99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB1352

 

Introduced 2/4/2015, by Rep. Jay Hoffman

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/9-45
35 ILCS 200/11-10
35 ILCS 200/11-15
35 ILCS 200/11-25

    Amends the Property Tax Code. Provides that property that is (i) located within a county of less than 1,000,000 inhabitants and (ii) used for a petroleum refinery may be the subject of a real property tax assessment settlement agreement if litigation is or was pending as to its assessed valuation as of January 1, 2003 or thereafter. Provides that wind turbines and ethanol producing facilities shall not be considered pollution control facilities. Makes changes concerning the valuation of pollution control facilities. Provides that the effective date of a certificate for designation as a pollution control facility shall be January 1 of the year in which the certificate is issued (instead of the date of application for the certificate or the date of the construction of the facility, whichever is later).


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FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB1352LRB099 06472 HLH 26543 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Property Tax Code is amended by changing
5Sections 9-45, 11-10, 11-15, and 11-25 as follows:
 
6    (35 ILCS 200/9-45)
7    Sec. 9-45. Property index number system. The county clerk
8in counties of 3,000,000 or more inhabitants and, subject to
9the approval of the county board, the chief county assessment
10officer or recorder, in counties of less than 3,000,000
11inhabitants, may establish a property index number system under
12which property may be listed for purposes of assessment,
13collection of taxes or automation of the office of the
14recorder. The system may be adopted in addition to, or instead
15of, the method of listing by legal description as provided in
16Section 9-40. The system shall describe property by township,
17section, block, and parcel or lot, and may cross-reference the
18street or post office address, if any, and street code number,
19if any. The county clerk, county treasurer, chief county
20assessment officer or recorder may establish and maintain cross
21indexes of numbers assigned under the system with the complete
22legal description of the properties to which the numbers
23relate. Index numbers shall be assigned by the county clerk in

 

 

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1counties of 3,000,000 or more inhabitants, and, at the
2direction of the county board in counties with less than
33,000,000 inhabitants, shall be assigned by the chief county
4assessment officer or recorder. Tax maps of the county clerk,
5county treasurer or chief county assessment officer shall carry
6those numbers. The indexes shall be open to public inspection
7and be made available to the public. Any property index number
8system established prior to the effective date of this Code
9shall remain valid. However, in counties with less than
103,000,000 inhabitants, the system may be transferred to another
11authority upon the approval of the county board.
12    Any real property used for a power generating or automotive
13manufacturing facility located within a county of less than
141,000,000 inhabitants, as to which litigation with respect to
15its assessed valuation is pending or was pending as of January
161, 1993, may be the subject of a real property tax assessment
17settlement agreement among the taxpayer and taxing districts in
18which it is situated. In addition, any real property that is
19located within a county of less than 1,000,000 inhabitants and
20is (i) used for natural gas extraction and fractionation or
21olefin and polymer manufacturing or (ii) used for a petroleum
22refinery and (ii) located within a county of less than
231,000,000 inhabitants may be the subject of a real property tax
24assessment settlement agreement among the taxpayer and taxing
25districts in which the property is situated if litigation is or
26was pending as to its assessed valuation as of January 1, 2003

 

 

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1or thereafter. Other appropriate authorities, which may
2include county and State boards or officials, may also be
3parties to such agreements. Such agreements may include the
4assessment of the facility or property for any years in dispute
5as well as for up to 10 years in the future. Such agreements
6may provide for the settlement of issues relating to the
7assessed value of the facility and may provide for related
8payments, refunds, claims, credits against taxes and
9liabilities in respect to past and future taxes of taxing
10districts, including any fund created under Section 20-35 of
11this Act, all implementing the settlement agreement. Any such
12agreement may provide that parties thereto agree not to
13challenge assessments as provided in the agreement. An
14agreement entered into on or after January 1, 1993 may provide
15for the classification of property that is the subject of the
16agreement as real or personal during the term of the agreement
17and thereafter. It may also provide that taxing districts agree
18to reimburse the taxpayer for amounts paid by the taxpayer in
19respect to taxes for the real property which is the subject of
20the agreement to the extent levied by those respective
21districts, over and above amounts which would be due if the
22facility were to be assessed as provided in the agreement. Such
23reimbursement may be provided in the agreement to be made by
24credit against taxes of the taxpayer. No credits shall be
25applied against taxes levied with respect to debt service or
26lease payments of a taxing district. No referendum approval or

 

 

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1appropriation shall be required for such an agreement or such
2credits and any such obligation shall not constitute
3indebtedness of the taxing district for purposes of any
4statutory limitation. The county collector shall treat
5credited amounts as if they had been received by the collector
6as taxes paid by the taxpayer and as if remitted to the
7district. A county treasurer who is a party to such an
8agreement may agree to hold amounts paid in escrow as provided
9in the agreement for possible use for paying taxes until
10conditions of the agreement are met and then to apply these
11amounts as provided in the agreement. No such settlement
12agreement shall be effective unless it shall have been approved
13by the court in which such litigation is pending. Any such
14agreement which has been entered into prior to adoption of this
15amendatory Act of 1988 and which is contingent upon enactment
16of authorizing legislation shall be binding and enforceable.
17(Source: P.A. 96-609, eff. 8-24-09.)
 
18    (35 ILCS 200/11-10)
19    Sec. 11-10. Definition of pollution control facilities.
20"Pollution control facilities" means any system, method,
21construction, device or appliance appurtenant thereto, or any
22portion of any building or equipment, that is designed,
23constructed, installed or operated for the primary purpose of:
24    (a) eliminating, preventing, or reducing air or water
25pollution, as the terms "air pollution" and "water pollution"

 

 

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1are defined in the Environmental Protection Act, or complying
2with federal or State requirements enacted or promulgated to
3eliminate, prevent, or reduce air pollution or water pollution;
4or
5    (b) treating, pretreating, modifying or disposing of any
6potential solid, liquid or gaseous pollutant which if released
7without treatment, pretreatment, modification or disposal
8might be harmful, detrimental or offensive to human, plant or
9animal life, or to property. "Pollution control facilities"
10shall not include, however,
11        (1) any facility with the primary purpose of (i)
12    eliminating, containing, preventing or reducing
13    radioactive contaminants or energy, or (ii) treating waste
14    water produced by the nuclear generation of electric power,
15        (2) any large diameter pipes or piping systems used to
16    remove and disperse heat from water involved in the nuclear
17    generation of electric power,
18        (3) any facility operated by any person other than a
19    unit of government, whether within or outside of the
20    territorial boundaries of a unit of local government, for
21    sewage disposal or treatment, or
22        (4) land underlying a cooling pond, .
23        (5) wind turbines,
24        (6) ethanol producing facilities, except that systems,
25    methods, construction, devices, or appliances appurtenant
26    to those ethanol producing facilities may be considered

 

 

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1    pollution control facilities for the purposes of this Act.
2(Source: P.A. 83-883; 88-455.)
 
3    (35 ILCS 200/11-15)
4    Sec. 11-15. Method of valuation for pollution control
5facilities. To determine 33 1/3% of the fair cash value of any
6certified pollution control facilities in assessing those
7facilities, the Department shall take into consideration the
8actual or probable net earnings attributable to the facilities
9in question, capitalized on the basis of their productive
10earning value to their owner; the probable net value which
11could be realized by their owner if the facilities were removed
12and sold at a fair, voluntary sale, giving due account to the
13expense of removal and condition of the particular facilities
14in question; and other information as the Department may
15consider as bearing on the fair cash value of the facilities to
16their owner, consistent with the principles set forth in this
17Section. For the purposes of this Code, earnings shall be
18attributed to a pollution control facility only to the extent
19that its operation results in the production of a commercially
20saleable by-product or increases the production or reduces the
21production costs of the products or services otherwise sold by
22the owner of such facility.
23(Source: P.A. 83-121; 88-455.)
 
24    (35 ILCS 200/11-25)

 

 

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1    Sec. 11-25. Certification procedure. Application for a
2pollution control facility certificate shall be filed with the
3Pollution Control Board in a manner and form prescribed in
4regulations issued by that board. The application shall contain
5appropriate and available descriptive information concerning
6anything claimed to be entitled in whole or in part to tax
7treatment as a pollution control facility. If it is found that
8the claimed facility or relevant portion thereof is a pollution
9control facility as defined in Section 11-10, the Pollution
10Control Board, acting through its Chairman or his or her
11specifically authorized delegate, shall enter a finding and
12issue a certificate to that effect. The certificate shall
13require tax treatment as a pollution control facility, but only
14for the portion certified if only a portion is certified. The
15effective date of a certificate shall be January 1 of the year
16in which the certificate is issued the date of application for
17the certificate or the date of the construction of the
18facility, which ever is later.
19(Source: P.A. 76-2451; 88-455.)