101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB2271

 

Introduced , by Rep. Robert Martwick

 

SYNOPSIS AS INTRODUCED:
 
65 ILCS 5/11-74.4-9  from Ch. 24, par. 11-74.4-9

    Amends the Tax Increment Allocation Redevelopment Act of the Illinois Municipal Code. Provides that if (1) three or more improved lots, blocks, tracts, or parcels of real property within a single redevelopment project area are purchased by a developer or a developer's parent company or wholly-owned subsidiary, or any combination thereof, within the 3 years prior to the date that the ordinance providing for the tax increment allocation was adopted by the municipality, and (2) an improvement on any of the lots, blocks, tracts, or parcels of real property is demolished or otherwise rendered uninhabitable, then the initial equalized assessed value for the lot, block, tract or parcel of real property shall be the equalized assessed value of the lot, block, tract, or parcel of real property on the date it was purchased by the developer, the developer's parent company, or the developer's wholly-owned subsidiary or purchased by any combination thereof. Limits the provisions to ordinances adopted after the effective date of the amendatory Act.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB2271LRB101 08604 AWJ 53683 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Municipal Code is amended by
5changing Section 11-74.4-9 as follows:
 
6    (65 ILCS 5/11-74.4-9)   (from Ch. 24, par. 11-74.4-9)
7    Sec. 11-74.4-9. Equalized assessed value of property.
8        (a) Except as provided in subsection (a-5), if If a
9municipality by ordinance provides for tax increment
10allocation financing pursuant to Section 11-74.4-8, the county
11clerk immediately thereafter shall determine (1) the most
12recently ascertained equalized assessed value of each lot,
13block, tract or parcel of real property within such
14redevelopment project area from which shall be deducted the
15homestead exemptions under Article 15 of the Property Tax Code,
16which value shall be the "initial equalized assessed value" of
17each such piece of property, and (2) the total equalized
18assessed value of all taxable real property within such
19redevelopment project area by adding together the most recently
20ascertained equalized assessed value of each taxable lot,
21block, tract, or parcel of real property within such project
22area, from which shall be deducted the homestead exemptions
23provided by Sections 15-170, 15-175, and 15-176 of the Property

 

 

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1Tax Code, and shall certify such amount as the "total initial
2equalized assessed value" of the taxable real property within
3such project area.
4    (a-5) If (1) three or more improved lots, blocks, tracts,
5or parcels of real property within a single redevelopment
6project area are purchased by a developer or a developer's
7parent company or wholly-owned subsidiary, or any combination
8thereof, within the 3 years prior to the date that the
9ordinance providing for the tax increment allocation financing
10under Section 11-74.4-8 was adopted by the municipality, and
11(2) an improvement on any of the lots, blocks, tracts, or
12parcels of real property is demolished or otherwise rendered
13uninhabitable, then the initial equalized assessed value for
14the lot, block, tract or parcel of real property shall be the
15equalized assessed value of the lot, block, tract, or parcel of
16real property on the date it was purchased by the developer,
17the developer's parent company, or the developer's
18wholly-owned subsidiary or purchased by any combination
19thereof. This Section applies only to ordinances adopted on or
20after the effective date of this amendatory Act of the 101st
21General Assembly.
22    (b) In reference to any municipality which has adopted tax
23increment financing after January 1, 1978, and in respect to
24which the county clerk has certified the "total initial
25equalized assessed value" of the property in the redevelopment
26area, the municipality may thereafter request the clerk in

 

 

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1writing to adjust the initial equalized value of all taxable
2real property within the redevelopment project area by
3deducting therefrom the exemptions under Article 15 of the
4Property Tax Code applicable to each lot, block, tract or
5parcel of real property within such redevelopment project area.
6The county clerk shall immediately after the written request to
7adjust the total initial equalized value is received determine
8the total homestead exemptions in the redevelopment project
9area provided by Sections 15-170, 15-175, and 15-176 of the
10Property Tax Code by adding together the homestead exemptions
11provided by said Sections on each lot, block, tract or parcel
12of real property within such redevelopment project area and
13then shall deduct the total of said exemptions from the total
14initial equalized assessed value. The county clerk shall then
15promptly certify such amount as the "total initial equalized
16assessed value as adjusted" of the taxable real property within
17such redevelopment project area.
18    (c) After the county clerk has certified the "total initial
19equalized assessed value" of the taxable real property in such
20area, then in respect to every taxing district containing a
21redevelopment project area, the county clerk or any other
22official required by law to ascertain the amount of the
23equalized assessed value of all taxable property within such
24district for the purpose of computing the rate per cent of tax
25to be extended upon taxable property within such district,
26shall in every year that tax increment allocation financing is

 

 

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1in effect ascertain the amount of value of taxable property in
2a redevelopment project area by including in such amount the
3lower of the current equalized assessed value or the certified
4"total initial equalized assessed value" of all taxable real
5property in such area, except that after he has certified the
6"total initial equalized assessed value as adjusted" he shall
7in the year of said certification if tax rates have not been
8extended and in every year thereafter that tax increment
9allocation financing is in effect ascertain the amount of value
10of taxable property in a redevelopment project area by
11including in such amount the lower of the current equalized
12assessed value or the certified "total initial equalized
13assessed value as adjusted" of all taxable real property in
14such area. The rate per cent of tax determined shall be
15extended to the current equalized assessed value of all
16property in the redevelopment project area in the same manner
17as the rate per cent of tax is extended to all other taxable
18property in the taxing district. The method of extending taxes
19established under this Section shall terminate when the
20municipality adopts an ordinance dissolving the special tax
21allocation fund for the redevelopment project area. This
22Division shall not be construed as relieving property owners
23within a redevelopment project area from paying a uniform rate
24of taxes upon the current equalized assessed value of their
25taxable property as provided in the Property Tax Code.
26(Source: P.A. 95-644, eff. 10-12-07.)