HB5789 94TH GENERAL ASSEMBLY

LRB094 20493 BDD 58763 b

94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB5789

Introduced 05/02/06, by Rep. Thomas Holbrook - Jay C. Hoffman - Ron Stephens - Wyvetter H. Younge - Dan Reitz

SYNOPSIS AS INTRODUCED:

35 ILCS 200/1-55
35 ILCS 200/10-390 new

Amends the Property Tax Code. Sets forth procedures for calculating the value of certain leasehold estates for property that is owned by the United States Air Force and that is leased to another whose property is not exempt and who uses that property for the purpose of design, finance, construction, renovation, management, operation, and maintenance of rental housing units. Effective immediately.

FISCAL NOTE ACT MAY APPLY

HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

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 10-390 as follows:

(35 ILCS 200/10-390 new)

Sec. 10-390. U.S. Air Force Public/Private Residential Developments.

(a) A U.S. Air Force PPV Lease must be classified and valued based upon an income capitalization approach, under which the income attributable to the property is capitalized at a rate of 7.75%.

(b) For the purposes of this Section, a "U.S. Air Force PPV Lease" means a leasehold interest in property that is exempt from taxation under Section 15-50 of this Code and that is leased to another whose property is not exempt, pursuant to authority set forth in Chapter 10 of the United States Code, for the purpose of the design, finance, construction, renovation, management, operation, and maintenance of rental housing units and associated improvements at U.S. Air Force facilities in the State of Illinois.

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