Bill Text: IL SB1613 | 2019-2020 | 101st General Assembly | Introduced

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Bill Title: Amends the Illinois Enterprise Zone Act. Provides that enterprise zone applicants shall receive a specific score based on whether or not an applicant meets certain criteria (currently, the applicant receives a score based on the extent to which the applicant meets the criteria). Provides that the Enterprise Zone Board shall approve any application that receives at least 200 points, with the exception of a zone that has previously been decertified for cause. Effective immediately.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Failed) 2021-01-13 - Session Sine Die [SB1613 Detail]

Download: Illinois-2019-SB1613-Introduced.html

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101ST GENERAL ASSEMBLY State of Illinois 2019 and 2020 SB1613 Introduced 2/15/2019, by Sen. Elgie R. Sims, Jr. SYNOPSIS AS INTRODUCED:
20 ILCS 655/4.1
20 ILCS 655/5.2.1
20 ILCS 655/5.3 from Ch. 67 1/2, par. 608
Amends the Illinois Enterprise Zone Act. Provides that enterprise zone applicants shall receive a specific score based on whether or not an applicant meets certain criteria (currently, the applicant receives a score based on the extent to which the applicant meets the criteria). Provides that the Enterprise Zone Board shall approve any application that receives at least 200 points, with the exception of a zone that has previously been decertified for cause. Effective immediately.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning State government.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Enterprise Zone Act is amended by
changing Sections 4.1, 5.2.1, and 5.3 as follows:
(20 ILCS 655/4.1)
Sec. 4.1. Department recommendations.
(a) For all applications that qualify under Section 4 of
this Act, the Department shall issue recommendations by
assigning a score to each applicant. The scores will be
determined by the Department, based on whether the extent to
which an applicant meets the criteria points under subsection
(f) of Section 4 of this Act. Scores will be determined using
the following scoring system:
(1) Fifty Up to 50 points if for the extent to which
the applicant meets or exceeds the criteria in item (1) of
subsection (f) of Section 4 of this Act, with points
awarded according to the severity of the unemployment.
(2) Fifty Up to 50 points if for the extent to which
the applicant meets or exceeds the criteria in item (2) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the number of jobs created and
the aggregate amount of investment promised.

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(3) Forty Up to 40 points if for the extent to which
the applicant meets or exceeds the criteria in item (3) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the severity of the unemployment
rate according to the latest federal decennial census.
(4) Thirty Up to 30 points if for the extent to which
the applicant meets or exceeds the criteria in item (4) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the severity of the
environmental impact of the abandoned coal mine,
brownfield, or federal disaster area.
(5) Fifty Up to 50 points if for the extent to which
the applicant meets or exceeds the criteria in item (5) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the severity of the applicable
facility closures or downsizing.
(6) Forty Up to 40 points if for the extent to which
the applicant meets or exceeds the criteria in item (6) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the severity and extent of the
high floor vacancy or deterioration.
(7) Thirty Up to 30 points if for the extent to which
the applicant meets or exceeds the criteria in item (7) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the extent to which the
application addresses a plan to improve the State and local

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government tax base.
(8) Fifty Up to 50 points if for the extent to which
the applicant meets or exceeds the criteria in item (8) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the existence of significant
public infrastructure.
(9) Forty Up to 40 points if for the extent to which
the applicant meets or exceeds the criteria in item (9) of
subsection (f) of Section 4 of this Act, with points
awarded in accordance with the extent to which educational
programs exist for career preparation.
(10) Forty Up to 40 points if for the extent to which
the applicant meets or exceeds the criteria in item (10) of
subsection (f) of Section 4 of this Act, with points
awarded according to the severity of the change in
equalized assessed valuation.
(11) Forty Up to 40 points if for the extent to which
the applicant meets or exceeds the criteria in item (11) of
subsection (f) of Section 4 of this Act.
(12) Fifty points for an applicant that is a current or
former enterprise zone that demonstrates progress in
addressing the criteria of Section 4 of this Act, as
included in the most recent approved application for the
zone.
(b) After assigning a score for each of the individual
criteria using the point system as described in subsection (a),

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the Department shall then take the sum of the scores for each
applicant and assign a final score. The Department shall then
submit this information to the Board, as required in subsection
(c) of Section 5.2, as its recommendation.
(c) The changes made to this Section by this amendatory Act
of the 101st General Assembly apply to applications for
Enterprise Zones on file with the Department or the Board on or
after the effective date of this amendatory Act of the 101st
General Assembly.
(Source: P.A. 100-838, eff. 8-13-18.)
(20 ILCS 655/5.2.1)
Sec. 5.2.1. Enterprise Zone Board.
(a) An Enterprise Zone Board is hereby created within the
Department.
(b) The Board shall consist of the following 5 members:
(1) the Director of Commerce and Economic Opportunity,
or his or her designee, who shall serve as chairperson;
(2) the Director of Revenue, or his or her designee;
and
(3) three members appointed by the Governor, with the
advice and consent of the Senate.
Board members shall serve without compensation but may be
reimbursed for necessary expenses incurred in the performance
of their duties.
(c) Each member appointed under item (3) of subsection (b)

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shall have at least 5 years of experience in business, economic
development, or site location. Of the members appointed under
item (3) of subsection (b): one member shall reside in Cook
County; one member shall reside in DuPage, Kane, Lake, McHenry,
or Will County; and one member shall reside in a county other
than Cook, DuPage, Kane, Lake, McHenry, or Will.
(d) Of the initial members appointed under item (3) of
subsection (b): one member shall serve for a term of 2 years;
one member shall serve for a term of 3 years; and one member
shall serve for a term of 4 years. Thereafter, all members
appointed under item (3) of subsection (b) shall serve for
terms of 4 years. Members appointed under item (3) of
subsection (b) may be reappointed. The Governor may remove a
member appointed under item (3) of subsection (b) for
incompetence, neglect of duty, or malfeasance in office.
(e) By September 30, 2015, and September 30 of each year
thereafter, all applications filed by December 31 of the
preceding calendar year and deemed qualified by the Department
shall be approved or denied by the Board. If such application
is not approved by September 30, the application shall be
considered denied. If an application is denied, the Board shall
inform the applicant of the specific reasons for the denial.
(f) A majority of the Board will determine whether an
application is approved or denied. The Board is not, at any
time, required to designate an enterprise zone.
(g) In determining which designated areas shall be approved

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and certified as enterprise zones, the Board shall approve any
application that receives at least 200 points, as scored
pursuant to Section 4.1, with the exception of any application
from an Enterprise Zone that has previously been decertified
for cause pursuant to Section 5.4. In the case of an Enterprise
Zone that has previously been decertified for cause, the Board
may approve the application if it determines that the issues
that caused the decertification have been corrected give
preference to the extent to which the area meets the criteria
set forth in Section 4.
(h) The changes made to this Section by this amendatory Act
of the 101st General Assembly apply to applications for
Enterprise Zones on file with the Department or the Board on or
after the effective date of this amendatory Act of the 101st
General Assembly.
(Source: P.A. 97-905, eff. 8-7-12; 98-109, eff. 7-25-13.)
(20 ILCS 655/5.3) (from Ch. 67 1/2, par. 608)
Sec. 5.3. Certification of Enterprise Zones; effective
date.
(a) Certification of Board-approved designated Enterprise
Zones shall be made by the Department by certification of the
designating ordinance. The Department shall promptly issue a
certificate for each Enterprise Zone upon approval by the
Board. The certificate shall be signed by the Director of the
Department, shall make specific reference to the designating

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ordinance, which shall be attached thereto, and shall be filed
in the office of the Secretary of State. A certified copy of
the Enterprise Zone Certificate, or a duplicate original
thereof, shall be recorded in the office of recorder of deeds
of the county in which the Enterprise Zone lies.
(b) An Enterprise Zone certified prior to January 1, 2016
or on or after January 1, 2017 shall be effective on January 1
of the first calendar year after Department certification. An
Enterprise Zone certified on or after January 1, 2016 and on or
before December 31, 2016 shall be effective on the date of the
Department's certification. The Department shall transmit a
copy of the certification to the Department of Revenue, and to
the designating municipality or county.
Upon certification of an Enterprise Zone, the terms and
provisions of the designating ordinance shall be in effect, and
may not be amended or repealed except in accordance with
Section 5.4.
(c) With the exception of Enterprise Zones scheduled to
expire before December 31, 2018, an Enterprise Zone designated
before the effective date of this amendatory Act of the 97th
General Assembly shall be in effect for 30 calendar years, or
for a lesser number of years specified in the certified
designating ordinance. Notwithstanding the foregoing, any
Enterprise Zone in existence on the effective date of this
amendatory Act of the 98th General Assembly that has a term of
20 calendar years may be extended for an additional 10 calendar

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years upon amendment of the designating ordinance by the
designating municipality or county and submission of the
ordinance to the Department. The amended ordinance must be
properly recorded in the Office of Recorder of Deeds of each
county in which the Enterprise Zone lies. Each Enterprise Zone
in existence on the effective date of this amendatory Act of
the 97th General Assembly that is scheduled to expire before
July 1, 2016 may have its termination date extended until July
1, 2016 upon amendment of the designating ordinance by the
designating municipality or county extending the termination
date to July 1, 2016 and submission of the ordinance to the
Department. The amended ordinance must be properly recorded in
the Office of Recorder of Deeds of each county in which the
Enterprise Zone lies. An Enterprise Zone designated on or after
the effective date of this amendatory Act of the 97th General
Assembly shall be in effect for a term of 15 calendar years, or
for a lesser number of years specified in the certified
designating ordinance. An enterprise zone designated on or
after the effective date of this amendatory Act of the 97th
General Assembly shall be subject to review by the Board after
13 years for an additional 10-year designation beginning on the
expiration date of the enterprise zone. During the review
process, the Board shall consider the costs incurred by the
State and units of local government as a result of tax benefits
received by the enterprise zone. Enterprise Zones shall
terminate at midnight of December 31 of the final calendar year

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of the certified term, except as provided in Section 5.4.
(d) No more than 12 Enterprise Zones may be certified by
the Department in calendar year 1984, no more than 12
Enterprise Zones may be certified by the Department in calendar
year 1985, no more than 13 Enterprise Zones may be certified by
the Department in calendar year 1986, no more than 15
Enterprise Zones may be certified by the Department in calendar
year 1987, and no more than 20 Enterprise Zones may be
certified by the Department in calendar year 1990. In other
calendar years, no more than 13 Enterprise Zones may be
certified by the Department. The Department may also designate
up to 8 additional Enterprise Zones outside the regular
application cycle if warranted by the extreme economic
circumstances as determined by the Department. The Department
may also designate one additional Enterprise Zone outside the
regular application cycle if an aircraft manufacturer agrees to
locate an aircraft manufacturing facility in the proposed
Enterprise Zone. Notwithstanding any other provision of this
Act, no more than 89 Enterprise Zones may be certified by the
Department for the 10 calendar years commencing with 1983. The
7 additional Enterprise Zones authorized by Public Act 86-15
shall not lie within municipalities or unincorporated areas of
counties that abut or are contiguous to Enterprise Zones
certified pursuant to this Section prior to June 30, 1989. The
7 additional Enterprise Zones (excluding the additional
Enterprise Zone which may be designated outside the regular

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application cycle) authorized by Public Act 86-1030 shall not
lie within municipalities or unincorporated areas of counties
that abut or are contiguous to Enterprise Zones certified
pursuant to this Section prior to February 28, 1990. Beginning
in calendar year 2004 and until December 31, 2008, one
additional enterprise zone may be certified by the Department.
In any calendar year, the Department may not certify more than
3 Zones located within the same municipality. The Department
may certify Enterprise Zones in each of the 10 calendar years
commencing with 1983. The Department may not certify more than
a total of 18 Enterprise Zones located within the same county
(whether within municipalities or within unincorporated
territory) for the 10 calendar years commencing with 1983.
Thereafter, the Department may not certify any additional
Enterprise Zones, but may amend and rescind certifications of
existing Enterprise Zones in accordance with Section 5.4.
(e) Notwithstanding any other provision of law, if (i) the
county board of any county in which a current military base is
located, in part or in whole, or in which a military base that
has been closed within 20 years of the effective date of this
amendatory Act of 1998 is located, in part or in whole, adopts
a designating ordinance in accordance with Section 5 of this
Act to designate the military base in that county as an
enterprise zone and (ii) the property otherwise meets the
qualifications for an enterprise zone as prescribed in Section
4 of this Act, then the Department may certify the designating

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ordinance or ordinances, as the case may be.
(f) Applications for Enterprise Zones that are scheduled to
expire in 2016, including Enterprise Zones that have been
extended until 2016 by this amendatory Act of the 97th General
Assembly, shall be submitted to the Department no later than
December 31, 2014. At that time, the Zone becomes available for
either the previously designated area or a different area to
compete for designation. No preference for designation as a
Zone will be given to the previously designated area.
For Enterprise Zones that are scheduled to expire on or
after January 1, 2017, an application process shall begin 2
years prior to the year in which the Zone expires. Applications
for new Enterprise Zones shall be considered as set forth in
Section 5.2. At that time, the Zone becomes available for
either the previously designated area or a different area to
compete for designation. No preference for designation as a
Zone will be given to the previously designated area.
Each Enterprise Zone that reapplies for certification but
does not receive a new certification shall expire on its
scheduled termination date.
(g) The changes made to this Section by this amendatory Act
of the 101st General Assembly apply to applications for
Enterprise Zones on file with the Department or the Board on or
after the effective date of this amendatory Act of the 101st
General Assembly.
(Source: P.A. 98-109, eff. 7-25-13; 99-615, eff. 7-22-16.)

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Section 99. Effective date. This Act takes effect upon
becoming law.