100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB5731

 

Introduced , by Rep. Jim Durkin

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/18-185
35 ILCS 200/18-205
35 ILCS 200/18-206 new
35 ILCS 200/18-212
35 ILCS 200/18-214
35 ILCS 200/18-216 new
35 ILCS 200/18-242 new
30 ILCS 805/8.42 new

    Amends the Property Tax Code. Provides that, for levy years 2018 through 2021, the Property Tax Extension Limitation Law applies to all taxing districts, including home rule units. Provides that, for levy years 2018 through 2021, the extension limitation under the Property Tax Extension Limitation Law is 0% or the rate of increase approved by the voters. Provides that, for taxing districts that became subject to the Law as a result of the amendatory Act, "aggregate extension" does not include special purpose extensions made for the payment of principal and interest on bonds or other evidences of indebtedness issued by the taxing district prior to the effective date of the amendatory Act. Provides that taxing districts may provide for the continuation of the amendatory Act for up to 4 years upon referendum approval. Provides that the voters of the taxing district may require a reduction in the taxing district's aggregate extension base by referendum. Preempts home rule. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.


LRB100 19720 HLH 34994 b

FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5731LRB100 19720 HLH 34994 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4Section 5. The Property Tax Code is amended by changing
5Sections 18-185, 18-205, 18-212, 18-216, and 18-214 and by
6adding Sections 18-242 and 18-206 as follows:
 
7    (35 ILCS 200/18-185)
8    Sec. 18-185. Short title; definitions. This Division 5 may
9be cited as the Property Tax Extension Limitation Law. As used
10in this Division 5:
11    "Consumer Price Index" means the Consumer Price Index for
12All Urban Consumers for all items published by the United
13States Department of Labor.
14    "Extension limitation", for levy years prior to levy year
152018 and again for levy years after levy year 2021, means (a)
16the lesser of 5% or the percentage increase in the Consumer
17Price Index during the 12-month calendar year preceding the
18levy year or (b) the rate of increase approved by voters under
19Section 18-205.
20    "Extension limitation", for levy years 2018 through 2021,
21means 0% or the rate of increase approved by the voters under
22Section 18-205.
23    "Affected county" means a county of 3,000,000 or more

 

 

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1inhabitants or a county contiguous to a county of 3,000,000 or
2more inhabitants.
3    "Taxing district" has the same meaning provided in Section
41-150, except as otherwise provided in this Section. For the
51991 through 1994 levy years only, "taxing district" includes
6only each non-home rule taxing district having the majority of
7its 1990 equalized assessed value within any county or counties
8contiguous to a county with 3,000,000 or more inhabitants. For
9levy years 1995 through 2017 and beginning again with levy year
102022 Beginning with the 1995 levy year, "taxing district"
11includes only each non-home rule taxing district subject to
12this Law before the 1995 levy year and each non-home rule
13taxing district not subject to this Law before the 1995 levy
14year having the majority of its 1994 equalized assessed value
15in an affected county or counties. Beginning with the levy year
16in which this Law becomes applicable to a taxing district as
17provided in Section 18-213, "taxing district" also includes
18those taxing districts made subject to this Law as provided in
19Section 18-213. For levy years 2018 through 2021, "taxing
20district" has the same meaning provided in Section 1-150 and
21includes home rule units.
22    "Aggregate extension" for taxing districts to which this
23Law applied before the 1995 levy year means the annual
24corporate extension for the taxing district and those special
25purpose extensions that are made annually for the taxing
26district, excluding special purpose extensions: (a) made for

 

 

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1the taxing district to pay interest or principal on general
2obligation bonds that were approved by referendum; (b) made for
3any taxing district to pay interest or principal on general
4obligation bonds issued before October 1, 1991; (c) made for
5any taxing district to pay interest or principal on bonds
6issued to refund or continue to refund those bonds issued
7before October 1, 1991; (d) made for any taxing district to pay
8interest or principal on bonds issued to refund or continue to
9refund bonds issued after October 1, 1991 that were approved by
10referendum; (e) made for any taxing district to pay interest or
11principal on revenue bonds issued before October 1, 1991 for
12payment of which a property tax levy or the full faith and
13credit of the unit of local government is pledged; however, a
14tax for the payment of interest or principal on those bonds
15shall be made only after the governing body of the unit of
16local government finds that all other sources for payment are
17insufficient to make those payments; (f) made for payments
18under a building commission lease when the lease payments are
19for the retirement of bonds issued by the commission before
20October 1, 1991, to pay for the building project; (g) made for
21payments due under installment contracts entered into before
22October 1, 1991; (h) made for payments of principal and
23interest on bonds issued under the Metropolitan Water
24Reclamation District Act to finance construction projects
25initiated before October 1, 1991; (i) made for payments of
26principal and interest on limited bonds, as defined in Section

 

 

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13 of the Local Government Debt Reform Act, in an amount not to
2exceed the debt service extension base less the amount in items
3(b), (c), (e), and (h) of this definition for non-referendum
4obligations, except obligations initially issued pursuant to
5referendum; (j) made for payments of principal and interest on
6bonds issued under Section 15 of the Local Government Debt
7Reform Act; (k) made by a school district that participates in
8the Special Education District of Lake County, created by
9special education joint agreement under Section 10-22.31 of the
10School Code, for payment of the school district's share of the
11amounts required to be contributed by the Special Education
12District of Lake County to the Illinois Municipal Retirement
13Fund under Article 7 of the Illinois Pension Code; the amount
14of any extension under this item (k) shall be certified by the
15school district to the county clerk; (l) made to fund expenses
16of providing joint recreational programs for persons with
17disabilities under Section 5-8 of the Park District Code or
18Section 11-95-14 of the Illinois Municipal Code; (m) made for
19temporary relocation loan repayment purposes pursuant to
20Sections 2-3.77 and 17-2.2d of the School Code; (n) made for
21payment of principal and interest on any bonds issued under the
22authority of Section 17-2.2d of the School Code; (o) made for
23contributions to a firefighter's pension fund created under
24Article 4 of the Illinois Pension Code, to the extent of the
25amount certified under item (5) of Section 4-134 of the
26Illinois Pension Code; and (p) made for road purposes in the

 

 

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1first year after a township assumes the rights, powers, duties,
2assets, property, liabilities, obligations, and
3responsibilities of a road district abolished under the
4provisions of Section 6-133 of the Illinois Highway Code.
5    "Aggregate extension" for the taxing districts to which
6this Law did not apply before the 1995 levy year (except taxing
7districts subject to this Law in accordance with Section 18-213
8or this amendatory Act of the 100th General Assembly) means the
9annual corporate extension for the taxing district and those
10special purpose extensions that are made annually for the
11taxing district, excluding special purpose extensions: (a)
12made for the taxing district to pay interest or principal on
13general obligation bonds that were approved by referendum; (b)
14made for any taxing district to pay interest or principal on
15general obligation bonds issued before March 1, 1995; (c) made
16for any taxing district to pay interest or principal on bonds
17issued to refund or continue to refund those bonds issued
18before March 1, 1995; (d) made for any taxing district to pay
19interest or principal on bonds issued to refund or continue to
20refund bonds issued after March 1, 1995 that were approved by
21referendum; (e) made for any taxing district to pay interest or
22principal on revenue bonds issued before March 1, 1995 for
23payment of which a property tax levy or the full faith and
24credit of the unit of local government is pledged; however, a
25tax for the payment of interest or principal on those bonds
26shall be made only after the governing body of the unit of

 

 

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1local government finds that all other sources for payment are
2insufficient to make those payments; (f) made for payments
3under a building commission lease when the lease payments are
4for the retirement of bonds issued by the commission before
5March 1, 1995 to pay for the building project; (g) made for
6payments due under installment contracts entered into before
7March 1, 1995; (h) made for payments of principal and interest
8on bonds issued under the Metropolitan Water Reclamation
9District Act to finance construction projects initiated before
10October 1, 1991; (h-4) made for stormwater management purposes
11by the Metropolitan Water Reclamation District of Greater
12Chicago under Section 12 of the Metropolitan Water Reclamation
13District Act; (i) made for payments of principal and interest
14on limited bonds, as defined in Section 3 of the Local
15Government Debt Reform Act, in an amount not to exceed the debt
16service extension base less the amount in items (b), (c), and
17(e) of this definition for non-referendum obligations, except
18obligations initially issued pursuant to referendum and bonds
19described in subsection (h) of this definition; (j) made for
20payments of principal and interest on bonds issued under
21Section 15 of the Local Government Debt Reform Act; (k) made
22for payments of principal and interest on bonds authorized by
23Public Act 88-503 and issued under Section 20a of the Chicago
24Park District Act for aquarium or museum projects; (l) made for
25payments of principal and interest on bonds authorized by
26Public Act 87-1191 or 93-601 and (i) issued pursuant to Section

 

 

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121.2 of the Cook County Forest Preserve District Act, (ii)
2issued under Section 42 of the Cook County Forest Preserve
3District Act for zoological park projects, or (iii) issued
4under Section 44.1 of the Cook County Forest Preserve District
5Act for botanical gardens projects; (m) made pursuant to
6Section 34-53.5 of the School Code, whether levied annually or
7not; (n) made to fund expenses of providing joint recreational
8programs for persons with disabilities under Section 5-8 of the
9Park District Code or Section 11-95-14 of the Illinois
10Municipal Code; (o) made by the Chicago Park District for
11recreational programs for persons with disabilities under
12subsection (c) of Section 7.06 of the Chicago Park District
13Act; (p) made for contributions to a firefighter's pension fund
14created under Article 4 of the Illinois Pension Code, to the
15extent of the amount certified under item (5) of Section 4-134
16of the Illinois Pension Code; (q) made by Ford Heights School
17District 169 under Section 17-9.02 of the School Code; and (r)
18made for the purpose of making employer contributions to the
19Public School Teachers' Pension and Retirement Fund of Chicago
20under Section 34-53 of the School Code.
21    "Aggregate extension" for all taxing districts to which
22this Law applies in accordance with Section 18-213, except for
23those taxing districts subject to paragraph (2) of subsection
24(e) of Section 18-213, means the annual corporate extension for
25the taxing district and those special purpose extensions that
26are made annually for the taxing district, excluding special

 

 

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1purpose extensions: (a) made for the taxing district to pay
2interest or principal on general obligation bonds that were
3approved by referendum; (b) made for any taxing district to pay
4interest or principal on general obligation bonds issued before
5the date on which the referendum making this Law applicable to
6the taxing district is held; (c) made for any taxing district
7to pay interest or principal on bonds issued to refund or
8continue to refund those bonds issued before the date on which
9the referendum making this Law applicable to the taxing
10district is held; (d) made for any taxing district to pay
11interest or principal on bonds issued to refund or continue to
12refund bonds issued after the date on which the referendum
13making this Law applicable to the taxing district is held if
14the bonds were approved by referendum after the date on which
15the referendum making this Law applicable to the taxing
16district is held; (e) made for any taxing district to pay
17interest or principal on revenue bonds issued before the date
18on which the referendum making this Law applicable to the
19taxing district is held for payment of which a property tax
20levy or the full faith and credit of the unit of local
21government is pledged; however, a tax for the payment of
22interest or principal on those bonds shall be made only after
23the governing body of the unit of local government finds that
24all other sources for payment are insufficient to make those
25payments; (f) made for payments under a building commission
26lease when the lease payments are for the retirement of bonds

 

 

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1issued by the commission before the date on which the
2referendum making this Law applicable to the taxing district is
3held to pay for the building project; (g) made for payments due
4under installment contracts entered into before the date on
5which the referendum making this Law applicable to the taxing
6district is held; (h) made for payments of principal and
7interest on limited bonds, as defined in Section 3 of the Local
8Government Debt Reform Act, in an amount not to exceed the debt
9service extension base less the amount in items (b), (c), and
10(e) of this definition for non-referendum obligations, except
11obligations initially issued pursuant to referendum; (i) made
12for payments of principal and interest on bonds issued under
13Section 15 of the Local Government Debt Reform Act; (j) made
14for a qualified airport authority to pay interest or principal
15on general obligation bonds issued for the purpose of paying
16obligations due under, or financing airport facilities
17required to be acquired, constructed, installed or equipped
18pursuant to, contracts entered into before March 1, 1996 (but
19not including any amendments to such a contract taking effect
20on or after that date); (k) made to fund expenses of providing
21joint recreational programs for persons with disabilities
22under Section 5-8 of the Park District Code or Section 11-95-14
23of the Illinois Municipal Code; (l) made for contributions to a
24firefighter's pension fund created under Article 4 of the
25Illinois Pension Code, to the extent of the amount certified
26under item (5) of Section 4-134 of the Illinois Pension Code;

 

 

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1and (m) made for the taxing district to pay interest or
2principal on general obligation bonds issued pursuant to
3Section 19-3.10 of the School Code.
4    "Aggregate extension" for all taxing districts to which
5this Law applies in accordance with paragraph (2) of subsection
6(e) of Section 18-213 or this amendatory Act of the 100th
7General Assembly means the annual corporate extension for the
8taxing district and those special purpose extensions that are
9made annually for the taxing district, excluding special
10purpose extensions: (a) made for the taxing district to pay
11interest or principal on general obligation bonds that were
12approved by referendum; (b) made for any taxing district to pay
13interest or principal on general obligation bonds issued before
14the effective date of this amendatory Act of 1997; (c) made for
15any taxing district to pay interest or principal on bonds
16issued to refund or continue to refund those bonds issued
17before the effective date of this amendatory Act of 1997; (d)
18made for any taxing district to pay interest or principal on
19bonds issued to refund or continue to refund bonds issued after
20the effective date of this amendatory Act of 1997 if the bonds
21were approved by referendum after the effective date of this
22amendatory Act of 1997; (e) made for any taxing district to pay
23interest or principal on revenue bonds issued before the
24effective date of this amendatory Act of 1997 for payment of
25which a property tax levy or the full faith and credit of the
26unit of local government is pledged; however, a tax for the

 

 

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1payment of interest or principal on those bonds shall be made
2only after the governing body of the unit of local government
3finds that all other sources for payment are insufficient to
4make those payments; (f) made for payments under a building
5commission lease when the lease payments are for the retirement
6of bonds issued by the commission before the effective date of
7this amendatory Act of 1997 to pay for the building project;
8(g) made for payments due under installment contracts entered
9into before the effective date of this amendatory Act of 1997;
10(h) made for payments of principal and interest on limited
11bonds, as defined in Section 3 of the Local Government Debt
12Reform Act, in an amount not to exceed the debt service
13extension base less the amount in items (b), (c), and (e) of
14this definition for non-referendum obligations, except
15obligations initially issued pursuant to referendum; (i) made
16for payments of principal and interest on bonds issued under
17Section 15 of the Local Government Debt Reform Act; (j) made
18for a qualified airport authority to pay interest or principal
19on general obligation bonds issued for the purpose of paying
20obligations due under, or financing airport facilities
21required to be acquired, constructed, installed or equipped
22pursuant to, contracts entered into before March 1, 1996 (but
23not including any amendments to such a contract taking effect
24on or after that date); (k) made to fund expenses of providing
25joint recreational programs for persons with disabilities
26under Section 5-8 of the Park District Code or Section 11-95-14

 

 

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1of the Illinois Municipal Code; and (l) made for contributions
2to a firefighter's pension fund created under Article 4 of the
3Illinois Pension Code, to the extent of the amount certified
4under item (5) of Section 4-134 of the Illinois Pension Code.
5In addition, for taxing districts that became subject to the
6Law as a result of this amendatory Act of the 100th General
7Assembly, "aggregate extension" does not include special
8purpose extensions made for the payment of principal and
9interest on bonds or other evidences of indebtedness issued by
10the taxing district prior to the effective date of this
11amendatory Act of the 100th General Assembly.
12    "Debt service extension base" means an amount equal to that
13portion of the extension for a taxing district for the 1994
14levy year, or for those taxing districts subject to this Law in
15accordance with Section 18-213, except for those subject to
16paragraph (2) of subsection (e) of Section 18-213, for the levy
17year in which the referendum making this Law applicable to the
18taxing district is held, or for those taxing districts subject
19to this Law in accordance with paragraph (2) of subsection (e)
20of Section 18-213 for the 1996 levy year, constituting an
21extension for payment of principal and interest on bonds issued
22by the taxing district without referendum, but not including
23excluded non-referendum bonds. For park districts (i) that were
24first subject to this Law in 1991 or 1995 and (ii) whose
25extension for the 1994 levy year for the payment of principal
26and interest on bonds issued by the park district without

 

 

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1referendum (but not including excluded non-referendum bonds)
2was less than 51% of the amount for the 1991 levy year
3constituting an extension for payment of principal and interest
4on bonds issued by the park district without referendum (but
5not including excluded non-referendum bonds), "debt service
6extension base" means an amount equal to that portion of the
7extension for the 1991 levy year constituting an extension for
8payment of principal and interest on bonds issued by the park
9district without referendum (but not including excluded
10non-referendum bonds). A debt service extension base
11established or increased at any time pursuant to any provision
12of this Law, except Section 18-212, shall be increased each
13year commencing with the later of (i) the 2009 levy year or
14(ii) the first levy year in which this Law becomes applicable
15to the taxing district, by (A) for levy years prior to the 2018
16levy year and for levy year 2022 and thereafter, the lesser of
175% or the percentage increase in the Consumer Price Index
18during the 12-month calendar year preceding the levy year or
19(B) for levy years 2018 through 2021, 0%. The debt service
20extension base may be established or increased as provided
21under Section 18-212. "Excluded non-referendum bonds" means
22(i) bonds authorized by Public Act 88-503 and issued under
23Section 20a of the Chicago Park District Act for aquarium and
24museum projects; (ii) bonds issued under Section 15 of the
25Local Government Debt Reform Act; or (iii) refunding
26obligations issued to refund or to continue to refund

 

 

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1obligations initially issued pursuant to referendum.
2    "Special purpose extensions" include, but are not limited
3to, extensions for levies made on an annual basis for
4unemployment and workers' compensation, self-insurance,
5contributions to pension plans, and extensions made pursuant to
6Section 6-601 of the Illinois Highway Code for a road
7district's permanent road fund whether levied annually or not.
8The extension for a special service area is not included in the
9aggregate extension.
10    "Aggregate extension base" means the taxing district's
11last preceding aggregate extension as adjusted under Sections
1218-135, 18-215, and 18-230, or the aggregate extension base set
13by referendum under Section 18-206, whichever is less and
1418-206. An adjustment under Section 18-135 shall be made for
15the 2007 levy year and all subsequent levy years whenever one
16or more counties within which a taxing district is located (i)
17used estimated valuations or rates when extending taxes in the
18taxing district for the last preceding levy year that resulted
19in the over or under extension of taxes, or (ii) increased or
20decreased the tax extension for the last preceding levy year as
21required by Section 18-135(c). Whenever an adjustment is
22required under Section 18-135, the aggregate extension base of
23the taxing district shall be equal to the amount that the
24aggregate extension of the taxing district would have been for
25the last preceding levy year if either or both (i) actual,
26rather than estimated, valuations or rates had been used to

 

 

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1calculate the extension of taxes for the last levy year, or
2(ii) the tax extension for the last preceding levy year had not
3been adjusted as required by subsection (c) of Section 18-135.
4    Notwithstanding any other provision of law, for levy year
52012, the aggregate extension base for West Northfield School
6District No. 31 in Cook County shall be $12,654,592.
7    "Levy year" has the same meaning as "year" under Section
81-155.
9    "New property" means (i) the assessed value, after final
10board of review or board of appeals action, of new improvements
11or additions to existing improvements on any parcel of real
12property that increase the assessed value of that real property
13during the levy year multiplied by the equalization factor
14issued by the Department under Section 17-30, (ii) the assessed
15value, after final board of review or board of appeals action,
16of real property not exempt from real estate taxation, which
17real property was exempt from real estate taxation for any
18portion of the immediately preceding levy year, multiplied by
19the equalization factor issued by the Department under Section
2017-30, including the assessed value, upon final stabilization
21of occupancy after new construction is complete, of any real
22property located within the boundaries of an otherwise or
23previously exempt military reservation that is intended for
24residential use and owned by or leased to a private corporation
25or other entity, (iii) in counties that classify in accordance
26with Section 4 of Article IX of the Illinois Constitution, an

 

 

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1incentive property's additional assessed value resulting from
2a scheduled increase in the level of assessment as applied to
3the first year final board of review market value, and (iv) any
4increase in assessed value due to oil or gas production from an
5oil or gas well required to be permitted under the Hydraulic
6Fracturing Regulatory Act that was not produced in or accounted
7for during the previous levy year. In addition, the county
8clerk in a county containing a population of 3,000,000 or more
9shall include in the 1997 recovered tax increment value for any
10school district, any recovered tax increment value that was
11applicable to the 1995 tax year calculations.
12    "Qualified airport authority" means an airport authority
13organized under the Airport Authorities Act and located in a
14county bordering on the State of Wisconsin and having a
15population in excess of 200,000 and not greater than 500,000.
16    "Recovered tax increment value" means, except as otherwise
17provided in this paragraph, the amount of the current year's
18equalized assessed value, in the first year after a
19municipality terminates the designation of an area as a
20redevelopment project area previously established under the
21Tax Increment Allocation Development Act in the Illinois
22Municipal Code, previously established under the Industrial
23Jobs Recovery Law in the Illinois Municipal Code, previously
24established under the Economic Development Project Area Tax
25Increment Act of 1995, or previously established under the
26Economic Development Area Tax Increment Allocation Act, of each

 

 

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1taxable lot, block, tract, or parcel of real property in the
2redevelopment project area over and above the initial equalized
3assessed value of each property in the redevelopment project
4area. For the taxes which are extended for the 1997 levy year,
5the recovered tax increment value for a non-home rule taxing
6district that first became subject to this Law for the 1995
7levy year because a majority of its 1994 equalized assessed
8value was in an affected county or counties shall be increased
9if a municipality terminated the designation of an area in 1993
10as a redevelopment project area previously established under
11the Tax Increment Allocation Development Act in the Illinois
12Municipal Code, previously established under the Industrial
13Jobs Recovery Law in the Illinois Municipal Code, or previously
14established under the Economic Development Area Tax Increment
15Allocation Act, by an amount equal to the 1994 equalized
16assessed value of each taxable lot, block, tract, or parcel of
17real property in the redevelopment project area over and above
18the initial equalized assessed value of each property in the
19redevelopment project area. In the first year after a
20municipality removes a taxable lot, block, tract, or parcel of
21real property from a redevelopment project area established
22under the Tax Increment Allocation Development Act in the
23Illinois Municipal Code, the Industrial Jobs Recovery Law in
24the Illinois Municipal Code, or the Economic Development Area
25Tax Increment Allocation Act, "recovered tax increment value"
26means the amount of the current year's equalized assessed value

 

 

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1of each taxable lot, block, tract, or parcel of real property
2removed from the redevelopment project area over and above the
3initial equalized assessed value of that real property before
4removal from the redevelopment project area.
5    Except as otherwise provided in this Section, "limiting
6rate" means a fraction the numerator of which is the last
7preceding aggregate extension base times an amount equal to one
8plus the extension limitation defined in this Section and the
9denominator of which is the current year's equalized assessed
10value of all real property in the territory under the
11jurisdiction of the taxing district during the prior levy year.
12For those taxing districts that reduced their aggregate
13extension for the last preceding levy year, except for school
14districts that reduced their extension for educational
15purposes pursuant to Section 18-206, the highest aggregate
16extension in any of the last 3 preceding levy years shall be
17used for the purpose of computing the limiting rate.
18Notwithstanding any other provision of law, if the voters of
19the taxing district approve a reduced aggregate extension base,
20as provided in Section 18-206, then that reduced aggregate
21extension base shall be used for the purpose of computing the
22limiting rate. The denominator shall not include new property
23or the recovered tax increment value. If a new rate, a rate
24decrease, or a limiting rate increase has been approved at an
25election held after March 21, 2006, then (i) the otherwise
26applicable limiting rate shall be increased by the amount of

 

 

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1the new rate or shall be reduced by the amount of the rate
2decrease, as the case may be, or (ii) in the case of a limiting
3rate increase, the limiting rate shall be equal to the rate set
4forth in the proposition approved by the voters for each of the
5years specified in the proposition, after which the limiting
6rate of the taxing district shall be calculated as otherwise
7provided. In the case of a taxing district that obtained
8referendum approval for an increased limiting rate on March 20,
92012, the limiting rate for tax year 2012 shall be the rate
10that generates the approximate total amount of taxes extendable
11for that tax year, as set forth in the proposition approved by
12the voters; this rate shall be the final rate applied by the
13county clerk for the aggregate of all capped funds of the
14district for tax year 2012.
15(Source: P.A. 99-143, eff. 7-27-15; 99-521, eff. 6-1-17;
16100-465, eff. 8-31-17.)
 
17    (35 ILCS 200/18-205)
18    Sec. 18-205. Referendum to increase the extension
19limitation. A taxing district is limited to an extension
20limitation as defined in Section 18-185 of 5% or the percentage
21increase in the Consumer Price Index during the 12-month
22calendar year preceding the levy year, whichever is less. A
23taxing district may increase its extension limitation for one
24or more levy years if that taxing district holds a referendum
25before the levy date for the first levy year at which a

 

 

HB5731- 20 -LRB100 19720 HLH 34994 b

1majority of voters voting on the issue approves adoption of a
2higher extension limitation. Referenda shall be conducted at a
3regularly scheduled election in accordance with the Election
4Code. The question shall be presented in substantially the
5following manner for all elections held after March 21, 2006:
6        Shall the extension limitation under the Property Tax
7    Extension Limitation Law for (insert the legal name,
8    number, if any, and county or counties of the taxing
9    district and geographic or other common name by which a
10    school or community college district is known and referred
11    to), Illinois, be increased from (extension limitation
12    under Section 18-185) the lesser of 5% or the percentage
13    increase in the Consumer Price Index over the prior levy
14    year to (insert the percentage of the proposed increase)%
15    per year for (insert each levy year for which the increased
16    extension limitation will apply)?
17The votes must be recorded as "Yes" or "No".
18If a majority of voters voting on the issue approves the
19adoption of the increase, the increase shall be applicable for
20each levy year specified.
21    The ballot for any question submitted pursuant to this
22Section shall have printed thereon, but not as a part of the
23question submitted, only the following supplemental
24information (which shall be supplied to the election authority
25by the taxing district) in substantially the following form:
26        (1) For the (insert the first levy year for which the

 

 

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1    increased extension limitation will be applicable) levy
2    year the approximate amount of the additional tax
3    extendable against property containing a single family
4    residence and having a fair market value at the time of the
5    referendum of $100,000 is estimated to be $....
6        (2) Based upon an average annual percentage increase
7    (or decrease) in the market value of such property of ...%
8    (insert percentage equal to the average annual percentage
9    increase or decrease for the prior 3 levy years, at the
10    time the submission of the question is initiated by the
11    taxing district, in the amount of (A) the equalized
12    assessed value of the taxable property in the taxing
13    district less (B) the new property included in the
14    equalized assessed value), the approximate amount of the
15    additional tax extendable against such property for the ...
16    levy year is estimated to be $... and for the ... levy year
17    is estimated to be $....
18    Paragraph (2) shall be included only if the increased
19extension limitation will be applicable for more than one year
20and shall list each levy year for which the increased extension
21limitation will be applicable. The additional tax shown for
22each levy year shall be the approximate dollar amount of the
23increase over the amount of the most recently completed
24extension at the time the submission of the question is
25initiated by the taxing district. The approximate amount of the
26additional tax extendable shown in paragraphs (1) and (2) shall

 

 

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1be calculated by multiplying $100,000 (the fair market value of
2the property without regard to any property tax exemptions) by
3(i) the percentage level of assessment prescribed for that
4property by statute, or by ordinance of the county board in
5counties that classify property for purposes of taxation in
6accordance with Section 4 of Article IX of the Illinois
7Constitution; (ii) the most recent final equalization factor
8certified to the county clerk by the Department of Revenue at
9the time the taxing district initiates the submission of the
10proposition to the electors; (iii) the last known aggregate
11extension base of the taxing district at the time the
12submission of the question is initiated by the taxing district;
13and (iv) the difference between the percentage increase
14proposed in the question and (A) the lesser of 5% or the
15percentage increase in the Consumer Price Index for the prior
16levy year (or an estimate of the percentage increase for the
17prior levy year if the increase is unavailable at the time the
18submission of the question is initiated by the taxing district)
19or (B) 0%, as applicable; and dividing the result by the last
20known equalized assessed value of the taxing district at the
21time the submission of the question is initiated by the taxing
22district. This amendatory Act of the 97th General Assembly is
23intended to clarify the existing requirements of this Section,
24and shall not be construed to validate any prior non-compliant
25referendum language. Any notice required to be published in
26connection with the submission of the question shall also

 

 

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1contain this supplemental information and shall not contain any
2other supplemental information. Any error, miscalculation, or
3inaccuracy in computing any amount set forth on the ballot or
4in the notice that is not deliberate shall not invalidate or
5affect the validity of any proposition approved. Notice of the
6referendum shall be published and posted as otherwise required
7by law, and the submission of the question shall be initiated
8as provided by law.
9(Source: P.A. 97-1087, eff. 8-24-12.)
 
10    (35 ILCS 200/18-206 new)
11    Sec. 18-206. Referendum to reduce the aggregate extension
12base.
13    (a) Notwithstanding any other provision of law, if a
14written petition is submitted to the corporate authorities of a
15taxing district calling for a referendum on the question of
16whether or not the aggregate extension base of the taxing
17district should be reduced and setting forth the amount of the
18reduction, signed by a number of voters of the taxing district
19equal to at least 5% of the total votes cast for candidates for
20Governor in the preceding gubernatorial election by the
21registered voters of the taxing district, then the corporate
22authorities of the taxing district shall adopt a resolution for
23the submission of that proposition at the next regular election
24held in that taxing district. The corporate authorities shall
25certify the resolution and the proposition to the proper

 

 

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1election officials, who shall submit the proposition at the
2election in accordance with the general election law.
3    (b) The question shall be in substantially the following
4form:
5        Shall the aggregate extension base for (taxing
6    district) for (levy year or levy years) be reduced from
7    (statutory aggregate extension base) to (proposed
8    aggregate extension base)?
9    The votes must be recorded as "Yes" or "No". If a majority
10of voters voting on the issue approves the reduction, then the
11reduction shall be applicable for the levy year or levy years
12specified, but shall not exceed a 4-year period.
13    The ballot for any question submitted pursuant to this
14Section shall have printed thereon, but not as a part of the
15question submitted, the following supplemental information
16(which shall be supplied to the election authority by the
17taxing district) in substantially the following form:
18        For the (levy year or levy years) the reduction in the
19    amount of taxes extendable against property containing a
20    single family residence and having a fair market value at
21    the time of the referendum of $100,000 is estimated to be
22    $....
 
23    (35 ILCS 200/18-212)
24    Sec. 18-212. Referendum on debt service extension base. A
25taxing district may establish or increase its debt service

 

 

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1extension base if (i) that taxing district holds a referendum
2before the date on which the levy must be filed with the county
3clerk of the county or counties in which the taxing district is
4situated and (ii) a majority of voters voting on the issue
5approves the establishment of or increase in the debt service
6extension base. Except with respect to levy years 2018 through
72021, a A debt service extension base established or increased
8by a referendum held pursuant to this Section after February 2,
92010, shall be increased each year, commencing with the first
10levy year beginning after the date of the referendum, by the
11lesser of 5% or the percentage increase in the Consumer Price
12Index during the 12-month calendar year preceding the levy year
13if the optional language concerning the annual increase is
14included in the question submitted to the electors of the
15taxing district. Referenda under this Section shall be
16conducted at a regularly scheduled election in accordance with
17the Election Code. The governing body of the taxing district
18shall certify the question to the proper election authorities
19who shall submit the question to the electors of the taxing
20district in substantially the following form:
21    "Shall the debt service extension base under the Property
22    Tax Extension Limitation Law for ... (taxing district name)
23    ... for payment of principal and interest on limited bonds
24    be .... ((established at $ ....) . (or) (increased from $
25    .... to $ ....)) .. for the ..... levy year and all
26    subsequent levy years (optional language: , such debt

 

 

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1    service extension base to be increased each year by the
2    lesser of 5% or the percentage increase in the Consumer
3    Price Index during the 12-month calendar year preceding the
4    levy year)?"
5    Votes on the question shall be recorded as "Yes" or "No".
6    If a majority of voters voting on the issue approves the
7establishment of or increase in the debt service extension
8base, the establishment of or increase in the debt service
9extension base shall be applicable for the levy years
10specified.
11(Source: P.A. 96-1202, eff. 7-22-10.)
 
12    (35 ILCS 200/18-214)
13    Sec. 18-214. Referenda on removal of the applicability of
14the Property Tax Extension Limitation Law to non-home rule
15taxing districts.
16    (a) The provisions of this Section do not apply to a taxing
17district that is subject to this Law because a majority of its
181990 equalized assessed value is in a county or counties
19contiguous to a county of 3,000,000 or more inhabitants, or
20because a majority of its 1994 equalized assessed value is in
21an affected county and the taxing district was not subject to
22this Law before the 1995 levy year.
23    (b) For purposes of this Section only:
24    "Taxing district" means any non-home rule taxing district
25that became subject to this Law under Section 18-213 of this

 

 

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1Law.
2    "Equalized assessed valuation" means the equalized
3assessed valuation for a taxing district for the immediately
4preceding levy year.
5    (c) The county board of a county that became subject to
6this Law by a referendum approved by the voters of the county
7under Section 18-213 may, by ordinance or resolution, in the
8manner set forth in this Section, submit to the voters of the
9county the question of whether this Law applies to all non-home
10rule taxing districts that have all or a portion of their
11equalized assessed valuation situated in the county in the
12manner set forth in this Section.
13    (d) The ordinance or resolution shall request the
14submission of the proposition at any election, except a
15consolidated primary election, for the purpose of voting for or
16against the continued application of the Property Tax Extension
17Limitation Law to all non-home rule taxing districts that have
18all or a portion of their equalized assessed valuation situated
19in the county.
20    The question shall be placed on a separate ballot and shall
21be in substantially the following form:
22        Shall the Property Tax Extension Limitation Law (35
23    ILCS 200/18-185 through 35 ILCS 200/18-245), which limits
24    annual property tax extension increases, apply to non-home
25    rule taxing districts with all or a portion of their
26    equalized assessed valuation located in (name of county)?

 

 

HB5731- 28 -LRB100 19720 HLH 34994 b

1Votes on the question shall be recorded as "yes" or "no".
2    (e) The county clerk shall order the proposition submitted
3to the electors of the county at the election specified in the
4ordinance or resolution. If part of the county is under the
5jurisdiction of a board or boards of election commissioners,
6the county clerk shall submit a certified copy of the ordinance
7or resolution to each board of election commissioners, which
8shall order the proposition submitted to the electors of the
9taxing district within its jurisdiction at the election
10specified in the ordinance or resolution.
11    (f) With respect to taxing districts having all of their
12equalized assessed valuation located in one county, if a
13majority of the votes cast on the proposition are against the
14proposition, then this Law shall not apply to the taxing
15district beginning on January 1 of the year following the date
16of the referendum.
17    (g) With respect to taxing districts that do not have all
18of their equalized assessed valuation located in a single
19county, if both of the following conditions are met, then this
20Law shall no longer apply to the taxing district beginning on
21January 1 of the year following the date of the referendum.
22        (1) Each county in which the district has any equalized
23    assessed valuation must either, (i) have held a referendum
24    under this Section, (ii) be an affected county, or (iii)
25    have held a referendum under Section 18-213 at which the
26    voters rejected the proposition at the most recent election

 

 

HB5731- 29 -LRB100 19720 HLH 34994 b

1    at which the question was on the ballot in the county.
2        (2) The majority of the equalized assessed valuation of
3    the taxing district, other than any equalized assessed
4    valuation in an affected county, is in one or more counties
5    in which the voters rejected the proposition. For purposes
6    of this Section, in determining whether a majority of the
7    equalized assessed valuation of the taxing district is
8    located in one or more counties in which the voters have
9    rejected the proposition under this Section, the equalized
10    assessed valuation of any taxing district in a county which
11    has held a referendum under Section 18-213 at which the
12    voters rejected that proposition, at the most recent
13    election at which the question was on the ballot in the
14    county, will be included with the equalized assessed value
15    of the taxing district in counties in which the voters have
16    rejected the referendum held under this Section.
17    (h) Immediately after a referendum is held under this
18Section, the county clerk of the county holding the referendum
19shall give notice of the referendum having been held and its
20results to all taxing districts that have all or a portion of
21their equalized assessed valuation located in the county, the
22county clerk of any other county in which any of the equalized
23assessed valuation of any such taxing district is located, and
24the Department of Revenue. After the last referendum affecting
25a multi-county taxing district is held, the Department of
26Revenue shall determine whether the taxing district is no

 

 

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1longer subject to this Law and, if the taxing district is no
2longer subject to this Law, the Department of Revenue shall
3notify the taxing district and the county clerks of all of the
4counties in which a portion of the equalized assessed valuation
5of the taxing district is located that, beginning on January 1
6of the year following the date of the last referendum, the
7taxing district is no longer subject to this Law.
8    (i) Notwithstanding any other provision of law, no
9referendum may be submitted under this Section for levy years
102018 through 2021.
11(Source: P.A. 89-718, eff. 3-7-97.)
 
12    (35 ILCS 200/18-216 new)
13    Sec. 18-216. Extension of amendatory Act.
14    (a) Notwithstanding any other provision of law, during
15calendar years 2018 through 2022, the corporate authorities of
16any taxing district may, by resolution, submit to the voters of
17the taxing district the question of whether or not to continue
18to apply the provisions of this amendatory Act of the 100th
19General Assembly concerning the Property Tax Extension
20Limitation Law to the taxing district for a period not to
21exceed 4 years. In addition, if a written petition calling for
22a referendum on that question signed by a number of voters of
23the taxing district equal to at least 5% of the total votes
24cast for candidates for Governor in the preceding gubernatorial
25election by the registered voters of the taxing district is

 

 

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1submitted to the corporate authorities of the taxing district,
2then the corporate authorities shall adopt a resolution for the
3submission of that proposition at the next regular election
4held in that taxing district. Such a petition shall be
5submitted to the corporate authorities no later than September
630, 2021. In either case, the corporate authorities shall
7certify the resolution and the proposition to the proper
8election officials, who shall submit the proposition at the
9election in accordance with the general election law.
10    (b) The question shall be in substantially the following
11form:
12        Shall the provisions of (insert Public Act number),
13    commonly referred to as the Property Tax Freeze, be
14    continued for (name of taxing district) for a period of
15    (number of years, not to exceed 4 years) years? This would
16    mean that (taxing district) may not increase its annual
17    corporate extension or certain special purpose extensions
18    without referendum approval.
19    Votes shall be recorded as "yes" or "no".
20    If a majority of the votes cast on the proposition are in
21favor of the proposition, then the provisions of this
22amendatory Act of the 100th General Assembly concerning the
23Property Tax Extension Limitation Law shall continue to apply
24to the taxing district for the period of time specified in the
25proposition.
26    (c) As used in this Section, "taxing district" includes

 

 

HB5731- 32 -LRB100 19720 HLH 34994 b

1each taxing district that is subject to this Law for the 2018
2and 2019 levy years.
 
3    (35 ILCS 200/18-242 new)
4    Sec. 18-242. Home rule. This Division 5 is a limitation,
5under subsection (g) of Section 6 of Article VII of the
6Illinois Constitution, on the power of home rule units to tax.
 
7    Section 90. The State Mandates Act is amended by adding
8Section 8.42 as follows:
 
9    (30 ILCS 805/8.42 new)
10    Sec. 8.42. Exempt mandate. Notwithstanding Sections 6 and 8
11of this Act, no reimbursement by the State is required for the
12implementation of any mandate created by this amendatory Act of
13the 100th General Assembly.
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.