HB2596 103RD GENERAL ASSEMBLY

LRB103 26016 HLH 52370 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB2596

Introduced 2/15/2023, by Rep. Adam M. Niemerg

SYNOPSIS AS INTRODUCED:

35 ILCS 200/18-184.25 new

Amends the Property Tax Code. Creates an abatement for property located in a blighted area if the owner of the property enters into an agreement with the corporate authorities of the municipality in which the property is located for the renovation, demolition, or improvement of the property. Provides that the abatement shall apply for a period of 20 years. Effective immediately.

A BILL FOR

AN ACT concerning revenue.

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

Section 5. The Property Tax Code is amended by adding Section 18-184.25 as follows:

(35 ILCS 200/18-184.25 new)

Sec. 18-184.25. Revitalization abatement.

(a) For assessment year 2023 and thereafter, the corporate authorities may, by ordinance, designate one or more areas within the municipality as blighted. If the owner of any property located within a designated blighted area enters into an agreement with the corporate authorities of the municipality for the renovation, demolition, or improvement of blighted property, then the corporate authorities of the municipality may order the county clerk to abate a portion of the taxes levied by the municipality and any other taxing district on that property. The amount of the abatement may not exceed the difference between (i) the amount of property taxes paid with respect to that property in the base year and (ii) the amount of property taxes that would otherwise be due in the assessment year for which the abatement is sought. An abatement adopted under this Section shall be extended to all subsequent owners of an eligible property during the abatement period. The abatement shall apply for a period of 20 years.

(b) Before final adoption of an abatement ordinance under this Section, the governing authority of the municipality shall notify each affected taxing district of the pending ordinance by mail. The governing authority of each affected taxing district shall, within 10 days after the ordinance is proposed, appoint one member to serve on an Abatement Review Board to review the terms and conditions of the proposed abatement ordinance. The Board shall be convened by the mayor or village president of the municipality considering the abatement ordinance. The ordinance shall be adopted not less than 45 days after the Board is convened. Failure to appoint a member to the Board does not affect work of the Board. The Board shall report the findings and conclusions to the governing authority of the municipality not later than 30 days after it is convened.

(c) As used in this Section, "base year" means the assessment year prior to the assessment year in which the taxpayer enters into an agreement with the corporate authorities of the municipality.

Section 99. Effective date. This Act takes effect upon becoming law.