|
| | 100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018 HB4996 Introduced , by Rep. Fred Crespo SYNOPSIS AS INTRODUCED: |
| 35 ILCS 200/18-185 | | 35 ILCS 200/18-205 | | 35 ILCS 200/18-242 new | | 30 ILCS 805/8.42 new | |
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Amends the Property Tax Extension Limitation Law in the Property Tax Code. Provides that, if, at the end of any levy year, a taxing district has reserves of 50% or more of its operating budget for that levy year, then, for the next levy year, "extension limitation" means 0% or the rate of increase approved by the voters. Preempts the power of home rule units to tax. Effective immediately.
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| | FISCAL NOTE ACT MAY APPLY | | HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY |
| | A BILL FOR |
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1 | | AN ACT concerning revenue.
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2 | | Be it enacted by the People of the State of Illinois,
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3 | | represented in the General Assembly:
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4 | | Section 5. The Property Tax Code is amended by changing |
5 | | Sections 18-185 and 18-205 and by adding Section 18-242 as |
6 | | follows: |
7 | | (35 ILCS 200/18-185)
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8 | | Sec. 18-185. Short title; definitions. This Division 5 may |
9 | | be cited as the
Property Tax Extension Limitation Law. As used |
10 | | in this Division 5:
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11 | | "Consumer Price Index" means the Consumer Price Index for |
12 | | All Urban
Consumers for all items published by the United |
13 | | States Department of Labor.
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14 | | "Extension limitation" means , except as otherwise provided |
15 | | in this Section, (a) the lesser of 5% or the percentage |
16 | | increase
in the Consumer Price Index during the 12-month |
17 | | calendar year preceding the
levy year or (b) the rate of |
18 | | increase approved by voters under Section 18-205.
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19 | | If, at the end of any levy year, any taxing district, as |
20 | | defined in Section 1-150, has reserves of 50% or more of its |
21 | | operating budget for that levy year, then, for the next levy |
22 | | year, "extension limitation" means 0% or the rate of increase |
23 | | approved by the voters under Section 18-205. |
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1 | | "Affected county" means a county of 3,000,000 or more |
2 | | inhabitants or a
county contiguous to a county of 3,000,000 or |
3 | | more inhabitants.
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4 | | "Taxing district" has the same meaning provided in Section |
5 | | 1-150, except as
otherwise provided in this Section. For the |
6 | | 1991 through 1994 levy years only,
"taxing district" includes |
7 | | only each non-home rule taxing district having the
majority of |
8 | | its
1990 equalized assessed value within any county or counties |
9 | | contiguous to a
county with 3,000,000 or more inhabitants. |
10 | | Beginning with the 1995 levy
year, "taxing district" includes |
11 | | only each non-home rule taxing district
subject to this Law |
12 | | before the 1995 levy year and each non-home rule
taxing |
13 | | district not subject to this Law before the 1995 levy year |
14 | | having the
majority of its 1994 equalized assessed value in an |
15 | | affected county or
counties. Beginning with the levy year in
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16 | | which this Law becomes applicable to a taxing district as
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17 | | provided in Section 18-213, "taxing district" also includes |
18 | | those taxing
districts made subject to this Law as provided in |
19 | | Section 18-213. Beginning in levy year 2018, "taxing district" |
20 | | also means any taxing district, as defined in Section 1-150, |
21 | | that had reserves of 50% or more of its operating budget at the |
22 | | end of the immediately preceding levy year.
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23 | | "Aggregate extension" for taxing districts to which this |
24 | | Law applied before
the 1995 levy year means the annual |
25 | | corporate extension for the taxing
district and those special |
26 | | purpose extensions that are made annually for
the taxing |
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1 | | district, excluding special purpose extensions: (a) made for |
2 | | the
taxing district to pay interest or principal on general |
3 | | obligation bonds
that were approved by referendum; (b) made for |
4 | | any taxing district to pay
interest or principal on general |
5 | | obligation bonds issued before October 1,
1991; (c) made for |
6 | | any taxing district to pay interest or principal on bonds
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7 | | issued to refund or continue to refund those bonds issued |
8 | | before October 1,
1991; (d)
made for any taxing district to pay |
9 | | interest or principal on bonds
issued to refund or continue to |
10 | | refund bonds issued after October 1, 1991 that
were approved by |
11 | | referendum; (e)
made for any taxing district to pay interest
or |
12 | | principal on revenue bonds issued before October 1, 1991 for |
13 | | payment of
which a property tax levy or the full faith and |
14 | | credit of the unit of local
government is pledged; however, a |
15 | | tax for the payment of interest or principal
on those bonds |
16 | | shall be made only after the governing body of the unit of |
17 | | local
government finds that all other sources for payment are |
18 | | insufficient to make
those payments; (f) made for payments |
19 | | under a building commission lease when
the lease payments are |
20 | | for the retirement of bonds issued by the commission
before |
21 | | October 1, 1991, to pay for the building project; (g) made for |
22 | | payments
due under installment contracts entered into before |
23 | | October 1, 1991;
(h) made for payments of principal and |
24 | | interest on bonds issued under the
Metropolitan Water |
25 | | Reclamation District Act to finance construction projects
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26 | | initiated before October 1, 1991; (i) made for payments of |
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1 | | principal and
interest on limited bonds, as defined in Section |
2 | | 3 of the Local Government Debt
Reform Act, in an amount not to |
3 | | exceed the debt service extension base less
the amount in items |
4 | | (b), (c), (e), and (h) of this definition for
non-referendum |
5 | | obligations, except obligations initially issued pursuant to
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6 | | referendum; (j) made for payments of principal and interest on |
7 | | bonds
issued under Section 15 of the Local Government Debt |
8 | | Reform Act; (k)
made
by a school district that participates in |
9 | | the Special Education District of
Lake County, created by |
10 | | special education joint agreement under Section
10-22.31 of the |
11 | | School Code, for payment of the school district's share of the
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12 | | amounts required to be contributed by the Special Education |
13 | | District of Lake
County to the Illinois Municipal Retirement |
14 | | Fund under Article 7 of the
Illinois Pension Code; the amount |
15 | | of any extension under this item (k) shall be
certified by the |
16 | | school district to the county clerk; (l) made to fund
expenses |
17 | | of providing joint recreational programs for persons with |
18 | | disabilities under
Section 5-8 of
the
Park District Code or |
19 | | Section 11-95-14 of the Illinois Municipal Code; (m) made for |
20 | | temporary relocation loan repayment purposes pursuant to |
21 | | Sections 2-3.77 and 17-2.2d of the School Code; (n) made for |
22 | | payment of principal and interest on any bonds issued under the |
23 | | authority of Section 17-2.2d of the School Code; (o) made for |
24 | | contributions to a firefighter's pension fund created under |
25 | | Article 4 of the Illinois Pension Code, to the extent of the |
26 | | amount certified under item (5) of Section 4-134 of the |
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1 | | Illinois Pension Code; and (p) made for road purposes in the |
2 | | first year after a township assumes the rights, powers, duties, |
3 | | assets, property, liabilities, obligations, and
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4 | | responsibilities of a road district abolished under the |
5 | | provisions of Section 6-133 of the Illinois Highway Code.
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6 | | "Aggregate extension" for the taxing districts to which |
7 | | this Law did not
apply before the 1995 levy year (except taxing |
8 | | districts subject to this Law
in
accordance with Section 18-213 |
9 | | or this amendatory Act of the 100th General Assembly ) means the |
10 | | annual corporate extension for the
taxing district and those |
11 | | special purpose extensions that are made annually for
the |
12 | | taxing district, excluding special purpose extensions: (a) |
13 | | made for the
taxing district to pay interest or principal on |
14 | | general obligation bonds that
were approved by referendum; (b) |
15 | | made for any taxing district to pay interest
or principal on |
16 | | general obligation bonds issued before March 1, 1995; (c) made
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17 | | for any taxing district to pay interest or principal on bonds |
18 | | issued to refund
or continue to refund those bonds issued |
19 | | before March 1, 1995; (d) made for any
taxing district to pay |
20 | | interest or principal on bonds issued to refund or
continue to |
21 | | refund bonds issued after March 1, 1995 that were approved by
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22 | | referendum; (e) made for any taxing district to pay interest or |
23 | | principal on
revenue bonds issued before March 1, 1995 for |
24 | | payment of which a property tax
levy or the full faith and |
25 | | credit of the unit of local government is pledged;
however, a |
26 | | tax for the payment of interest or principal on those bonds |
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1 | | shall be
made only after the governing body of the unit of |
2 | | local government finds that
all other sources for payment are |
3 | | insufficient to make those payments; (f) made
for payments |
4 | | under a building commission lease when the lease payments are |
5 | | for
the retirement of bonds issued by the commission before |
6 | | March 1, 1995 to
pay for the building project; (g) made for |
7 | | payments due under installment
contracts entered into before |
8 | | March 1, 1995; (h) made for payments of
principal and interest |
9 | | on bonds issued under the Metropolitan Water Reclamation
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10 | | District Act to finance construction projects initiated before |
11 | | October 1,
1991; (h-4) made for stormwater management purposes |
12 | | by the Metropolitan Water Reclamation District of Greater |
13 | | Chicago under Section 12 of the Metropolitan Water Reclamation |
14 | | District Act; (i) made for payments of principal and interest |
15 | | on limited bonds,
as defined in Section 3 of the Local |
16 | | Government Debt Reform Act, in an amount
not to exceed the debt |
17 | | service extension base less the amount in items (b),
(c), and |
18 | | (e) of this definition for non-referendum obligations, except
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19 | | obligations initially issued pursuant to referendum and bonds |
20 | | described in
subsection (h) of this definition; (j) made for |
21 | | payments of
principal and interest on bonds issued under |
22 | | Section 15 of the Local Government
Debt Reform Act; (k) made |
23 | | for payments of principal and interest on bonds
authorized by |
24 | | Public Act 88-503 and issued under Section 20a of the Chicago
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25 | | Park District Act for aquarium or
museum projects; (l) made for |
26 | | payments of principal and interest on
bonds
authorized by |
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1 | | Public Act 87-1191 or 93-601 and (i) issued pursuant to Section |
2 | | 21.2 of the Cook County Forest
Preserve District Act, (ii) |
3 | | issued under Section 42 of the Cook County
Forest Preserve |
4 | | District Act for zoological park projects, or (iii) issued
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5 | | under Section 44.1 of the Cook County Forest Preserve District |
6 | | Act for
botanical gardens projects; (m) made
pursuant
to |
7 | | Section 34-53.5 of the School Code, whether levied annually or |
8 | | not;
(n) made to fund expenses of providing joint recreational |
9 | | programs for persons with disabilities under Section 5-8 of the |
10 | | Park
District Code or Section 11-95-14 of the Illinois |
11 | | Municipal Code;
(o) made by the
Chicago Park
District for |
12 | | recreational programs for persons with disabilities under |
13 | | subsection (c) of
Section
7.06 of the Chicago Park District |
14 | | Act; (p) made for contributions to a firefighter's pension fund |
15 | | created under Article 4 of the Illinois Pension Code, to the |
16 | | extent of the amount certified under item (5) of Section 4-134 |
17 | | of the Illinois Pension Code; (q) made by Ford Heights School |
18 | | District 169 under Section 17-9.02 of the School Code; and (r) |
19 | | made for the purpose of making employer contributions to the |
20 | | Public School Teachers' Pension and Retirement Fund of Chicago |
21 | | under Section 34-53 of the School Code.
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22 | | "Aggregate extension" for all taxing districts to which |
23 | | this Law applies in
accordance with Section 18-213, except for |
24 | | those taxing districts subject to
paragraph (2) of subsection |
25 | | (e) of Section 18-213, means the annual corporate
extension for |
26 | | the
taxing district and those special purpose extensions that |
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1 | | are made annually for
the taxing district, excluding special |
2 | | purpose extensions: (a) made for the
taxing district to pay |
3 | | interest or principal on general obligation bonds that
were |
4 | | approved by referendum; (b) made for any taxing district to pay |
5 | | interest
or principal on general obligation bonds issued before |
6 | | the date on which the
referendum making this
Law applicable to |
7 | | the taxing district is held; (c) made
for any taxing district |
8 | | to pay interest or principal on bonds issued to refund
or |
9 | | continue to refund those bonds issued before the date on which |
10 | | the
referendum making this Law
applicable to the taxing |
11 | | district is held;
(d) made for any
taxing district to pay |
12 | | interest or principal on bonds issued to refund or
continue to |
13 | | refund bonds issued after the date on which the referendum |
14 | | making
this Law
applicable to the taxing district is held if |
15 | | the bonds were approved by
referendum after the date on which |
16 | | the referendum making this Law
applicable to the taxing |
17 | | district is held; (e) made for any
taxing district to pay |
18 | | interest or principal on
revenue bonds issued before the date |
19 | | on which the referendum making this Law
applicable to the
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20 | | taxing district is held for payment of which a property tax
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21 | | levy or the full faith and credit of the unit of local |
22 | | government is pledged;
however, a tax for the payment of |
23 | | interest or principal on those bonds shall be
made only after |
24 | | the governing body of the unit of local government finds that
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25 | | all other sources for payment are insufficient to make those |
26 | | payments; (f) made
for payments under a building commission |
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1 | | lease when the lease payments are for
the retirement of bonds |
2 | | issued by the commission before the date on which the
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3 | | referendum making this
Law applicable to the taxing district is |
4 | | held to
pay for the building project; (g) made for payments due |
5 | | under installment
contracts entered into before the date on |
6 | | which the referendum making this Law
applicable to
the taxing |
7 | | district is held;
(h) made for payments
of principal and |
8 | | interest on limited bonds,
as defined in Section 3 of the Local |
9 | | Government Debt Reform Act, in an amount
not to exceed the debt |
10 | | service extension base less the amount in items (b),
(c), and |
11 | | (e) of this definition for non-referendum obligations, except
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12 | | obligations initially issued pursuant to referendum; (i) made |
13 | | for payments
of
principal and interest on bonds issued under |
14 | | Section 15 of the Local Government
Debt Reform Act;
(j)
made |
15 | | for a qualified airport authority to pay interest or principal |
16 | | on
general obligation bonds issued for the purpose of paying |
17 | | obligations due
under, or financing airport facilities |
18 | | required to be acquired, constructed,
installed or equipped |
19 | | pursuant to, contracts entered into before March
1, 1996 (but |
20 | | not including any amendments to such a contract taking effect |
21 | | on
or after that date); (k) made to fund expenses of providing |
22 | | joint
recreational programs for persons with disabilities |
23 | | under Section 5-8 of
the
Park District Code or Section 11-95-14 |
24 | | of the Illinois Municipal Code; (l) made for contributions to a |
25 | | firefighter's pension fund created under Article 4 of the |
26 | | Illinois Pension Code, to the extent of the amount certified |
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1 | | under item (5) of Section 4-134 of the Illinois Pension Code; |
2 | | and (m) made for the taxing district to pay interest or |
3 | | principal on general obligation bonds issued pursuant to |
4 | | Section 19-3.10 of the School Code.
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5 | | "Aggregate extension" for all taxing districts to which |
6 | | this Law applies in
accordance with paragraph (2) of subsection |
7 | | (e) of Section 18-213 or this amendatory Act of the 100th |
8 | | General Assembly means the
annual corporate extension for the
|
9 | | taxing district and those special purpose extensions that are |
10 | | made annually for
the taxing district, excluding special |
11 | | purpose extensions: (a) made for the
taxing district to pay |
12 | | interest or principal on general obligation bonds that
were |
13 | | approved by referendum; (b) made for any taxing district to pay |
14 | | interest
or principal on general obligation bonds issued before |
15 | | the effective date of
this amendatory Act of 1997;
(c) made
for |
16 | | any taxing district to pay interest or principal on bonds |
17 | | issued to refund
or continue to refund those bonds issued |
18 | | before the effective date
of this amendatory Act of 1997;
(d) |
19 | | made for any
taxing district to pay interest or principal on |
20 | | bonds issued to refund or
continue to refund bonds issued after |
21 | | the effective date of this amendatory Act
of 1997 if the bonds |
22 | | were approved by referendum after the effective date of
this |
23 | | amendatory Act of 1997;
(e) made for any
taxing district to pay |
24 | | interest or principal on
revenue bonds issued before the |
25 | | effective date of this amendatory Act of 1997
for payment of |
26 | | which a property tax
levy or the full faith and credit of the |
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1 | | unit of local government is pledged;
however, a tax for the |
2 | | payment of interest or principal on those bonds shall be
made |
3 | | only after the governing body of the unit of local government |
4 | | finds that
all other sources for payment are insufficient to |
5 | | make those payments; (f) made
for payments under a building |
6 | | commission lease when the lease payments are for
the retirement |
7 | | of bonds issued by the commission before the effective date
of |
8 | | this amendatory Act of 1997
to
pay for the building project; |
9 | | (g) made for payments due under installment
contracts entered |
10 | | into before the effective date of this amendatory Act of
1997;
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11 | | (h) made for payments
of principal and interest on limited |
12 | | bonds,
as defined in Section 3 of the Local Government Debt |
13 | | Reform Act, in an amount
not to exceed the debt service |
14 | | extension base less the amount in items (b),
(c), and (e) of |
15 | | this definition for non-referendum obligations, except
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16 | | obligations initially issued pursuant to referendum; (i) made |
17 | | for payments
of
principal and interest on bonds issued under |
18 | | Section 15 of the Local Government
Debt Reform Act;
(j)
made |
19 | | for a qualified airport authority to pay interest or principal |
20 | | on
general obligation bonds issued for the purpose of paying |
21 | | obligations due
under, or financing airport facilities |
22 | | required to be acquired, constructed,
installed or equipped |
23 | | pursuant to, contracts entered into before March
1, 1996 (but |
24 | | not including any amendments to such a contract taking effect |
25 | | on
or after that date); (k) made to fund expenses of providing |
26 | | joint
recreational programs for persons with disabilities |
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1 | | under Section 5-8 of
the
Park District Code or Section 11-95-14 |
2 | | of the Illinois Municipal Code; and (l) made for contributions |
3 | | to a firefighter's pension fund created under Article 4 of the |
4 | | Illinois Pension Code, to the extent of the amount certified |
5 | | under item (5) of Section 4-134 of the Illinois Pension Code.
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6 | | "Debt service extension base" means an amount equal to that |
7 | | portion of the
extension for a taxing district for the 1994 |
8 | | levy year, or for those taxing
districts subject to this Law in |
9 | | accordance with Section 18-213, except for
those subject to |
10 | | paragraph (2) of subsection (e) of Section 18-213, for the
levy
|
11 | | year in which the referendum making this Law applicable to the |
12 | | taxing district
is held, or for those taxing districts subject |
13 | | to this Law in accordance with
paragraph (2) of subsection (e) |
14 | | of Section 18-213 for the 1996 levy year,
constituting an
|
15 | | extension for payment of principal and interest on bonds issued |
16 | | by the taxing
district without referendum, but not including |
17 | | excluded non-referendum bonds. For park districts (i) that were |
18 | | first
subject to this Law in 1991 or 1995 and (ii) whose |
19 | | extension for the 1994 levy
year for the payment of principal |
20 | | and interest on bonds issued by the park
district without |
21 | | referendum (but not including excluded non-referendum bonds)
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22 | | was less than 51% of the amount for the 1991 levy year |
23 | | constituting an
extension for payment of principal and interest |
24 | | on bonds issued by the park
district without referendum (but |
25 | | not including excluded non-referendum bonds),
"debt service |
26 | | extension base" means an amount equal to that portion of the
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1 | | extension for the 1991 levy year constituting an extension for |
2 | | payment of
principal and interest on bonds issued by the park |
3 | | district without referendum
(but not including excluded |
4 | | non-referendum bonds). A debt service extension base |
5 | | established or increased at any time pursuant to any provision |
6 | | of this Law, except Section 18-212, shall be increased each |
7 | | year commencing with the later of (i) the 2009 levy year or |
8 | | (ii) the first levy year in which this Law becomes applicable |
9 | | to the taxing district, by the lesser of 5% or the percentage |
10 | | increase in the Consumer Price Index during the 12-month |
11 | | calendar year preceding the levy year. The debt service |
12 | | extension
base may be established or increased as provided |
13 | | under Section 18-212.
"Excluded non-referendum bonds" means |
14 | | (i) bonds authorized by Public
Act 88-503 and issued under |
15 | | Section 20a of the Chicago Park District Act for
aquarium and |
16 | | museum projects; (ii) bonds issued under Section 15 of the
|
17 | | Local Government Debt Reform Act; or (iii) refunding |
18 | | obligations issued
to refund or to continue to refund |
19 | | obligations initially issued pursuant to
referendum.
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20 | | "Special purpose extensions" include, but are not limited |
21 | | to, extensions
for levies made on an annual basis for |
22 | | unemployment and workers'
compensation, self-insurance, |
23 | | contributions to pension plans, and extensions
made pursuant to |
24 | | Section 6-601 of the Illinois Highway Code for a road
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25 | | district's permanent road fund whether levied annually or not. |
26 | | The
extension for a special service area is not included in the
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1 | | aggregate extension.
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2 | | "Aggregate extension base" means the taxing district's |
3 | | last preceding
aggregate extension as adjusted under Sections |
4 | | 18-135, 18-215,
18-230, and 18-206.
An adjustment under Section |
5 | | 18-135 shall be made for the 2007 levy year and all subsequent |
6 | | levy years whenever one or more counties within which a taxing |
7 | | district is located (i) used estimated valuations or rates when |
8 | | extending taxes in the taxing district for the last preceding |
9 | | levy year that resulted in the over or under extension of |
10 | | taxes, or (ii) increased or decreased the tax extension for the |
11 | | last preceding levy year as required by Section 18-135(c). |
12 | | Whenever an adjustment is required under Section 18-135, the |
13 | | aggregate extension base of the taxing district shall be equal |
14 | | to the amount that the aggregate extension of the taxing |
15 | | district would have been for the last preceding levy year if |
16 | | either or both (i) actual, rather than estimated, valuations or |
17 | | rates had been used to calculate the extension of taxes for the |
18 | | last levy year, or (ii) the tax extension for the last |
19 | | preceding levy year had not been adjusted as required by |
20 | | subsection (c) of Section 18-135.
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21 | | Notwithstanding any other provision of law, for levy year |
22 | | 2012, the aggregate extension base for West Northfield School |
23 | | District No. 31 in Cook County shall be $12,654,592. |
24 | | "Levy year" has the same meaning as "year" under Section
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25 | | 1-155.
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26 | | "New property" means (i) the assessed value, after final |
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1 | | board of review or
board of appeals action, of new improvements |
2 | | or additions to existing
improvements on any parcel of real |
3 | | property that increase the assessed value of
that real property |
4 | | during the levy year multiplied by the equalization factor
|
5 | | issued by the Department under Section 17-30, (ii) the assessed |
6 | | value, after
final board of review or board of appeals action, |
7 | | of real property not exempt
from real estate taxation, which |
8 | | real property was exempt from real estate
taxation for any |
9 | | portion of the immediately preceding levy year, multiplied by
|
10 | | the equalization factor issued by the Department under Section |
11 | | 17-30, including the assessed value, upon final stabilization |
12 | | of occupancy after new construction is complete, of any real |
13 | | property located within the boundaries of an otherwise or |
14 | | previously exempt military reservation that is intended for |
15 | | residential use and owned by or leased to a private corporation |
16 | | or other entity,
(iii) in counties that classify in accordance |
17 | | with Section 4 of Article
IX of the
Illinois Constitution, an |
18 | | incentive property's additional assessed value
resulting from |
19 | | a
scheduled increase in the level of assessment as applied to |
20 | | the first year
final board of
review market value, and (iv) any |
21 | | increase in assessed value due to oil or gas production from an |
22 | | oil or gas well required to be permitted under the Hydraulic |
23 | | Fracturing Regulatory Act that was not produced in or accounted |
24 | | for during the previous levy year.
In addition, the county |
25 | | clerk in a county containing a population of
3,000,000 or more |
26 | | shall include in the 1997
recovered tax increment value for any |
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1 | | school district, any recovered tax
increment value that was |
2 | | applicable to the 1995 tax year calculations.
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3 | | "Qualified airport authority" means an airport authority |
4 | | organized under
the Airport Authorities Act and located in a |
5 | | county bordering on the State of
Wisconsin and having a |
6 | | population in excess of 200,000 and not greater than
500,000.
|
7 | | "Recovered tax increment value" means, except as otherwise |
8 | | provided in this
paragraph, the amount of the current year's |
9 | | equalized assessed value, in the
first year after a |
10 | | municipality terminates
the designation of an area as a |
11 | | redevelopment project area previously
established under the |
12 | | Tax Increment Allocation Development Act in the Illinois
|
13 | | Municipal Code, previously established under the Industrial |
14 | | Jobs Recovery Law
in the Illinois Municipal Code, previously |
15 | | established under the Economic Development Project Area Tax |
16 | | Increment Act of 1995, or previously established under the |
17 | | Economic
Development Area Tax Increment Allocation Act, of each |
18 | | taxable lot, block,
tract, or parcel of real property in the |
19 | | redevelopment project area over and
above the initial equalized |
20 | | assessed value of each property in the
redevelopment project |
21 | | area.
For the taxes which are extended for the 1997 levy year, |
22 | | the recovered tax
increment value for a non-home rule taxing |
23 | | district that first became subject
to this Law for the 1995 |
24 | | levy year because a majority of its 1994 equalized
assessed |
25 | | value was in an affected county or counties shall be increased |
26 | | if a
municipality terminated the designation of an area in 1993 |
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1 | | as a redevelopment
project area previously established under |
2 | | the Tax Increment Allocation
Development Act in the Illinois |
3 | | Municipal Code, previously established under
the Industrial |
4 | | Jobs Recovery Law in the Illinois Municipal Code, or previously
|
5 | | established under the Economic Development Area Tax Increment |
6 | | Allocation Act,
by an amount equal to the 1994 equalized |
7 | | assessed value of each taxable lot,
block, tract, or parcel of |
8 | | real property in the redevelopment project area over
and above |
9 | | the initial equalized assessed value of each property in the
|
10 | | redevelopment project area.
In the first year after a |
11 | | municipality
removes a taxable lot, block, tract, or parcel of |
12 | | real property from a
redevelopment project area established |
13 | | under the Tax Increment Allocation
Development Act in the |
14 | | Illinois
Municipal Code, the Industrial Jobs Recovery Law
in |
15 | | the Illinois Municipal Code, or the Economic
Development Area |
16 | | Tax Increment Allocation Act, "recovered tax increment value"
|
17 | | means the amount of the current year's equalized assessed value |
18 | | of each taxable
lot, block, tract, or parcel of real property |
19 | | removed from the redevelopment
project area over and above the |
20 | | initial equalized assessed value of that real
property before |
21 | | removal from the redevelopment project area.
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22 | | Except as otherwise provided in this Section, "limiting |
23 | | rate" means a
fraction the numerator of which is the last
|
24 | | preceding aggregate extension base times an amount equal to one |
25 | | plus the
extension limitation defined in this Section and the |
26 | | denominator of which
is the current year's equalized assessed |
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1 | | value of all real property in the
territory under the |
2 | | jurisdiction of the taxing district during the prior
levy year. |
3 | | For those taxing districts that reduced their aggregate
|
4 | | extension for the last preceding levy year, except for school |
5 | | districts that reduced their extension for educational |
6 | | purposes pursuant to Section 18-206, the highest aggregate |
7 | | extension
in any of the last 3 preceding levy years shall be |
8 | | used for the purpose of
computing the limiting rate. The |
9 | | denominator shall not include new
property or the recovered tax |
10 | | increment
value.
If a new rate, a rate decrease, or a limiting |
11 | | rate increase has been approved at an election held after March |
12 | | 21, 2006, then (i) the otherwise applicable limiting rate shall |
13 | | be increased by the amount of the new rate or shall be reduced |
14 | | by the amount of the rate decrease, as the case may be, or (ii) |
15 | | in the case of a limiting rate increase, the limiting rate |
16 | | shall be equal to the rate set forth
in the proposition |
17 | | approved by the voters for each of the years specified in the |
18 | | proposition, after
which the limiting rate of the taxing |
19 | | district shall be calculated as otherwise provided. In the case |
20 | | of a taxing district that obtained referendum approval for an |
21 | | increased limiting rate on March 20, 2012, the limiting rate |
22 | | for tax year 2012 shall be the rate that generates the |
23 | | approximate total amount of taxes extendable for that tax year, |
24 | | as set forth in the proposition approved by the voters; this |
25 | | rate shall be the final rate applied by the county clerk for |
26 | | the aggregate of all capped funds of the district for tax year |
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1 | | 2012.
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2 | | (Source: P.A. 99-143, eff. 7-27-15; 99-521, eff. 6-1-17; |
3 | | 100-465, eff. 8-31-17.)
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4 | | (35 ILCS 200/18-205)
|
5 | | Sec. 18-205. Referendum to increase the extension |
6 | | limitation. A taxing
district is limited to an extension |
7 | | limitation as defined in Section 18-185 of 5% or the percentage |
8 | | increase
in the Consumer Price Index during the 12-month |
9 | | calendar year preceding the
levy year, whichever is less . A |
10 | | taxing district may increase its extension
limitation for one |
11 | | or more levy years if that taxing district holds a referendum
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12 | | before the levy date for the first levy year at which a |
13 | | majority of voters voting on the issue approves
adoption of a |
14 | | higher extension limitation. Referenda shall be conducted at a
|
15 | | regularly scheduled election in accordance with the Election |
16 | | Code. The question shall be presented in
substantially the |
17 | | following manner for all elections held after March 21, 2006 :
|
18 | | Shall the extension limitation under the Property Tax |
19 | | Extension Limitation Law for (insert the legal name, |
20 | | number, if any, and county or counties of the taxing |
21 | | district and geographic or other common name by which a |
22 | | school or community college district is known and referred |
23 | | to), Illinois, be increased from the lesser of 5% or the |
24 | | percentage increase in the Consumer Price Index over the |
25 | | prior levy year to (insert the percentage of the proposed |
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1 | | increase)% per year for (insert each levy year for which |
2 | | the increased extension limitation will apply)? |
3 | | In the case of a taxing district that had reserves of 50% |
4 | | or more of its operating budget at the end of the immediately |
5 | | preceding levy year, the question shall be presented in
|
6 | | substantially the following manner: |
7 | | Shall the extension limitation under the Property Tax |
8 | | Extension Limitation Law for (insert the legal name, |
9 | | number, if any, and county or counties of the taxing |
10 | | district and geographic or other common name by which a |
11 | | school or community college district is known and referred |
12 | | to), Illinois, be increased from 0% to (insert the |
13 | | percentage of the proposed increase)% per year for (insert |
14 | | each levy year for which the increased extension limitation |
15 | | will apply)? |
16 | | The votes must be recorded as "Yes" or "No".
|
17 | | If a majority of voters voting on the issue approves the |
18 | | adoption of
the increase, the increase shall be applicable for |
19 | | each
levy year specified.
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20 | | The ballot for any question submitted pursuant to this |
21 | | Section shall have printed thereon, but not as a part of the |
22 | | question submitted, only the following supplemental |
23 | | information (which shall be supplied to the election authority |
24 | | by the taxing district) in substantially the following form: |
25 | | (1) For the (insert the first levy year for which the |
26 | | increased extension
limitation will be applicable) levy |
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1 | | year the approximate amount of the additional tax
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2 | | extendable against property containing a single family |
3 | | residence and having a fair market
value at the time of the |
4 | | referendum of $100,000 is estimated to be $.... |
5 | | (2) Based upon an average annual percentage increase |
6 | | (or decrease) in the
market value of such property of ...% |
7 | | (insert percentage equal to the average
annual percentage |
8 | | increase or decrease for the prior 3 levy years, at the |
9 | | time the
submission of the question is initiated by the |
10 | | taxing district, in the amount of (A) the
equalized |
11 | | assessed value of the taxable property in the taxing |
12 | | district less (B) the new
property included in the |
13 | | equalized assessed value), the approximate amount of the
|
14 | | additional tax extendable against such property for the ... |
15 | | levy year is estimated to be
$... and for the ... levy year |
16 | | is estimated to be $.... |
17 | | Paragraph (2) shall be included only if the increased |
18 | | extension limitation will be applicable for more than one year |
19 | | and shall list each levy year for which the increased extension |
20 | | limitation will be applicable. The additional tax shown for |
21 | | each levy year shall be the approximate dollar amount of the |
22 | | increase over the amount of the most recently completed |
23 | | extension at the time the submission of the question is |
24 | | initiated by the taxing district. The approximate amount of the |
25 | | additional tax extendable shown in paragraphs (1) and (2) shall |
26 | | be calculated by multiplying $100,000 (the fair market value of |
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1 | | the property without regard to any property tax exemptions) by |
2 | | (i) the percentage level of assessment prescribed for that |
3 | | property by statute, or by ordinance of the county board in |
4 | | counties that classify property for purposes of taxation in |
5 | | accordance with Section 4 of Article IX of the Illinois |
6 | | Constitution; (ii) the most recent final equalization factor |
7 | | certified to the county clerk by the Department of Revenue at |
8 | | the time the taxing district initiates the submission of the |
9 | | proposition to the electors; (iii) the last known aggregate |
10 | | extension base of the taxing district at the time the |
11 | | submission of the question is initiated by the taxing district; |
12 | | and (iv) the difference between the percentage increase |
13 | | proposed in the question and (A) the lesser of 5% or the |
14 | | percentage increase in the Consumer Price Index for the prior |
15 | | levy year (or an estimate of the percentage increase for the |
16 | | prior levy year if the increase is unavailable at the time the |
17 | | submission of the question is initiated by the taxing district) |
18 | | or (B) 0%, as applicable ; and dividing the result by the last |
19 | | known equalized assessed value of the taxing district at the |
20 | | time the submission of the question is initiated by the taxing |
21 | | district. This amendatory Act of the 97th General Assembly is |
22 | | intended to clarify the existing requirements of this Section, |
23 | | and shall not be construed to validate any prior non-compliant |
24 | | referendum language. Any notice required to be published in |
25 | | connection with the submission of the question shall also |
26 | | contain this supplemental information and shall not contain any |
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1 | | other supplemental information. Any error, miscalculation, or |
2 | | inaccuracy in computing any amount set forth on the ballot or |
3 | | in the notice that is not deliberate shall not invalidate or |
4 | | affect the validity of any proposition approved. Notice of the |
5 | | referendum shall be published and posted as otherwise required |
6 | | by law, and the submission of the question shall be initiated |
7 | | as provided by law.
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8 | | (Source: P.A. 97-1087, eff. 8-24-12.)
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9 | | (35 ILCS 200/18-242 new) |
10 | | Sec. 18-242. Home rule. This Division 5 is a limitation, |
11 | | under
subsection
(g) of Section 6 of Article VII of the |
12 | | Illinois Constitution, on the power of
home rule units to tax. |
13 | | Section 90. The State Mandates Act is amended by adding |
14 | | Section 8.42 as follows: |
15 | | (30 ILCS 805/8.42 new) |
16 | | Sec. 8.42. Exempt mandate. Notwithstanding Sections 6 and 8 |
17 | | of this Act, no reimbursement by the State is required for the |
18 | | implementation of any mandate created by this amendatory Act of |
19 | | the 100th General Assembly.
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20 | | Section 99. Effective date. This Act takes effect upon |
21 | | becoming law. |