093_SB0813sam001

 










                                     LRB093 10070 SJM 13140 a

 1                    AMENDMENT TO SENATE BILL 813

 2        AMENDMENT NO.     .  Amend Senate Bill 813  by  replacing
 3    everything after the enacting clause with the following:

 4        "Section 5.  The Property Tax Code is amended by changing
 5    Sections 9-265 and 21-15 as follows:

 6        (35 ILCS 200/9-265)
 7        Sec. 9-265.  Omitted property; interest; change in exempt
 8    use  or  ownership.    If  any  property  is  omitted  in the
 9    assessment of any year or years, so that the taxes, for which
10    the property was liable, have not been paid, or if by  reason
11    of defective description or assessment, taxes on any property
12    for any year or years have not been paid, or if any taxes are
13    refunded  under  subsection  (b)  of Section 14-5 because the
14    taxes were assessed in the wrong person's name, the property,
15    when discovered, shall be listed and assessed by the board of
16    review or, in counties with 3,000,000 or more inhabitants, by
17    the county assessor either on his or her  own  initiative  or
18    when  so directed by the board of appeals or board of review.
19    For purposes  of  this  Section,  "defective  description  or
20    assessment"  includes a description or assessment which omits
21    all the improvements thereon as a result of which part of the
22    taxes on the total value of the property as  improved  remain
 
                            -2-      LRB093 10070 SJM 13140 a
 1    unpaid.  In the case of property subject to assessment by the
 2    Department, the property shall be listed and assessed by  the
 3    Department.   All  such  property  shall  be  placed  on  the
 4    assessment and tax books. The arrearages of taxes which might
 5    have been assessed, with 10% interest thereon for  each  year
 6    or  portion  thereof  from  2  years after the time the first
 7    correct tax bill  ought  to  have  been  received,  shall  be
 8    charged against the property by the county clerk.
 9        When  property  or  acreage  omitted  by either incorrect
10    survey or other ministerial assessor error is discovered  and
11    the  owner has paid its tax bills as received for the year or
12    years of omission of the parcel, then the interest authorized
13    by this  Section  shall  not  be  chargeable  to  the  owner.
14    However, nothing in this Section shall prevent the collection
15    of  the  principal  amount  of  back  taxes  due  and  owing.
16    Notwithstanding any other provision of Sections 9-260 through
17    9-270,  if a taxpayer receives a tax bill for any property or
18    portion of property that was omitted for 2 or more years from
19    assessment as a result of a ministerial error, the  tax  bill
20    for  the omitted property must be paid within 16 months after
21    the date the taxpayer receives the tax bill. No interest  may
22    be  imposed  on  the tax bill for the omitted property during
23    that 16-month period. Any arrearage that remains unpaid after
24    the 16-month period ends, with 10% interest on the  arrearage
25    for each year or portion of a year from the date the taxpayer
26    received  the tax bill, shall be charged against the property
27    by the county clerk. After the 16-month period ends, interest
28    shall accrue on any remaining arrearage and interest owed  on
29    that arrearage as with all other delinquent tax bills.
30        If  any  property  listed  as  exempt by the chief county
31    assessment officer has a change in use, a change in leasehold
32    estate, or a change in titleholder  of  record  by  purchase,
33    grant,  taking or transfer, it shall be the obligation of the
34    transferee to notify the chief county assessment  officer  in
 
                            -3-      LRB093 10070 SJM 13140 a
 1    writing  within  30  days  of the change. The notice shall be
 2    sent by certified mail, return receipt requested,  and  shall
 3    include  the  name  and  address  of  the taxpayer, the legal
 4    description of the property, and the property index number of
 5    the property when an index number exists. If the  failure  to
 6    give  the  notification  results  in  the  assessing official
 7    continuing to list  the  property  as  exempt  in  subsequent
 8    years,  the property shall be considered omitted property for
 9    purposes of this Code.
10    (Source: P.A. 88-455;  89-126,  eff.  7-11-95;  89-671,  eff.
11    8-14-96.)

12        (35 ILCS 200/21-15)
13        Sec.  21-15.   General tax due dates; default by mortgage
14    lender. Except as  otherwise  provided  in  this  Section  or
15    Section  21-40, all property upon which the first installment
16    of taxes remains unpaid on June 1 annually  shall  be  deemed
17    delinquent  and  shall bear interest after June 1 at the rate
18    of 1 1/2% per month or portion thereof.  Except as  otherwise
19    provided  in this Section or Section 21-40, all property upon
20    which the second installment of taxes remains due and  unpaid
21    on  September  1,  annually,  shall  be deemed delinquent and
22    shall bear interest after September 1 at  the  same  interest
23    rate.  All  interest collected shall be paid into the general
24    fund of the county.  Payment received by mail and  postmarked
25    on or before the required due date is not delinquent.
26        Property  not  subject  to the interest charge in Section
27    9-265 shall also  not  be  subject  to  the  interest  charge
28    imposed by this Section until the 16-month period has expired
29    under  Section  9-265  such time as the owner of the property
30    receives actual notice of and is  billed  for  the  principal
31    amount of back taxes due and owing.
32        If a member of a reserve component of the armed forces of
33    the  United  States who has an ownership interest in property
 
                            -4-      LRB093 10070 SJM 13140 a
 1    taxed under this Act is called to active duty for  deployment
 2    outside  the  continental United States and is on active duty
 3    on the due date of any installment of taxes  due  under  this
 4    Act,  he or she shall not be deemed delinquent in the payment
 5    of the installment and no interest shall accrue or be charged
 6    as a penalty on the installment  until  30  days  after  that
 7    member returns from active duty.
 8        Notwithstanding  any  other  provision  of  law, when any
 9    unpaid taxes become delinquent under this Section through the
10    fault of the mortgage lender, (i) the interest assessed under
11    this Section for delinquent taxes shall  be  charged  against
12    the  mortgage  lender  and  not  the  mortgagor  and (ii) the
13    mortgage lender shall pay the taxes, redeem the property  and
14    take all necessary steps to remove any liens accruing against
15    the  property  because  of the delinquency. In the event that
16    more than one entity meets the definition of mortgage  lender
17    with  respect to any mortgage, the interest shall be assessed
18    against the mortgage lender  responsible  for  servicing  the
19    mortgage.   Unpaid  taxes  shall be deemed delinquent through
20    the fault of the mortgage lender only if:  (a)  the  mortgage
21    lender  has received all payments due the mortgage lender for
22    the property being taxed  under  the  written  terms  of  the
23    mortgage  or promissory note secured by the mortgage, (b) the
24    mortgage lender holds funds in escrow to pay the  taxes,  and
25    (c) the funds are sufficient to pay the taxes after deducting
26    all  amounts  reasonably  anticipated  to  become due for all
27    hazard insurance premiums and mortgage insurance premiums and
28    any other assessments to be paid from the  escrow  under  the
29    terms  of  the  mortgage.  For  purposes  of this Section, an
30    amount is reasonably anticipated  to  become  due  if  it  is
31    payable  within  12  months  from the time of determining the
32    sufficiency of funds held in escrow.  Unpaid taxes shall  not
33    be deemed delinquent through the fault of the mortgage lender
34    if  the  mortgage  lender  was  directed  in  writing  by the
 
                            -5-      LRB093 10070 SJM 13140 a
 1    mortgagor not to pay the property taxes, or if the failure to
 2    pay the taxes when due resulted from inadequate or inaccurate
 3    parcel information provided by  the  mortgagor,  a  title  or
 4    abstract  company,  or  by  the  agency or unit of government
 5    assessing the tax.
 6    (Source: P.A. 90-336,  eff.  1-1-98;  90-575,  eff.  3-20-98;
 7    91-199, eff. 1-1-00; 91-898, eff. 7-6-00.)

 8        Section  99.  Effective date.  This Act takes effect upon
 9    becoming law.".