Full Text of HB0666 94th General Assembly
HB0666eng 94TH GENERAL ASSEMBLY
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| AN ACT concerning revenue.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Property Tax Code is amended by changing | 5 |
| Sections 21-250, 21-251, and 21-260 and by adding Section | 6 |
| 21-253 as follows:
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| (35 ILCS 200/21-250)
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| Sec. 21-250. Certificate of purchase. The county clerk | 9 |
| shall make out and
deliver to the purchaser of any property | 10 |
| sold under Section 21-205, a
certificate of purchase | 11 |
| countersigned by the collector, describing the property
sold, | 12 |
| the date of sale, the amount of taxes, special assessments, | 13 |
| interest and
cost for which they were sold and that payment of | 14 |
| the sale price has been made.
If any person becomes the | 15 |
| purchaser of more than one property owned by one
party or | 16 |
| person, the purchaser may have the whole or one or more of them
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| included in one certificate, but separate certificates shall be | 18 |
| issued in all
other cases. A certificate of purchase shall be | 19 |
| assignable by endorsement , provided that any assignment of a | 20 |
| certificate of purchase from a scavenger sale must be made in | 21 |
| accordance with Sections 21-251 and 21-253 . An
assignment shall | 22 |
| vest in the assignee or his or her legal representatives, all
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| the right and title of the original purchaser. The changes made | 24 |
| by this amendatory Act of the 94th General Assembly apply only | 25 |
| to certificates originally purchased after the effective date | 26 |
| of this amendatory Act of the 94th General Assembly.
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| If the tax certificate is lost or destroyed, the county | 28 |
| clerk
shall issue a duplicate certificate upon written request | 29 |
| and a sworn affidavit
by the tax sale purchaser, or his or her | 30 |
| assignee, that the tax certificate is
lost or destroyed.
The | 31 |
| county clerk shall cause a notation to be made
in the tax sale | 32 |
| and judgment book that a duplicate certificate has been issued,
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| and redemption payments shall be made only to the holder of the | 2 |
| duplicate
certificate.
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| (Source: P.A. 88-455; 89-617, eff. 9-1-96.)
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| (35 ILCS 200/21-251)
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| Sec. 21-251. Registry of owners of certificates of | 6 |
| purchase.
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| (a) The county clerk of each county shall create and | 8 |
| maintain a registry
system that permanently records the names, | 9 |
| addresses, and telephone numbers of
owners or assignees of | 10 |
| certificates of purchase issued pursuant to any tax sale
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| conducted under this Code. The registry may consist of a single | 12 |
| record or a
combination of records maintained in paper or | 13 |
| electronic form and may include
copies of records kept by the | 14 |
| county treasurer for other purposes, all to be
used as the | 15 |
| county clerk deems appropriate to carry out the purposes of | 16 |
| this
Section. The information in the registry shall be made | 17 |
| available to the public.
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| (b) The county clerk of each county is authorized to | 19 |
| promulgate reasonable
rules, procedures, and forms for | 20 |
| purposes of creating and maintaining the
registry and for | 21 |
| access to the registry information by members of the public.
In | 22 |
| counties with 3,000,000 or more inhabitants, any owner of a | 23 |
| certificate of
purchase pursuant to assignment may elect | 24 |
| whether to register that assignment
as provided in this | 25 |
| Section, but all owners of certificates of purchase shall
be | 26 |
| subject to the provisions of subsection (d) of this Section. | 27 |
| The registration of assignments of certificates of purchase | 28 |
| from a scavenger sale in counties of 3,000,000 or more | 29 |
| inhabitants is mandatory, and any attempted assignment without | 30 |
| registration as provided in this Section is null and void. In | 31 |
| counties
with less than 3,000,000 inhabitants, the county clerk | 32 |
| shall provide by rule
whether registration of assignments of | 33 |
| certificates of purchase shall be
elective or mandatory.
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| (c) The owner of a certificate of purchase pursuant to | 35 |
| assignment, in order
to register that assignment, shall submit |
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| to the county clerk the owner's name,
address, and telephone | 2 |
| number in accordance with any rules, procedures, and
forms | 3 |
| promulgated by the clerk. Any registered owner of a certificate | 4 |
| of
purchase may update the registration at any time without | 5 |
| charge by submitting
to the county clerk any lawful change of | 6 |
| name, address, or telephone number.
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| (d) If notice is required to be given to the owner of the | 8 |
| certificate of
purchase in any proceeding, whether judicial or | 9 |
| administrative, affecting a tax
sale conducted under any | 10 |
| provision of this Code, the notice may be directed to
the most | 11 |
| recent owner of the certificate of purchase appearing in the | 12 |
| county
clerk's registry under this Section. Any notice that has | 13 |
| been directed as
provided in this Section shall be conclusively | 14 |
| presumed to be properly directed
to the owner of the | 15 |
| certificate of purchase for all purposes related to the
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| proceeding in which the notice is given. No objection or | 17 |
| assertion by any
assignee of a certificate of purchase in any | 18 |
| proceeding shall be heard on
grounds that a notice to the tax | 19 |
| purchaser was misdirected, unless that
assignee's current and | 20 |
| lawful name, address, and telephone number were
submitted to | 21 |
| the county clerk's registry at the time of the notice in | 22 |
| question.
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| (e) The county clerk may assess an automation fee of no | 24 |
| more than $50 in counties of 3,000,000 or more inhabitants and | 25 |
| no more than $10 in all other counties to be
paid by the owner | 26 |
| of the certificate of purchase for each assignment of the
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| certificate that is registered under this Section , unless the | 28 |
| owner of the certificate is a governmental unit . The fee shall | 29 |
| be collected
in the same manner as other fees and costs and | 30 |
| shall be held by the county
clerk in a fund for purposes of | 31 |
| automating his or her office. The fee provided
for under this | 32 |
| Section shall not be chargeable to the cost of redemption under
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| Section 21-355 nor shall it be posted under Section 21-360 of | 34 |
| this Code. | 35 |
| (f) The changes made by this amendatory Act of the 94th | 36 |
| General Assembly apply only to certificates originally |
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| purchased after the effective date of this amendatory Act of | 2 |
| the 94th General Assembly.
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| (Source: P.A. 92-729, eff. 7-25-02.)
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| (35 ILCS 200/21-253 new) | 5 |
| Sec. 21-253. Assignment or transfer of scavenger sale | 6 |
| certificates of purchase. | 7 |
| (a) No owner of a certificate of purchase from a scavenger | 8 |
| sale may assign, convey, or otherwise transfer or contract to | 9 |
| transfer an ownership or other interest in the certificate to | 10 |
| any other person except as provided in this Section, unless the | 11 |
| assignment, conveyance, or transfer is made: | 12 |
| (1) by or to a unit of local government or other taxing | 13 |
| district; | 14 |
| (2) to secure a debt or other obligation or to release | 15 |
| the certificate from securing a debt or other obligation; | 16 |
| (3) pursuant to a merger, consolidation, or transfer or | 17 |
| sale of substantially all of the assets of a corporation | 18 |
| under plans of reorganization under the federal Internal | 19 |
| Revenue Code of 1986 or the federal Bankruptcy Code; | 20 |
| (4) by a subsidiary corporation to its parent | 21 |
| corporation for no consideration other than
the | 22 |
| cancellation or surrender of the subsidiary's stock; or | 23 |
| (5) in connection with the procedures provided by law | 24 |
| for redemption or obtaining a tax
deed. | 25 |
| (b) Any person, except a unit of local government or other | 26 |
| taxing district, seeking to acquire an interest in a scavenger | 27 |
| sale certificate of purchase under this Section is subject to | 28 |
| the provisions of Sections 21-265, 21-275, 21-280, 21-285, and | 29 |
| 21-290. Provided, that references in those provisions to bids | 30 |
| at the sale conducted by the county collector and registration | 31 |
| therefor shall, for purposes of this Section, be construed to | 32 |
| refer to acquisition of scavenger sale certificates by | 33 |
| assignment and registration of such assignments with the county | 34 |
| clerk. No assignment may be completed or registered unless the | 35 |
| person who will be the owner of the certificate pursuant to the |
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| assignment has first executed and delivered to the county clerk | 2 |
| a true and complete application for certificate of purchase in | 3 |
| a form prescribed by the clerk based on the form provided in | 4 |
| Section 21-275.
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| (c) The county clerk is authorized to promulgate reasonable | 6 |
| rules, procedures, and forms for purposes of this Section. | 7 |
| Nothing in this Section shall be construed to affect the rights | 8 |
| and duties of persons redeeming from a scavenger sale.
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| (d) This Section applies only to certificates originally | 10 |
| purchased after the effective date of this amendatory Act of | 11 |
| the 94th General Assembly.
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| (35 ILCS 200/21-260)
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| Sec. 21-260. Collector's scavenger sale. Upon the county | 14 |
| collector's
application under Section 21-145, to be known as | 15 |
| the Scavenger Sale
Application, the Court shall enter judgment | 16 |
| for the general taxes, special
taxes, special assessments, | 17 |
| interest, penalties and costs as are included in
the | 18 |
| advertisement and appear to be due thereon after allowing an | 19 |
| opportunity to
object and a hearing upon the objections as | 20 |
| provided in Section 21-175, and
order those properties sold by | 21 |
| the County Collector at public sale to the
highest bidder for | 22 |
| cash, notwithstanding the bid may be less than the full
amount | 23 |
| of taxes, special taxes, special assessments, interest, | 24 |
| penalties and
costs for which judgment has been entered.
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| (a) Conducting the sale - Bidding. All properties shall be | 26 |
| offered for
sale in consecutive order as they appear in the | 27 |
| delinquent list. The minimum
bid for any property shall be $500
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| $250 or one-half of the tax if the total
liability is less than | 29 |
| $1,000
$500 . The successful bidder shall immediately pay the
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| amount of minimum bid to the County Collector in cash, by | 31 |
| certified or
cashier's check, by money order, or, if the
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| successful bidder is a governmental unit, by a check issued by | 33 |
| that
governmental unit. If the bid exceeds the minimum bid, the
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| successful bidder shall pay the balance of the bid to the | 35 |
| county collector in
cash, by certified or cashier's check, by |
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| money order, or, if the
successful bidder is a governmental | 2 |
| unit, by a check issued by that
governmental unit
by the close | 3 |
| of the
next business day. If the minimum bid is not paid at the | 4 |
| time of sale or if
the balance is not paid by the close of the | 5 |
| next business day, then the sale is
void and the minimum bid, | 6 |
| if paid, is forfeited to the county general fund. In
that | 7 |
| event, the property shall be reoffered for sale within 30 days | 8 |
| of the last
offering of property in regular order. The | 9 |
| collector shall make available to
the public a list of all | 10 |
| properties to be included in any reoffering due to the
voiding | 11 |
| of the original sale. The collector is not required to serve or
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| publish any other notice of the reoffering of those properties. | 13 |
| In the event
that any of the properties are not sold upon | 14 |
| reoffering, or are sold for less
than the amount of the | 15 |
| original voided sale, the original bidder who failed to
pay the | 16 |
| bid amount shall remain liable for the unpaid balance of the | 17 |
| bid in an
action under Section 21-240. Liability shall not be | 18 |
| reduced where the bidder
upon reoffering also fails to pay the | 19 |
| bid amount, and in that event both
bidders shall remain liable | 20 |
| for the unpaid balance of their respective bids. A
sale of | 21 |
| properties under this Section shall not be final until | 22 |
| confirmed by the
court.
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| (b) Confirmation of sales. The county collector shall file | 24 |
| his or her
report of sale in the court within 30 days of the | 25 |
| date of sale of each
property. No notice of the county | 26 |
| collector's application to confirm the sales
shall be required | 27 |
| except as prescribed by rule of the court. Upon
confirmation, | 28 |
| except in cases where the sale becomes void under Section | 29 |
| 22-85,
or in cases where the order of confirmation is vacated | 30 |
| by the court, a sale
under this Section shall extinguish the in | 31 |
| rem lien of the general taxes,
special taxes and special | 32 |
| assessments for which judgment has been entered and a
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| redemption shall not revive the lien. Confirmation of the sale | 34 |
| shall in no
event affect the owner's personal liability to pay | 35 |
| the taxes, interest and
penalties as provided in this Code or | 36 |
| prevent institution of a proceeding under
Section 21-440 to |
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| collect any amount that may remain
due after the sale.
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| (c) Issuance of tax sale certificates. Upon confirmation of | 3 |
| the sale the
County Clerk and the County Collector shall issue | 4 |
| to the purchaser a
certificate of purchase in the form | 5 |
| prescribed by Section 21-250 as near as may
be. A certificate | 6 |
| of purchase shall not be issued to any person who is
ineligible | 7 |
| to bid at the sale or to receive a certificate of purchase | 8 |
| under
Section 21-265. The certificate of purchase and the | 9 |
| interest of the purchaser that it represents are subject to | 10 |
| Sections 21-251 and 21-253.
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| (d) Scavenger Tax Judgment, Sale and Redemption Record - | 12 |
| Sale of
parcels not sold. The county collector shall prepare a | 13 |
| Scavenger Tax Judgment,
Sale and Redemption Record. The county | 14 |
| clerk shall write or stamp on the
scavenger tax judgment, sale, | 15 |
| forfeiture and redemption record opposite the
description of | 16 |
| any property offered for sale and not sold, or not confirmed | 17 |
| for
any reason, the words "offered but not sold". The | 18 |
| properties which are offered
for sale under this Section and | 19 |
| not sold or not confirmed shall be offered for
sale annually | 20 |
| thereafter in the manner provided in this Section until sold,
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| except in the case of mineral rights, which after 10 | 22 |
| consecutive years of
being offered for sale under this Section | 23 |
| and not sold or confirmed shall
no longer be required to be | 24 |
| offered for sale. At
any time between annual sales the County | 25 |
| Collector may advertise for sale any
properties subject to sale | 26 |
| under judgments for sale previously entered under
this Section | 27 |
| and not executed for any reason. The advertisement and sale | 28 |
| shall
be regulated by the provisions of this Code as far as | 29 |
| applicable.
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| (e) Proceeding to tax deed. The owner of the certificate of | 31 |
| purchase shall
give notice as required by Sections 22-5 through | 32 |
| 22-30, and may extend the
period of redemption as provided by | 33 |
| Section 21-385. At any time within 5 months
prior to expiration | 34 |
| of the period of redemption from a sale under this Code,
the | 35 |
| owner of a certificate of purchase may file a petition and may | 36 |
| obtain a tax
deed under Sections 22-30 through 22-55. All |
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| proceedings for the issuance of
a tax deed and all tax deeds | 2 |
| for properties sold under this Section shall be
subject to | 3 |
| Sections 22-30 through 22-55. Deeds issued under this Section | 4 |
| are
subject to Section 22-70. This Section shall be liberally | 5 |
| construed so that the deeds provided for in this Section convey | 6 |
| merchantable title.
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| (f) Redemptions from scavenger sales. Redemptions may be | 8 |
| made from sales
under this Section in the same manner and upon | 9 |
| the same terms and conditions as
redemptions from sales made | 10 |
| under the County Collector's annual application for
judgment | 11 |
| and order of sale, except that in lieu of penalty the person | 12 |
| redeeming
shall pay interest as follows if the sale occurs | 13 |
| before September 9, 1993:
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| (1) If redeemed within the first 2 months from the date | 15 |
| of the sale, 3%
per month or portion thereof upon the | 16 |
| amount for which the property was sold;
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| (2) If redeemed between 2 and 6 months from the date of | 18 |
| the sale, 12% of
the amount for which the property was | 19 |
| sold;
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| (3) If redeemed between 6 and 12 months from the date | 21 |
| of the sale, 24%
of the amount for which the property was | 22 |
| sold;
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| (4) If redeemed between 12 and 18 months from the date | 24 |
| of the sale, 36% of
the amount for which the property was | 25 |
| sold;
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| (5) If redeemed between 18 and 24 months from the date | 27 |
| of the sale, 48%
of the amount for which the property was | 28 |
| sold;
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| (6) If redeemed after 24 months from the date of sale, | 30 |
| the 48% herein
provided together with interest at 6% per | 31 |
| year thereafter.
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| If the sale occurs on or after September 9,
1993, the | 33 |
| person redeeming shall pay interest on that part of the amount | 34 |
| for
which the property was sold equal to or less than the full | 35 |
| amount of delinquent
taxes, special assessments, penalties, | 36 |
| interest, and costs, included in the
judgment and order of sale |
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| as follows:
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| (1) If redeemed within the first 2 months from the date | 3 |
| of the sale,
3% per month upon the amount of taxes, special | 4 |
| assessments, penalties,
interest, and costs due for each of | 5 |
| the first 2 months, or fraction thereof.
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| (2) If redeemed at any time between 2 and 6 months from | 7 |
| the date of
the sale, 12% of the amount of taxes, special | 8 |
| assessments, penalties, interest,
and costs due.
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| (3) If redeemed at any time between 6 and 12 months | 10 |
| from the date of the
sale, 24% of the amount of taxes, | 11 |
| special assessments, penalties, interest, and
costs due.
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| (4) If redeemed at any time between 12 and 18 months | 13 |
| from the date
of the sale, 36% of the amount of taxes, | 14 |
| special assessments, penalties,
interest, and costs due.
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| (5) If redeemed at any time between 18 and 24 months | 16 |
| from the date
of the sale, 48% of the amount of taxes, | 17 |
| special assessments, penalties,
interest, and costs due.
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| (6) If redeemed after 24 months from the date of sale, | 19 |
| the 48%
provided for the 24 months together with interest | 20 |
| at 6% per annum thereafter on
the amount of taxes, special | 21 |
| assessments, penalties, interest, and costs due.
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| The person redeeming shall not be required to pay any | 23 |
| interest on any part
of the amount for which the property was | 24 |
| sold that exceeds the full amount of
delinquent taxes, special | 25 |
| assessments, penalties, interest, and costs included
in the | 26 |
| judgment and order of sale.
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| Notwithstanding any other provision of this Section, | 28 |
| except for
owner-occupied single family residential units | 29 |
| which are condominium units,
cooperative units or dwellings, | 30 |
| the amount required to be paid for redemption
shall also | 31 |
| include an amount equal to all delinquent taxes on the property
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| which taxes were delinquent at the time of sale. The delinquent | 33 |
| taxes shall be
apportioned by the county collector among the | 34 |
| taxing districts in which the
property is situated in | 35 |
| accordance with law. In the event that all moneys
received from | 36 |
| any sale held under this Section exceed an amount equal to all
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| delinquent taxes on the property sold, which taxes were | 2 |
| delinquent at the time
of sale, together with all publication | 3 |
| and other costs associated with the
sale, then, upon | 4 |
| redemption, the County Collector and the County Clerk shall
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| apply the excess amount to the cost of redemption.
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| (g) Bidding by county or other taxing districts. Any taxing | 7 |
| district may
bid at a scavenger sale. The county board of the | 8 |
| county in which properties
offered for sale under this Section | 9 |
| are located may bid as trustee for all
taxing districts having | 10 |
| an interest in the taxes for the nonpayment of which
the | 11 |
| parcels are offered. The County shall apply on the bid the | 12 |
| unpaid taxes due
upon the property and no cash need be paid. | 13 |
| The County or other taxing district
acquiring a tax sale | 14 |
| certificate shall take all steps necessary to acquire
title to | 15 |
| the property and may manage and operate the property so | 16 |
| acquired.
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| When a county, or other taxing district within the county, | 18 |
| is a petitioner
for a tax deed, no filing fee shall be required | 19 |
| on the petition. The county as
a tax creditor and as trustee | 20 |
| for other tax creditors, or other taxing district
within the | 21 |
| county shall not be required to allege and prove that all taxes | 22 |
| and
special assessments which become due and payable after the | 23 |
| sale to the county
have been paid. The county shall not be | 24 |
| required to pay the subsequently
accruing taxes or special | 25 |
| assessments at any time. Upon the written request of
the county | 26 |
| board or its designee, the county collector shall not offer the
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| property for sale at any tax sale subsequent to the sale of the | 28 |
| property to the
county under this Section. The lien of taxes | 29 |
| and special assessments which
become due and payable after a | 30 |
| sale to a county shall merge in the fee title of
the county, or | 31 |
| other taxing district, on the issuance of a deed. The County | 32 |
| may
sell the properties so acquired, or the certificate of | 33 |
| purchase thereto, and
the proceeds of the sale shall be | 34 |
| distributed to the taxing districts in
proportion to their | 35 |
| respective interests therein. The presiding officer of the
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| county board, with the advice and consent of the County Board, |
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| may appoint some
officer or person to attend scavenger sales | 2 |
| and bid on its behalf.
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| (h) Miscellaneous provisions. In the event that the tract | 4 |
| of land or lot
sold at any such sale is not redeemed within the | 5 |
| time permitted by law and a
tax deed is issued, all moneys that | 6 |
| may be received from the sale of
properties in excess of the | 7 |
| delinquent taxes, together with all publication
and other costs | 8 |
| associated with the sale,
shall, upon petition of any | 9 |
| interested party to the court that issued the tax
deed, be | 10 |
| distributed by the County Collector pursuant to order of the | 11 |
| court
among the persons having legal or equitable interests in | 12 |
| the property according
to the fair value of their interests in | 13 |
| the tract or lot. Section 21-415 does
not apply to properties | 14 |
| sold under this Section.
Appeals may be taken from the orders | 15 |
| and judgments entered under this Section
as in other civil | 16 |
| cases. The remedy herein provided is in addition to other
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| remedies for the collection of delinquent taxes.
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| (Source: P.A. 90-514, eff. 8-22-97; 90-655, eff. 7-30-98; | 19 |
| 91-189, eff. 1-1-00.)
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| Section 99. Effective date. This Act takes effect upon | 21 |
| becoming law.
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