revenue received
from |
2 | | the State or the municipality less any annual surplus |
3 | | distribution
of incremental revenue previously made; with |
4 | | any remaining funds to be paid
to the County Collector who |
5 | | shall immediately thereafter pay said funds to
the taxing |
6 | | districts in the redevelopment project area in the same |
7 | | manner
and proportion as the most recent distribution by |
8 | | the county collector to
the affected districts of real |
9 | | property taxes from real property in the
redevelopment |
10 | | project area.
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11 | | Upon the payment of all redevelopment project costs, |
12 | | the retirement of
obligations, the distribution of any |
13 | | excess monies pursuant to this
Section, and final closing |
14 | | of the books and records of the redevelopment
project
area, |
15 | | the municipality shall adopt an ordinance dissolving the |
16 | | special
tax allocation fund for the redevelopment project |
17 | | area and terminating the
designation of the redevelopment |
18 | | project area as a redevelopment project
area.
Title to real |
19 | | or personal property and public improvements
acquired
by or |
20 | | for
the
municipality as a result of the redevelopment |
21 | | project and plan shall vest in
the
municipality when |
22 | | acquired and shall continue to be held by the municipality
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23 | | after the redevelopment project area has been terminated.
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24 | | Municipalities shall notify affected taxing districts |
25 | | prior to
November 1 if the redevelopment project area is to |
26 | | be terminated by December 31
of
that same year. If a |
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1 | | municipality extends estimated dates of completion of a
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2 | | redevelopment project and retirement of obligations to |
3 | | finance a
redevelopment project, as allowed by Public Act |
4 | | 87-1272 this amendatory Act of 1993 , that
extension shall |
5 | | not extend the property tax increment allocation financing
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6 | | authorized by this Section. Thereafter the rates of the |
7 | | taxing districts
shall be extended and taxes levied, |
8 | | collected and distributed in the manner
applicable in the |
9 | | absence of the adoption of tax increment allocation
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10 | | financing.
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11 | | If a municipality with a population of 1,000,000 or |
12 | | more has adopted by ordinance tax increment allocation |
13 | | financing for a redevelopment project area located in a |
14 | | transit facility improvement area established pursuant to |
15 | | Section 11-74.4-3.3, for each year after the effective date |
16 | | of the ordinance until redevelopment project costs and all |
17 | | municipal obligations financing redevelopment project |
18 | | costs have been paid, the ad valorem taxes, if any, arising |
19 | | from the levies upon the taxable real property in that |
20 | | redevelopment project area by taxing districts and tax |
21 | | rates determined in the manner provided in paragraph (c) of |
22 | | Section 11-74.4-9 shall be divided as follows: |
23 | | (1) That portion of the taxes levied upon each |
24 | | taxable lot, block, tract , or parcel of real property |
25 | | which is attributable to the lower of (i) the current |
26 | | equalized assessed value or "current equalized |
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1 | | assessed value as adjusted" or (ii) the initial |
2 | | equalized assessed value of each such taxable lot, |
3 | | block, tract, or parcel of real property existing at |
4 | | the time tax increment financing was adopted, minus the |
5 | | total current homestead exemptions under Article 15 of |
6 | | the Property Tax Code in the redevelopment project area |
7 | | shall be allocated to and when collected shall be paid |
8 | | by the county collector to the respective affected |
9 | | taxing districts in the manner required by law in the |
10 | | absence of the adoption of tax increment allocation |
11 | | financing. |
12 | | (2) That portion, if any, of such taxes which is |
13 | | attributable to the increase in the current equalized |
14 | | assessed valuation of each taxable lot, block, tract, |
15 | | or parcel of real property in the redevelopment project |
16 | | area, over and above the initial equalized assessed |
17 | | value of each property existing at the time tax |
18 | | increment financing was adopted, minus the total |
19 | | current homestead exemptions pertaining to each piece |
20 | | of property provided by Article 15 of the Property Tax |
21 | | Code in the redevelopment project area, shall be |
22 | | allocated to and when collected shall be paid by the |
23 | | county collector as follows: |
24 | | (A) First, that portion which would be payable |
25 | | to a school district whose boundaries are |
26 | | coterminous with such municipality in the absence |
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1 | | of the adoption of tax increment allocation |
2 | | financing, shall be paid to such school district in |
3 | | the manner required by law in the absence of the |
4 | | adoption of tax increment allocation financing; |
5 | | then |
6 | | (B) 80% of the remaining portion shall be paid |
7 | | to the municipal Treasurer, who shall deposit said |
8 | | taxes into a special fund called the special tax |
9 | | allocation fund of the municipality for the |
10 | | purpose of paying redevelopment project costs and |
11 | | obligations incurred in the payment thereof; and |
12 | | then |
13 | | (C) 20% of the remaining portion shall be paid |
14 | | to the respective affected taxing districts, other |
15 | | than the school district described in clause (a) |
16 | | above, in the manner required by law in the absence |
17 | | of the adoption of tax increment allocation |
18 | | financing. |
19 | | Nothing in this Section shall be construed as relieving |
20 | | property in such
redevelopment project areas from being |
21 | | assessed as provided in the Property
Tax Code or as relieving |
22 | | owners of such property from paying a uniform rate of
taxes, as |
23 | | required by Section 4 of Article IX of the Illinois |
24 | | Constitution.
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25 | | (Source: P.A. 99-792, eff. 8-12-16; 100-465, eff. 8-31-17; |
26 | | revised 8-8-19.)
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