HB4067 100TH GENERAL ASSEMBLY

LRB100 13141 RJF 27531 b

100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB4067

Introduced , by Rep. Jim Durkin

SYNOPSIS AS INTRODUCED:

See Index

Creates the Citizens Empowerment Act. Provides that registered voters may petition for a referendum at the next general election to dissolve a unit of local government. Sets forth the requirements for the petition, together with the form and requirements for the ballot referendum. Provides for the transfer of property, assets, obligations, and liabilities of the dissolving unit of local government to the receiving unit of local government. Limits when a special district may dissolve into another unit of local government. Defines terms. Amends the Local Government Reduction and Efficiency Division of the Counties Code. Provides that the Division applies to all counties (currently, only applies to DuPage, Lake, and McHenry Counties). Excludes specified boards from the definition of "unit of local government". Provides how the status and rights of employees are affected by the dissolution of a unit of local government. Provides for the assumption of obligations of the dissolving unit of local government by the entity absorbing the dissolving unit. Amends the Township Code. Removes a restriction limiting townships to 126 square miles. Provides for the consolidation, merger, and dissolution of specified townships within a coterminous, or substantially coterminous, municipality. Makes other changes. Amends the Election Code. Specifies procedures for township consolidation, merger, and discontinuance referenda and provides exceptions for the Citizens Empowerment Act. Amends the Illinois Highway Code. Provides that specified township road districts may be abolished by public referendum. Effective on January 1, 2018.

HOME RULE NOTE ACT MAY APPLY

STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

A BILL FOR

AN ACT concerning local government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Citizens Empowerment Act.

Section 5. Scope. The method of dissolution of a unit of local government under this Act shall be in addition to any other method of dissolving a unit of local government provided by law or otherwise.

Section 10. Definitions. As used in this Act:

"Dissolving unit of local government" means the unit of local government proposed to be dissolved by referendum under this Act.

"Receiving unit of local government" means the unit of local government receiving the rights, duties, and liabilities of the unit of local government proposed be dissolved by referendum under this Act.

"Special district" means any political subdivision other than a county, municipality, or township. "Special district" includes school districts.

"Unit of local government" has the same meaning as found in Section 1 of Article VII of the Illinois Constitution and also include school districts.

Section 15. Petition requirements; notice.

(a) Subject to the petition requirements of Section 28-3 of the Election Code and the dissolution limitations of Section 35, petitions for a referendum to dissolve any unit of local government must be filed both with the governing board of the dissolving unit of local governmental and the governing board of the receiving unit of local government not less than 122 days prior to a general election. Petitions must include:

(1) the dissolving unit of local government;

(2) the receiving unit of local government;

(3) the date of dissolution;

(4) signatures of a number of registered voters equal to or greater than 5% of the total ballots cast in the preceding general election; and

(5) an affidavit of publication, attesting that notice of the petition to dissolve a local unit of government was published in a newspaper of general circulation within the territory of the dissolving unit of local government and the receiving unit of local government at least 122 days and no more than 152 days prior to the general election at which the referendum is to be voted upon.

All signatures gathered under paragraph (4) of this subsection (a) must be signed within 365 days prior to the filing of a petition. A unit of local government may, by ordinance or resolution, limit the time in which signatures must be signed to less than 365 days prior to the filing of the petition but no less than 180 days before the filing of a petition. If either the dissolving unit of local government or receiving unit of local government has such an ordinance or resolution, the petition shall not be placed on the ballot if any signatures do not meet the requirements of any ordinance or resolution.

(b) The proposed date of dissolution shall be at least 90 days after the date of the election at which the referendum is to be voted upon.

(c) The parties filing a petition under this Section shall give notice in substantially the following form:

NOTICE OF PETITION TO DISSOLVE [dissolving unit of local government].

Residents of [dissolving unit of local government] and [receiving unit of local government] are notified that a petition will be filed with [dissolving unit of local government] and [receiving unit of local government] requesting a referendum to dissolve [dissolving unit of local government] on [date of dissolution] with all real and personal property, and any other assets, together with all personnel, contractual obligations, and liabilities being transferred to [receiving unit of local government].

Section 20. Ballot placement. A petition that meets the requirements of Section 15 shall be placed on the ballot in the form provided for in Section 25 at the general election next following. Failure to publish the required notice of petition shall render the petition, and the results of any referendum held on the petition, null and void.

Section 25. Referendum; voting.

(a) Subject to the requirements of Section 16-7 of the Election Code, the referendum described in Section 20 shall be in substantially the following form on the ballot:

-----------

Shall the [dissolving unit of local government] be dissolved on [date of dissolution] YES with all of its property, assets, personnel, obligations, and -------------------------

liabilities being transferred to [receiving unit of local government]? NO -------------------------------------------------------------

(b) The referendum is approved when:

(1) three-fifths of the electors of the dissolving unit of local government approve the referendum; and

(2) three-fifths of the electors of the receiving unit of local government approve the referendum.

Section 30. Dissolution; transfer of rights and duties. When the dissolution of a unit of local government has been approved under Section 25:

(1) On or before the date of dissolution, all real and personal property, and any other assets, together with all personnel, contractual obligations, and liabilities of the dissolving unit of local government shall be transferred to the receiving unit of local government.

(2) On the date of dissolution, the dissolving unit of local government is dissolved.

(3) On and after the date of dissolution, all rights and duties of the dissolved unit of local government, including, but not limited to, the authority to tax (if any), may be exercised by the governing board of the receiving unit of local government.

Section 35. Limitations on dissolution.

(a) A special district may only dissolve into another special district under this Act if both: (1) the special districts are contiguous; and (2) the special districts are organized under the same statutory authority.

(b) A county, municipality, or township may not be dissolved into a special district.

(c) Special districts may only be dissolved into a county or township if the special district is completely within the borders of that county or township.

(d) Special districts may be dissolved into a municipality as long as the special district is at least partially within, or contiguous to, the municipality's borders.

(e) There may only be one referendum per dissolving unit of local government per general election.

(f) A county may only be dissolved into another contiguous county.

(g) A municipality or township may only be dissolved into another county, municipality, or township if it is contiguous, coterminous, or within the receiving unit of local government.

Section 905. The Election Code is amended by adding Section 3-7 and by changing Sections 28-1 and 28-7 as follows:

(10 ILCS 5/3-7 new)

Sec. 3-7. Voters in consolidating and merging townships.

(a) In the consolidated election where township trustees are elected next following the certification of a successful referendum to consolidate townships under Article 22 of the Township Code, the qualified electors entitled to caucus, vote for, be nominated for, and run for offices in the consolidated township that is to be formed are those registered voters residing in any of the townships identified in the referendum as they exist prior to consolidation.

(b) In the consolidated election where township trustees are elected next following the certification of a successful referendum to dissolve a township and merge its territory into 2 adjacent townships under Article 23 of the Township Code, the qualified electors entitled to caucus, vote for, be nominated for, and run for offices in a receiving township shall also include those registered voters residing in the territory of the dissolving township described in the resolutions adopted under Section 23-10 of the Township Code as the territory to be merged with the receiving township. For purposes of this subsection (b) only, "dissolving township" and "receiving township" have the meaning provided in Section 23-5 of the Township Code.

(10 ILCS 5/28-1) (from Ch. 46, par. 28-1)

Sec. 28-1. The initiation and submission of all public questions to be voted upon by the electors of the State or of any political subdivision or district or precinct or combination of precincts shall be subject to the provisions of this Article.

Questions of public policy which have any legal effect shall be submitted to referendum only as authorized by a statute which so provides or by the Constitution. Advisory questions of public policy shall be submitted to referendum pursuant to Section 28-5 or pursuant to a statute which so provides.

The method of initiating the submission of a public question shall be as provided by the statute authorizing such public question, or as provided by the Constitution.

All public questions shall be initiated, submitted and printed on the ballot in the form required by Section 16-7 of this Act, except as may otherwise be specified in the statute authorizing a public question.

Whenever a statute provides for the initiation of a public question by a petition of electors, the provisions of such statute shall govern with respect to the number of signatures required, the qualifications of persons entitled to sign the petition, the contents of the petition, the officer with whom the petition must be filed, and the form of the question to be submitted. If such statute does not specify any of the foregoing petition requirements, the corresponding petition requirements of Section 28-6 shall govern such petition.

Irrespective of the method of initiation, not more than 3 public questions other than (a) back door referenda, (b) referenda to determine whether a disconnection may take place where a city coterminous with a township is proposing to annex territory from an adjacent township, (c) referenda held under the provisions of the Property Tax Extension Limitation Law in the Property Tax Code, or (d) referenda held under Section 2-3002 of the Counties Code, or (e) referenda held under Article 22, 23, or 29 of the Township Code may be submitted to referendum with respect to a political subdivision at the same election.

If more than 3 propositions are timely initiated or certified for submission at an election with respect to a political subdivision, the first 3 validly initiated, by the filing of a petition or by the adoption of a resolution or ordinance of a political subdivision, as the case may be, shall be printed on the ballot and submitted at that election. However, except as expressly authorized by law not more than one proposition to change the form of government of a municipality pursuant to Article VII of the Constitution may be submitted at an election. If more than one such proposition is timely initiated or certified for submission at an election with respect to a municipality, the first validly initiated shall be the one printed on the ballot and submitted at that election.

No public question shall be submitted to the voters of a political subdivision at any regularly scheduled election at which such voters are not scheduled to cast votes for any candidates for nomination for, election to or retention in public office, except that if, in any existing or proposed political subdivision in which the submission of a public question at a regularly scheduled election is desired, the voters of only a portion of such existing or proposed political subdivision are not scheduled to cast votes for nomination for, election to or retention in public office at such election, but the voters in one or more other portions of such existing or proposed political subdivision are scheduled to cast votes for nomination for, election to or retention in public office at such election, the public question shall be voted upon by all the qualified voters of the entire existing or proposed political subdivision at the election.

Not more than 3 advisory public questions may be submitted to the voters of the entire state at a general election. If more than 3 such advisory propositions are initiated, the first 3 timely and validly initiated shall be the questions printed on the ballot and submitted at that election; provided however, that a question for a proposed amendment to Article IV of the Constitution pursuant to Section 3, Article XIV of the Constitution, or for a question submitted under the Property Tax Cap Referendum Law, shall not be included in the foregoing limitation.

(Source: P.A. 93-308, eff. 7-23-03.)

(10 ILCS 5/28-7) (from Ch. 46, par. 28-7)

Sec. 28-7. Except as provided in the Citizens Empowerment Act, in In any case in which Article VII or paragraph (a) of Section 5 of the Transition Schedule of the Constitution authorizes any action to be taken by or with respect to any unit of local government, as defined in Section 1 of Article VII of the Constitution, by or subject to approval by referendum, any such public question shall be initiated in accordance with this Section.

Any such public question may be initiated by the governing body of the unit of local government by resolution or by the filing with the clerk or secretary of the governmental unit of a petition signed by a number of qualified electors equal to or greater than at least 8% of the total votes cast for candidates for Governor in the preceding gubernatorial election, requesting the submission of the proposal for such action to the voters of the governmental unit at a regular election.

If the action to be taken requires a referendum involving 2 or more units of local government, the proposal shall be submitted to the voters of such governmental units by the election authorities with jurisdiction over the territory of the governmental units. Such multi-unit proposals may be initiated by appropriate resolutions by the respective governing bodies or by petitions of the voters of the several governmental units filed with the respective clerks or secretaries.

This Section is intended to provide a method of submission to referendum in all cases of proposals for actions which are authorized by Article VII of the Constitution by or subject to approval by referendum and supersedes any conflicting statutory provisions except those contained in Division 2-5 of the Counties Code or the Citizens Empowerment Act the "County Executive Act".

Referenda provided for in this Section may not be held more than once in any 23-month period on the same proposition, provided that in any municipality a referendum to elect not to be a home rule unit may be held only once within any 47-month period.

(Source: P.A. 97-81, eff. 7-5-11.)

Section 910. The Counties Code is amended by changing the heading of Division 2-4, and by changing Sections 2-4006, 5-44010, 5-44020, and by adding Section 5-44043 as follows:

(55 ILCS 5/Div. 2-4 heading)

Division 2-4. Counties not under

Township Organization

Organized as a Commission

Form of Government

(55 ILCS 5/2-4006)

Sec. 2-4006. Terms of commissioners.

(a) In every county not under township organization that is organized as a commission form of government having 3 commissioners elected at large as described in subsection (b) or (c), the commissioners shall be elected as provided in this Section.

(b) In a county in which one commissioner was elected at the general election in 1992 to serve for a term of 4 years and in which 2 commissioners will be elected at the general election in 1994, the commissioner elected in 1994 and receiving the greatest number of votes shall serve for a term of 6 years. The other commissioner elected in 1994 shall serve for a term of 4 years. At the general election in 1996 and at each general election thereafter, one commissioner shall be elected to serve for a term of 6 years.

(c) In a county in which 2 commissioners were elected at the general election in 1992 to serve for terms of 4 years and in which one commissioner will be elected at the general election in 1994, the commissioner elected in 1994 shall serve for a term of 4 years. The commissioner elected in 1996 and receiving the greatest number of votes shall serve for a term of 6 years. The other commissioner elected in 1996 shall serve for a term of 4 years. At the general election in 1998 and at each general election thereafter, one commissioner shall be elected to serve for a term of 6 years.

(c-5) In Calhoun County, Edwards County, and Union County, the registered voters of the county may, upon referendum initiated by (i) the adoption of a resolution of the board of county commissioners or (ii) a petition signed by not less than 10% of the registered voters in the county, determine that the board of county commissioners shall consist of 5 commissioners elected at large. The commissioners must certify the question to the proper election authority, which must submit the question at an election in accordance with the general election law.

The question shall be submitted in substantially the following form:

"Shall the board of county commissioners of (county) consist of 5 commissioners elected at large?"

Votes must be recorded as "Yes" or "No". If a majority of the electors voting on the question vote in the affirmative, then a 5-member board of county commissioners shall be established beginning with the next general election. The County Clerk, in consultation with the State's Attorney for the county, shall develop and present to the board of county commissioners, to implement by the adoption of a resolution, the transition of terms for the current 3-member board of commissioners and the addition of 2 commissioners for 6-year terms. Thereafter, commissioners shall be elected at each general election to fill expired terms.

(d) The provisions of this Section do not apply to commissioners elected under Section 2-4006.5 of this Code.

(Source: P.A. 96-175, eff. 8-10-09.)

(55 ILCS 5/5-44010)

Sec. 5-44010. Applicability. The powers and authorities provided by this Division 5-44 apply to all counties DuPage, Lake, and McHenry Counties and units of local government within such counties.

(Source: P.A. 98-126, eff. 8-2-13; 99-709, eff. 8-5-16.)

(55 ILCS 5/5-44020)

Sec. 5-44020. Definitions. In this Division 5-44:

"Fire protection jurisdiction" means a fire protection district, municipal fire department, or service organized under Section 5-1056.1 of the Counties Code, Sections 195 and 200 of the Township Code, Section 10-2.1 of the Illinois Municipal Code, or the Illinois Fire Protection District Act.

"Governing board" means the individual or individuals who constitute the corporate authorities of a unit of local government.

"Unit of local government" or "unit" means any unit of local government located entirely within one county, to which the county board chairman or county executive directly appoints a majority of its governing board with the advice and consent of the county board, but shall not include a fire protection district that directly employs any regular full-time employees, a conservation district organized under the Conservation District Act, or a special district organized under the Water Commission Act of 1985, a community mental health board established under the Community Mental Health Board Act, or a board established under the County Care for Persons with Developmental Disabilities Act.

(Source: P.A. 98-126, eff. 8-2-13; 98-756, eff. 7-16-14; 99-709, eff. 8-5-16.)

(55 ILCS 5/5-44043 new)

Sec. 5-44043. Rights and obligations of employees.

(a) The status and rights of employees represented by an exclusive bargaining representative shall not be affected by the dissolution of a unit of local government under this Division, except that this subsection does not apply in DuPage, Lake, and McHenry Counties for actions taken before the effective date of this amendatory Act of the 100th General Assembly.

(b) Obligations of the dissolving unit of local government assumed by the trustee-in-dissolution, county, or governing body of a special service area include the obligation to honor representation rights under the Illinois Public Labor Relations Act and any collective bargaining agreements existing on the date of dissolution of the unit of local government.

(c) The rights of employees under any pensions, retirement plans, or annuity plans existing on the date of dissolution of the unit of local government are not affected by the dissolution of a unit of local government under this Division.

Section 915. The Township Code is amended by adding Articles 22, 23, and 29 and by changing Sections 10-25, 25-15, 25-25, and 65-20 as follows:

(60 ILCS 1/10-25)

Sec. 10-25. Plan for changes in townships.

(a) The county board of each county may, subject to a referendum in the townships affected as provided in this Section, adopt a plan for altering the boundaries of townships, changing township lines, dividing, enlarging, or consolidating townships, or creating new townships, so that each township shall possess an equalized assessed valuation of not less than $10,000,000 as of the 1982 assessment year or an area of not more than 126 square miles.

(b) No alteration or change in boundaries shall be effective unless approved by a referendum in each township affected. The election authority shall submit to the voters of each township affected, at a regular election to be held not less than 60 days after the plan is adopted, the question of approving the alteration or change. The alterations or changes, if approved by the voters, shall take effect on the date of the next township election and shall be applicable to that election. If there is doubt as to the township clerk with whom nomination papers for that election should be filed, the county board shall designate the clerk. In the alteration of boundaries, a county board may not disturb urban or coterminous townships in existence on October 1, 1978.

(Source: P.A. 84-1308; 88-62.)

(60 ILCS 1/Art. 22 heading new)

ARTICLE 22. CONSOLIDATION OF

MULTIPLE TOWNSHIPS

(60 ILCS 1/22-5 new)

Sec. 22-5. Resolution for consolidation; notice.

(a) Notwithstanding any other provision of law to the contrary, the township boards of any 2 or more adjacent townships may, by identical resolutions of each board, propose consolidation by referendum: (i) into a new township; or (ii) into an existing township. Each resolution shall include, but is not limited to, the following:

(1) the name of the proposed new consolidated township or the name of the existing township into which all townships will be consolidated;

(2) a description of how each road district or road districts of a dissolving township shall comply with subsection (c) of Section 22-20 if a township will be consolidating into an existing township;

(3) the names of all townships that will be consolidating and a description of the area of consolidation; and

(4) the date of the general election at which the referendum shall be held.

All resolutions shall be passed not less than 79 days before the general election stated in the resolutions. For purposes of this Section, 3 or more townships are adjacent when each township shares a boundary with at least one of the other townships which are to be consolidated.

(b) Before passing a resolution under subsection (a), each township board shall hold a public hearing on those matters after notice of the hearing has been published in a newspaper having a general circulation in the townships affected. The notice shall be published at least 30 days before the date of the hearing. The notice shall contain, at a minimum, the name of all townships that will be consolidating and a description of the area of consolidation.

(60 ILCS 1/22-10 new)

Sec. 22-10. Referendum.

(a) Upon the adoption of resolutions under Section 22-5 by each township, the township boards shall certify the question to the election authority and the authority shall cause to be submitted to the voters of each township at the general election specified in the resolutions a referendum to consolidate the townships. The referendum shall be substantially in the following form:

Shall (names of townships) be consolidated into [a new township called (name of proposed consolidated township)/the township of (name of existing township)]?

The votes shall be recorded as "Yes" or "No". The referendum is approved when a majority of the voters, in each of the affected townships, approve the referendum.

(b) Before a referendum appears on the ballot under subsection (a), each township board shall publish a copy of the adopted resolution in a newspaper having a general circulation in each of the townships affected. The notice shall be published at least 30 days before the date of the general election in which the referendum will appear.

Each township board shall additionally mail a copy of the adopted resolution, along with a copy of the referendum language and a list of all taxes levied for general township purposes in the affected townships, to every registered voter in each township affected. The notice shall be mailed at least 30 days before the date of the general election in which the referendum will appear.

(c) Notwithstanding any provision of law to the contrary, no tax rate may be extended for any fund of the consolidated district for the first levy year of the consolidated district that exceeds any statutory maximum set forth for that fund, unless the referendum also conforms to the requirements of the Property Tax Extension Limitation Law or other statutory provision setting forth that limitation.

(60 ILCS 1/22-15 new)

Sec. 22-15. Transition. Notwithstanding any other provision of law to the contrary, upon the approval of a referendum under Section 22-10:

(a) There shall be no further nominations or elections for clerks, assessors, collectors, highway commissioners, supervisors, or trustees of any of the separate townships or highway commissions, and the terms of all such officers currently serving shall continue until the third Monday of May of the year in which township officials are elected next following the approval of a referendum under Section 22-10.

(b) A Transition Township Board is formed and is composed of the members of the separate townships boards. The Transition Township Board shall have only the following powers: (1) to propose and approve the compensation of all officials of the consolidated township that will be elected at the consolidated election next following the passage of the referendum under Section 22-10; and (2) to propose and approve additional debt to be taken on by any of the separate townships.

(c) The Transition Township Board shall hold a public hearing no later than the last Tuesday in December before the consolidated township board of trustees are elected next following the approval of a referendum under Section 22-10. If the Board cannot agree on the compensation for an official by the first Tuesday in April before the consolidated election of township officials next following the approval of a referendum under Section 22-10, then the compensation for that official shall be equal to the lowest compensation for the same office between the separate townships in the previous calendar year.

(d) The separate townships shall not incur any additional debt without the approval of the Transition Township Board. For purposes of this Section, "debt" shall have the meaning ascribed to that term in Section 23-5.

(e) Section 3-7 of the Election Code shall govern those individuals entitled to caucus, vote for, be nominated for, and run for offices for the consolidated township at the consolidated election of township officials next following the approval of a referendum under Section 22-10.

(60 ILCS 1/22-20 new)

Sec. 22-20. Consolidated township.

(a) On the third Monday of May of the year in which township officials are elected following the approval of a referendum under Section 22-10, the following shall occur:

(1) the separate townships cease and the consolidated township is created;

(2) all rights, powers, duties, assets, and property, together with all personnel, contractual obligations, other obligations, responsibilities, and liabilities of the separate townships are transferred to the consolidated township; those rights include, but are not limited to, the authority to continue to collect, receive, and expend the proceeds of any tax levied by any of the separate townships prior to the creation of the consolidated township without an additional ordinance, resolution, or referendum; the proceeds of any tax levied by any of the separate townships prior to the creation of the consolidated township shall be expended or disposed of by the consolidated township in the same manner as such assessments might have been expended or disposed of by the separate townships; however, if the consolidated township board determines that there is a surplus in the fund for general township purposes on December 31 of the calendar year in which the consolidation occurs, then any portion of the surplus that is solely attributable to the consolidation shall be refunded to the owners of record of taxable property within the consolidated district on a pro rata basis; and

(3) road districts located within the separate townships are abolished.

(b) When a new township is created, a new road district encompassing the consolidated township is created. All the rights, powers, duties, assets, property, liabilities, obligations, and responsibilities of the separate road districts shall vest in and be assumed by the new road district as provided for in the resolutions adopted under Section 22-5. The new township board of trustees shall exercise the taxing authority of a road district abolished under this Section. The highway commissioners of the abolished road districts shall cease to hold office on the date the road district is abolished. The new township board shall exercise all duties and responsibilities of the highway commissioner as provided in the Illinois Highway Code. For purposes of distribution of revenue, the new township shall assume the powers, duties, and obligations of the road district of the dissolving road district. The new township board may enter into a contract with the county, a municipality, or a private contractor to administer the roads under the new road district.

(c) When a township consolidates into an existing township, all the rights, powers, duties, assets, property, liabilities, obligations, and responsibilities of the abolished road districts shall vest in and be assumed by the existing township's road district as provided for in the resolutions adopted under Section 22-5. The consolidated township board of trustees shall exercise the taxing authority of a road district abolished under this Section. Highway commissioners of the abolished road districts shall cease to hold office on the date the road district is abolished. The consolidated township shall exercise all duties and responsibilities of the highway commissioner as provided in the Illinois Highway Code. For purposes of distribution of revenue, the existing township's road district or districts shall assume the powers, duties, and obligations of the road district of the dissolving road district.

(60 ILCS 1/Art. 23 heading new)

ARTICLE 23. MERGER OF A SINGLE

TOWNSHIP INTO TWO OTHER TOWNSHIPS

(60 ILCS 1/23-5 new)

Sec. 23-5. Definitions. As used in this Article:

"Dissolving road district" means a road district in a dissolving township, which is dissolved under subsection (c) of Section 23-25.

"Dissolving township" means a township which is proposed to be dissolved into and be merged with 2 other adjacent townships.

"Equalized assessed value" has the meaning provided in Section 18-213 of the Property Tax Code.

"Debt" means indebtedness incurred by a dissolving township including, but not limited to, mortgages, judgments, and moneys due through the issuance and sale of bonds, or through an equivalent manner of borrowing for which notes or other evidences of indebtedness are issued fixing the amount of principal and interest from time to time payable to retire the indebtedness.

"Receiving township" means a township into which a portion of the dissolving township will be merged.

(60 ILCS 1/23-10 new)

Sec. 23-10. Resolution for merger; notice.

(a) Notwithstanding any other provision of law to the contrary, the township boards of any 3 adjacent townships may, by identical resolutions of each board, propose that a township which borders the other 2 townships be dissolved by referendum and all rights, powers, duties, assets, and property, together with all personnel, contractual obligations, other obligations, responsibilities, and liabilities of the dissolving township transferred to the receiving townships. Each resolution shall include, but is not limited to, the following:

(1) a legal description of the former territory of the dissolving township each receiving township will take upon the dissolution of the dissolving township;

(2) a description of how all assets and property, together with all personnel, contractual obligations, other obligations, responsibilities, and liabilities of the dissolving township will be transferred to the receiving townships;

(3) the tax rates for general township purposes for the immediately preceding levy year, as extended and collected in the year in which the resolution is adopted, for the dissolving township and each receiving township;

(4) a description and amount of all debt each receiving township shall assume after the dissolving township dissolves. The debt shall be assumed by each receiving township in equal proportion to the equalized assessed value of the land and property that will be received by each receiving township from the dissolving township unless otherwise agreed to in the resolutions;

(5) a description of how each road district or road districts of a dissolving township shall comply with subsection (c) of Section 23-25; and

(6) the date of the general election at which the referendum shall be held.

All resolutions shall be passed not less than 79 days before the general election stated in the resolutions.

(b) Before passing a resolution under this Section, each township board shall hold a public hearing on those matters after notice of the hearing has been published in a newspaper having a general circulation in the townships affected. The notice shall be published at least 30 days before the date of the hearing. The notice shall contain, at a minimum, the name of the dissolving township and receiving townships and a description of the area each receiving township will receive from the dissolving township.

(60 ILCS 1/23-15 new)

Sec. 23-15. Referendum and notices.

(a) Upon the adoption of resolutions under Section 23-10 by all townships, the township boards shall certify the question to the election authority and the authority shall cause to be submitted to the voters of all townships at the general election specified in the resolutions a referendum to consolidate the townships. The referendum shall be substantially in the following form:

Shall (name of dissolving township) be dissolved into (names of receiving townships)?

The votes shall be recorded as "Yes" or "No". The referendum is approved when a majority of the voters, in each of the affected townships, approve the referendum.

(b) Before a referendum appears on the ballot under subsection (a), the township boards shall publish a copy of the adopted resolution in a newspaper having a general circulation in each of the townships affected. The notice shall be published at least 30 days before the date of the general election.

Each township board shall additionally mail a copy of the adopted resolution, along with a copy of the referendum language and a list of all taxes levied for general township purposes in the affected townships, to every registered voter in each township affected. The notice shall be mailed at least 30 days before the date of the general election in which the referendum will appear.

(60 ILCS 1/23-20 new)

Sec. 23-20. Transition.

(a) Notwithstanding any other provision of law to the contrary, upon the approval of a referendum under Section 23-15:

(1) there shall be no further nominations or elections for clerks, assessors, collectors, highway commissioners, supervisors, or trustees of the dissolving township or highway commissions and the terms of all such officers currently serving shall continue until the third Monday of May of the year in which township officials are elected following the approval of a referendum under Section 23-15;

(2) a Transition Township Board is formed for each receiving township. Each Transition Township Board shall be composed of the members of the dissolving township boards plus the members of the receiving township board. The Transition Township Board shall only have authority to do the following under paragraphs (3) and (4) of this Section: provide for the compensation for all receiving township officials that will be elected at the consolidated election next following the approval of a referendum under Section 23-15; and approving additional debt to be taken on by the dissolving township;

(3) each Transition Township Board shall hold a public meeting no later than the first Tuesday in April before the receiving townships' boards of trustees are elected at the consolidated election next following the approval of a referendum under Section 23-15. At this public meeting, the Transition Township Board shall provide for the compensation for all township officials that will be elected at the consolidated election. If the Board cannot agree on the compensation for an official, then the compensation for the same office between the receiving and dissolving townships shall be the lower compensation for the office in the dissolving township or receiving township;

(4) the dissolving township shall not incur any additional debt without the approval of the Transition Township Board of each receiving township that would assume such debt after dissolution of the dissolving township; and

(5) Section 3-7 of the Election Code shall govern those individuals entitled to caucus, vote for, be nominated for, and run for offices for the receiving townships at the consolidated election of township officials next following the approval of a referendum under Section 23-15.

(b) Upon the approval of a referendum under Section 23-15, the receiving townships may enter into an intergovernmental agreement under the Intergovernmental Cooperation Act for any lawful purpose relating to the land or property contained in the dissolving township after the township is dissolved.

(60 ILCS 1/23-25 new)

Sec. 23-25. Merged township. On the third Monday of May of the year in which township officials are elected following the approval of a referendum under Section 23-15, the following shall occur:

(a) The dissolving township ceases.

(b) All rights, powers, duties, assets, and property, together with all personnel, contractual obligations, other obligations, responsibilities, and liabilities of the dissolving township are transferred to the receiving townships as provided in the resolution adopted under Section 23-10. The rights include, but are not limited to, the authority to continue to collect and receive any tax levied prior to the creation of the merged townships without an additional ordinance, resolution, or referendum.

(c) Road districts located within the dissolving township are abolished and all the rights, powers, duties, assets, property, liabilities, obligations, and responsibilities of the dissolving road districts shall vest in and be assumed by the receiving townships' road districts as provided for in the resolutions adopted under Section 23-10; the boards of trustees of the receiving townships shall exercise the taxing authority of a road district dissolved under this Section and shall exercise all duties and responsibilities of the highway commissioner as provided in the Illinois Highway Code unless a road district in the receiving township has a highway commissioner who shall assume all duties and responsibilities of the highway commissioner of the dissolving road districts if so resolved by the receiving township board; highway commissioners of the dissolving road districts shall cease to hold office on the date the road district is abolished; and for purposes of distribution of revenue, the receiving townships' road districts, or the township board if no road districts exist, shall assume the powers, duties, and obligations of the dissolving road district.

(60 ILCS 1/25-15)

Sec. 25-15. Selection of county governing body; election Election of county commissioners. When township organization ceases in any county as provided in this Article, the county board may by ordinance or resolution restructure into a commission form of government on or before 180 days after a township organization ceases. If the county board votes to assume a commission form of government, an election shall be held in the county at the next general election in an even-numbered year for 3 county commissioners who shall hold office for 2, 4, and 6 years, respectively, and until their successors are elected and qualified. Terms shall be determined by lot. At each succeeding general election after the first, one commissioner shall be elected.

(Source: P.A. 82-783; 88-62.)

(60 ILCS 1/25-25)

Sec. 25-25. Disposal of township records and property. When township organization is discontinued in any county, the records of the several townships shall be deposited in the county clerk's office. The county board or board of county commissioners of the county may close up all unfinished business of the several townships and sell or and dispose of any of the property belonging to a township for the benefit of the inhabitants of the township, as fully as might have been done by the townships themselves. The county board or board of county commissioners may pay all the indebtedness of any township existing at the time of the discontinuance of township organization and cause the amount of the indebtedness, or so much as may be necessary, to be levied upon the property of the township.

(Source: P.A. 82-783; 88-62.)

(60 ILCS 1/Art. 29 heading new)

ARTICLE 29. DISCONTINUANCE OF

TOWNSHIP WITHIN COTERMINOUS

MUNICIPALITY: ALL TOWNSHIPS

(60 ILCS 1/29-5 new)

Sec. 29-5. Resolutions to discontinue and abolish a township. The township board and the corporate authorities of a coterminous, or substantially coterminous, municipality may by resolutions of the board and corporate authorities, and after referendum of the voters of the township and municipality: (1) discontinue and abolish the township; (2) transfer all the rights, powers, duties, assets, property, liabilities, obligations, and responsibilities of the township to the municipality; and (3) cease and dissolve all township road districts with the district's jurisdiction and authority transferred to the municipality upon the dissolution of the township.

(60 ILCS 1/29-10 new)

Sec. 29-10. Notice.

(a) Before passing resolutions under Section 29-5, the township board and the corporate authorities of the municipality shall hold public hearings on those matters after notice of the hearing has been published in a newspaper having general circulation in the township and municipality. The notice shall be published at least 30 days before the date of the hearing.

(b) Before a referendum is placed on the ballot under Section 29-15, each township board shall publish a copy of the resolution adopted under Section 29-5 in a newspaper of general circulation in the township and municipality affected. The notice shall be published at least 30 days before the date of the general election in which the referendum will appear.

Each township board shall additionally mail a copy of the adopted resolution, along with a copy of the referendum language, the date the referendum will appear, and a list of all taxes levied in the affected townships, to every registered voter in each township affected. The notice shall be mailed at least 30 days before the date of the election in which the referendum will appear.

(60 ILCS 1/29-15 new)

Sec. 29-15. Referendum for cessation of township. Upon the adoption of resolutions under Section 29-5 by both the township and municipality, the township board and corporate authorities of the municipality shall certify the question to the election authority and the authority shall cause to be submitted to the voters of the township and municipality at the next election a referendum to discontinue the township and to transfer all the rights, powers, duties, assets, property, liabilities, obligations, and responsibilities of the township to the municipality. The referendum shall be substantially in the following form:

Shall the township of (name of township) Township cease?

The votes shall be recorded as "Yes" or "No". The referendum is approved when a majority of the voters, in both the township and municipality, approve the referendum.

If the referendum is approved there shall be no further nominations or elections for clerks, assessors, collectors, highway commissioners, supervisors, or trustees of the township or highway commission, and the terms of all such officers currently serving shall continue until the third Monday of May of the year of the consolidated election in which township officials are elected next following the approval of a referendum under this Section.

(60 ILCS 1/29-20 new)

Sec. 29-20. Cessation of township. On the third Monday in May in the year of the consolidated election in which township officials are elected next following the approval of a referendum under Section 29-15:

(1) the township is discontinued and abolished and all the rights, powers, duties, assets, property, liabilities, obligations, and responsibilities of the township shall vest in and be assumed by the municipality, including the authority to levy property taxes for township purposes in the same manner as the dissolved township without an additional ordinance, resolution, or referendum;

(2) all township officers shall cease to hold office;

(3) the municipality shall exercise all duties and responsibilities of the township officers as provided in the Township Code, the Illinois Public Aid Code, the Property Tax Code, and the Illinois Highway Code, as applicable. The municipality may enter into an intergovernmental agreement with the county or the State to administer the duties and responsibilities of the township officers for services under its jurisdiction; and

(4) any road district located within the township is abolished and its jurisdiction, rights, powers, duties, assets, property, liabilities, obligations, and responsibilities shall vest in and be assumed by the municipality and the highway commissioner of the abolished road district shall cease to hold office. The corporate authorities of the municipality shall: exercise the taxing authority of a road district abolished under this Section; exercise all duties and responsibilities of the highway commissioner as provided in the Illinois Highway Code; and for purposes of distribution of revenue, assume the powers, duties, and obligations of the road district in the discontinued township. The corporate authorities of a municipality may enter into an intergovernmental agreement or a contract with the county, another municipality, or a private contractor to administer the roads which were under the jurisdiction of the abolished road district.

(60 ILCS 1/29-25 new)

Sec. 29-25. Business, records, and property of discontinued township. The records of a township discontinued under this Article shall be deposited in the municipality's city clerk's office. The municipality may close up all unfinished business of the township and sell and dispose of any of the property belonging to the township for benefit of the inhabitants of the municipality.

(60 ILCS 1/65-20)

Sec. 65-20. Road district treasurer; new township; multi-township officers.

(a) Compensation of township officers shall be set by the township board at least 180 days before the beginning of the terms of officers, including compensation of the road district treasurer, which shall be not less than $100 or more than $1,000 per year. Compensation of a township assessor and collector shall be set at the same time as the compensation of the township supervisor. Compensation of a multi-township assessor shall be set at least 150 days before his or her election.

(b) The compensation to be paid to each officer in a new township established under Section 10-25 shall be determined under this Section by the township board of the township the whole or a part of which comprises the new township and that has the highest equalized assessed valuation (as of December 31, 1972) of the old townships that comprise the new township.

(c) At least 150 days before the election of multi-township officers, the multi-township board may establish additional pay of those board members for their services in an amount not to exceed $25 per day for each day of services.

(d) For the first term of a township consolidated or merged under Article 22 or 23, compensation for township officers of the consolidated or merged township shall be set by the Transition Township Board no later than the first day in April before the consolidated election at which the township officers are to be elected.

(Source: P.A. 90-210, eff. 7-25-97.)

Section 920. The Illinois Highway Code is amended by changing Section 6-130 and by adding Section 6-130.5 as follows:

(605 ILCS 5/6-130) (from Ch. 121, par. 6-130)

Sec. 6-130. Mandatory and permissive road district abolishment.

(a) Notwithstanding any other provision of this Act to the contrary, no township road district may continue in existence if the roads forming a part of the district do not exceed a total of 4 miles in length as determined by the county engineer or county superintendent of highways. For purposes of this Section, the roads forming a part of a township road district include those roads maintained by the district, regardless of whether or not those roads are owned by the township. On the first Tuesday in April of 1975, or of any subsequent year next succeeding the reduction of a township road system to a total mileage of 4 miles or less, each such township road district shall, by operation of law, be abolished. The roads comprising that district at that time shall thereafter be administered by the township board of trustees by contracting with the county, a municipality or a private contractor. The township board of trustees shall assume all taxing authority of a township road district abolished under this Section.

(b) Notwithstanding any provision of law to the contrary, a township road district may be abolished as provided in Section 6-130.5 of this Act, if the roads forming part of the district are less than a total of 15 miles in length.

(Source: P.A. 94-884, eff. 6-20-06.)

(605 ILCS 5/6-130.5 new)

Sec. 6-130.5. Abolishing a road district with less than 15 miles of roads.

(a) Any township may abolish a road district of that township if the roads of the district of that township are less than 15 miles in length, as determined by the county engineer or county superintendent of highways, by resolution of a majority of the board of trustees to submit a referendum to abolish the road district of that township. The referendum shall be submitted to the electors of that township at the next general election or consolidated election in accordance with the general election law. The ballot shall be in substantially the following form:

(b) If a majority of the electors voting on the referendum under subsection (a) of this Section are in favor of abolishing the township road district, then the road district is abolished on the January 1 following the approval of the resolution or referendum.

On the date of abolishment: all the rights, powers, duties, assets, property, liabilities, obligations, and responsibilities of the road district shall by operation of law vest in and be assumed by the township; the township board of trustees shall assume all taxing authority of a road district abolished under this Section; any highway commissioner of the abolished road district shall cease to hold office; the township shall exercise all duties and responsibilities of the highway commissioner as provided in the Illinois Highway Code; and for purposes of distribution of revenue, the township shall assume the powers, duties, and obligations of the road district. The township board of trustees may enter into a contract with the county, a municipality, or a private contractor to administer the roads added to its jurisdiction under this Section.

Section 999. Effective date. This Act takes effect January 1, 2018.