103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4636

 

Introduced 1/31/2024, by Rep. Jay Hoffman

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/9-45
35 ILCS 200/11-15

    Amends the Property Tax Code. Provides that property that is used for a petroleum refinery may be the subject of a real property tax assessment settlement agreement among the taxpayer and taxing districts in which the property is situated. Makes changes concerning the valuation of pollution control facilities. Effective immediately.


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A BILL FOR

 

HB4636LRB103 38201 HLH 68335 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 changing
5Sections 9-45 and 11-15 as follows:
 
6    (35 ILCS 200/9-45)
7    Sec. 9-45. Property index number system. The county clerk
8in counties of 3,000,000 or more inhabitants and, subject to
9the approval of the county board, the chief county assessment
10officer or recorder, in counties of less than 3,000,000
11inhabitants, may establish a property index number system
12under which property may be listed for purposes of assessment,
13collection of taxes or automation of the office of the
14recorder. The system may be adopted in addition to, or instead
15of, the method of listing by legal description as provided in
16Section 9-40. The system shall describe property by township,
17section, block, and parcel or lot, and may cross-reference the
18street or post office address, if any, and street code number,
19if any. The county clerk, county treasurer, chief county
20assessment officer or recorder may establish and maintain
21cross indexes of numbers assigned under the system with the
22complete legal description of the properties to which the
23numbers relate. Index numbers shall be assigned by the county

 

 

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1clerk in counties of 3,000,000 or more inhabitants, and, at
2the direction of the county board in counties with less than
33,000,000 inhabitants, shall be assigned by the chief county
4assessment officer or recorder. Tax maps of the county clerk,
5county treasurer or chief county assessment officer shall
6carry those numbers. The indexes shall be open to public
7inspection and be made available to the public. Any property
8index number system established prior to the effective date of
9this Code shall remain valid. However, in counties with less
10than 3,000,000 inhabitants, the system may be transferred to
11another authority upon the approval of the county board.
12    Any real property used for a power generating or
13automotive manufacturing facility located within a county of
14less than 1,000,000 inhabitants, as to which litigation with
15respect to its assessed valuation is pending or was pending as
16of January 1, 1993, may be the subject of a real property tax
17assessment settlement agreement among the taxpayer and taxing
18districts in which it is situated. In addition, any real
19property that is located in a county with fewer than 1,000,000
20inhabitants and (i) is used for natural gas extraction and
21fractionation or olefin and polymer manufacturing or (ii) is
22used for a petroleum refinery and (ii) located within a county
23of less than 1,000,000 inhabitants may be the subject of a real
24property tax assessment settlement agreement among the
25taxpayer and taxing districts in which the property is
26situated if litigation is or was pending as to its assessed

 

 

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1valuation as of January 1, 2003 or thereafter. Other
2appropriate authorities, which may include county and State
3boards or officials, may also be parties to such agreements.
4Such agreements may include the assessment of the facility or
5property for any years in dispute as well as for up to 10 years
6in the future. Such agreements may provide for the settlement
7of issues relating to the assessed value of the facility and
8may provide for related payments, refunds, claims, credits
9against taxes and liabilities in respect to past and future
10taxes of taxing districts, including any fund created under
11Section 20-35 of this Act, all implementing the settlement
12agreement. Any such agreement may provide that parties thereto
13agree not to challenge assessments as provided in the
14agreement. An agreement entered into on or after January 1,
151993 may provide for the classification of property that is
16the subject of the agreement as real or personal during the
17term of the agreement and thereafter. It may also provide that
18taxing districts agree to reimburse the taxpayer for amounts
19paid by the taxpayer in respect to taxes for the real property
20which is the subject of the agreement to the extent levied by
21those respective districts, over and above amounts which would
22be due if the facility were to be assessed as provided in the
23agreement. Such reimbursement may be provided in the agreement
24to be made by credit against taxes of the taxpayer. No credits
25shall be applied against taxes levied with respect to debt
26service or lease payments of a taxing district. No referendum

 

 

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1approval or appropriation shall be required for such an
2agreement or such credits and any such obligation shall not
3constitute indebtedness of the taxing district for purposes of
4any statutory limitation. The county collector shall treat
5credited amounts as if they had been received by the collector
6as taxes paid by the taxpayer and as if remitted to the
7district. A county treasurer who is a party to such an
8agreement may agree to hold amounts paid in escrow as provided
9in the agreement for possible use for paying taxes until
10conditions of the agreement are met and then to apply these
11amounts as provided in the agreement. No such settlement
12agreement shall be effective unless it shall have been
13approved by the court in which such litigation is pending. Any
14such agreement which has been entered into prior to adoption
15of this amendatory Act of 1988 and which is contingent upon
16enactment of authorizing legislation shall be binding and
17enforceable.
18(Source: P.A. 96-609, eff. 8-24-09.)
 
19    (35 ILCS 200/11-15)
20    Sec. 11-15. Method of valuation for pollution control
21facilities. To determine 33 1/3% of the fair cash value of any
22certified pollution control device facilities in assessing
23those facilities, the Department shall determine the take into
24consideration the actual or probable net earnings attributable
25to the facilities in question, capitalized on the basis of

 

 

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1their productive earning value to their owner; the probable
2net value that which could be realized by its their owner if
3the facilities were removed and sold at a fair, voluntary
4sale, giving due account to the expense of removal site
5restoration, and transportation. The property's net value
6shall be considered to be 33 1/3% of the fair cash value and
7condition of the particular facilities in question; and other
8information as the Department may consider as bearing on the
9fair cash value of the facilities to their owner, consistent
10with the principles set forth in this Section. For the
11purposes of this Code, earnings shall be attributed to a
12pollution control facility only to the extent that its
13operation results in the production of a commercially saleable
14by-product or increases the production or reduces the
15production costs of the products or services otherwise sold by
16the owner of such facility.
17(Source: P.A. 83-121; 88-455.)
 
18    Section 99. Effective date. This Act takes effect upon
19becoming law.