Bill Text: IL HB5026 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Property Tax Code. Provides that, for the purposes of assessment, property registered in perpetuity with the register of areas under the Illinois Natural Areas Preservation Act is considered to be encumbered by a public easement and shall be depreciated to a level at which its value is $5 per acre, and any improvement, dwelling, or other appurtenant structure present on that land shall be valued at 33 1/3% of its fair cash value. Provides that a conservation right on land preserving a habitat for plant and animal species that are native to Illinois (currently, State or federal endangered or threatened species or federal candidate species) is considered to provide a demonstrated public benefit. Provides that a conservation right on land located adjacent to a park, conservation area, nature preserve, or other land or water area that is publicly owned or otherwise permanently protected for conservation purposes is considered to provide a demonstrated public benefit if the conservation right on that land furthers the conservation purposes of the adjacent protected area. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-04-05 - House Committee Amendment No. 1 Rule 19(c) / Re-referred to Rules Committee [HB5026 Detail]

Download: Illinois-2023-HB5026-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5026 Introduced , by Rep. Maura Hirschauer SYNOPSIS AS INTRODUCED:
35 ILCS 200/9-145
35 ILCS 200/10-166
35 ILCS 200/10-167
35 ILCS 200/10-168
Amends the Property Tax Code. Provides that, for the purposes of assessment, property registered in perpetuity with the register of areas under the Illinois Natural Areas Preservation Act is considered to be encumbered by a public easement and shall be depreciated to a level at which its value is $5 per acre, and any improvement, dwelling, or other appurtenant structure present on that land shall be valued at 33 1/3% of its fair cash value. Provides that a conservation right on land preserving a habitat for plant and animal species that are native to Illinois (currently, State or federal endangered or threatened species or federal candidate species) is considered to provide a demonstrated public benefit. Provides that a conservation right on land located adjacent to a park, conservation area, nature preserve, or other land or water area that is publicly owned or otherwise permanently protected for conservation purposes is considered to provide a demonstrated public benefit if the conservation right on that land furthers the conservation purposes of the adjacent protected area. Effective immediately.
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A BILL FOR
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AN ACT concerning revenue.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Property Tax Code is amended by changing
Sections 9-145, 10-166, 10-167, and 10-168 as follows:
(35 ILCS 200/9-145)
Sec. 9-145. Statutory level of assessment. Except in
counties with more than 200,000 inhabitants which classify
property for purposes of taxation, property shall be valued as
follows:
(a) Each tract or lot of property shall be valued at 33
1/3% of its fair cash value.
(b) Each taxable leasehold estate shall be valued at
33 1/3% of its fair cash value.
(c) Each building or structure which is located on the
right of way of any canal, railroad or other company
leased or granted to another company or person for a term
of years, shall be valued at 33 1/3% of its fair cash
value.
(d) Any property on which there is a coal or other
mine, or stone or other quarry, shall be valued at 33 1/3%
of its fair cash value. Oil, gas and other minerals,
except coal, shall have value and be assessed separately

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at 33 1/3% of the fair cash value of such oil, gas and
other minerals. Coal shall be assessed separately at 33
1/3% of the coal reserve economic value, as provided in
Sections 10-170 through 10-200.
(e) In the assessment of property encumbered by public
easement, any depreciation occasioned by such easement
shall be deducted in the valuation of such property. Any
property dedicated as a nature preserve or as a nature
preserve buffer under the Illinois Natural Areas
Preservation Act, for the purposes of this paragraph, is
encumbered by a public easement and shall be depreciated
for assessment purposes to a level at which its valuation
shall be $1 per acre or portion thereof. For the purposes
of this paragraph, any property registered in perpetuity
under Section 16 of the Illinois Natural Areas
Preservation Act is encumbered by a public easement and
shall be depreciated for assessment purposes to a level at
which its valuation is $5 per acre, or portion thereof,
and any improvement, dwelling, or other appurtenant
structure present on that land shall be valued at 33 1/3%
of its fair cash value.
This Section is subject to and modified by Sections 10-110
through 10-140 and 11-5 through 11-65.
(Source: P.A. 91-497, eff. 1-1-00.)
(35 ILCS 200/10-166)

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Sec. 10-166. Land Registered land or land encumbered by
conservation rights; valuation. Except in counties with more
than 200,000 inhabitants that classify property for the
purpose of taxation, to the extent any portion of any lot,
parcel, or tract of land is (i) registered in perpetuity under
Section 16 of the Illinois Natural Areas Preservation Act, or
(ii) encumbered in perpetuity by a conservation right, as
defined in the Real Property Conservation Rights Act, if the
conservation right has been conveyed and accepted in
accordance with Section 2 of the Real Property Conservation
Rights Act, recorded under Section 5 of that Act, and yields a
public benefit as defined in Section 10-167 of this Act, upon
application under Section 10-168, the portion of the lot,
parcel, or tract of land registered or encumbered shall be
valued at 3% 8-1/3% of its fair market value estimated as if it
were not registered or encumbered; and any improvement,
dwelling, or other appurtenant structure present on any
registered or encumbered portion of land shall be valued at
33-1/3% of its fair market value. Beginning with the 1995 tax
year in counties with more than 200,000 inhabitants that
classify property for the purpose of taxation, to the extent
any portion of a lot, parcel, or tract of land is (i)
registered in perpetuity under Section 16 of the Illinois
Natural Areas Preservation Act or (ii) encumbered in
perpetuity by a conservation right, as defined in the Real
Property Conservation Rights Act, if the conservation right

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has been conveyed and accepted in accordance with Section 2 of
the Real Property Conservation Rights Act, recorded under
Section 5 of that Act, and yields a public benefit as defined
in Section 10-167 of this Code, upon application under Section
10-168, the portion of the lot, parcel, or tract of land
registered or encumbered shall be valued at 25% of that
percentage of its fair market value established under this
Code, by an ordinance adopted under Section 4 of Article IX of
the Illinois Constitution, or both, as the case may be; and any
improvement, dwelling, or other appurtenant structure present
on any registered or encumbered portion of the land shall be
valued at that percentage of fair market value established
under this Code, by an ordinance adopted under Section 4 of
Article IX of the Illinois Constitution, or both, as the case
may be. To qualify for valuation under this Section, the
registration agreement or conservation right establishing an
encumbrance shall: (1) prohibit the construction of any other
structure on the registered or encumbered land except
replacement structures, no larger than the previous structures
which are replaced, that do not interfere with or destroy the
features of the land that are intended to be protected by the
registration or conservation right; and (2) confine existing
and future structures on the encumbered land to building
envelopes.
As used in this Section, "building envelope" means a
clearly defined portion of the encumbered land in which

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buildings and structures may exist, the location of which does
not interfere with or destroy the features of the land that are
intended to be protected by the conservation right.
The valuation provided for in this Section shall not apply
to any land that has been valued as open space land under
Section 10-155.
(Source: P.A. 88-657, eff. 1-1-95.)
(35 ILCS 200/10-167)
Sec. 10-167. Definition of public benefit; certification.
(a) A conservation right on land shall be considered to
provide a demonstrated public benefit if the Department of
Natural Resources certifies that it protects in perpetuity at
least one of the following:
(1) Land providing a regular opportunity for public
access to outdoor recreation or outdoor education.
(2) Land preserving habitat for plant and animal
species that are native to Illinois State or federal
endangered or threatened species or federal candidate
species as defined in the Code of Federal Regulations (50
CFR 424.02).
(3) Land identified in the Illinois Natural Areas
Inventory.
(4) Land determined to be eligible for registration
under Section 16 of the Illinois Natural Areas
Preservation Act.

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(5) Land contributing to the ecological viability of a
park, conservation area, nature preserve, or other high
quality native terrestrial or aquatic area that is
publicly owned or otherwise protected.
(6) Land included in, or consistent with a federal,
State, regional, or local government policy or plan for
the conservation of wildlife habitat or open space, for
the restoration or protection of lakes and streams, or for
the protection of scenic areas.
(7) Land located adjacent to a park, conservation
area, nature preserve, or other land or water area that is
publicly owned or otherwise permanently protected for
conservation purposes, if the conservation right on that
land furthers the conservation purposes of the adjacent
protected area.
(b) The person liable for taxes on the land shall submit an
application to the Department of Natural Resources requesting
certification that the land meets one of the criteria
established in subsection (a). The application shall be in a
form furnished by the Department of Natural Resources. Within
30 days of receipt of a complete and correct application for
certification, the Department of Natural Resources shall
determine whether the land encumbered by a conservation right
provides a demonstrated public benefit and shall inform the
applicant in writing of the decision.
(Source: P.A. 91-357, eff. 7-29-99.)

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(35 ILCS 200/10-168)
Sec. 10-168. Valuation of registered land or land
encumbered by conservation rights; application process.
(a) The person liable for taxes on land eligible for
assessment under Section 10-166 must file a verified
application requesting the registered land or conservation
rights valuation with the chief county assessment officer by
January 31 of the first year that the valuation is desired. If
the application is not filed by January 31, the taxpayer
waives the right to claim that valuation for that year. The
application shall be in the form prescribed by the Department
and shall contain information as may reasonably be required to
determine whether the applicant meets the requirements of
Section 10-166. If the application shows the applicant is
entitled to the valuation, the chief county assessment officer
shall approve it and maintain that valuation until notified as
provided in Section 10-169. Otherwise, the application shall
be rejected. The application shall be accompanied by the
certification provided for in Section 10-167, if required.
(b) When the application has been filed with and approved
by the chief county assessment officer, he or she shall
determine the valuation of the land as otherwise permitted by
law and as required under Section 10-166, and shall keep a
record of that valuation.
(Source: P.A. 88-657, eff. 1-1-95.)

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