Full Text of HB6583 93rd General Assembly
HB6583ham001 93RD GENERAL ASSEMBLY
|
Revenue Committee
Filed: 3/4/2004
|
|
09300HB6583ham001 |
|
LRB093 18627 MKM 48336 a |
|
| 1 |
| AMENDMENT TO HOUSE BILL 6583
| 2 |
| AMENDMENT NO. ______. Amend House Bill 6583 by replacing | 3 |
| everything after the enacting clause with the following:
| 4 |
| "Section 5. The County Economic Development Project Area | 5 |
| Tax Increment
Allocation Act of 1991 is amended by changing | 6 |
| Section 10 as follows:
| 7 |
| (55 ILCS 90/10) (from Ch. 34, par. 8010)
| 8 |
| Sec. 10. Definitions. In this Act , words or terms have the
| 9 |
| following meanings :
| 10 |
| (a) "Economic development plan" means the written plan of
a | 11 |
| county that sets forth an economic development program for an | 12 |
| economic
development project area. Each economic development | 13 |
| plan shall include but
not be limited to (i) estimated economic | 14 |
| development project costs, (ii)
the sources of funds to pay | 15 |
| those costs, (iii) the nature and term of any
obligations to be | 16 |
| issued by the county to pay those costs,
(iv) the most recent | 17 |
| equalized assessed valuation of the economic
development | 18 |
| project area, (v) an estimate of the equalized assessed
| 19 |
| valuation of the economic development project area after | 20 |
| completion of an
economic development project, (vi) the | 21 |
| estimated date of completion of any
economic development | 22 |
| project proposed to be undertaken, (vii) a general
description | 23 |
| of any proposed developer, user, or tenant of any property to
| 24 |
| be located or improved within the economic development project |
|
|
|
09300HB6583ham001 |
- 2 - |
LRB093 18627 MKM 48336 a |
|
| 1 |
| area, (viii)
a description of the type, structure, and general | 2 |
| character of the
facilities to be developed or improved, (ix) a | 3 |
| report, which may be in
preliminary form, of an independent | 4 |
| engineer, architect, or other
professional indicating that any | 5 |
| proposed manufacturing, industrial,
research, or similar | 6 |
| facility included in a proposed economic development
project | 7 |
| for a proposed economic development project area uses proven
| 8 |
| technology or uses innovative technology for which there is | 9 |
| reasonable
evidence of technological feasibility, (x) a | 10 |
| description of the general land
uses to apply in the economic | 11 |
| development project area, (xi) a description
of the type, | 12 |
| class, and number of employees to be employed in the operation
| 13 |
| of the facilities to be developed or improved, and (xii) a | 14 |
| commitment by the
county to fair employment practices and an | 15 |
| affirmative
action plan with respect to any economic | 16 |
| development program to be
undertaken by the county.
| 17 |
| (b) "Economic development project" means any development | 18 |
| project in
furtherance of the objectives of this Act.
| 19 |
| (c) "Economic development project area" means any improved | 20 |
| or vacant
area that (i) is located in a county of significant | 21 |
| unemployment as defined
in subsection (e) of this Section, (ii) | 22 |
| is contiguous, (iii) is not less in
the aggregate than 5000 | 23 |
| acres, (iv) is suitable for siting by a commercial,
| 24 |
| manufacturing, industrial, research, or transportation | 25 |
| enterprise or
facilities to include but not be limited to | 26 |
| commercial businesses, offices,
factories, mills, processing | 27 |
| plants, industrial or commercial distribution
centers, | 28 |
| warehouses, repair overhaul or service facilities, freight
| 29 |
| terminals, research facilities, test facilities, or | 30 |
| transportation
facilities, regardless of whether the area has | 31 |
| been used at any time for
those facilities and regardless of | 32 |
| whether the area has been used or is
suitable for other uses, | 33 |
| including commercial agricultural purposes, and
(v) has been | 34 |
| approved and certified by the corporate authorities of the
|
|
|
|
09300HB6583ham001 |
- 3 - |
LRB093 18627 MKM 48336 a |
|
| 1 |
| county pursuant to this Act.
| 2 |
| (d) "Economic development project costs" means and | 3 |
| includes the total
of all reasonable or necessary costs | 4 |
| incurred or to be incurred by a
county or by a nongovernmental | 5 |
| person pursuant to an
economic development project, including, | 6 |
| without limitation, the following:
| 7 |
| (1) Costs of studies, surveys, development of plans and
| 8 |
| specifications, and implementation and administration of | 9 |
| an economic
development plan and personnel and | 10 |
| professional service costs for
architectural, engineering, | 11 |
| legal, marketing, financial, planning, police,
fire, | 12 |
| public works, or other services. No charges for | 13 |
| professional
services, however, may be based on a | 14 |
| percentage of incremental tax revenues.
| 15 |
| (2) Property assembly costs within an economic | 16 |
| development project
area, including but not limited to | 17 |
| acquisition of land and other real or
personal property or | 18 |
| rights or interests in property.
| 19 |
| (3) Site preparation costs, including but not limited | 20 |
| to clearance of
any area within an economic development | 21 |
| project area by demolition or
removal of any existing | 22 |
| buildings, structures, fixtures, utilities, and
| 23 |
| improvements and clearing and grading; and including | 24 |
| installation, repair,
construction, reconstruction, or | 25 |
| relocation of public streets, public
utilities, and other | 26 |
| public site improvements located outside the boundaries
of | 27 |
| an economic development project area that are essential to | 28 |
| the
preparation of the economic development project area | 29 |
| for use in accordance
with an economic development plan.
| 30 |
| (4) Costs of renovation, rehabilitation, | 31 |
| reconstruction, relocation,
repair, or remodeling of any | 32 |
| existing buildings, improvements, and fixtures
within an | 33 |
| economic development project area.
| 34 |
| (5) Costs of installation or construction within an |
|
|
|
09300HB6583ham001 |
- 4 - |
LRB093 18627 MKM 48336 a |
|
| 1 |
| economic
development project area of any buildings, | 2 |
| structures, works, streets,
improvements, utilities, or | 3 |
| fixtures, whether publicly or privately owned
or operated.
| 4 |
| (6) Financing costs, including but not limited to all | 5 |
| necessary and
incidental expenses related to the issuance | 6 |
| of obligations, payment of any
interest on any obligations | 7 |
| issued under this Act that accrues during the
estimated | 8 |
| period of construction of any economic development project | 9 |
| for
which the obligations are issued and for not more than | 10 |
| 36 months
after that period, and any reasonable reserves | 11 |
| related to the issuance
of the obligations.
| 12 |
| (7) All or a portion of a taxing district's capital | 13 |
| costs resulting
from an economic development project | 14 |
| necessarily incurred or estimated to
be incurred by a | 15 |
| taxing district in the furtherance of the objectives of an
| 16 |
| economic development project, to the extent that the county | 17 |
| by written
agreement accepts and approves those costs.
| 18 |
| (8) Relocation costs to the extent that a county
| 19 |
| determines that relocation costs shall be paid or is | 20 |
| required to pay
relocation costs by federal or State law.
| 21 |
| (9) The estimated tax revenues from real property in an | 22 |
| economic
development project area acquired by a county | 23 |
| that, according to the
economic development plan, is to be | 24 |
| used for a private use (i) that any
taxing district would | 25 |
| have received had the county not adopted tax
increment | 26 |
| allocation financing for an economic development project | 27 |
| area and
(ii) that would result from the taxing district's | 28 |
| levies made after the
time of the adoption by the county of | 29 |
| tax increment allocation financing to
the time the current | 30 |
| equalized assessed value of real property in the
economic | 31 |
| development project area exceeds the total initial | 32 |
| equalized value
of real property.
| 33 |
| (10) Costs of rebating ad valorem taxes paid by any | 34 |
| developer or other
nongovernmental person in whose name the |
|
|
|
09300HB6583ham001 |
- 5 - |
LRB093 18627 MKM 48336 a |
|
| 1 |
| general taxes were paid for the
last preceding year on any | 2 |
| lot, block, tract, or parcel of land in the
economic | 3 |
| development project area, provided that:
| 4 |
| (A) the economic development project area is | 5 |
| located in an
enterprise zone created under the | 6 |
| Illinois Enterprise Zone Act;
| 7 |
| (B) the ad valorem taxes shall be rebated only in | 8 |
| amounts and
for a tax year or years as the county and | 9 |
| any one or more affected taxing
districts have agreed | 10 |
| by prior written agreement;
| 11 |
| (C) any amount of rebate of taxes shall not exceed | 12 |
| the portion, if
any, of taxes levied by the county or | 13 |
| taxing district or districts that is
attributable to | 14 |
| the increase in the current equalized assessed | 15 |
| valuation of
each taxable lot, block, tract, or parcel | 16 |
| of real property in the economic
development project | 17 |
| area over and above the initial equalized assessed
| 18 |
| value of each property existing at the time property | 19 |
| tax allocation
financing was adopted for the economic | 20 |
| development project area; and
| 21 |
| (D) costs of rebating ad valorem taxes shall be | 22 |
| paid by a county
solely from the special tax allocation | 23 |
| fund established under this Act and
shall not be paid | 24 |
| from the proceeds of any obligations issued by a | 25 |
| county.
| 26 |
| (11) Costs of job training or advanced vocational or | 27 |
| career education,
including but not limited to courses in | 28 |
| occupational, semi-technical, or
technical fields leading | 29 |
| directly to employment, incurred by one or more
taxing | 30 |
| districts, but only if the costs are related to the | 31 |
| establishment
and maintenance of additional job training, | 32 |
| advanced vocational education,
or career education | 33 |
| programs for persons employed or to be employed by
| 34 |
| employers located in the economic development project area |
|
|
|
09300HB6583ham001 |
- 6 - |
LRB093 18627 MKM 48336 a |
|
| 1 |
| and only if,
when the costs are incurred by a taxing | 2 |
| district or taxing districts other
than the county, they | 3 |
| shall be set forth in a written agreement by or among
the | 4 |
| county and the taxing district or taxing districts that | 5 |
| describes the
program to be undertaken, including without | 6 |
| limitation the number of
employees to be trained, a | 7 |
| description of the training and services to be
provided, | 8 |
| the number and type of positions available or to be | 9 |
| available,
itemized costs of the program and sources of | 10 |
| funds to pay the costs, and
the term of the agreement. | 11 |
| These costs include, specifically, the payment
by | 12 |
| community college districts of costs pursuant to Sections | 13 |
| 3-37, 3-38,
3-40 and 3-40.1 of the Public Community College | 14 |
| Act and by school districts
of costs pursuant to Sections | 15 |
| 10-22.20 and 10-23.3a of the School Code.
| 16 |
| (12) Private financing costs incurred by a developer or | 17 |
| other
nongovernmental person in connection with an | 18 |
| economic development
project, provided that:
| 19 |
| (A) private financing costs shall be paid or | 20 |
| reimbursed by a
county only pursuant to the prior | 21 |
| official action of the county evidencing
an intent to | 22 |
| pay or reimburse such private financing costs;
| 23 |
| (B) except as provided in subparagraph (D), the | 24 |
| aggregate amount of
the costs paid or reimbursed by a | 25 |
| county in any one year shall
not exceed 30% of the | 26 |
| costs paid or incurred by the developer or other
| 27 |
| nongovernmental person in that year;
| 28 |
| (C) private financing costs shall be paid or | 29 |
| reimbursed by a
county solely from the special tax | 30 |
| allocation fund established under this
Act and shall | 31 |
| not be paid from the proceeds of any obligations issued | 32 |
| by
a county; and
| 33 |
| (D) if there are not sufficient funds available in | 34 |
| the special tax
allocation fund in any year to make the |
|
|
|
09300HB6583ham001 |
- 7 - |
LRB093 18627 MKM 48336 a |
|
| 1 |
| payment or reimbursement in full,
any amount of the | 2 |
| interest costs remaining to be paid or reimbursed by a
| 3 |
| county shall accrue and be payable when funds are | 4 |
| available
in the special tax allocation fund to make | 5 |
| the payment.
| 6 |
| (e) "A county with significant unemployment" means a county
| 7 |
| in which the average annual unemployment rate for the previous | 8 |
| calendar
year equaled or exceeded 12%. For purposes of this | 9 |
| subsection, the
unemployment rate of a county shall be the rate | 10 |
| as certified by the
Illinois Department of Employment Security.
| 11 |
| (f) "Obligations" means any instrument evidencing the | 12 |
| obligation of a
county to pay money, including without | 13 |
| limitation bonds, notes, installment
or financing contracts, | 14 |
| certificates, tax anticipation warrants or notes,
vouchers, | 15 |
| and any other evidence of indebtedness.
| 16 |
| (g) "Taxing districts" means counties, townships, and | 17 |
| school, road,
park, sanitary, mosquito abatement, forest | 18 |
| preserve, public health, fire
protection, river conservancy, | 19 |
| tuberculosis sanitarium, and any other
districts or other | 20 |
| municipal corporations with the power to levy taxes.
| 21 |
| (Source: P.A. 87-1.)".
|
|