Full Text of HB3140 102nd General Assembly
HB3140 102ND GENERAL ASSEMBLY |
| | 102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022 HB3140 Introduced 2/19/2021, by Rep. Lance Yednock SYNOPSIS AS INTRODUCED: |
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65 ILCS 5/11-74.4-3 | from Ch. 24, par. 11-74.4-3 |
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Amends the Tax Increment Allocation Redevelopment Act of the Illinois Municipal Code. Provides that, for redevelopment project areas designated after November 1, 1999 in municipalities with less than 1,000,000 population, modifies the formula for elementary, secondary, or unit school district's increased costs attributable to assisted housing units located within the redevelopment project area for which the developer or redeveloper receives financial assistance through an agreement with the municipality or because the municipality incurs the cost of necessary infrastructure improvements within the boundaries of the assisted housing sites necessary for the completion of that housing. Removes differences in formulation for alternate method districts, flat grant districts, and foundation districts. For school districts in a municipality with a population in excess of 1,000,000, changes the last date in which a school district is required to submit specified information to October 31 of each year (currently, September 30) and provides that municipalities shall reimburse school districts that have met specified criteria no later than January 31st of the school year in which the claim is made.
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| | A BILL FOR |
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| 1 | | AN ACT concerning local government.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Municipal Code is amended by | 5 | | changing Section 11-74.4-3 as follows:
| 6 | | (65 ILCS 5/11-74.4-3) (from Ch. 24, par. 11-74.4-3)
| 7 | | Sec. 11-74.4-3. Definitions. The following terms, wherever | 8 | | used or
referred to in this Division 74.4 shall have the | 9 | | following respective meanings,
unless in any case a different | 10 | | meaning clearly appears from the context.
| 11 | | (a) For any redevelopment project area that has been | 12 | | designated pursuant
to this
Section by an ordinance adopted | 13 | | prior to November 1, 1999 (the effective
date of Public Act
| 14 | | 91-478), "blighted area" shall have the meaning set
forth in | 15 | | this Section
prior to that date.
| 16 | | On and after November 1, 1999,
"blighted area" means any | 17 | | improved or vacant area within the boundaries
of a | 18 | | redevelopment project area located within the territorial | 19 | | limits of
the municipality where:
| 20 | | (1) If improved, industrial, commercial, and | 21 | | residential buildings or
improvements are detrimental to | 22 | | the public safety, health, or welfare
because of a | 23 | | combination of 5 or more of the following factors, each of |
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| 1 | | which
is (i) present, with that presence documented, to a | 2 | | meaningful extent so
that a municipality may reasonably | 3 | | find that the factor is clearly
present within the intent | 4 | | of the Act and (ii) reasonably distributed throughout
the | 5 | | improved part of the redevelopment project area:
| 6 | | (A) Dilapidation. An advanced state of disrepair | 7 | | or neglect of
necessary
repairs to the primary | 8 | | structural components of buildings or improvements in
| 9 | | such a combination that a documented building | 10 | | condition analysis determines
that major repair is | 11 | | required or the defects are so serious and so | 12 | | extensive
that the buildings must be removed.
| 13 | | (B) Obsolescence. The condition or process of | 14 | | falling into disuse.
Structures have become ill-suited | 15 | | for the original use.
| 16 | | (C) Deterioration. With respect to buildings, | 17 | | defects
including, but not limited to, major defects | 18 | | in
the secondary building components such as doors, | 19 | | windows, porches, gutters and
downspouts, and fascia. | 20 | | With respect to surface improvements, that the
| 21 | | condition of roadways, alleys, curbs, gutters, | 22 | | sidewalks, off-street parking,
and surface storage | 23 | | areas evidence deterioration, including, but not | 24 | | limited
to, surface cracking, crumbling, potholes, | 25 | | depressions, loose paving material,
and weeds | 26 | | protruding through paved surfaces.
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| 1 | | (D) Presence of structures below minimum code | 2 | | standards. All structures
that do not meet the | 3 | | standards of zoning, subdivision, building, fire, and
| 4 | | other governmental codes applicable to property, but | 5 | | not including housing and
property maintenance codes.
| 6 | | (E) Illegal use of individual structures. The use | 7 | | of structures in
violation of applicable federal, | 8 | | State, or local laws, exclusive of those
applicable to | 9 | | the presence of structures below minimum code | 10 | | standards.
| 11 | | (F) Excessive vacancies. The presence of
buildings | 12 | | that are unoccupied or under-utilized and that | 13 | | represent an adverse
influence on the area because of | 14 | | the frequency, extent, or duration of the
vacancies.
| 15 | | (G) Lack of ventilation, light, or sanitary | 16 | | facilities. The absence of
adequate ventilation for | 17 | | light or air circulation in spaces or rooms without
| 18 | | windows, or that require the removal of dust, odor, | 19 | | gas, smoke, or other
noxious airborne materials. | 20 | | Inadequate natural light and ventilation means
the | 21 | | absence of skylights or windows for interior spaces or | 22 | | rooms and improper
window sizes and amounts by room | 23 | | area to window area ratios. Inadequate
sanitary | 24 | | facilities refers to the absence or inadequacy of | 25 | | garbage storage and
enclosure,
bathroom facilities, | 26 | | hot water and kitchens, and structural inadequacies
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| 1 | | preventing ingress and egress to and from all rooms | 2 | | and units within a
building.
| 3 | | (H) Inadequate utilities. Underground and overhead | 4 | | utilities
such as storm sewers and storm drainage, | 5 | | sanitary sewers, water lines, and
gas, telephone, and
| 6 | | electrical services that are shown to be inadequate. | 7 | | Inadequate utilities are
those that are: (i) of | 8 | | insufficient capacity to serve the uses in the
| 9 | | redevelopment project area, (ii) deteriorated,
| 10 | | antiquated, obsolete, or in disrepair, or (iii) | 11 | | lacking within the
redevelopment project area.
| 12 | | (I) Excessive land coverage and overcrowding of | 13 | | structures and community
facilities. The | 14 | | over-intensive use of property and the crowding of | 15 | | buildings
and accessory facilities onto a site. | 16 | | Examples of problem conditions
warranting the | 17 | | designation of an area as one exhibiting excessive | 18 | | land coverage
are: (i) the presence of buildings | 19 | | either improperly situated on parcels or
located
on | 20 | | parcels of inadequate size and shape in relation to | 21 | | present-day standards of
development for health and | 22 | | safety and (ii) the presence of multiple buildings
on | 23 | | a
single parcel. For there to be a finding of excessive | 24 | | land coverage,
these parcels must exhibit one or more | 25 | | of the following conditions:
insufficient provision | 26 | | for
light and air within or around buildings, |
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| 1 | | increased threat of spread of fire
due to the close | 2 | | proximity of buildings, lack of adequate or proper | 3 | | access to a
public right-of-way, lack of reasonably | 4 | | required off-street parking, or
inadequate provision | 5 | | for loading and service.
| 6 | | (J) Deleterious land use or layout. The existence | 7 | | of incompatible
land-use
relationships, buildings | 8 | | occupied by inappropriate mixed-uses, or uses
| 9 | | considered to be noxious, offensive, or unsuitable for | 10 | | the
surrounding area.
| 11 | | (K) Environmental clean-up. The proposed | 12 | | redevelopment project area
has incurred Illinois | 13 | | Environmental Protection Agency or United States
| 14 | | Environmental Protection Agency remediation costs for, | 15 | | or a study conducted by
an independent consultant | 16 | | recognized as having expertise in environmental
| 17 | | remediation has determined a need for, the
clean-up of | 18 | | hazardous
waste, hazardous substances, or underground | 19 | | storage tanks required by State or
federal law, | 20 | | provided that the remediation costs constitute a | 21 | | material
impediment to the development or | 22 | | redevelopment of the redevelopment project
area.
| 23 | | (L) Lack of community planning. The proposed | 24 | | redevelopment project area
was
developed prior to or | 25 | | without the benefit or guidance of a community plan.
| 26 | | This means that the development occurred prior to the |
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| 1 | | adoption by the
municipality of a comprehensive or | 2 | | other community plan or that the plan was
not followed | 3 | | at the time of the area's development. This factor | 4 | | must be
documented by evidence of adverse or | 5 | | incompatible land-use relationships,
inadequate street | 6 | | layout, improper subdivision, parcels of inadequate | 7 | | shape and
size to meet contemporary development | 8 | | standards, or other evidence
demonstrating
an absence | 9 | | of effective community planning.
| 10 | | (M) The total equalized assessed value of the | 11 | | proposed redevelopment
project area has declined for 3 | 12 | | of the last 5 calendar years
prior to the year in which | 13 | | the redevelopment project area is designated
or is | 14 | | increasing at an
annual rate that is less
than the | 15 | | balance of the municipality for 3 of the last 5 | 16 | | calendar years
for which
information is available or | 17 | | is increasing at an annual rate that is less than
the | 18 | | Consumer Price Index
for All Urban Consumers published | 19 | | by the United States Department of Labor or
successor | 20 | | agency for 3 of the last 5 calendar years
prior to the | 21 | | year in which the redevelopment project area is | 22 | | designated.
| 23 | | (2) If vacant, the sound growth of the redevelopment | 24 | | project area
is impaired by a
combination of 2 or more of | 25 | | the following factors, each of which
is (i) present, with | 26 | | that presence documented, to a meaningful extent so
that
a |
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| 1 | | municipality may reasonably find that the factor is | 2 | | clearly present
within the intent of the Act and (ii) | 3 | | reasonably distributed throughout the
vacant part of the
| 4 | | redevelopment project area to which it pertains:
| 5 | | (A) Obsolete platting of vacant land that results | 6 | | in parcels of
limited or
narrow size or configurations | 7 | | of parcels of irregular size or shape that would
be | 8 | | difficult to develop on
a planned basis and in a manner | 9 | | compatible with contemporary standards and
| 10 | | requirements, or platting that failed to create | 11 | | rights-of-ways for streets or
alleys or that created | 12 | | inadequate right-of-way widths for streets, alleys, or
| 13 | | other public rights-of-way or that omitted easements | 14 | | for public utilities.
| 15 | | (B) Diversity of ownership of parcels of vacant | 16 | | land sufficient in
number to
retard or impede the | 17 | | ability to assemble the land for development.
| 18 | | (C) Tax and special assessment delinquencies exist | 19 | | or the property has
been the subject of tax sales under | 20 | | the Property Tax Code within the last 5
years.
| 21 | | (D) Deterioration of structures or site | 22 | | improvements in neighboring
areas adjacent to the | 23 | | vacant land.
| 24 | | (E) The area has incurred Illinois Environmental | 25 | | Protection Agency or
United States Environmental | 26 | | Protection Agency remediation costs for, or a study
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| 1 | | conducted by an independent consultant recognized as | 2 | | having expertise in
environmental remediation has | 3 | | determined a need for, the
clean-up of hazardous
| 4 | | waste, hazardous substances, or underground storage | 5 | | tanks required by State or
federal law, provided that | 6 | | the remediation costs
constitute a material impediment | 7 | | to the development or redevelopment of
the
| 8 | | redevelopment project area.
| 9 | | (F) The total equalized assessed value of the | 10 | | proposed redevelopment
project area has declined for 3 | 11 | | of the last 5 calendar years
prior to the year in which | 12 | | the redevelopment project area is designated
or is | 13 | | increasing at an
annual rate that is less
than the | 14 | | balance of the municipality for 3 of the last 5 | 15 | | calendar years for
which information is available or | 16 | | is increasing at an annual rate that is less
than
the | 17 | | Consumer Price Index
for All Urban Consumers published | 18 | | by the United States Department of Labor or
successor | 19 | | agency for 3 of the last 5 calendar years
prior to the | 20 | | year in which the redevelopment project area is | 21 | | designated.
| 22 | | (3) If vacant, the sound growth of the redevelopment | 23 | | project area is
impaired by one of the
following factors | 24 | | that (i) is present, with that presence documented, to a
| 25 | | meaningful extent so that a municipality may reasonably | 26 | | find that the factor is
clearly
present within the intent |
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| 1 | | of the Act and (ii) is reasonably distributed
throughout | 2 | | the vacant part of the
redevelopment project area to which | 3 | | it pertains:
| 4 | | (A) The area consists of one or more unused | 5 | | quarries, mines, or strip
mine ponds.
| 6 | | (B) The area consists of unused rail yards, rail | 7 | | tracks, or railroad
rights-of-way.
| 8 | | (C) The area, prior to its designation, is subject | 9 | | to (i) chronic
flooding
that adversely impacts on real | 10 | | property in the area as certified by a
registered
| 11 | | professional engineer or appropriate regulatory agency | 12 | | or (ii) surface water
that
discharges from all or a | 13 | | part of the area and contributes to flooding within
| 14 | | the
same watershed, but only if the redevelopment | 15 | | project provides for facilities
or
improvements to | 16 | | contribute to the alleviation of all or part of the
| 17 | | flooding.
| 18 | | (D) The area consists of an unused or illegal | 19 | | disposal site containing
earth,
stone, building | 20 | | debris, or similar materials that were removed from
| 21 | | construction, demolition, excavation, or dredge sites.
| 22 | | (E) Prior to November 1, 1999, the area
is not less | 23 | | than 50 nor more than 100 acres and 75%
of which is | 24 | | vacant (notwithstanding that the area has been used
| 25 | | for commercial agricultural purposes within 5 years | 26 | | prior to the designation
of the redevelopment project |
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| 1 | | area), and the area meets at least one of
the factors | 2 | | itemized in paragraph (1) of this subsection, the area
| 3 | | has been designated as a town or village center by | 4 | | ordinance or comprehensive
plan adopted prior to | 5 | | January 1, 1982, and the area has not been developed
| 6 | | for that designated purpose.
| 7 | | (F) The area qualified as a blighted improved area | 8 | | immediately prior to
becoming vacant, unless there has | 9 | | been substantial private investment in the
immediately | 10 | | surrounding area.
| 11 | | (b) For any redevelopment project area that has been | 12 | | designated pursuant
to this
Section by an ordinance adopted | 13 | | prior to November 1, 1999 (the effective
date of Public Act
| 14 | | 91-478), "conservation area" shall have the meaning
set forth | 15 | | in this
Section prior to that date.
| 16 | | On and after November 1, 1999,
"conservation area" means | 17 | | any improved area within the boundaries
of a redevelopment | 18 | | project area located within the territorial limits of
the | 19 | | municipality in which 50% or more of the structures in the area | 20 | | have
an age of 35 years or more.
Such an area is not yet a | 21 | | blighted area but
because of a combination of 3 or more of the | 22 | | following factors is detrimental
to the public safety, health, | 23 | | morals
or welfare and such an area may become a blighted area:
| 24 | | (1) Dilapidation. An advanced state of disrepair or | 25 | | neglect of
necessary
repairs to the primary structural | 26 | | components of buildings or improvements in
such a |
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| 1 | | combination that a documented building condition analysis | 2 | | determines
that major repair is required or the defects | 3 | | are so serious and so extensive
that the buildings must be | 4 | | removed.
| 5 | | (2) Obsolescence. The condition or process of falling | 6 | | into disuse.
Structures have become ill-suited for the | 7 | | original use.
| 8 | | (3) Deterioration. With respect to buildings, defects
| 9 | | including, but not limited to, major defects in
the | 10 | | secondary building components such as doors, windows, | 11 | | porches, gutters and
downspouts, and fascia. With respect | 12 | | to surface improvements, that the
condition of roadways, | 13 | | alleys, curbs, gutters, sidewalks, off-street parking,
and | 14 | | surface storage areas evidence deterioration, including, | 15 | | but not limited
to, surface cracking, crumbling, potholes, | 16 | | depressions, loose paving material,
and weeds protruding | 17 | | through paved surfaces.
| 18 | | (4) Presence of structures below minimum code | 19 | | standards. All structures
that do not meet the standards | 20 | | of zoning, subdivision, building, fire, and
other | 21 | | governmental codes applicable to property, but not | 22 | | including housing and
property maintenance codes.
| 23 | | (5) Illegal use of individual structures. The use of | 24 | | structures in
violation of applicable federal, State, or | 25 | | local laws, exclusive of those
applicable to the presence | 26 | | of structures below minimum code standards.
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| 1 | | (6) Excessive vacancies. The presence of
buildings | 2 | | that are unoccupied or under-utilized and that represent | 3 | | an adverse
influence on the area because of the frequency, | 4 | | extent, or duration of the
vacancies.
| 5 | | (7) Lack of ventilation, light, or sanitary | 6 | | facilities. The absence of
adequate ventilation for light | 7 | | or air circulation in spaces or rooms without
windows, or | 8 | | that require the removal of dust, odor, gas, smoke, or | 9 | | other
noxious airborne materials. Inadequate natural light | 10 | | and ventilation means
the absence or inadequacy of | 11 | | skylights or windows for interior spaces or rooms
and | 12 | | improper
window sizes and amounts by room area to window | 13 | | area ratios. Inadequate
sanitary facilities refers to the | 14 | | absence or inadequacy of garbage storage and
enclosure,
| 15 | | bathroom facilities, hot water and kitchens, and | 16 | | structural inadequacies
preventing ingress and egress to | 17 | | and from all rooms and units within a
building.
| 18 | | (8) Inadequate utilities. Underground and overhead | 19 | | utilities
such as storm sewers and storm drainage, | 20 | | sanitary sewers, water lines, and gas,
telephone, and
| 21 | | electrical services that are shown to be inadequate. | 22 | | Inadequate utilities are
those that are: (i) of | 23 | | insufficient capacity to serve the uses in the
| 24 | | redevelopment project area, (ii) deteriorated,
antiquated, | 25 | | obsolete, or in disrepair, or (iii) lacking within the
| 26 | | redevelopment project area.
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| 1 | | (9) Excessive land coverage and overcrowding of | 2 | | structures and community
facilities. The over-intensive | 3 | | use of property and the crowding of buildings
and | 4 | | accessory facilities onto a site. Examples of problem | 5 | | conditions
warranting the designation of an area as one | 6 | | exhibiting excessive land coverage
are: the presence of | 7 | | buildings either improperly situated on parcels or located
| 8 | | on parcels of inadequate size and shape in relation to | 9 | | present-day standards of
development for health and safety | 10 | | and the presence of multiple buildings on a
single parcel. | 11 | | For there to be a finding of excessive land coverage,
| 12 | | these parcels must exhibit one or more of the following | 13 | | conditions:
insufficient provision for
light and air | 14 | | within or around buildings, increased threat of spread of | 15 | | fire
due to the close proximity of buildings, lack of | 16 | | adequate or proper access to a
public right-of-way, lack | 17 | | of reasonably required off-street parking, or
inadequate | 18 | | provision for loading and service.
| 19 | | (10) Deleterious land use or layout. The existence of | 20 | | incompatible
land-use
relationships, buildings occupied by | 21 | | inappropriate mixed-uses, or uses
considered to be | 22 | | noxious, offensive, or unsuitable for the
surrounding | 23 | | area.
| 24 | | (11) Lack of community planning. The proposed | 25 | | redevelopment project area
was
developed prior to or | 26 | | without the benefit or guidance of a community plan.
This |
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| 1 | | means that the development occurred prior to the adoption | 2 | | by the
municipality of a comprehensive or other community | 3 | | plan or that the plan was
not followed at the time of the | 4 | | area's development. This factor must be
documented by | 5 | | evidence of adverse or incompatible land-use | 6 | | relationships,
inadequate street layout, improper | 7 | | subdivision, parcels of inadequate shape and
size to meet | 8 | | contemporary development standards, or other evidence
| 9 | | demonstrating
an absence of effective community planning.
| 10 | | (12) The area has incurred Illinois Environmental | 11 | | Protection Agency or
United
States Environmental | 12 | | Protection Agency remediation costs for, or a study
| 13 | | conducted by an independent consultant recognized as | 14 | | having expertise in
environmental remediation has | 15 | | determined a need for, the clean-up of hazardous
waste, | 16 | | hazardous substances, or underground storage tanks | 17 | | required by State
or federal law, provided that the | 18 | | remediation costs constitute a material
impediment to the | 19 | | development or redevelopment of the redevelopment project
| 20 | | area.
| 21 | | (13) The total equalized assessed value of the | 22 | | proposed redevelopment
project area has declined for 3 of | 23 | | the last 5 calendar years
for which information is
| 24 | | available or is increasing at an annual rate that is less | 25 | | than the balance of
the municipality for 3 of the last 5 | 26 | | calendar years for which information is
available or is |
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| 1 | | increasing at an annual rate that is less
than the | 2 | | Consumer Price Index for All Urban Consumers published by | 3 | | the United
States Department of Labor or successor agency | 4 | | for 3 of the last 5 calendar
years for which information is | 5 | | available.
| 6 | | (c) "Industrial park" means an area in a blighted or | 7 | | conservation
area suitable for use by any manufacturing, | 8 | | industrial, research or
transportation enterprise, of | 9 | | facilities to include but not be limited to
factories, mills, | 10 | | processing plants, assembly plants, packing plants,
| 11 | | fabricating plants, industrial distribution centers, | 12 | | warehouses, repair
overhaul or service facilities, freight | 13 | | terminals, research facilities,
test facilities or railroad | 14 | | facilities.
| 15 | | (d) "Industrial park conservation area" means an area | 16 | | within the
boundaries of a redevelopment project area located | 17 | | within the territorial
limits of a municipality that is a | 18 | | labor surplus municipality or within 1
1/2 miles of the | 19 | | territorial limits of a municipality that is a labor
surplus | 20 | | municipality if the area is annexed to the municipality; which
| 21 | | area is zoned as industrial no later than at the time the | 22 | | municipality by
ordinance designates the redevelopment project | 23 | | area, and which area
includes both vacant land suitable for | 24 | | use as an industrial park and a
blighted area or conservation | 25 | | area contiguous to such vacant land.
| 26 | | (e) "Labor surplus municipality" means a municipality in |
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| 1 | | which, at any
time during the 6 months before the municipality | 2 | | by ordinance designates
an industrial park conservation area, | 3 | | the unemployment rate was over 6% and was
also 100% or more of | 4 | | the national average unemployment rate for that same
time as | 5 | | published in the United States Department of Labor Bureau of | 6 | | Labor
Statistics publication entitled "The Employment | 7 | | Situation" or its successor
publication. For the purpose of | 8 | | this subsection, if unemployment rate
statistics for the | 9 | | municipality are not available, the unemployment rate in
the | 10 | | municipality shall be deemed to be the same as the | 11 | | unemployment rate in
the principal county in which the | 12 | | municipality is located.
| 13 | | (f) "Municipality" shall mean a city, village, | 14 | | incorporated town, or a township that is located in the | 15 | | unincorporated portion of a county with 3 million or more | 16 | | inhabitants, if the county adopted an ordinance that approved | 17 | | the township's redevelopment plan.
| 18 | | (g) "Initial Sales Tax Amounts" means the amount of taxes | 19 | | paid under
the Retailers' Occupation Tax Act, Use Tax Act, | 20 | | Service Use Tax Act, the
Service Occupation Tax Act, the | 21 | | Municipal Retailers' Occupation Tax Act,
and the Municipal | 22 | | Service Occupation Tax Act by
retailers and servicemen on | 23 | | transactions at places located in a
State Sales Tax Boundary | 24 | | during the calendar year 1985.
| 25 | | (g-1) "Revised Initial Sales Tax Amounts" means the amount | 26 | | of taxes paid
under the Retailers' Occupation Tax Act, Use Tax |
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| 1 | | Act, Service Use Tax Act, the
Service Occupation Tax Act, the | 2 | | Municipal Retailers' Occupation Tax Act,
and the Municipal | 3 | | Service Occupation Tax Act by retailers and servicemen on
| 4 | | transactions at places located within the State Sales Tax | 5 | | Boundary
revised pursuant to Section 11-74.4-8a(9) of this | 6 | | Act.
| 7 | | (h) "Municipal Sales Tax Increment" means an amount equal | 8 | | to the
increase in the aggregate amount of taxes paid to a | 9 | | municipality from the
Local Government Tax Fund arising from | 10 | | sales by retailers and servicemen
within the redevelopment | 11 | | project area or State Sales Tax Boundary, as
the case may be, | 12 | | for as long as the redevelopment project area or State
Sales | 13 | | Tax Boundary, as the case may be, exist over and above the | 14 | | aggregate
amount of taxes as certified by the Illinois | 15 | | Department of Revenue and paid
under the Municipal Retailers' | 16 | | Occupation Tax Act and the Municipal Service
Occupation Tax | 17 | | Act by retailers and servicemen, on transactions at places
of | 18 | | business located in the redevelopment project area or State | 19 | | Sales Tax
Boundary, as the case may be, during the
base year | 20 | | which shall be the calendar year immediately prior to the year | 21 | | in
which the municipality adopted tax increment allocation | 22 | | financing. For
purposes of computing the aggregate amount of | 23 | | such taxes for base years
occurring prior to 1985, the | 24 | | Department of Revenue shall determine the
Initial Sales Tax | 25 | | Amounts for such taxes and deduct therefrom an amount
equal to | 26 | | 4% of the aggregate amount of taxes per year for each year the
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| 1 | | base year is prior to 1985, but not to exceed a total deduction | 2 | | of 12%.
The amount so determined shall be known as the | 3 | | "Adjusted Initial Sales Tax
Amounts". For purposes of | 4 | | determining the Municipal Sales Tax Increment,
the Department | 5 | | of Revenue shall for each period subtract from the amount
paid | 6 | | to the municipality from the Local Government Tax Fund arising | 7 | | from
sales by retailers and servicemen on transactions
located | 8 | | in the redevelopment project area or the State Sales Tax | 9 | | Boundary,
as the case may be, the certified Initial Sales Tax
| 10 | | Amounts, the Adjusted Initial Sales Tax Amounts or the Revised | 11 | | Initial
Sales Tax Amounts for the Municipal Retailers'
| 12 | | Occupation Tax Act and the Municipal Service
Occupation Tax | 13 | | Act. For the State Fiscal Year 1989, this calculation shall
be | 14 | | made by utilizing the calendar year 1987 to determine the tax | 15 | | amounts
received. For the State Fiscal Year 1990, this | 16 | | calculation shall be made
by utilizing the period from January | 17 | | 1, 1988, until September 30, 1988, to
determine the tax | 18 | | amounts received from retailers and servicemen pursuant
to the | 19 | | Municipal Retailers' Occupation Tax and the Municipal Service
| 20 | | Occupation Tax Act, which shall have deducted therefrom
| 21 | | nine-twelfths of the certified Initial Sales Tax Amounts, the | 22 | | Adjusted Initial
Sales Tax Amounts or the Revised Initial | 23 | | Sales Tax Amounts as appropriate.
For the State Fiscal Year | 24 | | 1991, this calculation shall be made by utilizing
the period | 25 | | from October 1, 1988, to June 30, 1989, to determine the tax
| 26 | | amounts received from retailers and servicemen pursuant to the |
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| 1 | | Municipal
Retailers' Occupation Tax and the Municipal Service | 2 | | Occupation Tax Act
which shall have deducted therefrom | 3 | | nine-twelfths of the
certified Initial Sales Tax Amounts, | 4 | | Adjusted Initial Sales Tax
Amounts or the Revised Initial | 5 | | Sales Tax Amounts as appropriate. For every
State Fiscal Year | 6 | | thereafter, the applicable period shall be the 12 months
| 7 | | beginning July 1 and ending June 30 to determine the tax | 8 | | amounts received
which shall have deducted therefrom the | 9 | | certified Initial Sales Tax
Amounts, the Adjusted Initial | 10 | | Sales Tax Amounts or the Revised Initial
Sales Tax Amounts, as | 11 | | the case may be.
| 12 | | (i) "Net State Sales Tax Increment" means the sum of the | 13 | | following: (a)
80% of the first $100,000 of State Sales Tax | 14 | | Increment annually generated
within a State Sales Tax | 15 | | Boundary; (b) 60% of the amount in excess of
$100,000 but not | 16 | | exceeding $500,000 of State Sales Tax Increment annually
| 17 | | generated within a State Sales Tax Boundary; and (c) 40% of all | 18 | | amounts in
excess of $500,000 of State Sales Tax Increment | 19 | | annually generated within a
State Sales Tax Boundary. If, | 20 | | however, a municipality established a tax
increment financing | 21 | | district in a county with a population in excess of
3,000,000 | 22 | | before January 1, 1986, and the municipality entered into a
| 23 | | contract or issued bonds after January 1, 1986, but before | 24 | | December 31, 1986,
to finance redevelopment project costs | 25 | | within a State Sales Tax
Boundary, then the Net State Sales Tax | 26 | | Increment means, for the fiscal years
beginning July 1, 1990, |
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| 1 | | and July 1, 1991, 100% of the State Sales Tax
Increment | 2 | | annually generated within a State Sales Tax Boundary; and
| 3 | | notwithstanding any other provision of this Act, for those | 4 | | fiscal years the
Department of Revenue shall distribute to | 5 | | those municipalities 100% of
their Net State Sales Tax | 6 | | Increment before any distribution to any other
municipality | 7 | | and regardless of whether or not those other municipalities
| 8 | | will receive 100% of their Net State Sales Tax Increment. For | 9 | | Fiscal Year
1999, and every year thereafter until the year | 10 | | 2007, for any municipality
that has not entered into a | 11 | | contract or has not issued bonds prior to June
1, 1988 to | 12 | | finance redevelopment project costs within a State Sales Tax
| 13 | | Boundary, the Net State Sales Tax Increment shall be | 14 | | calculated as follows:
By multiplying the Net State Sales Tax | 15 | | Increment by 90% in the State Fiscal
Year 1999; 80% in the | 16 | | State Fiscal Year 2000; 70% in the State Fiscal Year
2001; 60% | 17 | | in the State Fiscal Year 2002; 50% in the State Fiscal Year | 18 | | 2003; 40%
in the State Fiscal Year 2004; 30% in the State | 19 | | Fiscal Year 2005; 20% in
the State Fiscal Year 2006; and 10% in | 20 | | the State Fiscal Year 2007. No
payment shall be made for State | 21 | | Fiscal Year 2008 and thereafter.
| 22 | | Municipalities that issued bonds in connection with a | 23 | | redevelopment project
in a redevelopment project area within | 24 | | the State Sales Tax Boundary prior to
July 29, 1991,
or that | 25 | | entered into contracts in connection with a redevelopment | 26 | | project in
a redevelopment project area before June 1, 1988,
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| 1 | | shall continue to receive their proportional share of the
| 2 | | Illinois Tax Increment Fund distribution until the date on | 3 | | which the
redevelopment project is completed or terminated.
| 4 | | If, however, a municipality that issued bonds in connection | 5 | | with a
redevelopment project in a redevelopment project area | 6 | | within the State Sales
Tax Boundary prior to July 29, 1991 | 7 | | retires the bonds prior to June 30, 2007 or
a municipality that | 8 | | entered into contracts in connection with a redevelopment
| 9 | | project in a redevelopment project area before June 1, 1988 | 10 | | completes the
contracts prior to June 30, 2007, then so long as | 11 | | the redevelopment project is
not
completed or is not | 12 | | terminated, the Net State Sales Tax Increment shall be
| 13 | | calculated, beginning on the date on which the bonds are | 14 | | retired or the
contracts are completed, as follows: By | 15 | | multiplying the Net State Sales Tax
Increment by 60% in the | 16 | | State Fiscal Year
2002; 50% in the State Fiscal Year 2003; 40% | 17 | | in the State Fiscal Year 2004; 30%
in the State Fiscal Year | 18 | | 2005; 20% in the State Fiscal Year 2006; and 10% in
the State | 19 | | Fiscal Year 2007. No payment shall be made for State Fiscal | 20 | | Year
2008 and thereafter.
Refunding of any bonds issued
prior | 21 | | to July 29, 1991, shall not alter the Net State Sales Tax | 22 | | Increment.
| 23 | | (j) "State Utility Tax Increment Amount" means an amount | 24 | | equal to the
aggregate increase in State electric and gas tax | 25 | | charges imposed on owners
and tenants, other than residential | 26 | | customers, of properties located within
the redevelopment |
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| 1 | | project area under Section 9-222 of the Public Utilities
Act, | 2 | | over and above the aggregate of such charges as certified by | 3 | | the
Department of Revenue and paid by owners and tenants, | 4 | | other than
residential customers, of properties within the | 5 | | redevelopment project area
during the base year, which shall | 6 | | be the calendar year immediately prior to
the year of the | 7 | | adoption of the ordinance authorizing tax increment allocation
| 8 | | financing.
| 9 | | (k) "Net State Utility Tax Increment" means the sum of the | 10 | | following:
(a) 80% of the first $100,000 of State Utility Tax | 11 | | Increment annually
generated by a redevelopment project area; | 12 | | (b) 60% of the amount in excess
of $100,000 but not exceeding | 13 | | $500,000 of the State Utility Tax Increment
annually generated | 14 | | by a redevelopment project area; and (c) 40% of all
amounts in | 15 | | excess of $500,000 of State Utility Tax Increment annually
| 16 | | generated by a redevelopment project area. For the State | 17 | | Fiscal Year 1999,
and every year thereafter until the year | 18 | | 2007, for any municipality that
has not entered into a | 19 | | contract or has not issued bonds prior to June 1,
1988 to | 20 | | finance redevelopment project costs within a redevelopment | 21 | | project
area, the Net State Utility Tax Increment shall be | 22 | | calculated as follows:
By multiplying the Net State Utility | 23 | | Tax Increment by 90% in the State
Fiscal Year 1999; 80% in the | 24 | | State Fiscal Year 2000; 70% in the State
Fiscal Year 2001; 60% | 25 | | in the State Fiscal Year 2002; 50% in the State
Fiscal Year | 26 | | 2003; 40% in the State Fiscal Year 2004; 30% in the State
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| 1 | | Fiscal Year 2005; 20% in the State Fiscal Year 2006; and 10% in | 2 | | the State
Fiscal Year 2007. No payment shall be made for the | 3 | | State Fiscal Year 2008
and thereafter.
| 4 | | Municipalities that issue bonds in connection with the | 5 | | redevelopment project
during the period from June 1, 1988 | 6 | | until 3 years after the effective date
of this Amendatory Act | 7 | | of 1988 shall receive the Net State Utility Tax
Increment, | 8 | | subject to appropriation, for 15 State Fiscal Years after the
| 9 | | issuance of such bonds. For the 16th through the 20th State | 10 | | Fiscal Years
after issuance of the bonds, the Net State | 11 | | Utility Tax Increment shall be
calculated as follows: By | 12 | | multiplying the Net State Utility Tax Increment
by 90% in year | 13 | | 16; 80% in year 17; 70% in year 18; 60% in year 19; and 50%
in | 14 | | year 20. Refunding of any bonds issued prior to June 1, 1988, | 15 | | shall not
alter the revised Net State Utility Tax Increment | 16 | | payments set forth above.
| 17 | | (l) "Obligations" mean bonds, loans, debentures, notes, | 18 | | special certificates
or other evidence of indebtedness issued | 19 | | by the municipality to carry out
a redevelopment project or to | 20 | | refund outstanding obligations.
| 21 | | (m) "Payment in lieu of taxes" means those estimated tax | 22 | | revenues from
real property in a redevelopment project area | 23 | | derived from real property that
has been acquired by a | 24 | | municipality
which according to the redevelopment project or | 25 | | plan is to be used for a
private use which taxing districts | 26 | | would have received had a municipality
not acquired the real |
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| 1 | | property and adopted tax increment allocation
financing and | 2 | | which would result from
levies made after the time of the | 3 | | adoption of tax increment allocation
financing to the time the | 4 | | current equalized value of real property in the
redevelopment | 5 | | project area exceeds the total initial equalized value of
real | 6 | | property in said area.
| 7 | | (n) "Redevelopment plan" means the comprehensive program | 8 | | of
the municipality for development or redevelopment intended | 9 | | by the payment of
redevelopment project costs to reduce or | 10 | | eliminate those conditions the
existence of which qualified | 11 | | the redevelopment project area as
a "blighted
area" or | 12 | | "conservation area" or combination thereof or "industrial park
| 13 | | conservation area," and thereby to enhance the tax bases of | 14 | | the taxing
districts which extend into the redevelopment | 15 | | project area, provided that, with respect to redevelopment | 16 | | project areas described in subsections (p-1) and (p-2), | 17 | | "redevelopment plan" means the comprehensive program of the | 18 | | affected municipality for the development of qualifying | 19 | | transit facilities.
On and after November 1, 1999 (the | 20 | | effective date of
Public Act 91-478), no
redevelopment plan | 21 | | may be approved or amended that includes the development of
| 22 | | vacant land (i) with a golf course and related clubhouse and | 23 | | other facilities
or (ii) designated by federal, State, county, | 24 | | or municipal government as public
land for outdoor | 25 | | recreational activities or for nature preserves and used for
| 26 | | that purpose within 5
years prior to the adoption of the |
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| 1 | | redevelopment plan. For the purpose of
this subsection, | 2 | | "recreational activities" is limited to mean camping and
| 3 | | hunting.
Each
redevelopment plan shall set forth in writing | 4 | | the program to be undertaken
to accomplish the objectives and | 5 | | shall include but not be limited to:
| 6 | | (A) an itemized list of estimated redevelopment | 7 | | project costs;
| 8 | | (B) evidence indicating that the redevelopment project | 9 | | area on the whole
has not been subject to growth and | 10 | | development through investment by private
enterprise, | 11 | | provided that such evidence shall not be required for any | 12 | | redevelopment project area located within a transit | 13 | | facility improvement area established pursuant to Section | 14 | | 11-74.4-3.3;
| 15 | | (C) an assessment of any financial impact of the | 16 | | redevelopment project
area on or any increased demand for | 17 | | services from any taxing district affected
by the plan and | 18 | | any program to address such financial impact or increased
| 19 | | demand;
| 20 | | (D) the sources of funds to pay costs;
| 21 | | (E) the nature and term of the obligations to be | 22 | | issued;
| 23 | | (F) the most recent equalized assessed valuation of | 24 | | the redevelopment
project area;
| 25 | | (G) an estimate as to the equalized assessed valuation | 26 | | after redevelopment
and the general land uses to apply in |
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| 1 | | the redevelopment project area;
| 2 | | (H) a commitment to fair employment practices and an | 3 | | affirmative action
plan;
| 4 | | (I) if it concerns an industrial park
conservation | 5 | | area, the plan shall
also include a general description
of | 6 | | any proposed developer, user and tenant of any property, a | 7 | | description
of the type, structure and general character | 8 | | of the facilities to be
developed, a description of the | 9 | | type, class and number of new employees to
be employed in | 10 | | the operation of the facilities to be developed; and
| 11 | | (J) if property is to be annexed to the municipality, | 12 | | the plan shall
include the terms of the annexation | 13 | | agreement.
| 14 | | The provisions of items (B) and (C) of this subsection (n) | 15 | | shall not apply to
a municipality that before March 14, 1994 | 16 | | (the effective date of Public Act
88-537) had fixed, either by | 17 | | its
corporate authorities or by a commission designated under | 18 | | subsection (k) of
Section 11-74.4-4, a time and place for a | 19 | | public hearing as required by
subsection (a) of Section | 20 | | 11-74.4-5.
No redevelopment plan shall be adopted unless a
| 21 | | municipality complies with all of the following requirements:
| 22 | | (1) The municipality finds that the redevelopment | 23 | | project area on
the whole has not been subject to growth | 24 | | and development through investment
by private enterprise | 25 | | and would not reasonably be anticipated to be
developed | 26 | | without the adoption of the redevelopment plan, provided, |
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| 1 | | however, that such a finding shall not be required with | 2 | | respect to any redevelopment project area located within a | 3 | | transit facility improvement area established pursuant to | 4 | | Section 11-74.4-3.3.
| 5 | | (2) The municipality finds that the redevelopment plan | 6 | | and project conform
to the comprehensive plan for the | 7 | | development of the municipality as a whole,
or, for | 8 | | municipalities with a population of 100,000 or more, | 9 | | regardless of when
the redevelopment plan and project was | 10 | | adopted, the redevelopment plan and
project either: (i) | 11 | | conforms to the strategic economic development or
| 12 | | redevelopment plan issued by the designated planning | 13 | | authority of the
municipality, or (ii) includes land uses | 14 | | that have been approved by the
planning commission of the | 15 | | municipality.
| 16 | | (3) The redevelopment plan establishes the estimated | 17 | | dates of completion
of the redevelopment project and | 18 | | retirement of obligations issued to finance
redevelopment | 19 | | project costs. Those dates may not be later than the dates | 20 | | set forth under Section 11-74.4-3.5.
| 21 | | A municipality may by municipal ordinance amend an | 22 | | existing redevelopment
plan to conform to this paragraph | 23 | | (3) as amended by Public Act 91-478, which
municipal | 24 | | ordinance may be adopted without
further hearing or
notice | 25 | | and without complying with the procedures provided in this | 26 | | Act
pertaining to an amendment to or the initial approval |
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| 1 | | of a redevelopment plan
and project and
designation of a | 2 | | redevelopment project area.
| 3 | | (3.5) The municipality finds, in the case of an | 4 | | industrial
park
conservation area, also that the | 5 | | municipality is a labor surplus municipality
and that the | 6 | | implementation of the redevelopment plan will reduce | 7 | | unemployment,
create new jobs and by the provision of new | 8 | | facilities enhance the tax base of
the taxing districts | 9 | | that extend into the redevelopment project area.
| 10 | | (4) If any incremental revenues are being utilized | 11 | | under
Section 8(a)(1)
or 8(a)(2) of this Act in | 12 | | redevelopment project areas approved by ordinance
after | 13 | | January 1, 1986, the municipality finds: (a) that the | 14 | | redevelopment
project area would not reasonably be | 15 | | developed without the use of such
incremental revenues, | 16 | | and (b) that such incremental revenues will be
exclusively | 17 | | utilized for the development of the redevelopment project | 18 | | area.
| 19 | | (5) If: (a)
the redevelopment plan will not result in
| 20 | | displacement of
residents from 10 or more inhabited | 21 | | residential units, and the
municipality certifies in the | 22 | | plan that
such displacement will not result from the plan; | 23 | | or (b) the redevelopment plan is for a redevelopment | 24 | | project area located within a transit facility improvement | 25 | | area established pursuant to Section 11-74.4-3.3, and the | 26 | | applicable project is subject to the process for |
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| 1 | | evaluation of environmental effects under the National | 2 | | Environmental Policy Act of 1969, 42 U.S.C. 4321 et seq., | 3 | | then a housing impact study
need not be performed.
If, | 4 | | however, the redevelopment plan would result in the | 5 | | displacement
of
residents from 10 or more inhabited
| 6 | | residential units,
or if the redevelopment project area | 7 | | contains 75 or more inhabited residential
units and no
| 8 | | certification is made,
then the municipality shall | 9 | | prepare, as part of the separate
feasibility report | 10 | | required by subsection (a) of Section 11-74.4-5, a housing
| 11 | | impact study.
| 12 | | Part I of the housing impact study shall include (i) | 13 | | data as to whether
the residential units are single family | 14 | | or multi-family units,
(ii) the number and type of rooms | 15 | | within the units, if that information is
available, (iii) | 16 | | whether
the
units are inhabited or uninhabited, as | 17 | | determined not less than 45
days before the date that the | 18 | | ordinance or resolution required
by subsection (a) of | 19 | | Section 11-74.4-5 is passed, and (iv) data as to the
| 20 | | racial and ethnic composition of the residents in the | 21 | | inhabited residential
units. The data requirement as to | 22 | | the racial and ethnic composition of the
residents in the | 23 | | inhabited residential units shall be deemed to be fully
| 24 | | satisfied by data from the most recent federal census.
| 25 | | Part II of the housing impact study shall identify the | 26 | | inhabited
residential units in the proposed redevelopment |
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| 1 | | project area that are to be or
may be removed. If inhabited | 2 | | residential units are to be removed, then the
housing | 3 | | impact study shall identify (i) the number and location of | 4 | | those units
that will or may be removed, (ii) the | 5 | | municipality's plans for relocation
assistance for those | 6 | | residents in the proposed redevelopment project area
whose | 7 | | residences are to be removed, (iii) the availability of | 8 | | replacement
housing for those residents whose residences | 9 | | are to be removed, and shall
identify the type, location, | 10 | | and cost of the housing, and (iv) the type and
extent
of | 11 | | relocation assistance to be provided.
| 12 | | (6) On and after November 1, 1999, the
housing impact | 13 | | study required by paragraph (5) shall be
incorporated in | 14 | | the redevelopment plan for the
redevelopment project area.
| 15 | | (7) On and after November 1, 1999, no
redevelopment | 16 | | plan shall be adopted, nor an
existing plan amended, nor | 17 | | shall residential housing that is
occupied by households | 18 | | of low-income and very low-income
persons in currently | 19 | | existing redevelopment project
areas be removed after | 20 | | November 1, 1999 unless the redevelopment plan provides, | 21 | | with
respect to inhabited housing units that are to be | 22 | | removed for
households of low-income and very low-income | 23 | | persons, affordable
housing and relocation assistance not | 24 | | less than that which would
be provided under the federal | 25 | | Uniform Relocation Assistance and
Real Property | 26 | | Acquisition Policies Act of 1970 and the regulations
under |
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| 1 | | that Act, including the eligibility criteria.
Affordable | 2 | | housing may be either existing or newly constructed
| 3 | | housing. For purposes of this paragraph (7), "low-income
| 4 | | households", "very low-income households", and "affordable
| 5 | | housing" have the meanings set forth in the Illinois | 6 | | Affordable
Housing Act.
The municipality shall make a good | 7 | | faith effort to ensure that this affordable
housing is | 8 | | located in or near the redevelopment project area within | 9 | | the
municipality.
| 10 | | (8) On and after November 1, 1999, if,
after the | 11 | | adoption of the redevelopment plan for the
redevelopment | 12 | | project area, any municipality desires to amend its
| 13 | | redevelopment plan
to remove more inhabited residential | 14 | | units than
specified in its original redevelopment plan, | 15 | | that change shall be made in
accordance with the | 16 | | procedures in subsection (c) of Section 11-74.4-5.
| 17 | | (9) For redevelopment project areas designated prior | 18 | | to November 1,
1999, the redevelopment plan may be amended | 19 | | without further joint review board
meeting or hearing, | 20 | | provided that the municipality shall give notice of any
| 21 | | such changes by mail to each affected taxing district and | 22 | | registrant on the
interested party registry, to authorize | 23 | | the municipality to expend tax
increment revenues for | 24 | | redevelopment project costs defined by paragraphs (5)
and | 25 | | (7.5), subparagraphs (E) and (F) of paragraph (11), and | 26 | | paragraph (11.5) of
subsection (q) of Section 11-74.4-3, |
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| 1 | | so long as the changes do not increase the
total estimated | 2 | | redevelopment project costs set out in the redevelopment | 3 | | plan
by more than 5% after adjustment for inflation from | 4 | | the date the plan was
adopted.
| 5 | | (o) "Redevelopment project" means any public and private | 6 | | development project
in furtherance of the objectives of a | 7 | | redevelopment plan.
On and after November 1, 1999 (the | 8 | | effective date of Public Act 91-478), no
redevelopment plan | 9 | | may be approved or amended that includes the development
of | 10 | | vacant land (i) with a golf course and related clubhouse and | 11 | | other
facilities
or (ii) designated by federal, State, county, | 12 | | or municipal government as public
land for outdoor | 13 | | recreational activities or for nature preserves and used for
| 14 | | that purpose within 5
years prior to the adoption of the | 15 | | redevelopment plan. For the purpose of
this subsection, | 16 | | "recreational activities" is limited to mean camping and
| 17 | | hunting.
| 18 | | (p) "Redevelopment project area" means an area designated | 19 | | by
the
municipality, which is not less in the aggregate than 1 | 20 | | 1/2 acres and in
respect to which the municipality has made a | 21 | | finding that there exist
conditions which cause the area to be | 22 | | classified as an industrial park
conservation area or a | 23 | | blighted area or a conservation area, or a
combination of both | 24 | | blighted areas and conservation areas.
| 25 | | (p-1) Notwithstanding any provision of this Act to the | 26 | | contrary, on and after August 25, 2009 (the effective date of |
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| 1 | | Public Act 96-680), a redevelopment project area may include | 2 | | areas within a one-half mile radius of an existing or proposed | 3 | | Regional Transportation Authority Suburban Transit Access | 4 | | Route (STAR Line) station without a finding that the area is | 5 | | classified as an industrial park conservation area, a blighted | 6 | | area, a conservation area, or a combination thereof, but only | 7 | | if the municipality receives unanimous consent from the joint | 8 | | review board created to review the proposed redevelopment | 9 | | project area. | 10 | | (p-2) Notwithstanding any provision of this Act to the | 11 | | contrary, on and after the effective date of this amendatory | 12 | | Act of the 99th General Assembly, a redevelopment project area | 13 | | may include areas within a transit facility improvement area | 14 | | that has been established pursuant to Section 11-74.4-3.3 | 15 | | without a finding that the area is classified as an industrial | 16 | | park conservation area, a blighted area, a conservation area, | 17 | | or any combination thereof. | 18 | | (q) "Redevelopment project costs", except for | 19 | | redevelopment project areas created pursuant to subsection | 20 | | (p-1) or (p-2), means and includes the sum total of all
| 21 | | reasonable or necessary costs incurred or estimated to be | 22 | | incurred, and
any such costs incidental to a redevelopment | 23 | | plan and a redevelopment
project. Such costs include, without | 24 | | limitation, the following:
| 25 | | (1) Costs of studies, surveys, development of plans, | 26 | | and
specifications, implementation and administration of |
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| 1 | | the redevelopment
plan including but not limited to staff | 2 | | and professional service costs for
architectural, | 3 | | engineering, legal, financial, planning or other
services, | 4 | | provided however that no charges for professional services | 5 | | may be
based on a percentage of the tax increment | 6 | | collected; except that on and
after November 1, 1999 (the | 7 | | effective date of Public Act 91-478), no
contracts for
| 8 | | professional services, excluding architectural and | 9 | | engineering services, may be
entered into if the terms of | 10 | | the contract extend
beyond a period of 3 years. In | 11 | | addition, "redevelopment project costs" shall
not include | 12 | | lobbying expenses.
After consultation with the | 13 | | municipality, each tax
increment consultant or advisor to | 14 | | a municipality that plans to designate or
has designated a | 15 | | redevelopment project area shall inform the municipality | 16 | | in
writing of any contracts that the consultant or advisor | 17 | | has entered into with
entities or individuals that have | 18 | | received, or are receiving, payments financed
by tax
| 19 | | increment revenues produced by the redevelopment project | 20 | | area with respect to
which the consultant or advisor has | 21 | | performed, or will be performing, service
for the
| 22 | | municipality. This requirement shall be satisfied by the | 23 | | consultant or advisor
before the commencement of services | 24 | | for the municipality and thereafter
whenever any other | 25 | | contracts with those individuals or entities are executed | 26 | | by
the consultant or advisor;
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| 1 | | (1.5) After July 1, 1999, annual administrative costs | 2 | | shall
not include general overhead or
administrative costs | 3 | | of the municipality
that would still have been incurred by | 4 | | the municipality if the municipality had
not
designated a | 5 | | redevelopment project area or approved a redevelopment | 6 | | plan;
| 7 | | (1.6) The cost of
marketing sites within the | 8 | | redevelopment project area to prospective
businesses, | 9 | | developers, and investors;
| 10 | | (2) Property assembly costs, including but not limited | 11 | | to acquisition
of land and other property, real or | 12 | | personal, or rights or interests therein,
demolition of | 13 | | buildings, site preparation, site improvements that serve | 14 | | as an
engineered barrier addressing ground level or below | 15 | | ground environmental
contamination, including, but not | 16 | | limited to parking lots and other concrete
or asphalt | 17 | | barriers, and the clearing and grading of
land;
| 18 | | (3) Costs of rehabilitation, reconstruction or repair | 19 | | or remodeling of
existing public or private buildings, | 20 | | fixtures, and leasehold
improvements; and the cost of | 21 | | replacing
an existing public building if pursuant to the | 22 | | implementation of a
redevelopment project the existing | 23 | | public building is to be demolished to use
the site for | 24 | | private investment or
devoted to a different use requiring | 25 | | private investment; including any direct or indirect costs | 26 | | relating to Green Globes or LEED certified construction |
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| 1 | | elements or construction elements with an equivalent | 2 | | certification;
| 3 | | (4) Costs of the construction of public works or | 4 | | improvements, including any direct or indirect costs | 5 | | relating to Green Globes or LEED certified construction | 6 | | elements or construction elements with an equivalent | 7 | | certification, except
that on and after November 1, 1999,
| 8 | | redevelopment
project costs shall not include the cost of | 9 | | constructing a
new municipal public building principally | 10 | | used to provide
offices, storage space, or conference | 11 | | facilities or vehicle storage,
maintenance, or repair for | 12 | | administrative,
public safety, or public works personnel
| 13 | | and that is not intended to replace an existing
public | 14 | | building as provided under paragraph (3) of subsection (q) | 15 | | of Section
11-74.4-3
unless either (i) the construction of | 16 | | the new municipal building
implements a redevelopment | 17 | | project that was included in a redevelopment plan
that was | 18 | | adopted by the municipality prior to November 1, 1999, | 19 | | (ii) the
municipality makes a reasonable
determination in | 20 | | the redevelopment plan, supported by information that | 21 | | provides
the basis for that determination, that the new | 22 | | municipal building is required
to meet an increase in the | 23 | | need for public safety purposes anticipated to
result from | 24 | | the implementation of the redevelopment plan, or (iii) the | 25 | | new municipal public building is for the storage, | 26 | | maintenance, or repair of transit vehicles and is located |
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| 1 | | in a transit facility improvement area that has been | 2 | | established pursuant to Section 11-74.4-3.3;
| 3 | | (5) Costs of job training and retraining projects, | 4 | | including the cost of
"welfare to work" programs | 5 | | implemented by businesses located within the
redevelopment | 6 | | project area;
| 7 | | (6) Financing costs, including but not limited to all | 8 | | necessary and
incidental expenses related to the issuance | 9 | | of obligations and which may
include payment of interest | 10 | | on any obligations issued hereunder including
interest | 11 | | accruing
during the estimated period of construction of | 12 | | any redevelopment project
for which such obligations are | 13 | | issued and for not exceeding 36 months
thereafter and | 14 | | including reasonable reserves related thereto;
| 15 | | (7) To the extent the municipality by written | 16 | | agreement accepts and
approves
the same, all or a portion | 17 | | of a taxing district's capital costs resulting
from the | 18 | | redevelopment project necessarily incurred or to be | 19 | | incurred within a
taxing district in
furtherance of the | 20 | | objectives of the redevelopment plan and project;
| 21 | | (7.5) For redevelopment project areas designated (or | 22 | | redevelopment
project areas amended to add or increase the | 23 | | number of
tax-increment-financing assisted housing units) | 24 | | on or after November 1,
1999,
an elementary, secondary,
or | 25 | | unit school
district's increased costs attributable to | 26 | | assisted housing units located
within the
redevelopment |
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| 1 | | project area for which the developer or redeveloper | 2 | | receives
financial assistance through an agreement with | 3 | | the municipality or because the
municipality incurs the | 4 | | cost of necessary infrastructure improvements within
the | 5 | | boundaries of the assisted housing sites necessary for the | 6 | | completion of
that housing
as authorized by this Act, and | 7 | | which costs shall be paid by the municipality
from the | 8 | | Special Tax Allocation Fund when the tax increment revenue | 9 | | is received
as a result of the assisted housing units and | 10 | | shall be calculated annually as
follows:
| 11 | | (A) for any school district not foundation | 12 | | districts, excluding any school district in a
| 13 | | municipality with a population in excess of 1,000,000, | 14 | | annually by multiplying the
district's increase in | 15 | | attendance resulting from the net increase in new
| 16 | | students enrolled in that school district who reside | 17 | | in housing units within
the redevelopment project area | 18 | | that have received financial assistance through
an | 19 | | agreement with the municipality or because the | 20 | | municipality incurs the cost
of necessary | 21 | | infrastructure improvements within the boundaries of | 22 | | the housing
sites necessary for the completion of that | 23 | | housing as authorized by this Act
since the | 24 | | designation of the redevelopment project area by the | 25 | | most recently
available per capita tuition cost as | 26 | | defined in Section 10-20.12a of the School
Code less |
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| 1 | | any increase in general State aid as defined in | 2 | | Section 18-8.05 of
the School Code or evidence-based | 3 | | funding as defined in Section 18-8.15 of the School | 4 | | Code attributable to these added new students subject | 5 | | to the
following annual limitations:
| 6 | | (i) for unit school districts, no more than | 7 | | 40% of the total amount of property tax increment | 8 | | revenue produced by those housing units that have | 9 | | received tax increment finance assistance under | 10 | | this Act for unit school districts with a district | 11 | | average 1995-96 Per
Capita
Tuition Charge of less | 12 | | than $5,900, no more than 25% of the total amount | 13 | | of
property tax increment revenue produced by | 14 | | those housing units that have
received tax | 15 | | increment finance assistance under this Act ;
| 16 | | (ii) for elementary school districts, no more | 17 | | than 27% of the total amount of property tax | 18 | | increment revenue produced by those housing units | 19 | | that have received tax increment finance | 20 | | assistance under this Act for elementary school | 21 | | districts with a district average 1995-96
Per
| 22 | | Capita Tuition Charge of less than $5,900, no more | 23 | | than 17% of the total amount
of property tax | 24 | | increment revenue produced by those housing units | 25 | | that have
received tax increment finance | 26 | | assistance under this Act ; and
|
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| 1 | | (iii) for secondary school districts, no more | 2 | | than 13% of the total amount of property tax | 3 | | increment revenue produced by those housing units | 4 | | that have received tax increment finance | 5 | | assistance under this Act for secondary school | 6 | | districts with a district average 1995-96
Per
| 7 | | Capita Tuition Charge of less than $5,900, no more | 8 | | than 8% of the total amount
of property tax | 9 | | increment revenue produced by those housing units | 10 | | that have
received tax increment finance | 11 | | assistance under this Act .
| 12 | | (B) (Blank.) For alternate method districts, flat | 13 | | grant districts, and foundation
districts with a | 14 | | district average 1995-96 Per Capita Tuition Charge | 15 | | equal to or
more than $5,900, excluding any school | 16 | | district with a population in excess of
1,000,000, by | 17 | | multiplying the district's increase in attendance
| 18 | | resulting
from the net increase in new students | 19 | | enrolled in that school district who
reside in
housing | 20 | | units within the redevelopment project area that have | 21 | | received
financial assistance through an agreement | 22 | | with the municipality or because the
municipality | 23 | | incurs the cost of necessary infrastructure | 24 | | improvements within
the boundaries of the housing | 25 | | sites necessary for the completion of that
housing as | 26 | | authorized by this Act since the designation of the |
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| 1 | | redevelopment
project area by the most recently | 2 | | available per capita tuition cost as defined
in | 3 | | Section 10-20.12a of the School Code less any increase | 4 | | in general state aid
as defined in Section 18-8.05 of | 5 | | the School Code or evidence-based funding as defined | 6 | | in Section 18-8.15 of the School Code attributable to | 7 | | these added
new students subject to the following | 8 | | annual limitations:
| 9 | | (i) for unit school districts, no more than | 10 | | 40% of the total amount of
property tax increment | 11 | | revenue produced by those housing units that have
| 12 | | received tax increment finance assistance under | 13 | | this Act;
| 14 | | (ii) for elementary school districts, no more | 15 | | than 27% of the total
amount
of property tax | 16 | | increment revenue produced by those housing units | 17 | | that have
received tax increment finance | 18 | | assistance under this Act; and
| 19 | | (iii) for secondary school districts, no more | 20 | | than 13% of the total
amount
of property tax | 21 | | increment revenue produced by those housing units | 22 | | that have
received tax increment finance | 23 | | assistance under this Act.
| 24 | | (C) For any school district in a municipality with | 25 | | a population in
excess of
1,000,000, the following | 26 | | restrictions shall apply to the
reimbursement of |
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| 1 | | increased costs under this paragraph (7.5):
| 2 | | (i) no increased costs shall be reimbursed | 3 | | unless the school district
certifies that each of | 4 | | the schools affected by the assisted housing | 5 | | project
is at or over its student capacity;
| 6 | | (ii) the amount reimbursable shall be reduced | 7 | | by the value of any
land
donated to the school | 8 | | district by the municipality or developer, and by | 9 | | the
value of any physical improvements made to the | 10 | | schools by the
municipality or developer; and
| 11 | | (iii) the amount reimbursed may not affect | 12 | | amounts otherwise obligated
by
the terms of any | 13 | | bonds, notes, or other funding instruments, or the | 14 | | terms of
any redevelopment agreement.
| 15 | | Any school district seeking payment under this | 16 | | paragraph (7.5) shall,
after July 1 and before October | 17 | | 31 September 30 of each year,
provide the municipality | 18 | | with reasonable evidence to support its claim for
| 19 | | reimbursement before the municipality shall be | 20 | | required to approve or make
the payment to the school | 21 | | district. If the school district fails to provide
the | 22 | | information during this period in any year, it shall | 23 | | forfeit any claim to
reimbursement for that year. | 24 | | Municipalities shall reimburse school districts that | 25 | | have met the criteria above no later than January 31st | 26 | | of the school year in which the claim is made. School |
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| 1 | | districts may adopt a resolution
waiving the right to | 2 | | all or a portion of the reimbursement otherwise | 3 | | required
by this paragraph
(7.5). By acceptance of | 4 | | this reimbursement the school
district waives the | 5 | | right to directly or indirectly set aside, modify, or
| 6 | | contest in any manner the establishment of the | 7 | | redevelopment project area or
projects;
| 8 | | (7.7) For redevelopment project areas designated (or | 9 | | redevelopment
project areas amended to add or increase the | 10 | | number of
tax-increment-financing assisted housing units) | 11 | | on or after
January 1, 2005 (the effective date of Public | 12 | | Act 93-961),
a public library
district's increased costs | 13 | | attributable to assisted housing units located
within the
| 14 | | redevelopment project area for which the developer or | 15 | | redeveloper receives
financial assistance through an | 16 | | agreement with the municipality or because the
| 17 | | municipality incurs the cost of necessary infrastructure | 18 | | improvements within
the boundaries of the assisted housing | 19 | | sites necessary for the completion of
that housing
as | 20 | | authorized by this Act shall be paid to the library | 21 | | district by the
municipality
from the Special Tax | 22 | | Allocation Fund when the tax increment revenue is received
| 23 | | as a result of the assisted housing units. This paragraph | 24 | | (7.7) applies only if (i) the library district is located | 25 | | in a county that is subject to the Property Tax Extension | 26 | | Limitation Law or (ii) the library district is not located |
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| 1 | | in a county that is subject to the Property Tax Extension | 2 | | Limitation Law but the district is prohibited by any other | 3 | | law from increasing its tax levy rate without a prior | 4 | | voter referendum.
| 5 | | The amount paid to a library district under this | 6 | | paragraph (7.7) shall be
calculated
by multiplying (i) the | 7 | | net increase in the number of persons eligible to obtain
a
| 8 | | library card
in that district who reside in housing units | 9 | | within
the redevelopment project area that have received | 10 | | financial assistance through
an agreement with the | 11 | | municipality or because the municipality incurs the cost
| 12 | | of necessary infrastructure improvements within the | 13 | | boundaries of the housing
sites necessary for the | 14 | | completion of that housing as authorized by this Act
since | 15 | | the designation of the redevelopment project area by (ii)
| 16 | | the per-patron cost of providing library services so long | 17 | | as it does not exceed $120.
The per-patron cost shall be | 18 | | the Total Operating Expenditures Per Capita for the | 19 | | library in the previous fiscal year.
The municipality may | 20 | | deduct from the amount that it must pay to a library | 21 | | district under this paragraph any amount that it has | 22 | | voluntarily paid to the library district from the tax | 23 | | increment revenue. The amount paid to a library district | 24 | | under this paragraph (7.7) shall be no
more
than 2% of the | 25 | | amount produced by the assisted housing units and | 26 | | deposited into the Special Tax Allocation Fund.
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| 1 | | A library district is not eligible for any payment | 2 | | under this paragraph
(7.7)
unless the library district has | 3 | | experienced an increase in the
number of patrons from the | 4 | | municipality that created the tax-increment-financing | 5 | | district since the designation of the redevelopment | 6 | | project area.
| 7 | | Any library district seeking payment under this | 8 | | paragraph (7.7) shall,
after July 1 and before September | 9 | | 30 of each year,
provide the municipality with convincing | 10 | | evidence to support its claim for
reimbursement before the | 11 | | municipality shall be required to approve or make
the | 12 | | payment to the library district. If the library district | 13 | | fails to provide
the information during this period in any | 14 | | year, it shall forfeit any claim to
reimbursement for that | 15 | | year. Library districts may adopt a resolution
waiving the | 16 | | right to all or a portion of the reimbursement otherwise | 17 | | required by this paragraph (7.7). By acceptance of such | 18 | | reimbursement, the library district shall forfeit any | 19 | | right to directly or indirectly set aside, modify, or | 20 | | contest in any manner whatsoever the establishment of the | 21 | | redevelopment project area or
projects; | 22 | | (8) Relocation costs to the extent that a municipality | 23 | | determines that
relocation costs shall be paid or is | 24 | | required to make payment of relocation
costs by federal or | 25 | | State law or in order to satisfy subparagraph (7) of
| 26 | | subsection (n);
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| 1 | | (9) Payment in lieu of taxes;
| 2 | | (10) Costs of job training, retraining, advanced | 3 | | vocational education
or career
education, including but | 4 | | not limited to courses in occupational,
semi-technical or | 5 | | technical fields leading directly to employment, incurred
| 6 | | by one or more taxing districts, provided that such costs | 7 | | (i) are related
to the establishment and maintenance of | 8 | | additional job training, advanced
vocational education or | 9 | | career education programs for persons employed or
to be | 10 | | employed by employers located in a redevelopment project | 11 | | area; and
(ii) when incurred by a taxing district or | 12 | | taxing districts other than the
municipality, are set | 13 | | forth in a written agreement by or among the
municipality | 14 | | and the taxing district or taxing districts, which | 15 | | agreement
describes the program to be undertaken, | 16 | | including but not limited to the
number of employees to be | 17 | | trained, a description of the training and
services to be | 18 | | provided, the number and type of positions available or to
| 19 | | be available, itemized costs of the program and sources of | 20 | | funds to pay for the
same, and the term of the agreement. | 21 | | Such costs include, specifically, the
payment by community | 22 | | college districts of costs pursuant to Sections 3-37,
| 23 | | 3-38, 3-40 and 3-40.1 of the Public Community College Act | 24 | | and by school
districts of costs pursuant to Sections | 25 | | 10-22.20a and 10-23.3a of the School
Code;
| 26 | | (11) Interest cost incurred by a redeveloper related |
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| 1 | | to the
construction, renovation or rehabilitation of a | 2 | | redevelopment project
provided that:
| 3 | | (A) such costs are to be paid directly from the | 4 | | special tax
allocation fund established pursuant to | 5 | | this Act;
| 6 | | (B) such payments in any one year may not exceed | 7 | | 30% of the annual
interest costs incurred by the | 8 | | redeveloper with regard to the redevelopment
project | 9 | | during that year;
| 10 | | (C) if there are not sufficient funds available in | 11 | | the special tax
allocation fund to make the payment | 12 | | pursuant to this paragraph (11) then
the amounts so | 13 | | due shall accrue and be payable when sufficient funds | 14 | | are
available in the special tax allocation fund;
| 15 | | (D) the total of such interest payments paid | 16 | | pursuant to this Act
may not exceed 30% of the total | 17 | | (i) cost paid or incurred by the
redeveloper for the | 18 | | redevelopment project plus (ii) redevelopment project
| 19 | | costs excluding any property assembly costs and any | 20 | | relocation costs
incurred by a municipality pursuant | 21 | | to this Act;
| 22 | | (E) the cost limits set forth in subparagraphs (B) | 23 | | and (D) of
paragraph (11) shall be modified for the | 24 | | financing of rehabilitated or
new housing units for | 25 | | low-income households and very low-income households, | 26 | | as
defined in
Section 3 of the Illinois Affordable |
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| 1 | | Housing Act. The percentage of
75% shall be | 2 | | substituted for 30% in subparagraphs (B) and (D) of
| 3 | | paragraph (11); and
| 4 | | (F) instead of the eligible costs provided by | 5 | | subparagraphs (B) and (D)
of
paragraph (11), as | 6 | | modified by this subparagraph, and notwithstanding
any | 7 | | other provisions of this Act to the contrary, the | 8 | | municipality may
pay from tax increment revenues up to | 9 | | 50% of the cost of construction
of new housing units to | 10 | | be occupied by low-income households and very
| 11 | | low-income
households as defined in Section 3 of the | 12 | | Illinois Affordable Housing
Act. The cost of | 13 | | construction of those units may be derived from the
| 14 | | proceeds of bonds issued by the municipality under | 15 | | this Act or
other constitutional or statutory | 16 | | authority or from other sources of
municipal revenue | 17 | | that may be reimbursed from tax increment
revenues or | 18 | | the proceeds of bonds issued to finance the | 19 | | construction
of that housing.
| 20 | | The eligible costs provided under this | 21 | | subparagraph (F) of paragraph (11)
shall
be
an | 22 | | eligible cost for the construction, renovation, and | 23 | | rehabilitation of all
low and very low-income housing | 24 | | units, as defined in Section 3 of the Illinois
| 25 | | Affordable Housing Act, within the redevelopment | 26 | | project area. If the low and
very
low-income units are |
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| 1 | | part of a residential redevelopment project that | 2 | | includes
units not affordable to low and very | 3 | | low-income households, only the low and
very | 4 | | low-income units shall be eligible for benefits under | 5 | | this subparagraph (F) of
paragraph (11).
The standards | 6 | | for maintaining the occupancy
by low-income households | 7 | | and very low-income households,
as
defined in Section | 8 | | 3 of the Illinois Affordable Housing Act,
of those | 9 | | units constructed with eligible costs made available | 10 | | under the
provisions of
this subparagraph (F) of | 11 | | paragraph (11)
shall be
established by guidelines | 12 | | adopted by the municipality. The
responsibility for | 13 | | annually documenting the initial occupancy of
the | 14 | | units by low-income households and very low-income | 15 | | households, as defined
in
Section 3
of the Illinois | 16 | | Affordable Housing Act, shall be that of the then | 17 | | current
owner of the property.
For ownership units, | 18 | | the guidelines will provide, at a minimum, for a
| 19 | | reasonable recapture of funds, or other appropriate | 20 | | methods designed to
preserve the original | 21 | | affordability of the ownership units. For rental | 22 | | units,
the guidelines will provide, at a minimum, for | 23 | | the affordability of rent to low
and very low-income | 24 | | households. As units become available, they shall be
| 25 | | rented to income-eligible tenants.
The municipality | 26 | | may modify these
guidelines from time to time; the |
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| 1 | | guidelines, however, shall be in effect
for as long as | 2 | | tax increment revenue is being used to pay for costs
| 3 | | associated with the units or for the retirement of | 4 | | bonds issued to finance
the units or for the life of | 5 | | the redevelopment project area, whichever is
later;
| 6 | | (11.5) If the redevelopment project area is located | 7 | | within a municipality
with a population of more than | 8 | | 100,000, the cost of day care services for
children of | 9 | | employees from
low-income
families working for businesses | 10 | | located within the redevelopment project area
and all or a
| 11 | | portion of the cost of operation of day care centers | 12 | | established by
redevelopment project
area businesses to | 13 | | serve employees from low-income families working in
| 14 | | businesses
located in the redevelopment project area. For | 15 | | the purposes of this paragraph,
"low-income families" | 16 | | means families whose annual income does not exceed 80% of
| 17 | | the
municipal, county, or regional median income, adjusted | 18 | | for family size, as the
annual
income and municipal, | 19 | | county, or regional median income are determined from
time | 20 | | to
time by the United States Department of Housing and | 21 | | Urban Development.
| 22 | | (12) Costs relating to the development of urban | 23 | | agricultural areas under Division 15.2 of the Illinois | 24 | | Municipal Code. | 25 | | Unless explicitly stated herein the cost of construction | 26 | | of new
privately-owned buildings shall not be an eligible |
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| 1 | | redevelopment project cost.
| 2 | | After November 1, 1999 (the effective date of Public Act
| 3 | | 91-478), none of
the
redevelopment project costs enumerated in | 4 | | this subsection shall be eligible
redevelopment project costs | 5 | | if those costs would provide direct financial
support to a
| 6 | | retail entity initiating operations in the
redevelopment | 7 | | project area while
terminating operations at another Illinois | 8 | | location within 10 miles of the
redevelopment project area but | 9 | | outside the boundaries of the redevelopment
project area | 10 | | municipality. For
purposes of this paragraph, termination | 11 | | means a
closing of a retail operation that is directly related | 12 | | to the opening of the
same operation or like retail entity | 13 | | owned or operated by more than 50% of the
original ownership in | 14 | | a redevelopment project area, but
it does not mean
closing an | 15 | | operation for reasons beyond the control of the
retail entity, | 16 | | as
documented by the retail entity, subject to a reasonable | 17 | | finding by the
municipality that the current location | 18 | | contained inadequate space, had become
economically obsolete, | 19 | | or was no longer a viable location for the retailer or
| 20 | | serviceman.
| 21 | | No cost shall be a redevelopment project cost in a | 22 | | redevelopment project area if used to demolish, remove, or | 23 | | substantially modify a historic resource, after August 26, | 24 | | 2008 (the effective date of Public Act 95-934), unless no | 25 | | prudent and feasible alternative exists. "Historic resource" | 26 | | for the purpose of this paragraph means (i) a place or |
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| 1 | | structure that is included or eligible for inclusion on the | 2 | | National Register of Historic Places or (ii) a contributing | 3 | | structure in a district on the National Register of Historic | 4 | | Places. This paragraph does not apply to a place or structure | 5 | | for which demolition, removal, or modification is subject to | 6 | | review by the preservation agency of a Certified Local | 7 | | Government designated as such by the National Park Service of | 8 | | the United States Department of the Interior. | 9 | | If a special service area has been established pursuant to
| 10 | | the Special Service Area Tax Act or Special Service Area Tax | 11 | | Law, then any
tax increment revenues derived
from the tax | 12 | | imposed pursuant to the Special Service Area Tax Act or | 13 | | Special
Service Area Tax Law may
be used within the | 14 | | redevelopment project area for the purposes permitted by
that | 15 | | Act or Law as well as the purposes permitted by this Act.
| 16 | | (q-1) For redevelopment project areas created pursuant to | 17 | | subsection (p-1), redevelopment project costs are limited to | 18 | | those costs in paragraph (q) that are related to the existing | 19 | | or proposed Regional Transportation Authority Suburban Transit | 20 | | Access Route (STAR Line) station. | 21 | | (q-2) For a redevelopment project area located within a | 22 | | transit facility improvement area established pursuant to | 23 | | Section 11-74.4-3.3, redevelopment project costs means those | 24 | | costs described in subsection (q) that are related to the | 25 | | construction, reconstruction, rehabilitation, remodeling, or | 26 | | repair of any existing or proposed transit facility. |
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| 1 | | (r) "State Sales Tax Boundary" means the redevelopment | 2 | | project area or
the amended redevelopment project area | 3 | | boundaries which are determined
pursuant to subsection (9) of | 4 | | Section 11-74.4-8a of this
Act. The Department of Revenue | 5 | | shall certify pursuant to subsection (9) of
Section 11-74.4-8a | 6 | | the appropriate boundaries eligible for the
determination of | 7 | | State Sales Tax Increment.
| 8 | | (s) "State Sales Tax Increment" means an amount equal to | 9 | | the increase
in the aggregate amount of taxes paid by | 10 | | retailers and servicemen, other
than retailers and servicemen | 11 | | subject to the Public Utilities Act,
on transactions at places | 12 | | of business located within a State Sales Tax
Boundary pursuant | 13 | | to the Retailers' Occupation Tax Act, the Use Tax Act,
the | 14 | | Service Use Tax Act, and the Service Occupation Tax Act, | 15 | | except such
portion of such increase that is paid into the | 16 | | State and Local Sales Tax
Reform Fund, the Local Government | 17 | | Distributive Fund, the Local
Government Tax Fund and the | 18 | | County and Mass Transit District Fund, for as
long as State | 19 | | participation exists, over and above the Initial Sales Tax
| 20 | | Amounts, Adjusted Initial Sales Tax Amounts or the Revised | 21 | | Initial Sales
Tax Amounts for such taxes as certified by the | 22 | | Department of Revenue and
paid under those Acts by retailers | 23 | | and servicemen on transactions at places
of business located | 24 | | within the State Sales Tax Boundary during the base
year which | 25 | | shall be the calendar year immediately prior to the year in
| 26 | | which the municipality adopted tax increment allocation |
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| 1 | | financing, less
3.0% of such amounts generated under the | 2 | | Retailers' Occupation Tax Act, Use
Tax Act and Service Use Tax | 3 | | Act and the Service Occupation Tax Act, which
sum shall be | 4 | | appropriated to the Department of Revenue to cover its costs
| 5 | | of administering and enforcing this Section. For purposes of | 6 | | computing the
aggregate amount of such taxes for base years | 7 | | occurring prior to 1985, the
Department of Revenue shall | 8 | | compute the Initial Sales Tax Amount for such
taxes and deduct | 9 | | therefrom an amount equal to 4% of the aggregate amount of
| 10 | | taxes per year for each year the base year is prior to 1985, | 11 | | but not to
exceed a total deduction of 12%. The amount so | 12 | | determined shall be known
as the "Adjusted Initial Sales Tax | 13 | | Amount". For purposes of determining the
State Sales Tax | 14 | | Increment the Department of Revenue shall for each period
| 15 | | subtract from the tax amounts received from retailers and | 16 | | servicemen on
transactions located in the State Sales Tax | 17 | | Boundary, the certified Initial
Sales Tax Amounts, Adjusted | 18 | | Initial Sales Tax Amounts or Revised Initial
Sales Tax Amounts | 19 | | for the Retailers' Occupation Tax Act, the Use Tax Act,
the | 20 | | Service Use Tax Act and the Service Occupation Tax Act. For the | 21 | | State
Fiscal Year 1989 this calculation shall be made by | 22 | | utilizing the calendar
year 1987 to determine the tax amounts | 23 | | received. For the State Fiscal Year
1990, this calculation | 24 | | shall be made by utilizing the period from January
1, 1988, | 25 | | until September 30, 1988, to determine the tax amounts | 26 | | received
from retailers and servicemen, which shall have |
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| 1 | | deducted therefrom
nine-twelfths of the certified Initial | 2 | | Sales Tax Amounts, Adjusted Initial
Sales Tax Amounts or the | 3 | | Revised Initial Sales Tax Amounts as appropriate.
For the | 4 | | State Fiscal Year 1991, this calculation shall be made by | 5 | | utilizing
the period from October 1, 1988, until June 30, | 6 | | 1989, to determine the tax
amounts received from retailers and | 7 | | servicemen, which shall have
deducted therefrom nine-twelfths | 8 | | of the certified Initial State Sales Tax
Amounts, Adjusted | 9 | | Initial Sales Tax Amounts or the Revised Initial Sales
Tax | 10 | | Amounts as appropriate. For every State Fiscal Year | 11 | | thereafter, the
applicable period shall be the 12 months | 12 | | beginning July 1 and ending on
June 30, to determine the tax | 13 | | amounts received which shall have deducted
therefrom the | 14 | | certified Initial Sales Tax Amounts, Adjusted Initial Sales
| 15 | | Tax Amounts or the Revised Initial Sales Tax Amounts. | 16 | | Municipalities
intending to receive a distribution of State | 17 | | Sales Tax Increment must
report a list of retailers to the | 18 | | Department of Revenue by October 31, 1988
and by July 31, of | 19 | | each year thereafter.
| 20 | | (t) "Taxing districts" means counties, townships, cities | 21 | | and incorporated
towns and villages, school, road, park, | 22 | | sanitary, mosquito abatement, forest
preserve, public health, | 23 | | fire protection, river conservancy, tuberculosis
sanitarium | 24 | | and any other municipal corporations or districts with the | 25 | | power
to levy taxes.
| 26 | | (u) "Taxing districts' capital costs" means those costs of |
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| 1 | | taxing districts
for capital improvements that are found by | 2 | | the municipal corporate authorities
to be necessary and | 3 | | directly result from the redevelopment project.
| 4 | | (v) As used in subsection (a) of Section 11-74.4-3 of this
| 5 | | Act, "vacant
land" means any parcel or combination of parcels | 6 | | of real property without
industrial, commercial, and | 7 | | residential buildings which has not been used
for commercial | 8 | | agricultural purposes within 5 years prior to the
designation | 9 | | of the redevelopment project area, unless the parcel
is | 10 | | included in an industrial park conservation area or the parcel | 11 | | has
been subdivided; provided that if the parcel was part of a | 12 | | larger tract that
has been divided into 3 or more smaller | 13 | | tracts that were accepted for
recording during the period from | 14 | | 1950 to 1990, then the parcel shall be deemed
to have been | 15 | | subdivided, and all proceedings and actions of the | 16 | | municipality
taken in that connection with respect to any | 17 | | previously approved or designated
redevelopment project area | 18 | | or amended redevelopment project area are hereby
validated and | 19 | | hereby declared to be legally sufficient for all purposes of | 20 | | this
Act.
For purposes of this Section and only for land | 21 | | subject to
the subdivision requirements of the Plat Act, land | 22 | | is subdivided when the
original plat of
the proposed | 23 | | Redevelopment Project Area or relevant portion thereof has
| 24 | | been
properly certified, acknowledged, approved, and recorded | 25 | | or filed in accordance
with the Plat Act and a preliminary | 26 | | plat, if any, for any subsequent phases of
the
proposed |
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| 1 | | Redevelopment Project Area or relevant portion thereof has | 2 | | been
properly approved and filed in accordance with the | 3 | | applicable ordinance of the
municipality.
| 4 | | (w) "Annual Total Increment" means the sum of each | 5 | | municipality's
annual Net Sales Tax Increment and each | 6 | | municipality's annual Net Utility
Tax Increment. The ratio of | 7 | | the Annual Total Increment of each
municipality to the Annual | 8 | | Total Increment for all municipalities, as most
recently | 9 | | calculated by the Department, shall determine the proportional
| 10 | | shares of the Illinois Tax Increment Fund to be distributed to | 11 | | each
municipality.
| 12 | | (x) "LEED certified" means any certification level of | 13 | | construction elements by a qualified Leadership in Energy and | 14 | | Environmental Design Accredited Professional as determined by | 15 | | the U.S. Green Building Council. | 16 | | (y) "Green Globes certified" means any certification level | 17 | | of construction elements by a qualified Green Globes | 18 | | Professional as determined by the Green Building Initiative. | 19 | | (Source: P.A. 99-792, eff. 8-12-16; 100-201, eff. 8-18-17; | 20 | | 100-465, eff. 8-31-17; 100-1133, eff. 1-1-19.)
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