HB2334 94TH GENERAL ASSEMBLY

LRB094 08441 RSP 38646 b

94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB2334

Introduced 2/16/2005, by Rep. Bill Mitchell

SYNOPSIS AS INTRODUCED:

20 ILCS 655/3	from Ch. 67 1/2, par. 603
20 ILCS 655/11.2 new
20 ILCS 655/12-2	from Ch. 67 1/2, par. 619

Amends the Illinois Enterprise Zone Act. Provides that areas of a county or a municipality that are qualified to become an enterprise zone shall also be qualified to become an agri-zone. Sets forth that an agribusiness located within an agri-zone shall be eligible to receive the same State and local incentives and assistance under the same circumstances as businesses in enterprise zones. Provides certain limitations on the agri-zones created under this Section. Makes other changes.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Enterprise Zone Act is amended by changing Sections 3 and 12-2 and by adding Section 11.2 as follows:

(20 ILCS 655/3) (from Ch. 67 1/2, par. 603)

Sec. 3. Definition. As used in this Act, the following words shall have the meanings ascribed to them, unless the context otherwise requires:

(a) "Department" means the Department of Commerce and Economic Opportunity Community Affairs.

(b) "Enterprise Zone" means an area of the State certified by the Department as an Enterprise Zone pursuant to this Act.

(c) "Depressed Area" means an area in which pervasive poverty, unemployment and economic distress exist.

(d) "Designated Zone Organization" means an association or entity: (1) the members of which are substantially all residents of the Enterprise Zone; (2) the board of directors of which is elected by the members of the organization; (3) which satisfies the criteria set forth in Section 501(c) (3) or 501(c) (4) of the Internal Revenue Code; and (4) which exists primarily for the purpose of performing within such area or zone for the benefit of the residents and businesses thereof any of the functions set forth in Section 8 of this Act.

(e) "Agency" means each officer, board, commission and agency created by the Constitution, in the executive branch of State government, other than the State Board of Elections; each officer, department, board, commission, agency, institution, authority, university, body politic and corporate of the State; and each administrative unit or corporate outgrowth of the State government which is created by or pursuant to statute, other than units of local government and their officers, school districts and boards of election commissioners; each administrative unit or corporate outgrowth of the above and as may be created by executive order of the Governor. No entity shall be considered an "agency" for the purposes of this Act unless authorized by law to make rules or regulations.

(f) "Rule" means each agency statement of general applicability that implements, applies, interprets or prescribes law or policy, but does not include (i) statements concerning only the internal management of an agency and not affecting private rights or procedures available to persons or entities outside the agency, (ii) intra-agency memoranda, or (iii) the prescription of standardized forms.

(g) "Agribusiness" shall have the same meaning given to it in 505 ILCS 19/5.

(Source: P.A. 85-162; revised 12-6-03.)

(20 ILCS 655/11.2 new)

Sec. 11.2. Creation of Agri-Zones.

(a) Notwithstanding the number of enterprise zones which may be created pursuant to Section 5.3 of this Act, a municipality or county may create by ordinance and the Department may certify not more than 10 agri-zones whose boundaries shall encompass the agribusiness or group of agribusinesses for which the agri-zone has been created and certified.

(b) Areas of a county or a municipality that are qualified to become an enterprise zone shall also be qualified to become an agri-zone and they shall be created by ordinance by a municipality or county and shall be certified by the Department in the same manner as enterprise zones. An agribusiness located within an agri-zone shall be eligible to receive the same State and local incentives and assistance under the same circumstances as businesses in enterprise zones.

(c) In addition to the circumstances under which an agri-zone may be created under subsection (b) of this Section, an agri-zone may also be created by ordinance and certified by the Department for an agribusiness or group of agribusinesses that plan to locate within the zone and create jobs, or for an agribusiness or group of agribusinesses seeking assistance to retain jobs. In certification by the Department, preference shall be given to agri-zones created for agribusinesses created or expanded with assistance granted under the Illinois AgriFIRST Program Act (505 ILCS 19), the Food and Agriculture Research Act (505 ILCS 82), or that is using technology transferred from a university that creating or retaining jobs.

(20 ILCS 655/12-2) (from Ch. 67 1/2, par. 619)

Sec. 12-2. Definitions. Unless the context clearly requires otherwise:

(a) "Financial institution" means a trust company, a bank, a savings bank, a credit union, an investment bank, a broker, an investment trust, a pension fund, a building and loan association, a savings and loan association, an insurance company or any venture capital company which is authorized to do business in the State.

(b) "Participating lender" means any trust company, bank, savings bank, credit union, investment bank, broker, investment trust, pension fund, building and loan association, savings and loan association, insurance company or venture capital company approved by the Department which assumes a portion of the financing for a business project.

(c) "Department" means the Illinois Department of Commerce and Economic Opportunity Community Affairs.

(d) "Business" means a for-profit, legal entity located in an Illinois Enterprise Zone or an Agri-Zone including, but not limited to, any sole proprietorship, partnership, corporation, joint venture, association or cooperative.

(e) "Loan" means an agreement or contract to provide a loan or other financial aid to a business.

(f) "Project" means any specific economic development activity of a commercial, industrial, manufacturing, agricultural, scientific, service or other business in an Enterprise Zone, the result of which yields an increase in jobs and may include the purchase or lease of machinery and equipment, the lease or purchase of real property or funds for infrastructure necessitated by site preparation, building construction or related purposes but does not include refinancing current debt.

(g) "Fund" means the Enterprise Zone Loan Fund created in Section 12-6.

(Source: P.A. 84-165; revised 12-6-03.)