Full Text of SB3447 103rd General Assembly
SB3447 103RD GENERAL ASSEMBLY | | | 103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024 SB3447 Introduced 2/8/2024, by Sen. Bill Cunningham SYNOPSIS AS INTRODUCED: | | 35 ILCS 200/18-185 | | 35 ILCS 200/18-190.3 new | |
| Amends the Property Tax Extension Limitation Law in the Property Tax Code. Makes changes to the definition of "limiting rate". Provides for alternative referendum procedures for a taxing district to increase its aggregate extension. Effective immediately. |
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| | A BILL FOR |
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| 1 | | AN ACT concerning revenue. | 2 | | Be it enacted by the People of the State of Illinois, | 3 | | represented in the General Assembly: | 4 | | Section 5. The Property Tax Code is amended by changing | 5 | | Section 18-185 and by adding Section 18-190.3 as follows: | 6 | | (35 ILCS 200/18-185) | 7 | | Sec. 18-185. Short title; definitions. This Division 5 | 8 | | may be cited as the Property Tax Extension Limitation Law. As | 9 | | used in this Division 5: | 10 | | "Consumer Price Index" means the Consumer Price Index for | 11 | | All Urban Consumers for all items published by the United | 12 | | States Department of Labor. | 13 | | "Extension limitation" means (a) the lesser of 5% or the | 14 | | percentage increase in the Consumer Price Index during the | 15 | | 12-month calendar year preceding the levy year or (b) the rate | 16 | | of increase approved by voters under Section 18-205. | 17 | | "Affected county" means a county of 3,000,000 or more | 18 | | inhabitants or a county contiguous to a county of 3,000,000 or | 19 | | more inhabitants. | 20 | | "Taxing district" has the same meaning provided in Section | 21 | | 1-150, except as otherwise provided in this Section. For the | 22 | | 1991 through 1994 levy years only, "taxing district" includes | 23 | | only each non-home rule taxing district having the majority of |
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| 1 | | its 1990 equalized assessed value within any county or | 2 | | counties contiguous to a county with 3,000,000 or more | 3 | | inhabitants. Beginning with the 1995 levy year, "taxing | 4 | | district" includes only each non-home rule taxing district | 5 | | subject to this Law before the 1995 levy year and each non-home | 6 | | rule taxing district not subject to this Law before the 1995 | 7 | | levy year having the majority of its 1994 equalized assessed | 8 | | value in an affected county or counties. Beginning with the | 9 | | levy year in which this Law becomes applicable to a taxing | 10 | | district as provided in Section 18-213, "taxing district" also | 11 | | includes those taxing districts made subject to this Law as | 12 | | provided in Section 18-213. | 13 | | "Aggregate extension" for taxing districts to which this | 14 | | Law applied before the 1995 levy year means the annual | 15 | | corporate extension for the taxing district and those special | 16 | | purpose extensions that are made annually for the taxing | 17 | | district, excluding special purpose extensions: (a) made for | 18 | | the taxing district to pay interest or principal on general | 19 | | obligation bonds that were approved by referendum; (b) made | 20 | | for any taxing district to pay interest or principal on | 21 | | general obligation bonds issued before October 1, 1991; (c) | 22 | | made for any taxing district to pay interest or principal on | 23 | | bonds issued to refund or continue to refund those bonds | 24 | | issued before October 1, 1991; (d) made for any taxing | 25 | | district to pay interest or principal on bonds issued to | 26 | | refund or continue to refund bonds issued after October 1, |
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| 1 | | 1991 that were approved by referendum; (e) made for any taxing | 2 | | district to pay interest or principal on revenue bonds issued | 3 | | before October 1, 1991 for payment of which a property tax levy | 4 | | or the full faith and credit of the unit of local government is | 5 | | pledged; however, a tax for the payment of interest or | 6 | | principal on those bonds shall be made only after the | 7 | | governing body of the unit of local government finds that all | 8 | | other sources for payment are insufficient to make those | 9 | | payments; (f) made for payments under a building commission | 10 | | lease when the lease payments are for the retirement of bonds | 11 | | issued by the commission before October 1, 1991, to pay for the | 12 | | building project; (g) made for payments due under installment | 13 | | contracts entered into before October 1, 1991; (h) made for | 14 | | payments of principal and interest on bonds issued under the | 15 | | Metropolitan Water Reclamation District Act to finance | 16 | | construction projects initiated before October 1, 1991; (i) | 17 | | made for payments of principal and interest on limited bonds, | 18 | | as defined in Section 3 of the Local Government Debt Reform | 19 | | Act, in an amount not to exceed the debt service extension base | 20 | | less the amount in items (b), (c), (e), and (h) of this | 21 | | definition for non-referendum obligations, except obligations | 22 | | initially issued pursuant to referendum; (j) made for payments | 23 | | of principal and interest on bonds issued under Section 15 of | 24 | | the Local Government Debt Reform Act; (k) made by a school | 25 | | district that participates in the Special Education District | 26 | | of Lake County, created by special education joint agreement |
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| 1 | | under Section 10-22.31 of the School Code, for payment of the | 2 | | school district's share of the amounts required to be | 3 | | contributed by the Special Education District of Lake County | 4 | | to the Illinois Municipal Retirement Fund under Article 7 of | 5 | | the Illinois Pension Code; the amount of any extension under | 6 | | this item (k) shall be certified by the school district to the | 7 | | county clerk; (l) made to fund expenses of providing joint | 8 | | recreational programs for persons with disabilities under | 9 | | Section 5-8 of the Park District Code or Section 11-95-14 of | 10 | | the Illinois Municipal Code; (m) made for temporary relocation | 11 | | loan repayment purposes pursuant to Sections 2-3.77 and | 12 | | 17-2.2d of the School Code; (n) made for payment of principal | 13 | | and interest on any bonds issued under the authority of | 14 | | Section 17-2.2d of the School Code; (o) made for contributions | 15 | | to a firefighter's pension fund created under Article 4 of the | 16 | | Illinois Pension Code, to the extent of the amount certified | 17 | | under item (5) of Section 4-134 of the Illinois Pension Code; | 18 | | and (p) made for road purposes in the first year after a | 19 | | township assumes the rights, powers, duties, assets, property, | 20 | | liabilities, obligations, and responsibilities of a road | 21 | | district abolished under the provisions of Section 6-133 of | 22 | | the Illinois Highway Code. | 23 | | "Aggregate extension" for the taxing districts to which | 24 | | this Law did not apply before the 1995 levy year (except taxing | 25 | | districts subject to this Law in accordance with Section | 26 | | 18-213) means the annual corporate extension for the taxing |
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| 1 | | district and those special purpose extensions that are made | 2 | | annually for the taxing district, excluding special purpose | 3 | | extensions: (a) made for the taxing district to pay interest | 4 | | or principal on general obligation bonds that were approved by | 5 | | referendum; (b) made for any taxing district to pay interest | 6 | | or principal on general obligation bonds issued before March | 7 | | 1, 1995; (c) made for any taxing district to pay interest or | 8 | | principal on bonds issued to refund or continue to refund | 9 | | those bonds issued before March 1, 1995; (d) made for any | 10 | | taxing district to pay interest or principal on bonds issued | 11 | | to refund or continue to refund bonds issued after March 1, | 12 | | 1995 that were approved by referendum; (e) made for any taxing | 13 | | district to pay interest or principal on revenue bonds issued | 14 | | before March 1, 1995 for payment of which a property tax levy | 15 | | or the full faith and credit of the unit of local government is | 16 | | pledged; however, a tax for the payment of interest or | 17 | | principal on those bonds shall be made only after the | 18 | | governing body of the unit of local government finds that all | 19 | | other sources for payment are insufficient to make those | 20 | | payments; (f) made for payments under a building commission | 21 | | lease when the lease payments are for the retirement of bonds | 22 | | issued by the commission before March 1, 1995 to pay for the | 23 | | building project; (g) made for payments due under installment | 24 | | contracts entered into before March 1, 1995; (h) made for | 25 | | payments of principal and interest on bonds issued under the | 26 | | Metropolitan Water Reclamation District Act to finance |
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| 1 | | construction projects initiated before October 1, 1991; (h-4) | 2 | | made for stormwater management purposes by the Metropolitan | 3 | | Water Reclamation District of Greater Chicago under Section 12 | 4 | | of the Metropolitan Water Reclamation District Act; (h-8) made | 5 | | for payments of principal and interest on bonds issued under | 6 | | Section 9.6a of the Metropolitan Water Reclamation District | 7 | | Act to make contributions to the pension fund established | 8 | | under Article 13 of the Illinois Pension Code; (i) made for | 9 | | payments of principal and interest on limited bonds, as | 10 | | defined in Section 3 of the Local Government Debt Reform Act, | 11 | | in an amount not to exceed the debt service extension base less | 12 | | the amount in items (b), (c), and (e) of this definition for | 13 | | non-referendum obligations, except obligations initially | 14 | | issued pursuant to referendum and bonds described in | 15 | | subsections (h) and (h-8) of this definition; (j) made for | 16 | | payments of principal and interest on bonds issued under | 17 | | Section 15 of the Local Government Debt Reform Act; (k) made | 18 | | for payments of principal and interest on bonds authorized by | 19 | | Public Act 88-503 and issued under Section 20a of the Chicago | 20 | | Park District Act for aquarium or museum projects and bonds | 21 | | issued under Section 20a of the Chicago Park District Act for | 22 | | the purpose of making contributions to the pension fund | 23 | | established under Article 12 of the Illinois Pension Code; (l) | 24 | | made for payments of principal and interest on bonds | 25 | | authorized by Public Act 87-1191 or 93-601 and (i) issued | 26 | | pursuant to Section 21.2 of the Cook County Forest Preserve |
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| 1 | | District Act, (ii) issued under Section 42 of the Cook County | 2 | | Forest Preserve District Act for zoological park projects, or | 3 | | (iii) issued under Section 44.1 of the Cook County Forest | 4 | | Preserve District Act for botanical gardens projects; (m) made | 5 | | pursuant to Section 34-53.5 of the School Code, whether levied | 6 | | annually or not; (n) made to fund expenses of providing joint | 7 | | recreational programs for persons with disabilities under | 8 | | Section 5-8 of the Park District Code or Section 11-95-14 of | 9 | | the Illinois Municipal Code; (o) made by the Chicago Park | 10 | | District for recreational programs for persons with | 11 | | disabilities under subsection (c) of Section 7.06 of the | 12 | | Chicago Park District Act; (p) made for contributions to a | 13 | | firefighter's pension fund created under Article 4 of the | 14 | | Illinois Pension Code, to the extent of the amount certified | 15 | | under item (5) of Section 4-134 of the Illinois Pension Code; | 16 | | (q) made by Ford Heights School District 169 under Section | 17 | | 17-9.02 of the School Code; and (r) made for the purpose of | 18 | | making employer contributions to the Public School Teachers' | 19 | | Pension and Retirement Fund of Chicago under Section 34-53 of | 20 | | the School Code. | 21 | | "Aggregate extension" for all taxing districts to which | 22 | | this Law applies in accordance with Section 18-213, except for | 23 | | those taxing districts subject to paragraph (2) of subsection | 24 | | (e) of Section 18-213, means the annual corporate extension | 25 | | for the taxing district and those special purpose extensions | 26 | | that are made annually for the taxing district, excluding |
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| 1 | | special purpose extensions: (a) made for the taxing district | 2 | | to pay interest or principal on general obligation bonds that | 3 | | were approved by referendum; (b) made for any taxing district | 4 | | to pay interest or principal on general obligation bonds | 5 | | issued before the date on which the referendum making this Law | 6 | | applicable to the taxing district is held; (c) made for any | 7 | | taxing district to pay interest or principal on bonds issued | 8 | | to refund or continue to refund those bonds issued before the | 9 | | date on which the referendum making this Law applicable to the | 10 | | taxing district is held; (d) made for any taxing district to | 11 | | pay interest or principal on bonds issued to refund or | 12 | | continue to refund bonds issued after the date on which the | 13 | | referendum making this Law applicable to the taxing district | 14 | | is held if the bonds were approved by referendum after the date | 15 | | on which the referendum making this Law applicable to the | 16 | | taxing district is held; (e) made for any taxing district to | 17 | | pay interest or principal on revenue bonds issued before the | 18 | | date on which the referendum making this Law applicable to the | 19 | | taxing district is held for payment of which a property tax | 20 | | levy or the full faith and credit of the unit of local | 21 | | government is pledged; however, a tax for the payment of | 22 | | interest or principal on those bonds shall be made only after | 23 | | the governing body of the unit of local government finds that | 24 | | all other sources for payment are insufficient to make those | 25 | | payments; (f) made for payments under a building commission | 26 | | lease when the lease payments are for the retirement of bonds |
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| 1 | | issued by the commission before the date on which the | 2 | | referendum making this Law applicable to the taxing district | 3 | | is held to pay for the building project; (g) made for payments | 4 | | due under installment contracts entered into before the date | 5 | | on which the referendum making this Law applicable to the | 6 | | taxing district is held; (h) made for payments of principal | 7 | | and interest on limited bonds, as defined in Section 3 of the | 8 | | Local Government Debt Reform Act, in an amount not to exceed | 9 | | the debt service extension base less the amount in items (b), | 10 | | (c), and (e) of this definition for non-referendum | 11 | | obligations, except obligations initially issued pursuant to | 12 | | referendum; (i) made for payments of principal and interest on | 13 | | bonds issued under Section 15 of the Local Government Debt | 14 | | Reform Act; (j) made for a qualified airport authority to pay | 15 | | interest or principal on general obligation bonds issued for | 16 | | the purpose of paying obligations due under, or financing | 17 | | airport facilities required to be acquired, constructed, | 18 | | installed or equipped pursuant to, contracts entered into | 19 | | before March 1, 1996 (but not including any amendments to such | 20 | | a contract taking effect on or after that date); (k) made to | 21 | | fund expenses of providing joint recreational programs for | 22 | | persons with disabilities under Section 5-8 of the Park | 23 | | District Code or Section 11-95-14 of the Illinois Municipal | 24 | | Code; (l) made for contributions to a firefighter's pension | 25 | | fund created under Article 4 of the Illinois Pension Code, to | 26 | | the extent of the amount certified under item (5) of Section |
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| 1 | | 4-134 of the Illinois Pension Code; and (m) made for the taxing | 2 | | district to pay interest or principal on general obligation | 3 | | bonds issued pursuant to Section 19-3.10 of the School Code. | 4 | | "Aggregate extension" for all taxing districts to which | 5 | | this Law applies in accordance with paragraph (2) of | 6 | | subsection (e) of Section 18-213 means the annual corporate | 7 | | extension for the taxing district and those special purpose | 8 | | extensions that are made annually for the taxing district, | 9 | | excluding special purpose extensions: (a) made for the taxing | 10 | | district to pay interest or principal on general obligation | 11 | | bonds that were approved by referendum; (b) made for any | 12 | | taxing district to pay interest or principal on general | 13 | | obligation bonds issued before March 7, 1997 (the effective | 14 | | date of Public Act 89-718); (c) made for any taxing district to | 15 | | pay interest or principal on bonds issued to refund or | 16 | | continue to refund those bonds issued before March 7, 1997 | 17 | | (the effective date of Public Act 89-718); (d) made for any | 18 | | taxing district to pay interest or principal on bonds issued | 19 | | to refund or continue to refund bonds issued after March 7, | 20 | | 1997 (the effective date of Public Act 89-718) if the bonds | 21 | | were approved by referendum after March 7, 1997 (the effective | 22 | | date of Public Act 89-718); (e) made for any taxing district to | 23 | | pay interest or principal on revenue bonds issued before March | 24 | | 7, 1997 (the effective date of Public Act 89-718) for payment | 25 | | of which a property tax levy or the full faith and credit of | 26 | | the unit of local government is pledged; however, a tax for the |
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| 1 | | payment of interest or principal on those bonds shall be made | 2 | | only after the governing body of the unit of local government | 3 | | finds that all other sources for payment are insufficient to | 4 | | make those payments; (f) made for payments under a building | 5 | | commission lease when the lease payments are for the | 6 | | retirement of bonds issued by the commission before March 7, | 7 | | 1997 (the effective date of Public Act 89-718) to pay for the | 8 | | building project; (g) made for payments due under installment | 9 | | contracts entered into before March 7, 1997 (the effective | 10 | | date of Public Act 89-718); (h) made for payments of principal | 11 | | and interest on limited bonds, as defined in Section 3 of the | 12 | | Local Government Debt Reform Act, in an amount not to exceed | 13 | | the debt service extension base less the amount in items (b), | 14 | | (c), and (e) of this definition for non-referendum | 15 | | obligations, except obligations initially issued pursuant to | 16 | | referendum; (i) made for payments of principal and interest on | 17 | | bonds issued under Section 15 of the Local Government Debt | 18 | | Reform Act; (j) made for a qualified airport authority to pay | 19 | | interest or principal on general obligation bonds issued for | 20 | | the purpose of paying obligations due under, or financing | 21 | | airport facilities required to be acquired, constructed, | 22 | | installed or equipped pursuant to, contracts entered into | 23 | | before March 1, 1996 (but not including any amendments to such | 24 | | a contract taking effect on or after that date); (k) made to | 25 | | fund expenses of providing joint recreational programs for | 26 | | persons with disabilities under Section 5-8 of the Park |
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| 1 | | District Code or Section 11-95-14 of the Illinois Municipal | 2 | | Code; and (l) made for contributions to a firefighter's | 3 | | pension fund created under Article 4 of the Illinois Pension | 4 | | Code, to the extent of the amount certified under item (5) of | 5 | | Section 4-134 of the Illinois Pension Code. | 6 | | "Debt service extension base" means an amount equal to | 7 | | that portion of the extension for a taxing district for the | 8 | | 1994 levy year, or for those taxing districts subject to this | 9 | | Law in accordance with Section 18-213, except for those | 10 | | subject to paragraph (2) of subsection (e) of Section 18-213, | 11 | | for the levy year in which the referendum making this Law | 12 | | applicable to the taxing district is held, or for those taxing | 13 | | districts subject to this Law in accordance with paragraph (2) | 14 | | of subsection (e) of Section 18-213 for the 1996 levy year, | 15 | | constituting an extension for payment of principal and | 16 | | interest on bonds issued by the taxing district without | 17 | | referendum, but not including excluded non-referendum bonds. | 18 | | For park districts (i) that were first subject to this Law in | 19 | | 1991 or 1995 and (ii) whose extension for the 1994 levy year | 20 | | for the payment of principal and interest on bonds issued by | 21 | | the park district without referendum (but not including | 22 | | excluded non-referendum bonds) was less than 51% of the amount | 23 | | for the 1991 levy year constituting an extension for payment | 24 | | of principal and interest on bonds issued by the park district | 25 | | without referendum (but not including excluded non-referendum | 26 | | bonds), "debt service extension base" means an amount equal to |
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| 1 | | that portion of the extension for the 1991 levy year | 2 | | constituting an extension for payment of principal and | 3 | | interest on bonds issued by the park district without | 4 | | referendum (but not including excluded non-referendum bonds). | 5 | | A debt service extension base established or increased at any | 6 | | time pursuant to any provision of this Law, except Section | 7 | | 18-212, shall be increased each year commencing with the later | 8 | | of (i) the 2009 levy year or (ii) the first levy year in which | 9 | | this Law becomes applicable to the taxing district, by the | 10 | | lesser of 5% or the percentage increase in the Consumer Price | 11 | | Index during the 12-month calendar year preceding the levy | 12 | | year. The debt service extension base may be established or | 13 | | increased as provided under Section 18-212. "Excluded | 14 | | non-referendum bonds" means (i) bonds authorized by Public Act | 15 | | 88-503 and issued under Section 20a of the Chicago Park | 16 | | District Act for aquarium and museum projects; (ii) bonds | 17 | | issued under Section 15 of the Local Government Debt Reform | 18 | | Act; or (iii) refunding obligations issued to refund or to | 19 | | continue to refund obligations initially issued pursuant to | 20 | | referendum. | 21 | | "Special purpose extensions" include, but are not limited | 22 | | to, extensions for levies made on an annual basis for | 23 | | unemployment and workers' compensation, self-insurance, | 24 | | contributions to pension plans, and extensions made pursuant | 25 | | to Section 6-601 of the Illinois Highway Code for a road | 26 | | district's permanent road fund whether levied annually or not. |
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| 1 | | The extension for a special service area is not included in the | 2 | | aggregate extension. | 3 | | "Aggregate extension base" means the taxing district's | 4 | | last preceding aggregate extension as adjusted under Sections | 5 | | 18-135, 18-215, 18-230, 18-206, and 18-233. Beginning with | 6 | | levy year 2022, for taxing districts that are specified in | 7 | | Section 18-190.7, the taxing district's aggregate extension | 8 | | base shall be calculated as provided in Section 18-190.7. An | 9 | | adjustment under Section 18-135 shall be made for the 2007 | 10 | | levy year and all subsequent levy years whenever one or more | 11 | | counties within which a taxing district is located (i) used | 12 | | estimated valuations or rates when extending taxes in the | 13 | | taxing district for the last preceding levy year that resulted | 14 | | in the over or under extension of taxes, or (ii) increased or | 15 | | decreased the tax extension for the last preceding levy year | 16 | | as required by Section 18-135(c). Whenever an adjustment is | 17 | | required under Section 18-135, the aggregate extension base of | 18 | | the taxing district shall be equal to the amount that the | 19 | | aggregate extension of the taxing district would have been for | 20 | | the last preceding levy year if either or both (i) actual, | 21 | | rather than estimated, valuations or rates had been used to | 22 | | calculate the extension of taxes for the last levy year, or | 23 | | (ii) the tax extension for the last preceding levy year had not | 24 | | been adjusted as required by subsection (c) of Section 18-135. | 25 | | Notwithstanding any other provision of law, for levy year | 26 | | 2012, the aggregate extension base for West Northfield School |
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| 1 | | District No. 31 in Cook County shall be $12,654,592. | 2 | | Notwithstanding any other provision of law, for levy year | 3 | | 2022, the aggregate extension base of a home equity assurance | 4 | | program that levied at least $1,000,000 in property taxes in | 5 | | levy year 2019 or 2020 under the Home Equity Assurance Act | 6 | | shall be the amount that the program's aggregate extension | 7 | | base for levy year 2021 would have been if the program had | 8 | | levied a property tax for levy year 2021. | 9 | | "Levy year" has the same meaning as "year" under Section | 10 | | 1-155. | 11 | | "New property" means (i) the assessed value, after final | 12 | | board of review or board of appeals action, of new | 13 | | improvements or additions to existing improvements on any | 14 | | parcel of real property that increase the assessed value of | 15 | | that real property during the levy year multiplied by the | 16 | | equalization factor issued by the Department under Section | 17 | | 17-30, (ii) the assessed value, after final board of review or | 18 | | board of appeals action, of real property not exempt from real | 19 | | estate taxation, which real property was exempt from real | 20 | | estate taxation for any portion of the immediately preceding | 21 | | levy year, multiplied by the equalization factor issued by the | 22 | | Department under Section 17-30, including the assessed value, | 23 | | upon final stabilization of occupancy after new construction | 24 | | is complete, of any real property located within the | 25 | | boundaries of an otherwise or previously exempt military | 26 | | reservation that is intended for residential use and owned by |
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| 1 | | or leased to a private corporation or other entity, (iii) in | 2 | | counties that classify in accordance with Section 4 of Article | 3 | | IX of the Illinois Constitution, an incentive property's | 4 | | additional assessed value resulting from a scheduled increase | 5 | | in the level of assessment as applied to the first year final | 6 | | board of review market value, and (iv) any increase in | 7 | | assessed value due to oil or gas production from an oil or gas | 8 | | well required to be permitted under the Hydraulic Fracturing | 9 | | Regulatory Act that was not produced in or accounted for | 10 | | during the previous levy year. In addition, the county clerk | 11 | | in a county containing a population of 3,000,000 or more shall | 12 | | include in the 1997 recovered tax increment value for any | 13 | | school district, any recovered tax increment value that was | 14 | | applicable to the 1995 tax year calculations. | 15 | | "Qualified airport authority" means an airport authority | 16 | | organized under the Airport Authorities Act and located in a | 17 | | county bordering on the State of Wisconsin and having a | 18 | | population in excess of 200,000 and not greater than 500,000. | 19 | | "Recovered tax increment value" means, except as otherwise | 20 | | provided in this paragraph, the amount of the current year's | 21 | | equalized assessed value, in the first year after a | 22 | | municipality terminates the designation of an area as a | 23 | | redevelopment project area previously established under the | 24 | | Tax Increment Allocation Redevelopment Act in the Illinois | 25 | | Municipal Code, previously established under the Industrial | 26 | | Jobs Recovery Law in the Illinois Municipal Code, previously |
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| 1 | | established under the Economic Development Project Area Tax | 2 | | Increment Act of 1995, or previously established under the | 3 | | Economic Development Area Tax Increment Allocation Act, of | 4 | | each taxable lot, block, tract, or parcel of real property in | 5 | | the redevelopment project area over and above the initial | 6 | | equalized assessed value of each property in the redevelopment | 7 | | project area. For the taxes which are extended for the 1997 | 8 | | levy year, the recovered tax increment value for a non-home | 9 | | rule taxing district that first became subject to this Law for | 10 | | the 1995 levy year because a majority of its 1994 equalized | 11 | | assessed value was in an affected county or counties shall be | 12 | | increased if a municipality terminated the designation of an | 13 | | area in 1993 as a redevelopment project area previously | 14 | | established under the Tax Increment Allocation Redevelopment | 15 | | Act in the Illinois Municipal Code, previously established | 16 | | under the Industrial Jobs Recovery Law in the Illinois | 17 | | Municipal Code, or previously established under the Economic | 18 | | Development Area Tax Increment Allocation Act, by an amount | 19 | | equal to the 1994 equalized assessed value of each taxable | 20 | | lot, block, tract, or parcel of real property in the | 21 | | redevelopment project area over and above the initial | 22 | | equalized assessed value of each property in the redevelopment | 23 | | project area. In the first year after a municipality removes a | 24 | | taxable lot, block, tract, or parcel of real property from a | 25 | | redevelopment project area established under the Tax Increment | 26 | | Allocation Redevelopment Act in the Illinois Municipal Code, |
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| 1 | | the Industrial Jobs Recovery Law in the Illinois Municipal | 2 | | Code, or the Economic Development Area Tax Increment | 3 | | Allocation Act, "recovered tax increment value" means the | 4 | | amount of the current year's equalized assessed value of each | 5 | | taxable lot, block, tract, or parcel of real property removed | 6 | | from the redevelopment project area over and above the initial | 7 | | equalized assessed value of that real property before removal | 8 | | from the redevelopment project area. | 9 | | Except as otherwise provided in this Section, "limiting | 10 | | rate" means a fraction the numerator of which is the last | 11 | | preceding aggregate extension base times an amount equal to | 12 | | one plus the extension limitation defined in this Section and | 13 | | the denominator of which is the current year's equalized | 14 | | assessed value of all real property in the territory under the | 15 | | jurisdiction of the taxing district during the prior levy | 16 | | year. If an increase in the district's aggregate extension has | 17 | | been approved by referendum on or after January 1, 2025, then, | 18 | | for the year for which the increase has been approved, the | 19 | | limiting rate for that district shall be a fraction, the | 20 | | numerator of which is the sum of (i) the last preceding | 21 | | aggregate extension base times an amount equal to one plus the | 22 | | extension limitation defined in this Section and (ii) the | 23 | | amount of the increase approved by referendum under Section | 24 | | 18-190.3 of this Law, and the denominator of which is the | 25 | | current year's equalized assessed value of all real property | 26 | | in the territory under the jurisdiction of the taxing district |
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| 1 | | during the prior levy year. For those taxing districts that | 2 | | reduced their aggregate extension for the last preceding levy | 3 | | year, except for school districts that reduced their extension | 4 | | for educational purposes pursuant to Section 18-206, the | 5 | | highest aggregate extension in any of the last 3 preceding | 6 | | levy years shall be used for the purpose of computing the | 7 | | limiting rate. The denominator shall not include new property | 8 | | or the recovered tax increment value. If a new rate, a rate | 9 | | decrease, or a limiting rate increase has been approved at an | 10 | | election held after March 21, 2006, then (i) the otherwise | 11 | | applicable limiting rate shall be increased by the amount of | 12 | | the new rate or shall be reduced by the amount of the rate | 13 | | decrease, as the case may be, or (ii) in the case of a limiting | 14 | | rate increase, the limiting rate shall be equal to the rate set | 15 | | forth in the proposition approved by the voters for each of the | 16 | | years specified in the proposition, after which the limiting | 17 | | rate of the taxing district shall be calculated as otherwise | 18 | | provided. In the case of a taxing district that obtained | 19 | | referendum approval for an increased limiting rate on March | 20 | | 20, 2012, the limiting rate for tax year 2012 shall be the rate | 21 | | that generates the approximate total amount of taxes | 22 | | extendable for that tax year, as set forth in the proposition | 23 | | approved by the voters; this rate shall be the final rate | 24 | | applied by the county clerk for the aggregate of all capped | 25 | | funds of the district for tax year 2012. | 26 | | (Source: P.A. 102-263, eff. 8-6-21; 102-311, eff. 8-6-21; |
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| 1 | | 102-519, eff. 8-20-21; 102-558, eff. 8-20-21; 102-707, eff. | 2 | | 4-22-22; 102-813, eff. 5-13-22; 102-895, eff. 5-23-22; | 3 | | 103-154, eff. 6-30-23.) | 4 | | (35 ILCS 200/18-190.3 new) | 5 | | Sec. 18-190.3. Direct referendum; increased aggregate | 6 | | extension. As an alternative to the procedures set forth in | 7 | | Sections 18-190 and 18-205, a taxing district may increase its | 8 | | aggregate extension to an amount that exceeds the amount that | 9 | | would otherwise be permitted under this Law if the taxing | 10 | | district obtains referendum approval as provided in this | 11 | | Section. | 12 | | The proposition seeking to obtain referendum approval to | 13 | | increase the aggregate extension shall be in substantially the | 14 | | following form: | 15 | | "Shall the aggregate extension (the total dollar | 16 | | amount levied by the district for each of the tax funds | 17 | | included under the Property Tax Limitation Law) | 18 | | for...(insert legal name, number, if any, and county or | 19 | | counties of taxing district and geographic or other common | 20 | | name by which a school or community college district is | 21 | | known and referred to), Illinois, be increased by (insert | 22 | | the amount of increase sought) for levy year...(insert the | 23 | | levy year for which the increase will take effect)?" | 24 | | The votes must be recorded as "Yes" or "No". | 25 | | The ballot for any proposition submitted pursuant to this |
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| 1 | | Section shall have printed thereon, but not as a part of the | 2 | | proposition submitted, only the following supplemental | 3 | | information (which shall be supplied to the election authority | 4 | | by the taxing district) in substantially the following form: | 5 | | "(1) The amount of taxes extended which were subject | 6 | | to the Property Tax Cap (Property Tax Extension Limitation | 7 | | Law) in levy year (insert most recent levy year) was | 8 | | (insert the most recent levy year's aggregate extension | 9 | | base). If the proposition is not approved, then the taxing | 10 | | district may increase its extension by the lesser of 5% or | 11 | | the percentage increase in the Consumer Price Index during | 12 | | the 12-month calendar year preceding (insert levy year). | 13 | | If the proposition is approved, then the taxing district | 14 | | may increase its extension in levy year (insert levy year) | 15 | | by an additional (insert the amount of increase sought). | 16 | | (2) For the...(insert levy year for which the increase | 17 | | will be applicable) levy year, the approximate amount of | 18 | | the additional tax extendable against property containing | 19 | | a single family residence and having a fair market value | 20 | | at the time of the referendum of $100,000 is estimated to | 21 | | be (insert amount).". | 22 | | The approximate amount of the additional taxes extendable | 23 | | shown in paragraph (2) shall be calculated by multiplying | 24 | | $100,000 (the fair market value of the property without regard | 25 | | to any property tax exemptions) by (i) the percentage level of | 26 | | assessment prescribed for that property by statute, or by |
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| 1 | | ordinance of the county board in counties that classify | 2 | | property for purposes of taxation in accordance with Section 4 | 3 | | of Article IX of the Illinois Constitution; (ii) the most | 4 | | recent final equalization factor certified to the county clerk | 5 | | by the Department of Revenue at the time the taxing district | 6 | | initiates the submission of the proposition to the electors; | 7 | | and (iii) the increase in the aggregate extension proposed in | 8 | | the question; and dividing the result by the last known | 9 | | equalized assessed value of the taxing district at the time | 10 | | the submission of the question is initiated by the taxing | 11 | | district. Any notice required to be published in connection | 12 | | with the submission of the proposition shall also contain this | 13 | | supplemental information and shall not contain any other | 14 | | supplemental information regarding the proposition. Any error, | 15 | | miscalculation, or inaccuracy in computing any amount set | 16 | | forth on the ballot and in the notice that is not deliberate | 17 | | shall not invalidate or affect the validity of any proposition | 18 | | approved. Notice of the referendum shall be published and | 19 | | posted as otherwise required by law, and the submission of the | 20 | | proposition shall be initiated as provided by law. | 21 | | If a majority of all ballots cast on the proposition are in | 22 | | favor of the proposition, then the district may increase its | 23 | | aggregate extension as provided in the referendum. | 24 | | Section 99. Effective date. This Act takes effect upon | 25 | | becoming law. |
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