Bill Text: IL SB0773 | 2013-2014 | 98th General Assembly | Introduced


Bill Title: Amends the Housing Development and Construction Act. Makes a technical change in a Section concerning the purposes for which grants to housing authorities may be used.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2015-01-13 - Session Sine Die [SB0773 Detail]

Download: Illinois-2013-SB0773-Introduced.html


98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
SB0773

Introduced 1/24/2013, by Sen. John J. Cullerton

SYNOPSIS AS INTRODUCED:
310 ILCS 20/5 from Ch. 67 1/2, par. 57

Amends the Housing Development and Construction Act. Makes a technical change in a Section concerning the purposes for which grants to housing authorities may be used.
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A BILL FOR

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1 AN ACT concerning housing.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Housing Development and Construction Act is
5amended by changing Section 5 as follows:
6 (310 ILCS 20/5) (from Ch. 67 1/2, par. 57)
7 Sec. 5. Any grants paid hereunder to a housing authority
8shall be deposited in a separate fund and and, subject to the
9approval of the Department of Commerce and Economic
10Opportunity, may be used for any or all of the following
11purposes as the needs of the community may require: the
12acquisition of land by purchase, gift or condemnation and the
13improvement thereof, the purchase and installation of
14temporary housing facilities, the construction of housing
15units for rent or sale to veterans, the families of deceased
16servicemen, and for persons and families who by reason of
17overcrowded housing conditions or displacement by eviction,
18fires or other calamities, or slum clearance or other private
19or public project involving relocation, are in urgent need of
20safe and sanitary housing, the making of grants in connection
21with the sale or lease of real property as provided in the
22following paragraph of this section, and for any and all
23purposes authorized by the "Housing Authorities Act," approved

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1March 19, 1934, as amended, including administrative expenses
2of the housing authorities in relation to the aforesaid
3objectives, to the extent and for the purposes authorized and
4approved by the Department of Commerce and Economic
5Opportunity. Each housing authority is vested with power to
6exercise the right of eminent domain for the purposes
7authorized by this Act. Condemnation proceedings instituted by
8any such authority shall be in all respects in the manner
9provided for the exercise of the right of eminent domain under
10the Eminent Domain Act.
11 In addition to the foregoing, and for the purpose of
12facilitating the development and construction of housing,
13housing authorities may, with the approval of the Department of
14Commerce and Economic Opportunity, enter into contracts and
15agreements for the sale or lease of real property acquired by
16the Authority through the use of the grant hereunder, and may
17sell or lease such property to (1) housing corporations
18operating under "An Act in relation to housing," approved July
1912, 1933, as amended; (2) neighborhood redevelopment
20corporations operating under the "Neighborhood Redevelopment
21Corporation Law," approved July 9, 1941; (3) insurance
22companies operating under Article VIII of the Illinois
23Insurance Code; (4) non-profit corporations organized for the
24purpose of constructing, managing and operating housing
25projects and the improvement of housing conditions, including
26the sale or rental of housing units to persons in need thereof;

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1or (5) to any other individual, association or corporation,
2including bona fide housing cooperatives, desiring to engage in
3a development or redevelopment project. The term "corporation"
4as used in this section, means a corporation organized under
5the laws of this or any other state of the United States, or of
6any country, which may legally make investments in this State
7of the character herein prescribed, including foreign and alien
8insurance companies as defined in Section 2 of the "Illinois
9Insurance Code." No sale or lease shall be made hereunder to
10any of the aforesaid corporations, associations or individuals
11unless a plan approved by the Authority has been presented by
12the purchaser or lessee for the development or redevelopment of
13such property, together with a bond, with satisfactory
14sureties, of not less than 10% of the cost of such development
15or redevelopment, conditioned upon the completion of such
16development or redevelopment; provided that the requirement of
17the bond may be waived by the Department of Commerce and
18Economic Opportunity if it is satisfied of the financial
19ability of the purchaser or lessee to complete such development
20or redevelopment in accordance with the presented plan. To
21further assure that the real property so sold or leased shall
22be used in accordance with the plan, the Department of Commerce
23and Economic Opportunity may require the purchaser or lessee to
24execute in writing such undertakings as the Department deems
25necessary to obligate such purchaser or lessee (1) to use the
26property for the purposes presented in the plan; (2) to

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1commence and complete the building of the improvements
2designated in the plan within the periods of time that the
3Department of Commerce and Economic Opportunity fixes as
4reasonable, and (3) to comply with such other conditions as are
5necessary to carry out the purposes of this Act. Any such
6property may be sold pursuant to this section for any legal
7consideration in an amount to be approved by the Department of
8Commerce and Economic Opportunity. Subject to the approval of
9the Department of Commerce and Economic Opportunity, a housing
10authority may pay to any non-profit corporation of the
11character described in this section from grants made available
12from state funds, such sum of money which, when added to the
13value of the land so sold or leased to such non-profit
14corporation and the value of other assets of such non-profit
15corporation available for use in the project, will enable such
16non-profit corporation to obtain Federal Housing
17Administration insured construction mortgages. Any such
18authority may also sell, transfer, convey or assign to any such
19non-profit corporation any personal property, including
20building materials and supplies, as it deems necessary to
21facilitate the completion of the development or redevelopment
22by such non-profit corporation.
23 If the area of operation of a housing authority includes a
24city, village or incorporated town having a population in
25excess of 500,000, as determined by the last preceding Federal
26Census, no real property or interest in real property shall be

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1acquired in such municipality by the housing authority until
2such time as the housing authority has advised the governing
3body of such municipality of the description of the real
4property, or interest therein, proposed to be acquired, and the
5governing body of the municipality has approved the acquisition
6thereof by the housing authority.
7(Source: P.A. 94-793, eff. 5-19-06; 94-1055, eff. 1-1-07.)
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