Sen. Dan Cronin
Filed: 5/6/2004
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1 | AMENDMENT TO HOUSE BILL 6760
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2 | AMENDMENT NO. ______. Amend House Bill 6760 by replacing | ||||||
3 | everything after the enacting clause with the following:
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4 | "Section 5. The Property Tax Code is amended by changing | ||||||
5 | Section 15-35 as follows:
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6 | (35 ILCS 200/15-35)
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7 | Sec. 15-35. Schools. All property donated by the United | ||||||
8 | States for school
purposes, and all property of schools, not | ||||||
9 | sold or leased or otherwise used
with a view to profit, is | ||||||
10 | exempt, whether owned by a resident or non-resident
of this | ||||||
11 | State or by a corporation incorporated in any state of the | ||||||
12 | United
States. Also exempt is:
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13 | (a) property of schools which is leased to a | ||||||
14 | municipality to be used for
municipal purposes on a | ||||||
15 | not-for-profit basis;
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16 | (b) property of schools on which the schools are | ||||||
17 | located and any other
property of schools used by the | ||||||
18 | schools exclusively for school purposes,
including, but | ||||||
19 | not limited to, student residence halls, dormitories and
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20 | other housing facilities for students and their spouses and | ||||||
21 | children, staff
housing facilities, and school-owned and | ||||||
22 | operated dormitory or residence
halls occupied in whole or | ||||||
23 | in part by students who belong to fraternities,
sororities, | ||||||
24 | or other campus organizations;
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1 | (c) property donated, granted, received or used for | ||||||
2 | public school,
college, theological seminary, university, | ||||||
3 | or other educational purposes,
whether held in trust or | ||||||
4 | absolutely;
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5 | (d) in counties with more than 200,000 inhabitants | ||||||
6 | which classify
property, property (including interests in | ||||||
7 | land and other facilities) on or
adjacent to (even if | ||||||
8 | separated by a public street, alley, sidewalk, parkway or
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9 | other public way) the grounds of a school, if that property | ||||||
10 | is used by an
academic, research or professional society, | ||||||
11 | institute, association or
organization which serves the | ||||||
12 | advancement of learning in a field or fields of
study | ||||||
13 | taught by the school and which property is not used with a | ||||||
14 | view to
profit;
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15 | (e) property owned by a school district.
The exemption | ||||||
16 | under this subsection is not affected by any
transaction
in | ||||||
17 | which, for
the purpose of obtaining financing, the school | ||||||
18 | district,
directly or
indirectly, leases or otherwise | ||||||
19 | transfers the property to another for which or
whom | ||||||
20 | property is not exempt and immediately after the lease or | ||||||
21 | transfer enters
into a leaseback
or other agreement that | ||||||
22 | directly or indirectly gives the school district a
right to
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23 | use, control, and possess the property. In the case of a
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24 | conveyance
of the property, the school district must retain | ||||||
25 | an option
to
purchase the property at a future date or, | ||||||
26 | within the limitations period for
reverters, the property | ||||||
27 | must revert back to the school district.
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28 | (1) If the property has been conveyed as described | ||||||
29 | in this subsection,
the
property is no longer exempt | ||||||
30 | under this Section as of the date when:
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31 | (A) the right of the school district to use, | ||||||
32 | control,
and possess
the property is terminated;
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33 | (B) the school district no longer has an option | ||||||
34 | to
purchase or otherwise acquire the property; and
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1 | (C) there is no provision for a reverter of the | ||||||
2 | property to the school
district
within the | ||||||
3 | limitations period for reverters.
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4 | (2) Pursuant to Sections 15-15 and 15-20 of this | ||||||
5 | Code, the school
district
shall notify the chief county | ||||||
6 | assessment officer of
any transaction under this | ||||||
7 | subsection. The chief county
assessment officer shall
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8 | determine initial and continuing compliance with the | ||||||
9 | requirements of this
subsection for tax exemption. | ||||||
10 | Failure to notify the chief county assessment
officer | ||||||
11 | of a transaction under this subsection or to otherwise | ||||||
12 | comply with the
requirements of Sections
15-15 and | ||||||
13 | 15-20 of this Code shall, in the discretion of the | ||||||
14 | chief county
assessment officer, constitute cause to | ||||||
15 | terminate the exemption,
notwithstanding any other | ||||||
16 | provision of this Code.
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17 | (3) No provision of this subsection shall be | ||||||
18 | construed to affect the
obligation
of the school | ||||||
19 | district to which an exemption certificate has been | ||||||
20 | issued under
this Section from its obligation
under | ||||||
21 | Section 15-10 of this Code to file
an annual | ||||||
22 | certificate of status or to notify the chief county | ||||||
23 | assessment
officer of transfers of interest or other | ||||||
24 | changes in the status of the property
as required by | ||||||
25 | this Code.
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26 | (4) The changes made by this amendatory Act of the | ||||||
27 | 91st General Assembly
are declarative of existing law | ||||||
28 | and shall not be construed as a new
enactment; and
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29 | (f) in counties with more than 200,000 inhabitants | ||||||
30 | which
classify
property,
property of a corporation, which | ||||||
31 | is an exempt entity under paragraph (3) of
Section 501(c) | ||||||
32 | of the Internal Revenue Code or its successor law, used by | ||||||
33 | the
corporation for the following purposes: (1) conducting | ||||||
34 | continuing education
for professional development of |
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1 | personnel in energy-related industries; (2)
maintaining a | ||||||
2 | library of energy technology information available to | ||||||
3 | students
and the public free of charge; and (3) conducting | ||||||
4 | research in energy and
environment, which research results | ||||||
5 | could be ultimately accessible to persons
involved in | ||||||
6 | education ; and
. | ||||||
7 | (g) property for which a school district enters into a | ||||||
8 | contract to purchase for its administrative offices and, | ||||||
9 | for the purpose of obtaining financing, the school | ||||||
10 | district, prior to the transfer of title to the school | ||||||
11 | district, transfers or otherwise assigns its interest in | ||||||
12 | the contract to another entity for which the property is | ||||||
13 | not otherwise exempt and, thereafter, the school district | ||||||
14 | enters into a lease or other agreement that, directly or | ||||||
15 | indirectly, gives the school district the right to use, | ||||||
16 | control, and possess the property. The lease or other | ||||||
17 | agreement shall satisfy the ownership requirement for | ||||||
18 | property tax exemption purposes under this Act if the | ||||||
19 | school district retains an option to purchase the property | ||||||
20 | at a future date. The property shall be exempt even if the | ||||||
21 | title holder, through a trust agreement or otherwise, | ||||||
22 | issues certificates of participation, the proceeds of | ||||||
23 | which will be used to finance the acquisition of the | ||||||
24 | property. The changes made by this amendatory Act of the | ||||||
25 | 93rd General Assembly are declarative of existing law and | ||||||
26 | shall not be construed as a new enactment.
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27 | (Source: P.A. 91-513, eff. 8-13-99; 91-578, eff.
8-14-99; | ||||||
28 | 92-16, eff. 6-28-01.)".
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