102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB5435
 
Introduced 1/31/2022, by Rep. Deanne M. Mazzochi
 
SYNOPSIS AS INTRODUCED:
 

 
35 ILCS 200/Art. 10 Div. 21 heading new
35 ILCS 200/10-765 new
35 ILCS 200/10-770 new
35 ILCS 200/10-775 new

     Amends the Property Tax Code. Provides that municipalities and counties may establish manufacturing zones. Provides that, with respect to property that is owned or controlled by the owner or operator of a manufacturing facility that is located within a manufacturing zone, the assessed valuation of any capital investment in the property made by the owner or operator for the purpose of carrying out a manufacturing process for any taxable year in which the manufacturing zone is in effect shall be $0. Effective immediately.
  


LRB102 24729 HLH 33969 b

 
 
A BILL FOR
 

  
HB5435LRB102 24729 HLH 33969 b


  
1    AN ACT concerning revenue.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Property Tax Code is amended  by adding 
5Division 21 to Article 10 as follows:
 
6    (35 ILCS 200/Art. 10 Div. 21 heading new)
7
Division  21.  Manufacturing zones

 
8    (35 ILCS 200/10-765 new)
9    Sec. 10-765. Purpose.  The purpose of this Division is to 
10encourage the development of manufacturing employment 
11throughout Illinois, especially within jurisdictions that 
12adopt manufacturing zone ordinances pursuant to this Division.
 
13    (35 ILCS 200/10-770 new)
14    Sec. 10-770. Establishment of manufacturing zones.  For 
15taxable year 2023 and thereafter, the corporate authorities of 
16any municipality or county may adopt an ordinance creating a 
17manufacturing zone.  The ordinance shall set forth the 
18boundaries of the manufacturing zone and the duration of the 
19zone. The boundaries of each manufacturing zone and the date 
20it was created shall be posted by the jurisdiction that 
21created it on a map that shall be available to the public at 
 
 
HB5435- 2 -LRB102 24729 HLH 33969 b

1all times.  The municipality or county shall send copies of 
2each map to the Department of Revenue.  If the manufacturing 
3zone is created by a municipality, the municipality shall 
4transmit copies of each map to the county clerk.  Any 
5jurisdiction that possesses one or more manufacturing zones 
6may create a new manufacturing zone with a new date of 
7creation.  The boundaries of each existing manufacturing zone 
8shall not be changed.
 
9    (35 ILCS 200/10-775 new)
10    Sec. 10-775. Assessments in manufacturing zones.  
11Notwithstanding any other provision of law, with respect to 
12property that is owned or controlled by the owner or operator 
13of a manufacturing facility that is located within a 
14manufacturing zone, the assessed valuation of any capital 
15investment in the property made by the owner or operator for 
16the purpose of carrying out a manufacturing process for any 
17taxable year in which the manufacturing zone is in effect 
18shall be $0.  Nothing in the assessment procedures or outcomes 
19for this parcel of property shall affect that portion of the 
20overall market value of the parcel that reflects value that 
21existed prior to the creation of the intensive manufacturing 
22zone.
23    As used in this Section, "manufacturing process" shall be 
24as defined in paragraph (1) of Section 3-50 of the Use Tax Act 
 
 
25    Section 99. Effective date. This Act takes effect upon 
 
 
HB5435- 3 -LRB102 24729 HLH 33969 b

1becoming law.