Bill Text: IL SB1750 | 2009-2010 | 96th General Assembly | Enrolled

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Bill Title: Amends the Property Tax Extension Limitation Law in the Property Tax Code. Provides that the term "aggregate extension" does not include special purpose extensions made for community mental health purposes. Amends the Community Mental Health Act. Provides that, if a governmental unit levies a tax for community mental health purposes at a rate of less than 0.15%, that levy may be increased to not more than 0.15% by submitting the question to the voters. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2009-08-25 - Public Act . . . . . . . . . 96-0764 [SB1750 Detail]

Download: Illinois-2009-SB1750-Enrolled.html

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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
Section 18-190 as follows:
(35 ILCS 200/18-190)
Sec. 18-190. Direct referendum; new rate or increased
limiting rate.
(a) If a new rate is authorized by statute to be imposed
without referendum or is subject to a backdoor referendum, as
defined in Section 28-2 of the Election Code, the governing
body of the affected taxing district before levying the new
rate shall submit the new rate to direct referendum under the
provisions of this Section and of Article 28 of the Election
Code. Notwithstanding the provisions, requirements, or
limitations of any other law, any tax levied for the 2005 levy
year and all subsequent levy years by any taxing district
subject to this Law may be extended at a rate exceeding the
rate established for that tax by referendum or statute,
provided that the rate does not exceed the statutory ceiling
above which the tax is not authorized to be further increased
either by referendum or in any other manner. Notwithstanding
the provisions, requirements, or limitations of any other law,

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all taxing districts subject to this Law shall follow the
provisions of this Section whenever seeking referenda approval
after March 21, 2006 to (i) levy a new tax rate authorized by
statute or (ii) increase the limiting rate applicable to the
taxing district. All taxing districts subject to this Law are
authorized to seek referendum approval of each proposition
described and set forth in this Section.
The proposition seeking to obtain referendum approval to
levy a new tax rate as authorized in clause (i) shall be in
substantially the following form:
Shall ... (insert legal name, number, if any, and
county or counties of taxing district and geographic or
other common name by which a school or community college
district is known and referred to), Illinois, be authorized
to levy a new tax for ... purposes and have an additional
tax of ...% of the equalized assessed value of the taxable
property therein extended for such purposes?
The votes must be recorded as "Yes" or "No".
The proposition seeking to obtain referendum approval to
increase the limiting rate as authorized in clause (ii) shall
be in substantially the following form:
Shall the limiting rate under the Property Tax
Extension Limitation Law for ... (insert legal name,
number, if any, and county or counties of taxing district
and geographic or other common name by which a school or
community college district is known and referred to),

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Illinois, be increased by an additional amount equal to
...% above the limiting rate for the purpose of...(insert
purpose) for levy year ... (insert the most recent levy
year for which the limiting rate of the taxing district is
known at the time the submission of the proposition is
initiated by the taxing district) and be equal to ...% of
the equalized assessed value of the taxable property
therein for levy year(s) (insert each levy year for which
the increase will be applicable, which years must be
consecutive and may not exceed 4)?
The votes must be recorded as "Yes" or "No".
The ballot for any proposition submitted pursuant to this
Section shall have printed thereon, but not as a part of the
proposition submitted, only the following supplemental
information (which shall be supplied to the election authority
by the taxing district) in substantially the following form:
(1) The approximate amount of taxes extendable at the
most recently extended limiting rate is $..., and the
approximate amount of taxes extendable if the proposition
is approved is $....
(2) For the ... (insert the first levy year for which
the new rate or increased limiting rate will be applicable)
levy year the approximate amount of the additional tax
extendable against property containing a single family
residence and having a fair market value at the time of the
referendum of $100,000 is estimated to be $....

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(3) Based upon an average annual percentage increase
(or decrease) in the market value of such property of %...
(insert percentage equal to the average annual percentage
increase or decrease for the prior 3 levy years, at the
time the submission of the proposition is initiated by the
taxing district, in the amount of (A) the equalized
assessed value of the taxable property in the taxing
district less (B) the new property included in the
equalized assessed value), the approximate amount of the
additional tax extendable against such property for the ...
levy year is estimated to be $... and for the ... levy year
is estimated to be $ ....
(4) If the proposition is approved, the aggregate
extension for ... (insert each levy year for which the
increase will apply) will be determined by the limiting
rate set forth in the proposition, rather than the
otherwise applicable limiting rate calculated under the
provisions of the Property Tax Extension Limitation Law
(commonly known as the Property Tax Cap Law).
The approximate amount of taxes extendable shown in paragraph
(1) shall be computed upon the last known equalized assessed
value of taxable property in the taxing district (at the time
the submission of the proposition is initiated by the taxing
district). Paragraph (3) shall be included only if the
increased limiting rate will be applicable for more than one
levy year and shall list each levy year for which the increased

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limiting rate will be applicable. The additional tax shown for
each levy year shall be the approximate dollar amount of the
increase over the amount of the most recently completed
extension at the time the submission of the proposition is
initiated by the taxing district. The approximate amount of the
additional taxes extendable shall be calculated (i) without
regard to any property tax exemptions and (ii) based upon the
percentage level of assessment prescribed for such property by
statute or by ordinance of the county board in counties which
classify property for purposes of taxation in accordance with
Section 4 of Article IX of the Constitution. Paragraph (4)
shall be included if the proposition concerns a limiting rate
increase but shall not be included if the proposition concerns
a new rate. Any notice required to be published in connection
with the submission of the proposition shall also contain this
supplemental information and shall not contain any other
supplemental information regarding the proposition. Any error,
miscalculation, or inaccuracy in computing any amount set forth
on the ballot and in the notice that is not deliberate shall
not invalidate or affect the validity of any proposition
approved. Notice of the referendum shall be published and
posted as otherwise required by law, and the submission of the
proposition shall be initiated as provided by law.
If a majority of all ballots cast on the proposition are in
favor of the proposition, the following provisions shall be
applicable to the extension of taxes for the taxing district:

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(A) a new tax rate shall be first effective for the
levy year in which the new rate is approved;
(B) if the proposition provides for a new tax rate, the
taxing district is authorized to levy a tax after the
canvass of the results of the referendum by the election
authority for the purposes for which the tax is authorized;
(C) a limiting rate increase shall be first effective
for the levy year in which the limiting rate increase is
approved, provided that the taxing district may elect to
have a limiting rate increase be effective for the levy
year prior to the levy year in which the limiting rate
increase is approved unless the extension of taxes for the
prior levy year occurs 30 days or less after the canvass of
the results of the referendum by the election authority in
any county in which the taxing district is located;
(D) in order for the limiting rate increase to be first
effective for the levy year prior to the levy year of the
referendum, the taxing district must certify its election
to have the limiting rate increase be effective for the
prior levy year to the clerk of each county in which the
taxing district is located not more than 2 days after the
date the results of the referendum are canvassed by the
election authority; and
(E) if the proposition provides for a limiting rate
increase, the increase may be effective regardless of
whether the proposition is approved before or after the

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taxing district adopts or files its levy for any levy year.
Rates required to extend taxes on levies subject to a
backdoor referendum in each year there is a levy are not new
rates or rate increases under this Section if a levy has been
made for the fund in one or more of the preceding 3 levy years.
Changes made by this amendatory Act of 1997 to this Section in
reference to rates required to extend taxes on levies subject
to a backdoor referendum in each year there is a levy are
declarative of existing law and not a new enactment.
(b) Whenever other applicable law authorizes a taxing
district subject to the limitation with respect to its
aggregate extension provided for in this Law to issue bonds or
other obligations either without referendum or subject to
backdoor referendum, the taxing district may elect for each
separate bond issuance to submit the question of the issuance
of the bonds or obligations directly to the voters of the
taxing district, and if the referendum passes the taxing
district is not required to comply with any backdoor referendum
procedures or requirements set forth in the other applicable
law. The direct referendum shall be initiated by ordinance or
resolution of the governing body of the taxing district, and
the question shall be certified to the proper election
authorities in accordance with the provisions of the Election
Code.
(Source: P.A. 94-976, eff. 6-30-06.)

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Section 10. The Community Mental Health Act is amended by
changing Section 5 as follows:
(405 ILCS 20/5) (from Ch. 91 1/2, par. 305)
Sec. 5. (a) When the governing body of a governmental unit
passes a resolution as provided in Section 4 asking that an
annual tax may be levied for the purpose of providing such
mental health facilities and services, including facilities
and services for the person with a developmental disability or
a substance use disorder, in the community and so instructs the
clerk of the governmental unit such clerk shall certify the
proposition to the proper election officials for submission at
a regular election in accordance with the general election law.
The proposition shall be in the following form:
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Shall............ (governmental
unit) levy an annual tax of not to YES
exceed .15% for the purpose of providing
community mental health facilities and ---------------
services including facilities and services
for the person with a developmental NO
disability or a substance use disorder?
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(b) If a majority of all the votes cast upon the
proposition are for the levy of such tax, the governing body of
such governmental unit shall thereafter annually levy a tax not

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to exceed the rate set forth in Section 4. Thereafter, the
governing body shall in the annual appropriation bill
appropriate from such funds such sum or sums of money as may be
deemed necessary, based upon the community mental health
board's budget, the board's annual mental health report, and
the local mental health plan to defray necessary expenses and
liabilities in providing for such community mental health
facilities and services.
(c) If the governing body of a governmental unit levies a
tax under Section 4 of this Act and the rate specified in the
proposition under subsection (a) of this Section is less than
0.15%, then the governing body of the governmental unit may,
upon referendum approval, increase that rate to not more than
0.15%. The governing body shall instruct the clerk of the
governmental unit to certify the proposition to the proper
election officials for submission at a regular election in
accordance with the general election law. The proposition shall
be in the following form:
"Shall the tax imposed by (governmental unit) for the
purpose of providing community mental health facilities
and services, including facilities and services for
persons with a developmental disability or substance use
disorder be increased to (not more than 0.15%)?"
If a majority of all the votes cast upon the proposition
are for the increase of the tax, then the governing body of the
governmental unit may thereafter annually levy a tax not to

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exceed the rate set forth in the referendum question.
(Source: P.A. 95-336, eff. 8-21-07.)
Section 99. Effective date. This Act takes effect upon
becoming law.