HB5024 93RD GENERAL ASSEMBLY

LRB093 20821 MKM 46746 b

93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
HB5024

Introduced 02/05/04, by Jim Sacia

SYNOPSIS AS INTRODUCED:

New Act
35 ILCS 200/15-97 new

Creates the Downtown Real Estate Improvement Assessment Phase-In Act. Authorizes any property owner within a downtown development district to apply for an assessment phase-in. Amends the Property Tax Code. Provides that the local assessment officer may phase-in the increase in assessed value of property in an area designated by a municipality as a downtown development district. Provides that a property is not eligible for the phase-in program if: (i) the property is receiving tax increment finance revenue through a redevelopment agreement or through some other type of agreement or ordinance where the property's value is directly dependent upon the increased value of the property or (ii) the property ceases to be part of a downtown development district. Effective immediately.

A BILL FOR

AN ACT concerning economic development.

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 Downtown Real Estate Improvement Assessment Phase-In Act.

Section 5. Definitions. As used in this Act:

"Downtown" means an area of a municipality that is now or once was a central business district of the municipality.

Section 10. Application. Any owner of property within a downtown area may submit to the local assessment officer an application for the phase-in of equalized assessed value on that property. The application shall include a detailed description of the overall costs of any renovation or rehabilitation project. The application shall also include a certificate of qualification from the municipality in which the property resides.

Section 905. The Property Tax Code is amended by adding Section 15-97 as follows:

(35 ILCS 200/15-97 new)

Sec. 15-97. Downtown development district equalized assessed value phase-in program.

(a) For purposes of this Section, "downtown development district" means any downtown area in the State that (i) is designated an Illinois Main Street community by the Illinois Main Street Program, (ii) is within a municipality that has adopted a Tax Increment Finance District in the downtown as part of its overall redevelopment plan, or (iii) is within a municipality that has adopted a downtown plan specifying certain aspects of redevelopment that actually take place.

(b) Any municipality that qualifies under the definition in subsection (a) may accept applications for the property value phase-in program.

(c) The municipality may upon a majority vote of its corporate authorities, adopt an ordinance or resolution approving the application for property value phase-in and authorizing a certificate of approval.

(d) The ordinance or resolution provided with the certificate of approval shall be presented to the local assessment officer's office within 10 working days of approval. The certificate shall show the original assessed value, the value of improvements made to the property, and their totals.

(e) The local assessment officer shall then make a determination of the property's new value and proceed to apply the increase in value in increments equal to the following schedule:

(f) If the property approved for phase-in ceases to be part of the downtown development district, that property is no longer eligible for the phase-in program. If the phase-in is no longer eligible, the municipality shall notify the local assessment officer and the property shall be fully assessed.

(g) If the property is receiving tax increment finance revenue through a redevelopment agreement or through some other type of agreement or ordinance where the property's value is directly dependent upon the increased value of the property the property is ineligible.

Section 999. Effective date. This Act takes effect upon becoming law.