Bill Text: IL HB6068 | 2009-2010 | 96th General Assembly | Introduced
Bill Title: Amends the Enterprise Zone Act. Provides that Enterprise Zones shall be in effect for 60 calendar years (instead of 30 calendar years) unless a shorter period of time is specified in the certified designating ordinance. Amends the Public Utilities Act to make conforming changes. Effective immediately.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2010-03-02 - Added Co-Sponsor Rep. Anthony DeLuca [HB6068 Detail]
Download: Illinois-2009-HB6068-Introduced.html
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1 | AN ACT concerning revenue.
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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 Enterprise Zone Act is amended by | ||||||||||||||||||||||||||
5 | changing Section 5.3 as follows:
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6 | (20 ILCS 655/5.3) (from Ch. 67 1/2, par. 608)
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7 | Sec. 5.3. Certification of Enterprise Zones; Effective | ||||||||||||||||||||||||||
8 | date.
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9 | (a) Approval of designated Enterprise Zones shall be made | ||||||||||||||||||||||||||
10 | by the
Department by certification of the designating | ||||||||||||||||||||||||||
11 | ordinance. The Department
shall promptly issue a certificate | ||||||||||||||||||||||||||
12 | for each Enterprise Zone upon its
approval. The certificate | ||||||||||||||||||||||||||
13 | shall be signed by the Director of the
Department, shall make | ||||||||||||||||||||||||||
14 | specific reference to the designating ordinance,
which shall be | ||||||||||||||||||||||||||
15 | attached thereto, and shall be filed in the office of the
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16 | Secretary of State. A certified copy of the Enterprise Zone | ||||||||||||||||||||||||||
17 | Certificate, or
a duplicate original thereof, shall be recorded | ||||||||||||||||||||||||||
18 | in the office of recorder
of deeds of the county in which the | ||||||||||||||||||||||||||
19 | Enterprise Zone lies.
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20 | (b) An Enterprise Zone shall be effective upon its | ||||||||||||||||||||||||||
21 | certification. The
Department shall transmit a copy of the | ||||||||||||||||||||||||||
22 | certification to the Department
of Revenue, and to the | ||||||||||||||||||||||||||
23 | designating municipality or county.
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1 | Upon certification of an Enterprise Zone, the terms and | ||||||
2 | provisions of the
designating ordinance shall be in effect, and | ||||||
3 | may not be amended or repealed
except in accordance with | ||||||
4 | Section 5.4.
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5 | (c) An Enterprise Zone shall be in effect for 60 30 | ||||||
6 | calendar years, or for
a lesser number of years specified in | ||||||
7 | the certified designating ordinance.
Enterprise Zones shall | ||||||
8 | terminate at midnight of December 31 of the final
calendar year | ||||||
9 | of the certified term, except as provided in Section 5.4.
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10 | (d) No more than 12 Enterprise Zones may be certified by | ||||||
11 | the Department
in calendar year 1984, no more than 12 | ||||||
12 | Enterprise Zones may be certified
by the Department in calendar | ||||||
13 | year 1985, no more than 13 Enterprise
Zones may be certified by | ||||||
14 | the Department in calendar year 1986, no
more than 15 | ||||||
15 | Enterprise Zones may be certified by the Department in
calendar | ||||||
16 | year 1987, and no more than 20 Enterprise Zones may be | ||||||
17 | certified
by the Department in calendar year 1990. In other | ||||||
18 | calendar years, no more
than 13 Enterprise Zones may be | ||||||
19 | certified by the Department.
The Department may also designate | ||||||
20 | up to 8 additional Enterprise Zones
outside the regular | ||||||
21 | application cycle if warranted by the extreme economic
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22 | circumstances as determined by the Department. The Department | ||||||
23 | may also
designate one additional Enterprise Zone outside the | ||||||
24 | regular application
cycle if an aircraft manufacturer agrees to | ||||||
25 | locate
an aircraft manufacturing facility in the proposed | ||||||
26 | Enterprise Zone.
Notwithstanding any
other provision of this |
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1 | Act, no more than 89 Enterprise Zones may be
certified by the | ||||||
2 | Department for the 10 calendar years commencing with 1983.
The | ||||||
3 | 7 additional Enterprise Zones authorized by Public Act
86-15 | ||||||
4 | shall not lie within municipalities or unincorporated areas of
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5 | counties that abut or are contiguous to Enterprise Zones | ||||||
6 | certified pursuant
to this Section prior to June 30, 1989. The | ||||||
7 | 7 additional Enterprise
Zones (excluding the additional | ||||||
8 | Enterprise Zone which may be designated
outside the regular | ||||||
9 | application cycle) authorized by Public Act 86-1030
shall not | ||||||
10 | lie within municipalities or unincorporated areas of counties
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11 | that abut or are contiguous to Enterprise Zones certified | ||||||
12 | pursuant to this
Section prior to February 28, 1990. Beginning | ||||||
13 | in calendar year 2004 and until
December 31, 2008, one | ||||||
14 | additional enterprise zone may be certified by the
Department. | ||||||
15 | In any calendar year, the
Department
may not certify more than | ||||||
16 | 3 Zones located within the same municipality. The
Department | ||||||
17 | may certify Enterprise Zones in each of the 10 calendar years
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18 | commencing with 1983. The Department may not certify more than | ||||||
19 | a total of
18 Enterprise Zones located within the same county | ||||||
20 | (whether within
municipalities or within unincorporated | ||||||
21 | territory) for the 10 calendar years
commencing with 1983. | ||||||
22 | Thereafter, the Department may not certify any
additional | ||||||
23 | Enterprise Zones, but may amend and rescind certifications of
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24 | existing Enterprise Zones in accordance with Section 5.4.
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25 | (e) Notwithstanding any other provision of law, if (i) the | ||||||
26 | county board of
any county in which a current military base is |
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1 | located, in part or in whole, or
in which a military
base that | ||||||
2 | has been closed within 20 years of the effective date of this
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3 | amendatory Act of 1998 is located, in part or in whole, adopts | ||||||
4 | a designating
ordinance in accordance with Section 5 of this | ||||||
5 | Act to designate the military
base in that county as an | ||||||
6 | enterprise zone and (ii) the property otherwise
meets the
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7 | qualifications for an enterprise zone as prescribed in Section | ||||||
8 | 4 of this Act,
then the Department may certify the designating | ||||||
9 | ordinance or ordinances, as the
case may be.
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10 | (Source: P.A. 92-16, eff. 6-28-01; 92-777, eff. 1-1-03; 93-436, | ||||||
11 | eff.
1-1-04.)
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12 | Section 10. The Public Utilities Act is amended by changing | ||||||
13 | Section 9-222.1 as follows:
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14 | (220 ILCS 5/9-222.1) (from Ch. 111 2/3, par. 9-222.1)
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15 | Sec. 9-222.1. A business enterprise which is located within | ||||||
16 | an area
designated by a county or municipality as an enterprise | ||||||
17 | zone pursuant to
the Illinois Enterprise Zone Act or located in | ||||||
18 | a federally designated
Foreign Trade Zone or Sub-Zone shall be | ||||||
19 | exempt from the additional charges
added to the business | ||||||
20 | enterprise's utility bills as a pass-on of municipal
and State | ||||||
21 | utility taxes under Sections 9-221 and 9-222 of this Act, to
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22 | the extent such charges are exempted by ordinance adopted in | ||||||
23 | accordance
with paragraph (e) of Section 8-11-2 of the Illinois | ||||||
24 | Municipal Code in the
case of municipal utility taxes, and to |
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1 | the extent such
charges are exempted by the percentage | ||||||
2 | specified by the Department of
Commerce and Economic | ||||||
3 | Opportunity in the case of State utility taxes, provided
such | ||||||
4 | business enterprise meets the following criteria:
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5 | (1) it (i) makes investments which cause the creation | ||||||
6 | of a
minimum of 200 full-time equivalent jobs in Illinois; | ||||||
7 | (ii) makes investments
of at least $175,000,000 which cause | ||||||
8 | the creation of a minimum of 150 full-time
equivalent jobs | ||||||
9 | in Illinois; (iii) makes investments that cause the | ||||||
10 | retention of a minimum of 300 full-time equivalent jobs in | ||||||
11 | the manufacturing sector, as defined by the North American | ||||||
12 | Industry Classification System, in an area in Illinois in | ||||||
13 | which the unemployment rate is above 9% and makes an | ||||||
14 | application to the Department within 3 months after the | ||||||
15 | effective date of this amendatory Act of the 96th General | ||||||
16 | Assembly and certifies relocation of the 300 full-time | ||||||
17 | equivalent jobs within 36 months after the application; | ||||||
18 | (iv) makes
investments which cause the retention of a | ||||||
19 | minimum of 1,000 full-time jobs
in Illinois; or (v) makes | ||||||
20 | an application to the Department within 2 months after the | ||||||
21 | effective date of this amendatory Act of the 96th General | ||||||
22 | Assembly and makes investments that cause the retention of | ||||||
23 | a minimum of 500 full-time equivalent jobs in 2009 and | ||||||
24 | 2010, 675 full-time jobs in Illinois in 2011, 850 full-time | ||||||
25 | jobs in 2012, and 1,000 full-time jobs in 2013, in the | ||||||
26 | manufacturing sector as defined by the North American |
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1 | Industry Classification System; and
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2 | (2) it is either (i) located in an Enterprise Zone | ||||||
3 | established
pursuant to the Illinois Enterprise Zone Act or | ||||||
4 | (ii)
located in a federally designated Foreign Trade Zone | ||||||
5 | or Sub-Zone and is
designated a High Impact Business by the | ||||||
6 | Department of Commerce and
Economic Opportunity; and
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7 | (3) it is certified by the Department of Commerce and | ||||||
8 | Economic Opportunity as complying with the requirements | ||||||
9 | specified in clauses (1) and (2)
of this Section.
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10 | The Department of Commerce and Economic Opportunity shall | ||||||
11 | determine the
period during which such exemption from the | ||||||
12 | charges imposed under Section
9-222 is in effect which shall
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13 | not exceed 60 30 years or the certified term of the enterprise | ||||||
14 | zone,
whichever period is shorter, except that the exemption | ||||||
15 | period for a business enterprise qualifying under item (iii) of | ||||||
16 | clause (1) of this Section shall not exceed 60 30 years.
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17 | The Department of Commerce and Economic Opportunity shall | ||||||
18 | have the power to
promulgate rules and regulations to carry out | ||||||
19 | the provisions of this
Section including procedures for | ||||||
20 | complying with the requirements specified
in clauses (1) and | ||||||
21 | (2) of this Section and procedures
for applying for the | ||||||
22 | exemptions authorized under this Section; to
define the amounts | ||||||
23 | and types of eligible investments which
business enterprises | ||||||
24 | must make in order to receive State utility tax
exemptions | ||||||
25 | pursuant to Sections 9-222 and 9-222.1 of this Act; to approve
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26 | such utility tax exemptions for business enterprises whose |
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1 | investments are
not yet placed in service; and to require that | ||||||
2 | business enterprises granted
tax exemptions repay the exempted | ||||||
3 | tax should the business enterprise fail
to comply with the | ||||||
4 | terms and conditions of the certification. However, no
business | ||||||
5 | enterprise shall be required, as a condition for certification
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6 | under clause (3) of this Section, to attest that its
decision | ||||||
7 | to invest under clause (1) of this Section and
to locate under | ||||||
8 | clause (2) of this Section is predicated
upon the availability | ||||||
9 | of the exemptions authorized by this Section.
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10 | A business enterprise shall be exempt, in whole
or in part, | ||||||
11 | from the pass-on charges of municipal utility taxes imposed
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12 | under Section 9-221, only if it meets the criteria
specified in | ||||||
13 | clauses (1) through (3) of this Section and
the municipality | ||||||
14 | has adopted an ordinance authorizing the
exemption under | ||||||
15 | paragraph (e) of Section 8-11-2 of the Illinois Municipal
Code. | ||||||
16 | Upon certification of the business enterprises by the
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17 | Department of Commerce and Economic Opportunity, the | ||||||
18 | Department of Commerce
and Economic Opportunity shall notify | ||||||
19 | the Department of Revenue of such
certification. The Department | ||||||
20 | of Revenue shall notify the public utilities
of the exemption | ||||||
21 | status of business enterprises from the pass-on charges of
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22 | State and municipal utility taxes. Such exemption status shall | ||||||
23 | be
effective within 3 months after certification of the | ||||||
24 | business enterprise.
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25 | (Source: P.A. 96-716, eff. 8-25-09; 96-865, eff. 1-21-10.)
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26 | Section 99. Effective date. This Act takes effect upon |
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1 | becoming law.
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