093_SB0417eng SB417 Engrossed LRB093 06237 SJM 06348 b 1 AN ACT concerning taxes. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Illinois Municipal Code is amended by 5 changing Sections 11-74.4-3 and 11-74.4-7 as follows: 6 (65 ILCS 5/11-74.4-3) (from Ch. 24, par. 11-74.4-3) 7 Sec. 11-74.4-3. Definitions. The following terms, 8 wherever used or referred to in this Division 74.4 shall have 9 the following respective meanings, unless in any case a 10 different meaning clearly appears from the context. 11 (a) For any redevelopment project area that has been 12 designated pursuant to this Section by an ordinance adopted 13 prior to November 1, 1999 (the effective date of Public Act 14 91-478), "blighted area" shall have the meaning set forth in 15 this Section prior to that date. 16 On and after November 1, 1999, "blighted area" means any 17 improved or vacant area within the boundaries of a 18 redevelopment project area located within the territorial 19 limits of the municipality where: 20 (1) If improved, industrial, commercial, and 21 residential buildings or improvements are detrimental to 22 the public safety, health, or welfare because of a 23 combination of 5 or more of the following factors, each 24 of which is (i) present, with that presence documented, 25 to a meaningful extent so that a municipality may 26 reasonably find that the factor is clearly present within 27 the intent of the Act and (ii) reasonably distributed 28 throughout the improved part of the redevelopment project 29 area: 30 (A) Dilapidation. An advanced state of 31 disrepair or neglect of necessary repairs to the SB417 Engrossed -2- LRB093 06237 SJM 06348 b 1 primary structural components of buildings or 2 improvements in such a combination that a documented 3 building condition analysis determines that major 4 repair is required or the defects are so serious and 5 so extensive that the buildings must be removed. 6 (B) Obsolescence. The condition or process of 7 falling into disuse. Structures have become 8 ill-suited for the original use. 9 (C) Deterioration. With respect to buildings, 10 defects including, but not limited to, major defects 11 in the secondary building components such as doors, 12 windows, porches, gutters and downspouts, and 13 fascia. With respect to surface improvements, that 14 the condition of roadways, alleys, curbs, gutters, 15 sidewalks, off-street parking, and surface storage 16 areas evidence deterioration, including, but not 17 limited to, surface cracking, crumbling, potholes, 18 depressions, loose paving material, and weeds 19 protruding through paved surfaces. 20 (D) Presence of structures below minimum code 21 standards. All structures that do not meet the 22 standards of zoning, subdivision, building, fire, 23 and other governmental codes applicable to property, 24 but not including housing and property maintenance 25 codes. 26 (E) Illegal use of individual structures. The 27 use of structures in violation of applicable 28 federal, State, or local laws, exclusive of those 29 applicable to the presence of structures below 30 minimum code standards. 31 (F) Excessive vacancies. The presence of 32 buildings that are unoccupied or under-utilized and 33 that represent an adverse influence on the area 34 because of the frequency, extent, or duration of the SB417 Engrossed -3- LRB093 06237 SJM 06348 b 1 vacancies. 2 (G) Lack of ventilation, light, or sanitary 3 facilities. The absence of adequate ventilation for 4 light or air circulation in spaces or rooms without 5 windows, or that require the removal of dust, odor, 6 gas, smoke, or other noxious airborne materials. 7 Inadequate natural light and ventilation means the 8 absence of skylights or windows for interior spaces 9 or rooms and improper window sizes and amounts by 10 room area to window area ratios. Inadequate 11 sanitary facilities refers to the absence or 12 inadequacy of garbage storage and enclosure, 13 bathroom facilities, hot water and kitchens, and 14 structural inadequacies preventing ingress and 15 egress to and from all rooms and units within a 16 building. 17 (H) Inadequate utilities. Underground and 18 overhead utilities such as storm sewers and storm 19 drainage, sanitary sewers, water lines, and gas, 20 telephone, and electrical services that are shown to 21 be inadequate. Inadequate utilities are those that 22 are: (i) of insufficient capacity to serve the uses 23 in the redevelopment project area, (ii) 24 deteriorated, antiquated, obsolete, or in disrepair, 25 or (iii) lacking within the redevelopment project 26 area. 27 (I) Excessive land coverage and overcrowding 28 of structures and community facilities. The 29 over-intensive use of property and the crowding of 30 buildings and accessory facilities onto a site. 31 Examples of problem conditions warranting the 32 designation of an area as one exhibiting excessive 33 land coverage are: (i) the presence of buildings 34 either improperly situated on parcels or located on SB417 Engrossed -4- LRB093 06237 SJM 06348 b 1 parcels of inadequate size and shape in relation to 2 present-day standards of development for health and 3 safety and (ii) the presence of multiple buildings 4 on a single parcel. For there to be a finding of 5 excessive land coverage, these parcels must exhibit 6 one or more of the following conditions: 7 insufficient provision for light and air within or 8 around buildings, increased threat of spread of fire 9 due to the close proximity of buildings, lack of 10 adequate or proper access to a public right-of-way, 11 lack of reasonably required off-street parking, or 12 inadequate provision for loading and service. 13 (J) Deleterious land use or layout. The 14 existence of incompatible land-use relationships, 15 buildings occupied by inappropriate mixed-uses, or 16 uses considered to be noxious, offensive, or 17 unsuitable for the surrounding area. 18 (K) Environmental clean-up. The proposed 19 redevelopment project area has incurred Illinois 20 Environmental Protection Agency or United States 21 Environmental Protection Agency remediation costs 22 for, or a study conducted by an independent 23 consultant recognized as having expertise in 24 environmental remediation has determined a need for, 25 the clean-up of hazardous waste, hazardous 26 substances, or underground storage tanks required by 27 State or federal law, provided that the remediation 28 costs constitute a material impediment to the 29 development or redevelopment of the redevelopment 30 project area. 31 (L) Lack of community planning. The proposed 32 redevelopment project area was developed prior to or 33 without the benefit or guidance of a community plan. 34 This means that the development occurred prior to SB417 Engrossed -5- LRB093 06237 SJM 06348 b 1 the adoption by the municipality of a comprehensive 2 or other community plan or that the plan was not 3 followed at the time of the area's development. 4 This factor must be documented by evidence of 5 adverse or incompatible land-use relationships, 6 inadequate street layout, improper subdivision, 7 parcels of inadequate shape and size to meet 8 contemporary development standards, or other 9 evidence demonstrating an absence of effective 10 community planning. 11 (M) The total equalized assessed value of the 12 proposed redevelopment project area has declined for 13 3 of the last 5 calendar years prior to the year in 14 which the redevelopment project area is designated 15 or is increasing at an annual rate that is less than 16 the balance of the municipality for 3 of the last 5 17 calendar years for which information is available or 18 is increasing at an annual rate that is less than 19 the Consumer Price Index for All Urban Consumers 20 published by the United States Department of Labor 21 or successor agency for 3 of the last 5 calendar 22 years prior to the year in which the redevelopment 23 project area is designated. 24 (2) If vacant, the sound growth of the 25 redevelopment project area is impaired by a combination 26 of 2 or more of the following factors, each of which is 27 (i) present, with that presence documented, to a 28 meaningful extent so that a municipality may reasonably 29 find that the factor is clearly present within the intent 30 of the Act and (ii) reasonably distributed throughout the 31 vacant part of the redevelopment project area to which it 32 pertains: 33 (A) Obsolete platting of vacant land that 34 results in parcels of limited or narrow size or SB417 Engrossed -6- LRB093 06237 SJM 06348 b 1 configurations of parcels of irregular size or shape 2 that would be difficult to develop on a planned 3 basis and in a manner compatible with contemporary 4 standards and requirements, or platting that failed 5 to create rights-of-ways for streets or alleys or 6 that created inadequate right-of-way widths for 7 streets, alleys, or other public rights-of-way or 8 that omitted easements for public utilities. 9 (B) Diversity of ownership of parcels of 10 vacant land sufficient in number to retard or impede 11 the ability to assemble the land for development. 12 (C) Tax and special assessment delinquencies 13 exist or the property has been the subject of tax 14 sales under the Property Tax Code within the last 5 15 years. 16 (D) Deterioration of structures or site 17 improvements in neighboring areas adjacent to the 18 vacant land. 19 (E) The area has incurred Illinois 20 Environmental Protection Agency or United States 21 Environmental Protection Agency remediation costs 22 for, or a study conducted by an independent 23 consultant recognized as having expertise in 24 environmental remediation has determined a need for, 25 the clean-up of hazardous waste, hazardous 26 substances, or underground storage tanks required by 27 State or federal law, provided that the remediation 28 costs constitute a material impediment to the 29 development or redevelopment of the redevelopment 30 project area. 31 (F) The total equalized assessed value of the 32 proposed redevelopment project area has declined for 33 3 of the last 5 calendar years prior to the year in 34 which the redevelopment project area is designated SB417 Engrossed -7- LRB093 06237 SJM 06348 b 1 or is increasing at an annual rate that is less than 2 the balance of the municipality for 3 of the last 5 3 calendar years for which information is available or 4 is increasing at an annual rate that is less than 5 the Consumer Price Index for All Urban Consumers 6 published by the United States Department of Labor 7 or successor agency for 3 of the last 5 calendar 8 years prior to the year in which the redevelopment 9 project area is designated. 10 (3) If vacant, the sound growth of the 11 redevelopment project area is impaired by one of the 12 following factors that (i) is present, with that presence 13 documented, to a meaningful extent so that a municipality 14 may reasonably find that the factor is clearly present 15 within the intent of the Act and (ii) is reasonably 16 distributed throughout the vacant part of the 17 redevelopment project area to which it pertains: 18 (A) The area consists of one or more unused 19 quarries, mines, or strip mine ponds. 20 (B) The area consists of unused railyards, 21 rail tracks, or railroad rights-of-way. 22 (C) The area, prior to its designation, is 23 subject to chronic flooding that adversely impacts 24 on real property in the area as certified by a 25 registered professional engineer or appropriate 26 regulatory agency. 27 (D) The area consists of an unused or illegal 28 disposal site containing earth, stone, building 29 debris, or similar materials that were removed from 30 construction, demolition, excavation, or dredge 31 sites. 32 (E) Prior to November 1, 1999, the area is not 33 less than 50 nor more than 100 acres and 75% of 34 which is vacant (notwithstanding that the area has SB417 Engrossed -8- LRB093 06237 SJM 06348 b 1 been used for commercial agricultural purposes 2 within 5 years prior to the designation of the 3 redevelopment project area), and the area meets at 4 least one of the factors itemized in paragraph (1) 5 of this subsection, the area has been designated as 6 a town or village center by ordinance or 7 comprehensive plan adopted prior to January 1, 1982, 8 and the area has not been developed for that 9 designated purpose. 10 (F) The area qualified as a blighted improved 11 area immediately prior to becoming vacant, unless 12 there has been substantial private investment in the 13 immediately surrounding area. 14 (b) For any redevelopment project area that has been 15 designated pursuant to this Section by an ordinance adopted 16 prior to November 1, 1999 (the effective date of Public Act 17 91-478), "conservation area" shall have the meaning set forth 18 in this Section prior to that date. 19 On and after November 1, 1999, "conservation area" means 20 any improved area within the boundaries of a redevelopment 21 project area located within the territorial limits of the 22 municipality in which 50% or more of the structures in the 23 area have an age of 35 years or more. Such an area is not 24 yet a blighted area but because of a combination of 3 or more 25 of the following factors is detrimental to the public safety, 26 health, morals or welfare and such an area may become a 27 blighted area: 28 (1) Dilapidation. An advanced state of disrepair 29 or neglect of necessary repairs to the primary structural 30 components of buildings or improvements in such a 31 combination that a documented building condition analysis 32 determines that major repair is required or the defects 33 are so serious and so extensive that the buildings must 34 be removed. SB417 Engrossed -9- LRB093 06237 SJM 06348 b 1 (2) Obsolescence. The condition or process of 2 falling into disuse. Structures have become ill-suited 3 for the original use. 4 (3) Deterioration. With respect to buildings, 5 defects including, but not limited to, major defects in 6 the secondary building components such as doors, windows, 7 porches, gutters and downspouts, and fascia. With 8 respect to surface improvements, that the condition of 9 roadways, alleys, curbs, gutters, sidewalks, off-street 10 parking, and surface storage areas evidence 11 deterioration, including, but not limited to, surface 12 cracking, crumbling, potholes, depressions, loose paving 13 material, and weeds protruding through paved surfaces. 14 (4) Presence of structures below minimum code 15 standards. All structures that do not meet the standards 16 of zoning, subdivision, building, fire, and other 17 governmental codes applicable to property, but not 18 including housing and property maintenance codes. 19 (5) Illegal use of individual structures. The use 20 of structures in violation of applicable federal, State, 21 or local laws, exclusive of those applicable to the 22 presence of structures below minimum code standards. 23 (6) Excessive vacancies. The presence of buildings 24 that are unoccupied or under-utilized and that represent 25 an adverse influence on the area because of the 26 frequency, extent, or duration of the vacancies. 27 (7) Lack of ventilation, light, or sanitary 28 facilities. The absence of adequate ventilation for 29 light or air circulation in spaces or rooms without 30 windows, or that require the removal of dust, odor, gas, 31 smoke, or other noxious airborne materials. Inadequate 32 natural light and ventilation means the absence or 33 inadequacy of skylights or windows for interior spaces or 34 rooms and improper window sizes and amounts by room area SB417 Engrossed -10- LRB093 06237 SJM 06348 b 1 to window area ratios. Inadequate sanitary facilities 2 refers to the absence or inadequacy of garbage storage 3 and enclosure, bathroom facilities, hot water and 4 kitchens, and structural inadequacies preventing ingress 5 and egress to and from all rooms and units within a 6 building. 7 (8) Inadequate utilities. Underground and overhead 8 utilities such as storm sewers and storm drainage, 9 sanitary sewers, water lines, and gas, telephone, and 10 electrical services that are shown to be inadequate. 11 Inadequate utilities are those that are: (i) of 12 insufficient capacity to serve the uses in the 13 redevelopment project area, (ii) deteriorated, 14 antiquated, obsolete, or in disrepair, or (iii) lacking 15 within the redevelopment project area. 16 (9) Excessive land coverage and overcrowding of 17 structures and community facilities. The over-intensive 18 use of property and the crowding of buildings and 19 accessory facilities onto a site. Examples of problem 20 conditions warranting the designation of an area as one 21 exhibiting excessive land coverage are: the presence of 22 buildings either improperly situated on parcels or 23 located on parcels of inadequate size and shape in 24 relation to present-day standards of development for 25 health and safety and the presence of multiple buildings 26 on a single parcel. For there to be a finding of 27 excessive land coverage, these parcels must exhibit one 28 or more of the following conditions: insufficient 29 provision for light and air within or around buildings, 30 increased threat of spread of fire due to the close 31 proximity of buildings, lack of adequate or proper access 32 to a public right-of-way, lack of reasonably required 33 off-street parking, or inadequate provision for loading 34 and service. SB417 Engrossed -11- LRB093 06237 SJM 06348 b 1 (10) Deleterious land use or layout. The existence 2 of incompatible land-use relationships, buildings 3 occupied by inappropriate mixed-uses, or uses considered 4 to be noxious, offensive, or unsuitable for the 5 surrounding area. 6 (11) Lack of community planning. The proposed 7 redevelopment project area was developed prior to or 8 without the benefit or guidance of a community plan. This 9 means that the development occurred prior to the adoption 10 by the municipality of a comprehensive or other community 11 plan or that the plan was not followed at the time of the 12 area's development. This factor must be documented by 13 evidence of adverse or incompatible land-use 14 relationships, inadequate street layout, improper 15 subdivision, parcels of inadequate shape and size to meet 16 contemporary development standards, or other evidence 17 demonstrating an absence of effective community planning. 18 (12) The area has incurred Illinois Environmental 19 Protection Agency or United States Environmental 20 Protection Agency remediation costs for, or a study 21 conducted by an independent consultant recognized as 22 having expertise in environmental remediation has 23 determined a need for, the clean-up of hazardous waste, 24 hazardous substances, or underground storage tanks 25 required by State or federal law, provided that the 26 remediation costs constitute a material impediment to the 27 development or redevelopment of the redevelopment project 28 area. 29 (13) The total equalized assessed value of the 30 proposed redevelopment project area has declined for 3 of 31 the last 5 calendar years for which information is 32 available or is increasing at an annual rate that is less 33 than the balance of the municipality for 3 of the last 5 34 calendar years for which information is available or is SB417 Engrossed -12- LRB093 06237 SJM 06348 b 1 increasing at an annual rate that is less than the 2 Consumer Price Index for All Urban Consumers published by 3 the United States Department of Labor or successor agency 4 for 3 of the last 5 calendar years for which information 5 is available. 6 (c) "Industrial park" means an area in a blighted or 7 conservation area suitable for use by any manufacturing, 8 industrial, research or transportation enterprise, of 9 facilities to include but not be limited to factories, mills, 10 processing plants, assembly plants, packing plants, 11 fabricating plants, industrial distribution centers, 12 warehouses, repair overhaul or service facilities, freight 13 terminals, research facilities, test facilities or railroad 14 facilities. 15 (d) "Industrial park conservation area" means an area 16 within the boundaries of a redevelopment project area located 17 within the territorial limits of a municipality that is a 18 labor surplus municipality or within 1 1/2 miles of the 19 territorial limits of a municipality that is a labor surplus 20 municipality if the area is annexed to the municipality; 21 which area is zoned as industrial no later than at the time 22 the municipality by ordinance designates the redevelopment 23 project area, and which area includes both vacant land 24 suitable for use as an industrial park and a blighted area or 25 conservation area contiguous to such vacant land. 26 (e) "Labor surplus municipality" means a municipality in 27 which, at any time during the 6 months before the 28 municipality by ordinance designates an industrial park 29 conservation area, the unemployment rate was over 6% and was 30 also 100% or more of the national average unemployment rate 31 for that same time as published in the United States 32 Department of Labor Bureau of Labor Statistics publication 33 entitled "The Employment Situation" or its successor 34 publication. For the purpose of this subsection, if SB417 Engrossed -13- LRB093 06237 SJM 06348 b 1 unemployment rate statistics for the municipality are not 2 available, the unemployment rate in the municipality shall be 3 deemed to be the same as the unemployment rate in the 4 principal county in which the municipality is located. 5 (f) "Municipality" shall mean a city, village or 6 incorporated town. 7 (g) "Initial Sales Tax Amounts" means the amount of 8 taxes paid under the Retailers' Occupation Tax Act, Use Tax 9 Act, Service Use Tax Act, the Service Occupation Tax Act, the 10 Municipal Retailers' Occupation Tax Act, and the Municipal 11 Service Occupation Tax Act by retailers and servicemen on 12 transactions at places located in a State Sales Tax Boundary 13 during the calendar year 1985. 14 (g-1) "Revised Initial Sales Tax Amounts" means the 15 amount of taxes paid under the Retailers' Occupation Tax Act, 16 Use Tax Act, Service Use Tax Act, the Service Occupation Tax 17 Act, the Municipal Retailers' Occupation Tax Act, and the 18 Municipal Service Occupation Tax Act by retailers and 19 servicemen on transactions at places located within the State 20 Sales Tax Boundary revised pursuant to Section 11-74.4-8a(9) 21 of this Act. 22 (h) "Municipal Sales Tax Increment" means an amount 23 equal to the increase in the aggregate amount of taxes paid 24 to a municipality from the Local Government Tax Fund arising 25 from sales by retailers and servicemen within the 26 redevelopment project area or State Sales Tax Boundary, as 27 the case may be, for as long as the redevelopment project 28 area or State Sales Tax Boundary, as the case may be, exist 29 over and above the aggregate amount of taxes as certified by 30 the Illinois Department of Revenue and paid under the 31 Municipal Retailers' Occupation Tax Act and the Municipal 32 Service Occupation Tax Act by retailers and servicemen, on 33 transactions at places of business located in the 34 redevelopment project area or State Sales Tax Boundary, as SB417 Engrossed -14- LRB093 06237 SJM 06348 b 1 the case may be, during the base year which shall be the 2 calendar year immediately prior to the year in which the 3 municipality adopted tax increment allocation financing. For 4 purposes of computing the aggregate amount of such taxes for 5 base years occurring prior to 1985, the Department of Revenue 6 shall determine the Initial Sales Tax Amounts for such taxes 7 and deduct therefrom an amount equal to 4% of the aggregate 8 amount of taxes per year for each year the base year is prior 9 to 1985, but not to exceed a total deduction of 12%. The 10 amount so determined shall be known as the "Adjusted Initial 11 Sales Tax Amounts". For purposes of determining the 12 Municipal Sales Tax Increment, the Department of Revenue 13 shall for each period subtract from the amount paid to the 14 municipality from the Local Government Tax Fund arising from 15 sales by retailers and servicemen on transactions located in 16 the redevelopment project area or the State Sales Tax 17 Boundary, as the case may be, the certified Initial Sales Tax 18 Amounts, the Adjusted Initial Sales Tax Amounts or the 19 Revised Initial Sales Tax Amounts for the Municipal 20 Retailers' Occupation Tax Act and the Municipal Service 21 Occupation Tax Act. For the State Fiscal Year 1989, this 22 calculation shall be made by utilizing the calendar year 1987 23 to determine the tax amounts received. For the State Fiscal 24 Year 1990, this calculation shall be made by utilizing the 25 period from January 1, 1988, until September 30, 1988, to 26 determine the tax amounts received from retailers and 27 servicemen pursuant to the Municipal Retailers' Occupation 28 Tax and the Municipal Service Occupation Tax Act, which shall 29 have deducted therefrom nine-twelfths of the certified 30 Initial Sales Tax Amounts, the Adjusted Initial Sales Tax 31 Amounts or the Revised Initial Sales Tax Amounts as 32 appropriate. For the State Fiscal Year 1991, this calculation 33 shall be made by utilizing the period from October 1, 1988, 34 to June 30, 1989, to determine the tax amounts received from SB417 Engrossed -15- LRB093 06237 SJM 06348 b 1 retailers and servicemen pursuant to the Municipal Retailers' 2 Occupation Tax and the Municipal Service Occupation Tax Act 3 which shall have deducted therefrom nine-twelfths of the 4 certified Initial Sales Tax Amounts, Adjusted Initial Sales 5 Tax Amounts or the Revised Initial Sales Tax Amounts as 6 appropriate. For every State Fiscal Year thereafter, the 7 applicable period shall be the 12 months beginning July 1 and 8 ending June 30 to determine the tax amounts received which 9 shall have deducted therefrom the certified Initial Sales Tax 10 Amounts, the Adjusted Initial Sales Tax Amounts or the 11 Revised Initial Sales Tax Amounts, as the case may be. 12 (i) "Net State Sales Tax Increment" means the sum of the 13 following: (a) 80% of the first $100,000 of State Sales Tax 14 Increment annually generated within a State Sales Tax 15 Boundary; (b) 60% of the amount in excess of $100,000 but not 16 exceeding $500,000 of State Sales Tax Increment annually 17 generated within a State Sales Tax Boundary; and (c) 40% of 18 all amounts in excess of $500,000 of State Sales Tax 19 Increment annually generated within a State Sales Tax 20 Boundary. If, however, a municipality established a tax 21 increment financing district in a county with a population in 22 excess of 3,000,000 before January 1, 1986, and the 23 municipality entered into a contract or issued bonds after 24 January 1, 1986, but before December 31, 1986, to finance 25 redevelopment project costs within a State Sales Tax 26 Boundary, then the Net State Sales Tax Increment means, for 27 the fiscal years beginning July 1, 1990, and July 1, 1991, 28 100% of the State Sales Tax Increment annually generated 29 within a State Sales Tax Boundary; and notwithstanding any 30 other provision of this Act, for those fiscal years the 31 Department of Revenue shall distribute to those 32 municipalities 100% of their Net State Sales Tax Increment 33 before any distribution to any other municipality and 34 regardless of whether or not those other municipalities will SB417 Engrossed -16- LRB093 06237 SJM 06348 b 1 receive 100% of their Net State Sales Tax Increment. For 2 Fiscal Year 1999, and every year thereafter until the year 3 2007, for any municipality that has not entered into a 4 contract or has not issued bonds prior to June 1, 1988 to 5 finance redevelopment project costs within a State Sales Tax 6 Boundary, the Net State Sales Tax Increment shall be 7 calculated as follows: By multiplying the Net State Sales Tax 8 Increment by 90% in the State Fiscal Year 1999; 80% in the 9 State Fiscal Year 2000; 70% in the State Fiscal Year 2001; 10 60% in the State Fiscal Year 2002; 50% in the State Fiscal 11 Year 2003; 40% in the State Fiscal Year 2004; 30% in the 12 State Fiscal Year 2005; 20% in the State Fiscal Year 2006; 13 and 10% in the State Fiscal Year 2007. No payment shall be 14 made for State Fiscal Year 2008 and thereafter. 15 Municipalities that issued bonds in connection with a 16 redevelopment project in a redevelopment project area within 17 the State Sales Tax Boundary prior to July 29, 1991, or that 18 entered into contracts in connection with a redevelopment 19 project in a redevelopment project area before June 1, 1988, 20 shall continue to receive their proportional share of the 21 Illinois Tax Increment Fund distribution until the date on 22 which the redevelopment project is completed or terminated. 23 If, however, a municipality that issued bonds in connection 24 with a redevelopment project in a redevelopment project area 25 within the State Sales Tax Boundary prior to July 29, 1991 26 retires the bonds prior to June 30, 2007 or a municipality 27 that entered into contracts in connection with a 28 redevelopment project in a redevelopment project area before 29 June 1, 1988 completes the contracts prior to June 30, 2007, 30 then so long as the redevelopment project is not completed or 31 is not terminated, the Net State Sales Tax Increment shall be 32 calculated, beginning on the date on which the bonds are 33 retired or the contracts are completed, as follows: By 34 multiplying the Net State Sales Tax Increment by 60% in the SB417 Engrossed -17- LRB093 06237 SJM 06348 b 1 State Fiscal Year 2002; 50% in the State Fiscal Year 2003; 2 40% in the State Fiscal Year 2004; 30% in the State Fiscal 3 Year 2005; 20% in the State Fiscal Year 2006; and 10% in the 4 State Fiscal Year 2007. No payment shall be made for State 5 Fiscal Year 2008 and thereafter. Refunding of any bonds 6 issued prior to July 29, 1991, shall not alter the Net State 7 Sales Tax Increment. 8 (j) "State Utility Tax Increment Amount" means an amount 9 equal to the aggregate increase in State electric and gas tax 10 charges imposed on owners and tenants, other than residential 11 customers, of properties located within the redevelopment 12 project area under Section 9-222 of the Public Utilities Act, 13 over and above the aggregate of such charges as certified by 14 the Department of Revenue and paid by owners and tenants, 15 other than residential customers, of properties within the 16 redevelopment project area during the base year, which shall 17 be the calendar year immediately prior to the year of the 18 adoption of the ordinance authorizing tax increment 19 allocation financing. 20 (k) "Net State Utility Tax Increment" means the sum of 21 the following: (a) 80% of the first $100,000 of State Utility 22 Tax Increment annually generated by a redevelopment project 23 area; (b) 60% of the amount in excess of $100,000 but not 24 exceeding $500,000 of the State Utility Tax Increment 25 annually generated by a redevelopment project area; and (c) 26 40% of all amounts in excess of $500,000 of State Utility Tax 27 Increment annually generated by a redevelopment project area. 28 For the State Fiscal Year 1999, and every year thereafter 29 until the year 2007, for any municipality that has not 30 entered into a contract or has not issued bonds prior to June 31 1, 1988 to finance redevelopment project costs within a 32 redevelopment project area, the Net State Utility Tax 33 Increment shall be calculated as follows: By multiplying the 34 Net State Utility Tax Increment by 90% in the State Fiscal SB417 Engrossed -18- LRB093 06237 SJM 06348 b 1 Year 1999; 80% in the State Fiscal Year 2000; 70% in the 2 State Fiscal Year 2001; 60% in the State Fiscal Year 2002; 3 50% in the State Fiscal Year 2003; 40% in the State Fiscal 4 Year 2004; 30% in the State Fiscal Year 2005; 20% in the 5 State Fiscal Year 2006; and 10% in the State Fiscal Year 6 2007. No payment shall be made for the State Fiscal Year 2008 7 and thereafter. 8 Municipalities that issue bonds in connection with the 9 redevelopment project during the period from June 1, 1988 10 until 3 years after the effective date of this Amendatory Act 11 of 1988 shall receive the Net State Utility Tax Increment, 12 subject to appropriation, for 15 State Fiscal Years after the 13 issuance of such bonds. For the 16th through the 20th State 14 Fiscal Years after issuance of the bonds, the Net State 15 Utility Tax Increment shall be calculated as follows: By 16 multiplying the Net State Utility Tax Increment by 90% in 17 year 16; 80% in year 17; 70% in year 18; 60% in year 19; and 18 50% in year 20. Refunding of any bonds issued prior to June 19 1, 1988, shall not alter the revised Net State Utility Tax 20 Increment payments set forth above. 21 (l) "Obligations" mean bonds, loans, debentures, notes, 22 special certificates or other evidence of indebtedness issued 23 by the municipality to carry out a redevelopment project or 24 to refund outstanding obligations. 25 (m) "Payment in lieu of taxes" means those estimated tax 26 revenues from real property in a redevelopment project area 27 derived from real property that has been acquired by a 28 municipality which according to the redevelopment project or 29 plan is to be used for a private use which taxing districts 30 would have received had a municipality not acquired the real 31 property and adopted tax increment allocation financing and 32 which would result from levies made after the time of the 33 adoption of tax increment allocation financing to the time 34 the current equalized value of real property in the SB417 Engrossed -19- LRB093 06237 SJM 06348 b 1 redevelopment project area exceeds the total initial 2 equalized value of real property in said area. 3 (n) "Redevelopment plan" means the comprehensive program 4 of the municipality for development or redevelopment intended 5 by the payment of redevelopment project costs to reduce or 6 eliminate those conditions the existence of which qualified 7 the redevelopment project area as a "blighted area" or 8 "conservation area" or combination thereof or "industrial 9 park conservation area," and thereby to enhance the tax bases 10 of the taxing districts which extend into the redevelopment 11 project area. On and after November 1, 1999 (the effective 12 date of Public Act 91-478), no redevelopment plan may be 13 approved or amended that includes the development of vacant 14 land (i) with a golf course and related clubhouse and other 15 facilities or (ii) designated by federal, State, county, or 16 municipal government as public land for outdoor recreational 17 activities or for nature preserves and used for that purpose 18 within 5 years prior to the adoption of the redevelopment 19 plan. For the purpose of this subsection, "recreational 20 activities" is limited to mean camping and hunting. Each 21 redevelopment plan shall set forth in writing the program to 22 be undertaken to accomplish the objectives and shall include 23 but not be limited to: 24 (A) an itemized list of estimated redevelopment 25 project costs; 26 (B) evidence indicating that the redevelopment 27 project area on the whole has not been subject to growth 28 and development through investment by private enterprise; 29 (C) an assessment of any financial impact of the 30 redevelopment project area on or any increased demand for 31 services from any taxing district affected by the plan 32 and any program to address such financial impact or 33 increased demand; 34 (D) the sources of funds to pay costs; SB417 Engrossed -20- LRB093 06237 SJM 06348 b 1 (E) the nature and term of the obligations to be 2 issued; 3 (F) the most recent equalized assessed valuation of 4 the redevelopment project area; 5 (G) an estimate as to the equalized assessed 6 valuation after redevelopment and the general land uses 7 to apply in the redevelopment project area; 8 (H) a commitment to fair employment practices and 9 an affirmative action plan; 10 (I) if it concerns an industrial park conservation 11 area, the plan shall also include a general description 12 of any proposed developer, user and tenant of any 13 property, a description of the type, structure and 14 general character of the facilities to be developed, a 15 description of the type, class and number of new 16 employees to be employed in the operation of the 17 facilities to be developed; and 18 (J) if property is to be annexed to the 19 municipality, the plan shall include the terms of the 20 annexation agreement. 21 The provisions of items (B) and (C) of this subsection 22 (n) shall not apply to a municipality that before March 14, 23 1994 (the effective date of Public Act 88-537) had fixed, 24 either by its corporate authorities or by a commission 25 designated under subsection (k) of Section 11-74.4-4, a time 26 and place for a public hearing as required by subsection (a) 27 of Section 11-74.4-5. No redevelopment plan shall be adopted 28 unless a municipality complies with all of the following 29 requirements: 30 (1) The municipality finds that the redevelopment 31 project area on the whole has not been subject to growth 32 and development through investment by private enterprise 33 and would not reasonably be anticipated to be developed 34 without the adoption of the redevelopment plan. SB417 Engrossed -21- LRB093 06237 SJM 06348 b 1 (2) The municipality finds that the redevelopment 2 plan and project conform to the comprehensive plan for 3 the development of the municipality as a whole, or, for 4 municipalities with a population of 100,000 or more, 5 regardless of when the redevelopment plan and project was 6 adopted, the redevelopment plan and project either: (i) 7 conforms to the strategic economic development or 8 redevelopment plan issued by the designated planning 9 authority of the municipality, or (ii) includes land uses 10 that have been approved by the planning commission of the 11 municipality. 12 (3) The redevelopment plan establishes the 13 estimated dates of completion of the redevelopment 14 project and retirement of obligations issued to finance 15 redevelopment project costs. Those dates shall not be 16 later than December 31 of the year in which the payment 17 to the municipal treasurer as provided in subsection (b) 18 of Section 11-74.4-8 of this Act is to be made with 19 respect to ad valorem taxes levied in the twenty-third 20 calendar year after the year in which the ordinance 21 approving the redevelopment project area is adopted if 22 the ordinance was adopted on or after January 15, 1981, 23 and not later than December 31 of the year in which the 24 payment to the municipal treasurer as provided in 25 subsection (b) of Section 11-74.4-8 of this Act is to be 26 made with respect to ad valorem taxes levied in the 27 thirty-fifth calendar year after the year in which the 28 ordinance approving the redevelopment project area is 29 adopted: 30 (A) if the ordinance was adopted before 31 January 15, 1981, or 32 (B) if the ordinance was adopted in December 33 1983, April 1984, July 1985, or December 1989, or 34 (C) if the ordinance was adopted in December SB417 Engrossed -22- LRB093 06237 SJM 06348 b 1 1987 and the redevelopment project is located within 2 one mile of Midway Airport, or 3 (D) if the ordinance was adopted before 4 January 1, 1987 by a municipality in Mason County, 5 or 6 (E) if the municipality is subject to the 7 Local Government Financial Planning and Supervision 8 Act or the Financially Distressed City Law, or 9 (F) if the ordinance was adopted in December 10 1984 by the Village of Rosemont, or 11 (G) if the ordinance was adopted on December 12 31, 1986 by a municipality located in Clinton County 13 for which at least $250,000 of tax increment bonds 14 were authorized on June 17, 1997, or if the 15 ordinance was adopted on December 31, 1986 by a 16 municipality with a population in 1990 of less than 17 3,600 that is located in a county with a population 18 in 1990 of less than 34,000 and for which at least 19 $250,000 of tax increment bonds were authorized on 20 June 17, 1997, or 21 (H) if the ordinance was adopted on October 5, 22 1982 by the City of Kankakee, or if the ordinance 23 was adopted on December 29, 1986 by East St. Louis, 24 or 25 (I) if the ordinance was adopted on November 26 12, 1991 by the Village of Sauget, or 27 (J) if the ordinance was adopted on February 28 11, 1985 by the City of Rock Island, or 29 (K) if the ordinance was adopted before 30 December 18, 1986 by the City of Moline, or 31 (L) if the ordinance was adopted in September 32 1988 by Sauk Village, or 33 (M) if the ordinance was adopted in October 34 1993 by Sauk Village, or SB417 Engrossed -23- LRB093 06237 SJM 06348 b 1 (N) if the ordinance was adopted on December 2 29, 1986 by the City of Galva, or 3 (O) if the ordinance was adopted in March 1991 4 by the City of Centreville, or 5 (P) if the ordinance was adopted on January 6 23, 1991 by the City of East St. Louis, or 7 (Q) if the ordinance was adopted on December 8 22, 1986 by the City of Aledo, or 9 (R) if the ordinance was adopted on February 10 5, 1990 by the City of Clinton, or 11 (S) if the ordinance was adopted on September 12 6, 1994 by the City of Freeport, or 13 (T) if the ordinance was adopted on December 14 22, 1986 by the City of Tuscola, or 15 (U) if the ordinance was adopted on December 16 23, 1986 by the City of Sparta, or 17 (V) if the ordinance was adopted on December 18 23, 1986 by the City of Beardstown, or 19 (W) if the ordinance was adopted on April 27, 20 1981, October 21, 1985, or December 30, 1986 by the 21 City of Belleville, or 22 (X) if the ordinance was adopted on December 23 29, 1986 by the City of Collinsville. 24 However, for redevelopment project areas for which 25 bonds were issued before July 29, 1991, or for which 26 contracts were entered into before June 1, 1988, in 27 connection with a redevelopment project in the area 28 within the State Sales Tax Boundary, the estimated dates 29 of completion of the redevelopment project and retirement 30 of obligations to finance redevelopment project costs may 31 be extended by municipal ordinance to December 31, 2013. 32 The extension allowed by this amendatory Act of 1993 33 shall not apply to real property tax increment allocation 34 financing under Section 11-74.4-8. SB417 Engrossed -24- LRB093 06237 SJM 06348 b 1 A municipality may by municipal ordinance amend an 2 existing redevelopment plan to conform to this paragraph 3 (3) as amended by Public Act 91-478, which municipal 4 ordinance may be adopted without further hearing or 5 notice and without complying with the procedures provided 6 in this Act pertaining to an amendment to or the initial 7 approval of a redevelopment plan and project and 8 designation of a redevelopment project area. 9 Those dates, for purposes of real property tax 10 increment allocation financing pursuant to Section 11 11-74.4-8 only, shall be not more than 35 years for 12 redevelopment project areas that were adopted on or after 13 December 16, 1986 and for which at least $8 million worth 14 of municipal bonds were authorized on or after December 15 19, 1989 but before January 1, 1990; provided that the 16 municipality elects to extend the life of the 17 redevelopment project area to 35 years by the adoption of 18 an ordinance after at least 14 but not more than 30 days' 19 written notice to the taxing bodies, that would otherwise 20 constitute the joint review board for the redevelopment 21 project area, before the adoption of the ordinance. 22 Those dates, for purposes of real property tax 23 increment allocation financing pursuant to Section 24 11-74.4-8 only, shall be not more than 35 years for 25 redevelopment project areas that were established on or 26 after December 1, 1981 but before January 1, 1982 and for 27 which at least $1,500,000 worth of tax increment revenue 28 bonds were authorized on or after September 30, 1990 but 29 before July 1, 1991; provided that the municipality 30 elects to extend the life of the redevelopment project 31 area to 35 years by the adoption of an ordinance after at 32 least 14 but not more than 30 days' written notice to the 33 taxing bodies, that would otherwise constitute the joint 34 review board for the redevelopment project area, before SB417 Engrossed -25- LRB093 06237 SJM 06348 b 1 the adoption of the ordinance. 2 (3.5) The municipality finds, in the case of an 3 industrial park conservation area, also that the 4 municipality is a labor surplus municipality and that the 5 implementation of the redevelopment plan will reduce 6 unemployment, create new jobs and by the provision of new 7 facilities enhance the tax base of the taxing districts 8 that extend into the redevelopment project area. 9 (4) If any incremental revenues are being utilized 10 under Section 8(a)(1) or 8(a)(2) of this Act in 11 redevelopment project areas approved by ordinance after 12 January 1, 1986, the municipality finds: (a) that the 13 redevelopment project area would not reasonably be 14 developed without the use of such incremental revenues, 15 and (b) that such incremental revenues will be 16 exclusively utilized for the development of the 17 redevelopment project area. 18 (5) If the redevelopment plan will not result in 19 displacement of residents from 10 or more inhabited 20 residential units, and the municipality certifies in the 21 plan that such displacement will not result from the 22 plan, a housing impact study need not be performed. If, 23 however, the redevelopment plan would result in the 24 displacement of residents from 10 or more inhabited 25 residential units, or if the redevelopment project area 26 contains 75 or more inhabited residential units and no 27 certification is made, then the municipality shall 28 prepare, as part of the separate feasibility report 29 required by subsection (a) of Section 11-74.4-5, a 30 housing impact study. 31 Part I of the housing impact study shall include (i) 32 data as to whether the residential units are single 33 family or multi-family units, (ii) the number and type of 34 rooms within the units, if that information is available, SB417 Engrossed -26- LRB093 06237 SJM 06348 b 1 (iii) whether the units are inhabited or uninhabited, as 2 determined not less than 45 days before the date that the 3 ordinance or resolution required by subsection (a) of 4 Section 11-74.4-5 is passed, and (iv) data as to the 5 racial and ethnic composition of the residents in the 6 inhabited residential units. The data requirement as to 7 the racial and ethnic composition of the residents in the 8 inhabited residential units shall be deemed to be fully 9 satisfied by data from the most recent federal census. 10 Part II of the housing impact study shall identify 11 the inhabited residential units in the proposed 12 redevelopment project area that are to be or may be 13 removed. If inhabited residential units are to be 14 removed, then the housing impact study shall identify (i) 15 the number and location of those units that will or may 16 be removed, (ii) the municipality's plans for relocation 17 assistance for those residents in the proposed 18 redevelopment project area whose residences are to be 19 removed, (iii) the availability of replacement housing 20 for those residents whose residences are to be removed, 21 and shall identify the type, location, and cost of the 22 housing, and (iv) the type and extent of relocation 23 assistance to be provided. 24 (6) On and after November 1, 1999, the housing 25 impact study required by paragraph (5) shall be 26 incorporated in the redevelopment plan for the 27 redevelopment project area. 28 (7) On and after November 1, 1999, no redevelopment 29 plan shall be adopted, nor an existing plan amended, nor 30 shall residential housing that is occupied by households 31 of low-income and very low-income persons in currently 32 existing redevelopment project areas be removed after 33 November 1, 1999 unless the redevelopment plan provides, 34 with respect to inhabited housing units that are to be SB417 Engrossed -27- LRB093 06237 SJM 06348 b 1 removed for households of low-income and very low-income 2 persons, affordable housing and relocation assistance not 3 less than that which would be provided under the federal 4 Uniform Relocation Assistance and Real Property 5 Acquisition Policies Act of 1970 and the regulations 6 under that Act, including the eligibility criteria. 7 Affordable housing may be either existing or newly 8 constructed housing. For purposes of this paragraph (7), 9 "low-income households", "very low-income households", 10 and "affordable housing" have the meanings set forth in 11 the Illinois Affordable Housing Act. The municipality 12 shall make a good faith effort to ensure that this 13 affordable housing is located in or near the 14 redevelopment project area within the municipality. 15 (8) On and after November 1, 1999, if, after the 16 adoption of the redevelopment plan for the redevelopment 17 project area, any municipality desires to amend its 18 redevelopment plan to remove more inhabited residential 19 units than specified in its original redevelopment plan, 20 that change shall be made in accordance with the 21 procedures in subsection (c) of Section 11-74.4-5. 22 (9) For redevelopment project areas designated 23 prior to November 1, 1999, the redevelopment plan may be 24 amended without further joint review board meeting or 25 hearing, provided that the municipality shall give notice 26 of any such changes by mail to each affected taxing 27 district and registrant on the interested party registry, 28 to authorize the municipality to expend tax increment 29 revenues for redevelopment project costs defined by 30 paragraphs (5) and (7.5), subparagraphs (E) and (F) of 31 paragraph (11), and paragraph (11.5) of subsection (q) of 32 Section 11-74.4-3, so long as the changes do not increase 33 the total estimated redevelopment project costs set out 34 in the redevelopment plan by more than 5% after SB417 Engrossed -28- LRB093 06237 SJM 06348 b 1 adjustment for inflation from the date the plan was 2 adopted. 3 (o) "Redevelopment project" means any public and private 4 development project in furtherance of the objectives of a 5 redevelopment plan. On and after November 1, 1999 (the 6 effective date of Public Act 91-478), no redevelopment plan 7 may be approved or amended that includes the development of 8 vacant land (i) with a golf course and related clubhouse and 9 other facilities or (ii) designated by federal, State, 10 county, or municipal government as public land for outdoor 11 recreational activities or for nature preserves and used for 12 that purpose within 5 years prior to the adoption of the 13 redevelopment plan. For the purpose of this subsection, 14 "recreational activities" is limited to mean camping and 15 hunting. 16 (p) "Redevelopment project area" means an area 17 designated by the municipality, which is not less in the 18 aggregate than 1 1/2 acres and in respect to which the 19 municipality has made a finding that there exist conditions 20 which cause the area to be classified as an industrial park 21 conservation area or a blighted area or a conservation area, 22 or a combination of both blighted areas and conservation 23 areas. 24 (q) "Redevelopment project costs" mean and include the 25 sum total of all reasonable or necessary costs incurred or 26 estimated to be incurred, and any such costs incidental to a 27 redevelopment plan and a redevelopment project. Such costs 28 include, without limitation, the following: 29 (1) Costs of studies, surveys, development of 30 plans, and specifications, implementation and 31 administration of the redevelopment plan including but 32 not limited to staff and professional service costs for 33 architectural, engineering, legal, financial, planning or 34 other services, provided however that no charges for SB417 Engrossed -29- LRB093 06237 SJM 06348 b 1 professional services may be based on a percentage of the 2 tax increment collected; except that on and after 3 November 1, 1999 (the effective date of Public Act 4 91-478), no contracts for professional services, 5 excluding architectural and engineering services, may be 6 entered into if the terms of the contract extend beyond a 7 period of 3 years. In addition, "redevelopment project 8 costs" shall not include lobbying expenses. After 9 consultation with the municipality, each tax increment 10 consultant or advisor to a municipality that plans to 11 designate or has designated a redevelopment project area 12 shall inform the municipality in writing of any contracts 13 that the consultant or advisor has entered into with 14 entities or individuals that have received, or are 15 receiving, payments financed by tax increment revenues 16 produced by the redevelopment project area with respect 17 to which the consultant or advisor has performed, or will 18 be performing, service for the municipality. This 19 requirement shall be satisfied by the consultant or 20 advisor before the commencement of services for the 21 municipality and thereafter whenever any other contracts 22 with those individuals or entities are executed by the 23 consultant or advisor; 24 (1.5) After July 1, 1999, annual administrative 25 costs shall not include general overhead or 26 administrative costs of the municipality that would still 27 have been incurred by the municipality if the 28 municipality had not designated a redevelopment project 29 area or approved a redevelopment plan; 30 (1.6) The cost of marketing sites within the 31 redevelopment project area to prospective businesses, 32 developers, and investors; 33 (2) Property assembly costs, including but not 34 limited to acquisition of land and other property, real SB417 Engrossed -30- LRB093 06237 SJM 06348 b 1 or personal, or rights or interests therein, demolition 2 of buildings, site preparation, site improvements that 3 serve as an engineered barrier addressing ground level or 4 below ground environmental contamination, including, but 5 not limited to parking lots and other concrete or asphalt 6 barriers, and the clearing and grading of land; 7 (3) Costs of rehabilitation, reconstruction or 8 repair or remodeling of existing public or private 9 buildings, fixtures, and leasehold improvements; and the 10 cost of replacing an existing public building if pursuant 11 to the implementation of a redevelopment project the 12 existing public building is to be demolished to use the 13 site for private investment or devoted to a different use 14 requiring private investment; 15 (4) Costs of the construction of public works or 16 improvements, except that on and after November 1, 1999, 17 redevelopment project costs shall not include the cost of 18 constructing a new municipal public building principally 19 used to provide offices, storage space, or conference 20 facilities or vehicle storage, maintenance, or repair for 21 administrative, public safety, or public works personnel 22 and that is not intended to replace an existing public 23 building as provided under paragraph (3) of subsection 24 (q) of Section 11-74.4-3 unless either (i) the 25 construction of the new municipal building implements a 26 redevelopment project that was included in a 27 redevelopment plan that was adopted by the municipality 28 prior to November 1, 1999 or (ii) the municipality makes 29 a reasonable determination in the redevelopment plan, 30 supported by information that provides the basis for that 31 determination, that the new municipal building is 32 required to meet an increase in the need for public 33 safety purposes anticipated to result from the 34 implementation of the redevelopment plan; SB417 Engrossed -31- LRB093 06237 SJM 06348 b 1 (5) Costs of job training and retraining projects, 2 including the cost of "welfare to work" programs 3 implemented by businesses located within the 4 redevelopment project area; 5 (6) Financing costs, including but not limited to 6 all necessary and incidental expenses related to the 7 issuance of obligations and which may include payment of 8 interest on any obligations issued hereunder including 9 interest accruing during the estimated period of 10 construction of any redevelopment project for which such 11 obligations are issued and for not exceeding 36 months 12 thereafter and including reasonable reserves related 13 thereto; 14 (7) To the extent the municipality by written 15 agreement accepts and approves the same, all or a portion 16 of a taxing district's capital costs resulting from the 17 redevelopment project necessarily incurred or to be 18 incurred within a taxing district in furtherance of the 19 objectives of the redevelopment plan and project. 20 (7.5) For redevelopment project areas designated 21 (or redevelopment project areas amended to add or 22 increase the number of tax-increment-financing assisted 23 housing units) on or after November 1, 1999, an 24 elementary, secondary, or unit school district's 25 increased costs attributable to assisted housing units 26 located within the redevelopment project area for which 27 the developer or redeveloper receives financial 28 assistance through an agreement with the municipality or 29 because the municipality incurs the cost of necessary 30 infrastructure improvements within the boundaries of the 31 assisted housing sites necessary for the completion of 32 that housing as authorized by this Act, and which costs 33 shall be paid by the municipality from the Special Tax 34 Allocation Fund when the tax increment revenue is SB417 Engrossed -32- LRB093 06237 SJM 06348 b 1 received as a result of the assisted housing units and 2 shall be calculated annually as follows: 3 (A) for foundation districts, excluding any 4 school district in a municipality with a population 5 in excess of 1,000,000, by multiplying the 6 district's increase in attendance resulting from the 7 net increase in new students enrolled in that school 8 district who reside in housing units within the 9 redevelopment project area that have received 10 financial assistance through an agreement with the 11 municipality or because the municipality incurs the 12 cost of necessary infrastructure improvements within 13 the boundaries of the housing sites necessary for 14 the completion of that housing as authorized by this 15 Act since the designation of the redevelopment 16 project area by the most recently available per 17 capita tuition cost as defined in Section 10-20.12a 18 of the School Code less any increase in general 19 State aid as defined in Section 18-8.05 of the 20 School Code attributable to these added new students 21 subject to the following annual limitations: 22 (i) for unit school districts with a 23 district average 1995-96 Per Capita Tuition 24 Charge of less than $5,900, no more than 25% of 25 the total amount of property tax increment 26 revenue produced by those housing units that 27 have received tax increment finance assistance 28 under this Act; 29 (ii) for elementary school districts with 30 a district average 1995-96 Per Capita Tuition 31 Charge of less than $5,900, no more than 17% of 32 the total amount of property tax increment 33 revenue produced by those housing units that 34 have received tax increment finance assistance SB417 Engrossed -33- LRB093 06237 SJM 06348 b 1 under this Act; and 2 (iii) for secondary school districts with 3 a district average 1995-96 Per Capita Tuition 4 Charge of less than $5,900, no more than 8% of 5 the total amount of property tax increment 6 revenue produced by those housing units that 7 have received tax increment finance assistance 8 under this Act. 9 (B) For alternate method districts, flat grant 10 districts, and foundation districts with a district 11 average 1995-96 Per Capita Tuition Charge equal to 12 or more than $5,900, excluding any school district 13 with a population in excess of 1,000,000, by 14 multiplying the district's increase in attendance 15 resulting from the net increase in new students 16 enrolled in that school district who reside in 17 housing units within the redevelopment project area 18 that have received financial assistance through an 19 agreement with the municipality or because the 20 municipality incurs the cost of necessary 21 infrastructure improvements within the boundaries of 22 the housing sites necessary for the completion of 23 that housing as authorized by this Act since the 24 designation of the redevelopment project area by the 25 most recently available per capita tuition cost as 26 defined in Section 10-20.12a of the School Code less 27 any increase in general state aid as defined in 28 Section 18-8.05 of the School Code attributable to 29 these added new students subject to the following 30 annual limitations: 31 (i) for unit school districts, no more 32 than 40% of the total amount of property tax 33 increment revenue produced by those housing 34 units that have received tax increment finance SB417 Engrossed -34- LRB093 06237 SJM 06348 b 1 assistance under this Act; 2 (ii) for elementary school districts, no 3 more than 27% of the total amount of property 4 tax increment revenue produced by those housing 5 units that have received tax increment finance 6 assistance under this Act; and 7 (iii) for secondary school districts, no 8 more than 13% of the total amount of property 9 tax increment revenue produced by those housing 10 units that have received tax increment finance 11 assistance under this Act. 12 (C) For any school district in a municipality 13 with a population in excess of 1,000,000, the 14 following restrictions shall apply to the 15 reimbursement of increased costs under this 16 paragraph (7.5): 17 (i) no increased costs shall be 18 reimbursed unless the school district certifies 19 that each of the schools affected by the 20 assisted housing project is at or over its 21 student capacity; 22 (ii) the amount reimburseable shall be 23 reduced by the value of any land donated to the 24 school district by the municipality or 25 developer, and by the value of any physical 26 improvements made to the schools by the 27 municipality or developer; and 28 (iii) the amount reimbursed may not 29 affect amounts otherwise obligated by the terms 30 of any bonds, notes, or other funding 31 instruments, or the terms of any redevelopment 32 agreement. 33 Any school district seeking payment under this 34 paragraph (7.5) shall, after July 1 and before SB417 Engrossed -35- LRB093 06237 SJM 06348 b 1 September 30 of each year, provide the municipality 2 with reasonable evidence to support its claim for 3 reimbursement before the municipality shall be 4 required to approve or make the payment to the 5 school district. If the school district fails to 6 provide the information during this period in any 7 year, it shall forfeit any claim to reimbursement 8 for that year. School districts may adopt a 9 resolution waiving the right to all or a portion of 10 the reimbursement otherwise required by this 11 paragraph (7.5). By acceptance of this 12 reimbursement the school district waives the right 13 to directly or indirectly set aside, modify, or 14 contest in any manner the establishment of the 15 redevelopment project area or projects; 16 (8) Relocation costs to the extent that a 17 municipality determines that relocation costs shall be 18 paid or is required to make payment of relocation costs 19 by federal or State law or in order to satisfy 20 subparagraph (7) of subsection (n); 21 (9) Payment in lieu of taxes; 22 (10) Costs of job training, retraining, advanced 23 vocational education or career education, including but 24 not limited to courses in occupational, semi-technical or 25 technical fields leading directly to employment, incurred 26 by one or more taxing districts, provided that such costs 27 (i) are related to the establishment and maintenance of 28 additional job training, advanced vocational education or 29 career education programs for persons employed or to be 30 employed by employers located in a redevelopment project 31 area; and (ii) when incurred by a taxing district or 32 taxing districts other than the municipality, are set 33 forth in a written agreement by or among the municipality 34 and the taxing district or taxing districts, which SB417 Engrossed -36- LRB093 06237 SJM 06348 b 1 agreement describes the program to be undertaken, 2 including but not limited to the number of employees to 3 be trained, a description of the training and services to 4 be provided, the number and type of positions available 5 or to be available, itemized costs of the program and 6 sources of funds to pay for the same, and the term of the 7 agreement. Such costs include, specifically, the payment 8 by community college districts of costs pursuant to 9 Sections 3-37, 3-38, 3-40 and 3-40.1 of the Public 10 Community College Act and by school districts of costs 11 pursuant to Sections 10-22.20a and 10-23.3a of The School 12 Code; 13 (11) Interest cost incurred by a redeveloper 14 related to the construction, renovation or rehabilitation 15 of a redevelopment project provided that: 16 (A) such costs are to be paid directly from 17 the special tax allocation fund established pursuant 18 to this Act; 19 (B) such payments in any one year may not 20 exceed 30% of the annual interest costs incurred by 21 the redeveloper with regard to the redevelopment 22 project during that year; 23 (C) if there are not sufficient funds 24 available in the special tax allocation fund to make 25 the payment pursuant to this paragraph (11) then the 26 amounts so due shall accrue and be payable when 27 sufficient funds are available in the special tax 28 allocation fund; 29 (D) the total of such interest payments paid 30 pursuant to this Act may not exceed 30% of the total 31 (i) cost paid or incurred by the redeveloper for the 32 redevelopment project plus (ii) redevelopment 33 project costs excluding any property assembly costs 34 and any relocation costs incurred by a municipality SB417 Engrossed -37- LRB093 06237 SJM 06348 b 1 pursuant to this Act; and 2 (E) the cost limits set forth in subparagraphs 3 (B) and (D) of paragraph (11) shall be modified for 4 the financing of rehabilitated or new housing units 5 for low-income households and very low-income 6 households, as defined in Section 3 of the Illinois 7 Affordable Housing Act. The percentage of 75% shall 8 be substituted for 30% in subparagraphs (B) and (D) 9 of paragraph (11). 10 (F) Instead of the eligible costs provided by 11 subparagraphs (B) and (D) of paragraph (11), as 12 modified by this subparagraph, and notwithstanding 13 any other provisions of this Act to the contrary, 14 the municipality may pay from tax increment revenues 15 up to 50% of the cost of construction of new housing 16 units to be occupied by low-income households and 17 very low-income households as defined in Section 3 18 of the Illinois Affordable Housing Act. The cost of 19 construction of those units may be derived from the 20 proceeds of bonds issued by the municipality under 21 this Act or other constitutional or statutory 22 authority or from other sources of municipal revenue 23 that may be reimbursed from tax increment revenues 24 or the proceeds of bonds issued to finance the 25 construction of that housing. 26 The eligible costs provided under this 27 subparagraph (F) of paragraph (11) shall be an 28 eligible cost for the construction, renovation, and 29 rehabilitation of all low and very low-income 30 housing units, as defined in Section 3 of the 31 Illinois Affordable Housing Act, within the 32 redevelopment project area. If the low and very 33 low-income units are part of a residential 34 redevelopment project that includes units not SB417 Engrossed -38- LRB093 06237 SJM 06348 b 1 affordable to low and very low-income households, 2 only the low and very low-income units shall be 3 eligible for benefits under subparagraph (F) of 4 paragraph (11). The standards for maintaining the 5 occupancy by low-income households and very 6 low-income households, as defined in Section 3 of 7 the Illinois Affordable Housing Act, of those units 8 constructed with eligible costs made available under 9 the provisions of this subparagraph (F) of paragraph 10 (11) shall be established by guidelines adopted by 11 the municipality. The responsibility for annually 12 documenting the initial occupancy of the units by 13 low-income households and very low-income 14 households, as defined in Section 3 of the Illinois 15 Affordable Housing Act, shall be that of the then 16 current owner of the property. For ownership units, 17 the guidelines will provide, at a minimum, for a 18 reasonable recapture of funds, or other appropriate 19 methods designed to preserve the original 20 affordability of the ownership units. For rental 21 units, the guidelines will provide, at a minimum, 22 for the affordability of rent to low and very 23 low-income households. As units become available, 24 they shall be rented to income-eligible tenants. The 25 municipality may modify these guidelines from time 26 to time; the guidelines, however, shall be in effect 27 for as long as tax increment revenue is being used 28 to pay for costs associated with the units or for 29 the retirement of bonds issued to finance the units 30 or for the life of the redevelopment project area, 31 whichever is later. 32 (11.5) If the redevelopment project area is located 33 within a municipality with a population of more than 34 100,000, the cost of day care services for children of SB417 Engrossed -39- LRB093 06237 SJM 06348 b 1 employees from low-income families working for businesses 2 located within the redevelopment project area and all or 3 a portion of the cost of operation of day care centers 4 established by redevelopment project area businesses to 5 serve employees from low-income families working in 6 businesses located in the redevelopment project area. 7 For the purposes of this paragraph, "low-income families" 8 means families whose annual income does not exceed 80% of 9 the municipal, county, or regional median income, 10 adjusted for family size, as the annual income and 11 municipal, county, or regional median income are 12 determined from time to time by the United States 13 Department of Housing and Urban Development. 14 (12) Unless explicitly stated herein the cost of 15 construction of new privately-owned buildings shall not 16 be an eligible redevelopment project cost. 17 (13) After November 1, 1999 (the effective date of 18 Public Act 91-478), none of the redevelopment project 19 costs enumerated in this subsection shall be eligible 20 redevelopment project costs if those costs would provide 21 direct financial support to a retail entity initiating 22 operations in the redevelopment project area while 23 terminating operations at another Illinois location 24 within 10 miles of the redevelopment project area but 25 outside the boundaries of the redevelopment project area 26 municipality. For purposes of this paragraph, 27 termination means a closing of a retail operation that is 28 directly related to the opening of the same operation or 29 like retail entity owned or operated by more than 50% of 30 the original ownership in a redevelopment project area, 31 but it does not mean closing an operation for reasons 32 beyond the control of the retail entity, as documented by 33 the retail entity, subject to a reasonable finding by the 34 municipality that the current location contained SB417 Engrossed -40- LRB093 06237 SJM 06348 b 1 inadequate space, had become economically obsolete, or 2 was no longer a viable location for the retailer or 3 serviceman. 4 If a special service area has been established pursuant 5 to the Special Service Area Tax Act or Special Service Area 6 Tax Law, then any tax increment revenues derived from the tax 7 imposed pursuant to the Special Service Area Tax Act or 8 Special Service Area Tax Law may be used within the 9 redevelopment project area for the purposes permitted by that 10 Act or Law as well as the purposes permitted by this Act. 11 (r) "State Sales Tax Boundary" means the redevelopment 12 project area or the amended redevelopment project area 13 boundaries which are determined pursuant to subsection (9) of 14 Section 11-74.4-8a of this Act. The Department of Revenue 15 shall certify pursuant to subsection (9) of Section 16 11-74.4-8a the appropriate boundaries eligible for the 17 determination of State Sales Tax Increment. 18 (s) "State Sales Tax Increment" means an amount equal to 19 the increase in the aggregate amount of taxes paid by 20 retailers and servicemen, other than retailers and servicemen 21 subject to the Public Utilities Act, on transactions at 22 places of business located within a State Sales Tax Boundary 23 pursuant to the Retailers' Occupation Tax Act, the Use Tax 24 Act, the Service Use Tax Act, and the Service Occupation Tax 25 Act, except such portion of such increase that is paid into 26 the State and Local Sales Tax Reform Fund, the Local 27 Government Distributive Fund, the Local Government Tax 28 Fund and the County and Mass Transit District Fund, for as 29 long as State participation exists, over and above the 30 Initial Sales Tax Amounts, Adjusted Initial Sales Tax Amounts 31 or the Revised Initial Sales Tax Amounts for such taxes as 32 certified by the Department of Revenue and paid under those 33 Acts by retailers and servicemen on transactions at places of 34 business located within the State Sales Tax Boundary during SB417 Engrossed -41- LRB093 06237 SJM 06348 b 1 the base year which shall be the calendar year immediately 2 prior to the year in which the municipality adopted tax 3 increment allocation financing, less 3.0% of such amounts 4 generated under the Retailers' Occupation Tax Act, Use Tax 5 Act and Service Use Tax Act and the Service Occupation Tax 6 Act, which sum shall be appropriated to the Department of 7 Revenue to cover its costs of administering and enforcing 8 this Section. For purposes of computing the aggregate amount 9 of such taxes for base years occurring prior to 1985, the 10 Department of Revenue shall compute the Initial Sales Tax 11 Amount for such taxes and deduct therefrom an amount equal to 12 4% of the aggregate amount of taxes per year for each year 13 the base year is prior to 1985, but not to exceed a total 14 deduction of 12%. The amount so determined shall be known as 15 the "Adjusted Initial Sales Tax Amount". For purposes of 16 determining the State Sales Tax Increment the Department of 17 Revenue shall for each period subtract from the tax amounts 18 received from retailers and servicemen on transactions 19 located in the State Sales Tax Boundary, the certified 20 Initial Sales Tax Amounts, Adjusted Initial Sales Tax Amounts 21 or Revised Initial Sales Tax Amounts for the Retailers' 22 Occupation Tax Act, the Use Tax Act, the Service Use Tax Act 23 and the Service Occupation Tax Act. For the State Fiscal 24 Year 1989 this calculation shall be made by utilizing the 25 calendar year 1987 to determine the tax amounts received. For 26 the State Fiscal Year 1990, this calculation shall be made by 27 utilizing the period from January 1, 1988, until September 28 30, 1988, to determine the tax amounts received from 29 retailers and servicemen, which shall have deducted therefrom 30 nine-twelfths of the certified Initial Sales Tax Amounts, 31 Adjusted Initial Sales Tax Amounts or the Revised Initial 32 Sales Tax Amounts as appropriate. For the State Fiscal Year 33 1991, this calculation shall be made by utilizing the period 34 from October 1, 1988, until June 30, 1989, to determine the SB417 Engrossed -42- LRB093 06237 SJM 06348 b 1 tax amounts received from retailers and servicemen, which 2 shall have deducted therefrom nine-twelfths of the certified 3 Initial State Sales Tax Amounts, Adjusted Initial Sales Tax 4 Amounts or the Revised Initial Sales Tax Amounts as 5 appropriate. For every State Fiscal Year thereafter, the 6 applicable period shall be the 12 months beginning July 1 and 7 ending on June 30, to determine the tax amounts received 8 which shall have deducted therefrom the certified Initial 9 Sales Tax Amounts, Adjusted Initial Sales Tax Amounts or the 10 Revised Initial Sales Tax Amounts. Municipalities intending 11 to receive a distribution of State Sales Tax Increment must 12 report a list of retailers to the Department of Revenue by 13 October 31, 1988 and by July 31, of each year thereafter. 14 (t) "Taxing districts" means counties, townships, cities 15 and incorporated towns and villages, school, road, park, 16 sanitary, mosquito abatement, forest preserve, public health, 17 fire protection, river conservancy, tuberculosis sanitarium 18 and any other municipal corporations or districts with the 19 power to levy taxes. 20 (u) "Taxing districts' capital costs" means those costs 21 of taxing districts for capital improvements that are found 22 by the municipal corporate authorities to be necessary and 23 directly result from the redevelopment project. 24 (v) As used in subsection (a) of Section 11-74.4-3 of 25 this Act, "vacant land" means any parcel or combination of 26 parcels of real property without industrial, commercial, and 27 residential buildings which has not been used for commercial 28 agricultural purposes within 5 years prior to the designation 29 of the redevelopment project area, unless the parcel is 30 included in an industrial park conservation area or the 31 parcel has been subdivided; provided that if the parcel was 32 part of a larger tract that has been divided into 3 or more 33 smaller tracts that were accepted for recording during the 34 period from 1950 to 1990, then the parcel shall be deemed to SB417 Engrossed -43- LRB093 06237 SJM 06348 b 1 have been subdivided, and all proceedings and actions of the 2 municipality taken in that connection with respect to any 3 previously approved or designated redevelopment project area 4 or amended redevelopment project area are hereby validated 5 and hereby declared to be legally sufficient for all purposes 6 of this Act. For purposes of this Section and only for land 7 subject to the subdivision requirements of the Plat Act, land 8 is subdivided when the original plat of the proposed 9 Redevelopment Project Area or relevant portion thereof has 10 been properly certified, acknowledged, approved, and recorded 11 or filed in accordance with the Plat Act and a preliminary 12 plat, if any, for any subsequent phases of the proposed 13 Redevelopment Project Area or relevant portion thereof has 14 been properly approved and filed in accordance with the 15 applicable ordinance of the municipality. 16 (w) "Annual Total Increment" means the sum of each 17 municipality's annual Net Sales Tax Increment and each 18 municipality's annual Net Utility Tax Increment. The ratio 19 of the Annual Total Increment of each municipality to the 20 Annual Total Increment for all municipalities, as most 21 recently calculated by the Department, shall determine the 22 proportional shares of the Illinois Tax Increment Fund to be 23 distributed to each municipality. 24 (Source: P.A. 91-261, eff. 7-23-99; 91-477, eff. 8-11-99; 25 91-478, eff. 11-1-99; 91-642, eff. 8-20-99; 91-763, eff. 26 6-9-00; 92-263, eff. 8-7-01; 92-406, eff. 1-1-02; 92-624, 27 eff. 7-11-02; 92-651, eff. 7-11-02.) 28 (65 ILCS 5/11-74.4-7) (from Ch. 24, par. 11-74.4-7) 29 Sec. 11-74.4-7. Obligations secured by the special tax 30 allocation fund set forth in Section 11-74.4-8 for the 31 redevelopment project area may be issued to provide for 32 redevelopment project costs. Such obligations, when so 33 issued, shall be retired in the manner provided in the SB417 Engrossed -44- LRB093 06237 SJM 06348 b 1 ordinance authorizing the issuance of such obligations by the 2 receipts of taxes levied as specified in Section 11-74.4-9 3 against the taxable property included in the area, by 4 revenues as specified by Section 11-74.4-8a and other revenue 5 designated by the municipality. A municipality may in the 6 ordinance pledge all or any part of the funds in and to be 7 deposited in the special tax allocation fund created pursuant 8 to Section 11-74.4-8 to the payment of the redevelopment 9 project costs and obligations. Any pledge of funds in the 10 special tax allocation fund shall provide for distribution to 11 the taxing districts and to the Illinois Department of 12 Revenue of moneys not required, pledged, earmarked, or 13 otherwise designated for payment and securing of the 14 obligations and anticipated redevelopment project costs and 15 such excess funds shall be calculated annually and deemed to 16 be "surplus" funds. In the event a municipality only applies 17 or pledges a portion of the funds in the special tax 18 allocation fund for the payment or securing of anticipated 19 redevelopment project costs or of obligations, any such funds 20 remaining in the special tax allocation fund after complying 21 with the requirements of the application or pledge, shall 22 also be calculated annually and deemed "surplus" funds. All 23 surplus funds in the special tax allocation fund shall be 24 distributed annually within 180 days after the close of the 25 municipality's fiscal year by being paid by the municipal 26 treasurer to the County Collector, to the Department of 27 Revenue and to the municipality in direct proportion to the 28 tax incremental revenue received as a result of an increase 29 in the equalized assessed value of property in the 30 redevelopment project area, tax incremental revenue received 31 from the State and tax incremental revenue received from the 32 municipality, but not to exceed as to each such source the 33 total incremental revenue received from that source. The 34 County Collector shall thereafter make distribution to the SB417 Engrossed -45- LRB093 06237 SJM 06348 b 1 respective taxing districts in the same manner and proportion 2 as the most recent distribution by the county collector to 3 the affected districts of real property taxes from real 4 property in the redevelopment project area. 5 Without limiting the foregoing in this Section, the 6 municipality may in addition to obligations secured by the 7 special tax allocation fund pledge for a period not greater 8 than the term of the obligations towards payment of such 9 obligations any part or any combination of the following: (a) 10 net revenues of all or part of any redevelopment project; (b) 11 taxes levied and collected on any or all property in the 12 municipality; (c) the full faith and credit of the 13 municipality; (d) a mortgage on part or all of the 14 redevelopment project; or (e) any other taxes or anticipated 15 receipts that the municipality may lawfully pledge. 16 Such obligations may be issued in one or more series 17 bearing interest at such rate or rates as the corporate 18 authorities of the municipality shall determine by ordinance. 19 Such obligations shall bear such date or dates, mature at 20 such time or times not exceeding 20 years from their 21 respective dates, be in such denomination, carry such 22 registration privileges, be executed in such manner, be 23 payable in such medium of payment at such place or places, 24 contain such covenants, terms and conditions, and be subject 25 to redemption as such ordinance shall provide. Obligations 26 issued pursuant to this Act may be sold at public or private 27 sale at such price as shall be determined by the corporate 28 authorities of the municipalities. No referendum approval of 29 the electors shall be required as a condition to the issuance 30 of obligations pursuant to this Division except as provided 31 in this Section. 32 In the event the municipality authorizes issuance of 33 obligations pursuant to the authority of this Division 34 secured by the full faith and credit of the municipality, SB417 Engrossed -46- LRB093 06237 SJM 06348 b 1 which obligations are other than obligations which may be 2 issued under home rule powers provided by Article VII, 3 Section 6 of the Illinois Constitution, or pledges taxes 4 pursuant to (b) or (c) of the second paragraph of this 5 section, the ordinance authorizing the issuance of such 6 obligations or pledging such taxes shall be published within 7 10 days after such ordinance has been passed in one or more 8 newspapers, with general circulation within such 9 municipality. The publication of the ordinance shall be 10 accompanied by a notice of (1) the specific number of voters 11 required to sign a petition requesting the question of the 12 issuance of such obligations or pledging taxes to be 13 submitted to the electors; (2) the time in which such 14 petition must be filed; and (3) the date of the prospective 15 referendum. The municipal clerk shall provide a petition 16 form to any individual requesting one. 17 If no petition is filed with the municipal clerk, as 18 hereinafter provided in this Section, within 30 days after 19 the publication of the ordinance, the ordinance shall be in 20 effect. But, if within that 30 day period a petition is 21 filed with the municipal clerk, signed by electors in the 22 municipality numbering 10% or more of the number of 23 registered voters in the municipality, asking that the 24 question of issuing obligations using full faith and credit 25 of the municipality as security for the cost of paying for 26 redevelopment project costs, or of pledging taxes for the 27 payment of such obligations, or both, be submitted to the 28 electors of the municipality, the corporate authorities of 29 the municipality shall call a special election in the manner 30 provided by law to vote upon that question, or, if a general, 31 State or municipal election is to be held within a period of 32 not less than 30 or more than 90 days from the date such 33 petition is filed, shall submit the question at the next 34 general, State or municipal election. If it appears upon the SB417 Engrossed -47- LRB093 06237 SJM 06348 b 1 canvass of the election by the corporate authorities that a 2 majority of electors voting upon the question voted in favor 3 thereof, the ordinance shall be in effect, but if a majority 4 of the electors voting upon the question are not in favor 5 thereof, the ordinance shall not take effect. 6 The ordinance authorizing the obligations may provide 7 that the obligations shall contain a recital that they are 8 issued pursuant to this Division, which recital shall be 9 conclusive evidence of their validity and of the regularity 10 of their issuance. 11 In the event the municipality authorizes issuance of 12 obligations pursuant to this Section secured by the full 13 faith and credit of the municipality, the ordinance 14 authorizing the obligations may provide for the levy and 15 collection of a direct annual tax upon all taxable property 16 within the municipality sufficient to pay the principal 17 thereof and interest thereon as it matures, which levy may be 18 in addition to and exclusive of the maximum of all other 19 taxes authorized to be levied by the municipality, which 20 levy, however, shall be abated to the extent that monies from 21 other sources are available for payment of the obligations 22 and the municipality certifies the amount of said monies 23 available to the county clerk. 24 A certified copy of such ordinance shall be filed with 25 the county clerk of each county in which any portion of the 26 municipality is situated, and shall constitute the authority 27 for the extension and collection of the taxes to be deposited 28 in the special tax allocation fund. 29 A municipality may also issue its obligations to refund 30 in whole or in part, obligations theretofore issued by such 31 municipality under the authority of this Act, whether at or 32 prior to maturity, provided however, that the last maturity 33 of the refunding obligations shall not be expressed to mature 34 later than December 31 of the year in which the payment to SB417 Engrossed -48- LRB093 06237 SJM 06348 b 1 the municipal treasurer as provided in subsection (b) of 2 Section 11-74.4-8 of this Act is to be made with respect to 3 ad valorem taxes levied in the twenty-third calendar year 4 after the year in which the ordinance approving the 5 redevelopment project area is adopted if the ordinance was 6 adopted on or after January 15, 1981, and not later than 7 December 31 of the year in which the payment to the municipal 8 treasurer as provided in subsection (b) of Section 11-74.4-8 9 of this Act is to be made with respect to ad valorem taxes 10 levied in the thirty-fifth calendar year after the year in 11 which the ordinance approving the redevelopment project area 12 is adopted (A) if the ordinance was adopted before January 13 15, 1981, or (B) if the ordinance was adopted in December 14 1983, April 1984, July 1985, or December 1989, or (C) if the 15 ordinance was adopted in December, 1987 and the redevelopment 16 project is located within one mile of Midway Airport, or (D) 17 if the ordinance was adopted before January 1, 1987 by a 18 municipality in Mason County, or (E) if the municipality is 19 subject to the Local Government Financial Planning and 20 Supervision Act or the Financially Distressed City Law, or 21 (F) if the ordinance was adopted in December 1984 by the 22 Village of Rosemont, or (G) if the ordinance was adopted on 23 December 31, 1986 by a municipality located in Clinton County 24 for which at least $250,000 of tax increment bonds were 25 authorized on June 17, 1997, or if the ordinance was adopted 26 on December 31, 1986 by a municipality with a population in 27 1990 of less than 3,600 that is located in a county with a 28 population in 1990 of less than 34,000 and for which at least 29 $250,000 of tax increment bonds were authorized on June 17, 30 1997, or (H) if the ordinance was adopted on October 5, 1982 31 by the City of Kankakee, or (I) if the ordinance was adopted 32 on December 29, 1986 by East St. Louis, or if the ordinance 33 was adopted on November 12, 1991 by the Village of Sauget, or 34 (J) if the ordinance was adopted on February 11, 1985 by the SB417 Engrossed -49- LRB093 06237 SJM 06348 b 1 City of Rock Island, or (K) if the ordinance was adopted 2 before December 18, 1986 by the City of Moline, or (L) if the 3 ordinance was adopted in September 1988 by Sauk Village, or 4 (M) if the ordinance was adopted in October 1993 by Sauk 5 Village, or (N) if the ordinance was adopted on December 29, 6 1986 by the City of Galva, or (O) if the ordinance was 7 adopted in March 1991 by the City of Centreville, or (P) if 8 the ordinance was adopted on January 23, 1991 by the City of 9 East St. Louis, or (Q) if the ordinance was adopted on 10 December 22, 1986 by the City of Aledo, or (R) if the 11 ordinance was adopted on February 5, 1990 by the City of 12 Clinton, or (S) if the ordinance was adopted on September 6, 13 1994 by the City of Freeport, or (T) if the ordinance was 14 adopted on December 22, 1986 by the City of Tuscola, or (U) 15 if the ordinance was adopted on December 23, 1986 by the City 16 of Sparta, or (V) if the ordinance was adopted on December 17 23, 1986 by the City of Beardstown, or (W) if the ordinance 18 was adopted on April 27, 1981, October 21, 1985, or December 19 30, 1986 by the City of Belleville, or (X) if the ordinance 20 was adopted on December 29, 1986 by the City of Collinsville 21 and, for redevelopment project areas for which bonds were 22 issued before July 29, 1991, in connection with a 23 redevelopment project in the area within the State Sales Tax 24 Boundary and which were extended by municipal ordinance under 25 subsection (n) of Section 11-74.4-3, the last maturity of the 26 refunding obligations shall not be expressed to mature later 27 than the date on which the redevelopment project area is 28 terminated or December 31, 2013, whichever date occurs first. 29 In the event a municipality issues obligations under home 30 rule powers or other legislative authority the proceeds of 31 which are pledged to pay for redevelopment project costs, the 32 municipality may, if it has followed the procedures in 33 conformance with this division, retire said obligations from 34 funds in the special tax allocation fund in amounts and in SB417 Engrossed -50- LRB093 06237 SJM 06348 b 1 such manner as if such obligations had been issued pursuant 2 to the provisions of this division. 3 All obligations heretofore or hereafter issued pursuant 4 to this Act shall not be regarded as indebtedness of the 5 municipality issuing such obligations or any other taxing 6 district for the purpose of any limitation imposed by law. 7 (Source: P.A. 91-261, eff. 7-23-99; 91-477, eff. 8-11-99; 8 91-478, eff. 11-1-99; 91-642, eff. 8-20-99; 91-763, eff. 9 6-9-00; 92-263, eff. 8-7-01; 92-406, eff. 1-1-02; 92-624, 10 eff. 7-11-02; 92-651, eff. 7-11-02.) 11 Section 99. Effective date. This Act takes effect upon 12 becoming law.