Full Text of SB2678 101st General Assembly
SB2678sam001 101ST GENERAL ASSEMBLY | Sen. William E. Brady Filed: 4/2/2020
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| 1 | | AMENDMENT TO SENATE BILL 2678
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 2678 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Illinois Municipal Code is amended by | 5 | | changing Sections 11-74.3-5 and 11-74.4-3 as follows: | 6 | | (65 ILCS 5/11-74.3-5) | 7 | | Sec. 11-74.3-5. Definitions. The following terms as used in | 8 | | this Law shall have the following meanings: | 9 | | "Blighted area" means an area that is a blighted area | 10 | | which, by reason of the predominance of defective, | 11 | | non-existent, or inadequate street layout, unsanitary or | 12 | | unsafe conditions, deterioration of site improvements, | 13 | | improper subdivision or obsolete platting, or the existence of | 14 | | conditions which endanger life or property by fire or other | 15 | | causes, or any combination of those factors, retards the | 16 | | provision of housing accommodations or constitutes an economic |
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| 1 | | or social liability, an economic underutilization of the area, | 2 | | or a menace to the public health, safety, morals, or welfare. | 3 | | "Business district" means a contiguous area which includes | 4 | | only parcels of real property directly and substantially | 5 | | benefited by the proposed business district plan. A business | 6 | | district may, but need not be, a blighted area, but no | 7 | | municipality shall be authorized to impose taxes pursuant to | 8 | | subsection (10) or (11) of Section 11-74.3-3 in a business | 9 | | district which has not been determined by ordinance to be a | 10 | | blighted area under this Law. | 11 | | "Business district plan" shall mean the written plan for | 12 | | the development or redevelopment of a business district. Each | 13 | | business district plan shall set forth in writing: (i) a | 14 | | specific description of the boundaries of the proposed business | 15 | | district, including a map illustrating the boundaries; (ii) a | 16 | | general description of each project proposed to be undertaken | 17 | | within the business district, including a description of the | 18 | | approximate location of each project and a description of any | 19 | | developer, user, or tenant of any property to be located or | 20 | | improved within the proposed business district; (iii) the name | 21 | | of the proposed business district; (iv) the estimated business | 22 | | district project costs; (v) the anticipated source of funds to | 23 | | pay business district project costs; (vi) the anticipated type | 24 | | and terms of any obligations to be issued; and (vii) the rate | 25 | | of any tax to be imposed pursuant to subsection (10) or (11) of | 26 | | Section 11-74.3-3 and the period of time for which the tax |
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| 1 | | shall be imposed. | 2 | | "Business district project costs" shall mean and include | 3 | | the sum total of all costs incurred by a municipality, other | 4 | | governmental entity, or nongovernmental person in connection | 5 | | with a business district, in the furtherance of a business | 6 | | district plan, including, without limitation, the following: | 7 | | (1) costs of studies, surveys, development of plans and | 8 | | specifications, implementation and administration of a | 9 | | business district plan, and personnel and professional | 10 | | service costs including architectural, engineering, legal, | 11 | | marketing, financial, planning, or other professional | 12 | | services, provided that no charges for professional | 13 | | services may be based on a percentage of tax revenues | 14 | | received by the municipality; | 15 | | (2) property assembly costs, including but not limited | 16 | | to, acquisition of land and other real or personal property | 17 | | or rights or interests therein, and specifically including | 18 | | payments to developers or other nongovernmental persons as | 19 | | reimbursement for property assembly costs incurred by that | 20 | | developer or other nongovernmental person; | 21 | | (3) site preparation costs, including but not limited | 22 | | to clearance, demolition or removal of any existing | 23 | | buildings, structures, fixtures, utilities, and | 24 | | improvements and clearing and grading of land; | 25 | | (4) costs of installation, repair, construction, | 26 | | reconstruction, extension, or relocation of public |
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| 1 | | streets, public utilities, and other public site | 2 | | improvements within or without the business district which | 3 | | are essential to the preparation of the business district | 4 | | for use in accordance with the business district plan, and | 5 | | specifically including payments to developers or other | 6 | | nongovernmental persons as reimbursement for site | 7 | | preparation costs incurred by the developer or | 8 | | nongovernmental person; | 9 | | (5) costs of renovation, rehabilitation, | 10 | | reconstruction, relocation, repair, or remodeling of any | 11 | | existing buildings, improvements, and fixtures within the | 12 | | business district, and specifically including payments to | 13 | | developers or other nongovernmental persons as | 14 | | reimbursement for costs incurred by those developers or | 15 | | nongovernmental persons; | 16 | | (6) costs of installation or construction within the | 17 | | business district of buildings, structures, works, | 18 | | streets, improvements, equipment, utilities, or fixtures, | 19 | | and specifically including payments to developers or other | 20 | | nongovernmental persons as reimbursements for such costs | 21 | | incurred by such developer or nongovernmental person; | 22 | | (7) financing costs, including but not limited to all | 23 | | necessary and incidental expenses related to the issuance | 24 | | of obligations, payment of any interest on any obligations | 25 | | issued under this Law that accrues during the estimated | 26 | | period of construction of any development or redevelopment |
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| 1 | | project for which those obligations are issued and for not | 2 | | exceeding 36 months thereafter, and any reasonable | 3 | | reserves related to the issuance of those obligations; and | 4 | | (8) relocation costs to the extent that a municipality | 5 | | determines that relocation costs shall be paid or is | 6 | | required to make payment of relocation costs by federal or | 7 | | State law ; and . | 8 | | (9) all or a portion of the operational expenses | 9 | | incurred or to be incurred by a tenant or owner of a | 10 | | privately owned commercial business enterprise having | 11 | | commenced commercial activities on or before March 9, 2020 | 12 | | within the redevelopment project area if the municipality, | 13 | | by resolution or ordinance, authorizes the same. The | 14 | | municipality is authorized to approve the reimbursement of | 15 | | operational expenses during, and for 91 days following the | 16 | | expiration of, the Gubernatorial Disaster Proclamation | 17 | | made by the Governor wherein all counties in the State of | 18 | | Illinois were declared disaster areas on March 9, 2020 in | 19 | | response to the severe acute respiratory syndrome | 20 | | coronavirus 2 (COVID-19) pandemic. As used in this | 21 | | paragraph, "operational expenses" include, but are not | 22 | | limited to, payroll expenses, payroll taxes, casualty | 23 | | insurance premiums of the business entity, workers' | 24 | | compensation insurance, unemployment insurance, real | 25 | | estate taxes, income taxes of the business entity, lease | 26 | | payments, mortgage principal and interest payments, the |
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| 1 | | acquisition of product inventory or supplies, and such | 2 | | other operational costs as may be reasonably determined by | 3 | | the municipality to be necessary for the continued | 4 | | operation of the business entity. | 5 | | "Business district tax allocation fund" means the special | 6 | | fund to be established by a municipality for a business | 7 | | district as provided in Section 11-74.3-6. | 8 | | "Dissolution date" means the date on which the business | 9 | | district tax allocation fund shall be dissolved. The | 10 | | dissolution date shall be not later than 270 days following | 11 | | payment to the municipality of the last distribution of taxes | 12 | | as provided in Section 11-74.3-6.
| 13 | | (Source: P.A. 99-452, eff. 1-1-16.)
| 14 | | (65 ILCS 5/11-74.4-3) (from Ch. 24, par. 11-74.4-3)
| 15 | | Sec. 11-74.4-3. Definitions. The following terms, wherever | 16 | | used or
referred to in this Division 74.4 shall have the | 17 | | following respective meanings,
unless in any case a different | 18 | | meaning clearly appears from the context.
| 19 | | (a) For any redevelopment project area that has been | 20 | | designated pursuant
to this
Section by an ordinance adopted | 21 | | prior to November 1, 1999 (the effective
date of Public Act
| 22 | | 91-478), "blighted area" shall have the meaning set
forth in | 23 | | this Section
prior to that date.
| 24 | | On and after November 1, 1999,
"blighted area" means any | 25 | | improved or vacant area within the boundaries
of a |
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| 1 | | redevelopment project area located within the territorial | 2 | | limits of
the municipality where:
| 3 | | (1) If improved, industrial, commercial, and | 4 | | residential buildings or
improvements are detrimental to | 5 | | the public safety, health, or welfare
because of a | 6 | | combination of 5 or more of the following factors, each of | 7 | | which
is (i) present, with that presence documented, to a | 8 | | meaningful extent so
that a municipality may reasonably | 9 | | find that the factor is clearly
present within the intent | 10 | | of the Act and (ii) reasonably distributed throughout
the | 11 | | improved part of the redevelopment project area:
| 12 | | (A) Dilapidation. An advanced state of disrepair | 13 | | or neglect of
necessary
repairs to the primary | 14 | | structural components of buildings or improvements in
| 15 | | such a combination that a documented building | 16 | | condition analysis determines
that major repair is | 17 | | required or the defects are so serious and so extensive
| 18 | | that the buildings must be removed.
| 19 | | (B) Obsolescence. The condition or process of | 20 | | falling into disuse.
Structures have become ill-suited | 21 | | for the original use.
| 22 | | (C) Deterioration. With respect to buildings, | 23 | | defects
including, but not limited to, major defects in
| 24 | | the secondary building components such as doors, | 25 | | windows, porches, gutters and
downspouts, and fascia. | 26 | | With respect to surface improvements, that the
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| 1 | | condition of roadways, alleys, curbs, gutters, | 2 | | sidewalks, off-street parking,
and surface storage | 3 | | areas evidence deterioration, including, but not | 4 | | limited
to, surface cracking, crumbling, potholes, | 5 | | depressions, loose paving material,
and weeds | 6 | | protruding through paved surfaces.
| 7 | | (D) Presence of structures below minimum code | 8 | | standards. All structures
that do not meet the | 9 | | standards of zoning, subdivision, building, fire, and
| 10 | | other governmental codes applicable to property, but | 11 | | not including housing and
property maintenance codes.
| 12 | | (E) Illegal use of individual structures. The use | 13 | | of structures in
violation of applicable federal, | 14 | | State, or local laws, exclusive of those
applicable to | 15 | | the presence of structures below minimum code | 16 | | standards.
| 17 | | (F) Excessive vacancies. The presence of
buildings | 18 | | that are unoccupied or under-utilized and that | 19 | | represent an adverse
influence on the area because of | 20 | | the frequency, extent, or duration of the
vacancies.
| 21 | | (G) Lack of ventilation, light, or sanitary | 22 | | facilities. The absence of
adequate ventilation for | 23 | | light or air circulation in spaces or rooms without
| 24 | | windows, or that require the removal of dust, odor, | 25 | | gas, smoke, or other
noxious airborne materials. | 26 | | Inadequate natural light and ventilation means
the |
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| 1 | | absence of skylights or windows for interior spaces or | 2 | | rooms and improper
window sizes and amounts by room | 3 | | area to window area ratios. Inadequate
sanitary | 4 | | facilities refers to the absence or inadequacy of | 5 | | garbage storage and
enclosure,
bathroom facilities, | 6 | | hot water and kitchens, and structural inadequacies
| 7 | | preventing ingress and egress to and from all rooms and | 8 | | units within a
building.
| 9 | | (H) Inadequate utilities. Underground and overhead | 10 | | utilities
such as storm sewers and storm drainage, | 11 | | sanitary sewers, water lines, and
gas, telephone, and
| 12 | | electrical services that are shown to be inadequate. | 13 | | Inadequate utilities are
those that are: (i) of | 14 | | insufficient capacity to serve the uses in the
| 15 | | redevelopment project area, (ii) deteriorated,
| 16 | | antiquated, obsolete, or in disrepair, or (iii) | 17 | | lacking within the
redevelopment project area.
| 18 | | (I) Excessive land coverage and overcrowding of | 19 | | structures and community
facilities. The | 20 | | over-intensive use of property and the crowding of | 21 | | buildings
and accessory facilities onto a site. | 22 | | Examples of problem conditions
warranting the | 23 | | designation of an area as one exhibiting excessive land | 24 | | coverage
are: (i) the presence of buildings either | 25 | | improperly situated on parcels or
located
on parcels of | 26 | | inadequate size and shape in relation to present-day |
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| 1 | | standards of
development for health and safety and (ii) | 2 | | the presence of multiple buildings
on a
single parcel. | 3 | | For there to be a finding of excessive land coverage,
| 4 | | these parcels must exhibit one or more of the following | 5 | | conditions:
insufficient provision for
light and air | 6 | | within or around buildings, increased threat of spread | 7 | | of fire
due to the close proximity of buildings, lack | 8 | | of adequate or proper access to a
public right-of-way, | 9 | | lack of reasonably required off-street parking, or
| 10 | | inadequate provision for loading and service.
| 11 | | (J) Deleterious land use or layout. The existence | 12 | | of incompatible
land-use
relationships, buildings | 13 | | occupied by inappropriate mixed-uses, or uses
| 14 | | considered to be noxious, offensive, or unsuitable for | 15 | | the
surrounding area.
| 16 | | (K) Environmental clean-up. The proposed | 17 | | redevelopment project area
has incurred Illinois | 18 | | Environmental Protection Agency or United States
| 19 | | Environmental Protection Agency remediation costs for, | 20 | | or a study conducted by
an independent consultant | 21 | | recognized as having expertise in environmental
| 22 | | remediation has determined a need for, the
clean-up of | 23 | | hazardous
waste, hazardous substances, or underground | 24 | | storage tanks required by State or
federal law, | 25 | | provided that the remediation costs constitute a | 26 | | material
impediment to the development or |
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| 1 | | redevelopment of the redevelopment project
area.
| 2 | | (L) Lack of community planning. The proposed | 3 | | redevelopment project area
was
developed prior to or | 4 | | without the benefit or guidance of a community plan.
| 5 | | This means that the development occurred prior to the | 6 | | adoption by the
municipality of a comprehensive or | 7 | | other community plan or that the plan was
not followed | 8 | | at the time of the area's development. This factor must | 9 | | be
documented by evidence of adverse or incompatible | 10 | | land-use relationships,
inadequate street layout, | 11 | | improper subdivision, parcels of inadequate shape and
| 12 | | size to meet contemporary development standards, or | 13 | | other evidence
demonstrating
an absence of effective | 14 | | community planning.
| 15 | | (M) The total equalized assessed value of the | 16 | | proposed redevelopment
project area has declined for 3 | 17 | | of the last 5 calendar years
prior to the year in which | 18 | | the redevelopment project area is designated
or is | 19 | | increasing at an
annual rate that is less
than the | 20 | | balance of the municipality for 3 of the last 5 | 21 | | calendar years
for which
information is available or is | 22 | | increasing at an annual rate that is less than
the | 23 | | Consumer Price Index
for All Urban Consumers published | 24 | | by the United States Department of Labor or
successor | 25 | | agency for 3 of the last 5 calendar years
prior to the | 26 | | year in which the redevelopment project area is |
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| 1 | | designated.
| 2 | | (2) If vacant, the sound growth of the redevelopment | 3 | | project area
is impaired by a
combination of 2 or more of | 4 | | the following factors, each of which
is (i) present, with | 5 | | that presence documented, to a meaningful extent so
that
a | 6 | | municipality may reasonably find that the factor is clearly | 7 | | present
within the intent of the Act and (ii) reasonably | 8 | | distributed throughout the
vacant part of the
| 9 | | redevelopment project area to which it pertains:
| 10 | | (A) Obsolete platting of vacant land that results | 11 | | in parcels of
limited or
narrow size or configurations | 12 | | of parcels of irregular size or shape that would
be | 13 | | difficult to develop on
a planned basis and in a manner | 14 | | compatible with contemporary standards and
| 15 | | requirements, or platting that failed to create | 16 | | rights-of-ways for streets or
alleys or that created | 17 | | inadequate right-of-way widths for streets, alleys, or
| 18 | | other public rights-of-way or that omitted easements | 19 | | for public utilities.
| 20 | | (B) Diversity of ownership of parcels of vacant | 21 | | land sufficient in
number to
retard or impede the | 22 | | ability to assemble the land for development.
| 23 | | (C) Tax and special assessment delinquencies exist | 24 | | or the property has
been the subject of tax sales under | 25 | | the Property Tax Code within the last 5
years.
| 26 | | (D) Deterioration of structures or site |
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| 1 | | improvements in neighboring
areas adjacent to the | 2 | | vacant land.
| 3 | | (E) The area has incurred Illinois Environmental | 4 | | Protection Agency or
United States Environmental | 5 | | Protection Agency remediation costs for, or a study
| 6 | | conducted by an independent consultant recognized as | 7 | | having expertise in
environmental remediation has | 8 | | determined a need for, the
clean-up of hazardous
waste, | 9 | | hazardous substances, or underground storage tanks | 10 | | required by State or
federal law, provided that the | 11 | | remediation costs
constitute a material impediment to | 12 | | the development or redevelopment of
the
redevelopment | 13 | | project area.
| 14 | | (F) The total equalized assessed value of the | 15 | | proposed redevelopment
project area has declined for 3 | 16 | | of the last 5 calendar years
prior to the year in which | 17 | | the redevelopment project area is designated
or is | 18 | | increasing at an
annual rate that is less
than the | 19 | | balance of the municipality for 3 of the last 5 | 20 | | calendar years for
which information is available or is | 21 | | increasing at an annual rate that is less
than
the | 22 | | Consumer Price Index
for All Urban Consumers published | 23 | | by the United States Department of Labor or
successor | 24 | | agency for 3 of the last 5 calendar years
prior to the | 25 | | year in which the redevelopment project area is | 26 | | designated.
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| 1 | | (3) If vacant, the sound growth of the redevelopment | 2 | | project area is
impaired by one of the
following factors | 3 | | that (i) is present, with that presence documented, to a
| 4 | | meaningful extent so that a municipality may reasonably | 5 | | find that the factor is
clearly
present within the intent | 6 | | of the Act and (ii) is reasonably distributed
throughout | 7 | | the vacant part of the
redevelopment project area to which | 8 | | it pertains:
| 9 | | (A) The area consists of one or more unused | 10 | | quarries, mines, or strip
mine ponds.
| 11 | | (B) The area consists of unused rail yards, rail | 12 | | tracks, or railroad
rights-of-way.
| 13 | | (C) The area, prior to its designation, is subject | 14 | | to (i) chronic
flooding
that adversely impacts on real | 15 | | property in the area as certified by a
registered
| 16 | | professional engineer or appropriate regulatory agency | 17 | | or (ii) surface water
that
discharges from all or a | 18 | | part of the area and contributes to flooding within
the
| 19 | | same watershed, but only if the redevelopment project | 20 | | provides for facilities
or
improvements to contribute | 21 | | to the alleviation of all or part of the
flooding.
| 22 | | (D) The area consists of an unused or illegal | 23 | | disposal site containing
earth,
stone, building | 24 | | debris, or similar materials that were removed from
| 25 | | construction, demolition, excavation, or dredge sites.
| 26 | | (E) Prior to November 1, 1999, the area
is not less |
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| 1 | | than 50 nor more than 100 acres and 75%
of which is | 2 | | vacant (notwithstanding that the area has been used
for | 3 | | commercial agricultural purposes within 5 years prior | 4 | | to the designation
of the redevelopment project area), | 5 | | and the area meets at least one of
the factors itemized | 6 | | in paragraph (1) of this subsection, the area
has been | 7 | | designated as a town or village center by ordinance or | 8 | | comprehensive
plan adopted prior to January 1, 1982, | 9 | | and the area has not been developed
for that designated | 10 | | purpose.
| 11 | | (F) The area qualified as a blighted improved area | 12 | | immediately prior to
becoming vacant, unless there has | 13 | | been substantial private investment in the
immediately | 14 | | surrounding area.
| 15 | | (b) For any redevelopment project area that has been | 16 | | designated pursuant
to this
Section by an ordinance adopted | 17 | | prior to November 1, 1999 (the effective
date of Public Act
| 18 | | 91-478), "conservation area" shall have the meaning
set forth | 19 | | in this
Section prior to that date.
| 20 | | On and after November 1, 1999,
"conservation area" means | 21 | | any improved area within the boundaries
of a redevelopment | 22 | | project area located within the territorial limits of
the | 23 | | municipality in which 50% or more of the structures in the area | 24 | | have
an age of 35 years or more.
Such an area is not yet a | 25 | | blighted area but
because of a combination of 3 or more of the | 26 | | following factors is detrimental
to the public safety, health, |
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| 1 | | morals
or welfare and such an area may become a blighted area:
| 2 | | (1) Dilapidation. An advanced state of disrepair or | 3 | | neglect of
necessary
repairs to the primary structural | 4 | | components of buildings or improvements in
such a | 5 | | combination that a documented building condition analysis | 6 | | determines
that major repair is required or the defects are | 7 | | so serious and so extensive
that the buildings must be | 8 | | removed.
| 9 | | (2) Obsolescence. The condition or process of falling | 10 | | into disuse.
Structures have become ill-suited for the | 11 | | original use.
| 12 | | (3) Deterioration. With respect to buildings, defects
| 13 | | including, but not limited to, major defects in
the | 14 | | secondary building components such as doors, windows, | 15 | | porches, gutters and
downspouts, and fascia. With respect | 16 | | to surface improvements, that the
condition of roadways, | 17 | | alleys, curbs, gutters, sidewalks, off-street parking,
and | 18 | | surface storage areas evidence deterioration, including, | 19 | | but not limited
to, surface cracking, crumbling, potholes, | 20 | | depressions, loose paving material,
and weeds protruding | 21 | | through paved surfaces.
| 22 | | (4) Presence of structures below minimum code | 23 | | standards. All structures
that do not meet the standards of | 24 | | zoning, subdivision, building, fire, and
other | 25 | | governmental codes applicable to property, but not | 26 | | including housing and
property maintenance codes.
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| 1 | | (5) Illegal use of individual structures. The use of | 2 | | structures in
violation of applicable federal, State, or | 3 | | local laws, exclusive of those
applicable to the presence | 4 | | of structures below minimum code standards.
| 5 | | (6) Excessive vacancies. The presence of
buildings | 6 | | that are unoccupied or under-utilized and that represent an | 7 | | adverse
influence on the area because of the frequency, | 8 | | extent, or duration of the
vacancies.
| 9 | | (7) Lack of ventilation, light, or sanitary | 10 | | facilities. The absence of
adequate ventilation for light | 11 | | or air circulation in spaces or rooms without
windows, or | 12 | | that require the removal of dust, odor, gas, smoke, or | 13 | | other
noxious airborne materials. Inadequate natural light | 14 | | and ventilation means
the absence or inadequacy of | 15 | | skylights or windows for interior spaces or rooms
and | 16 | | improper
window sizes and amounts by room area to window | 17 | | area ratios. Inadequate
sanitary facilities refers to the | 18 | | absence or inadequacy of garbage storage and
enclosure,
| 19 | | bathroom facilities, hot water and kitchens, and | 20 | | structural inadequacies
preventing ingress and egress to | 21 | | and from all rooms and units within a
building.
| 22 | | (8) Inadequate utilities. Underground and overhead | 23 | | utilities
such as storm sewers and storm drainage, sanitary | 24 | | sewers, water lines, and gas,
telephone, and
electrical | 25 | | services that are shown to be inadequate. Inadequate | 26 | | utilities are
those that are: (i) of insufficient capacity |
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| 1 | | to serve the uses in the
redevelopment project area, (ii) | 2 | | deteriorated,
antiquated, obsolete, or in disrepair, or | 3 | | (iii) lacking within the
redevelopment project area.
| 4 | | (9) Excessive land coverage and overcrowding of | 5 | | structures and community
facilities. The over-intensive | 6 | | use of property and the crowding of buildings
and accessory | 7 | | facilities onto a site. Examples of problem conditions
| 8 | | warranting the designation of an area as one exhibiting | 9 | | excessive land coverage
are: the presence of buildings | 10 | | either improperly situated on parcels or located
on parcels | 11 | | of inadequate size and shape in relation to present-day | 12 | | standards of
development for health and safety and the | 13 | | presence of multiple buildings on a
single parcel. For | 14 | | there to be a finding of excessive land coverage,
these | 15 | | parcels must exhibit one or more of the following | 16 | | conditions:
insufficient provision for
light and air | 17 | | within or around buildings, increased threat of spread of | 18 | | fire
due to the close proximity of buildings, lack of | 19 | | adequate or proper access to a
public right-of-way, lack of | 20 | | reasonably required off-street parking, or
inadequate | 21 | | provision for loading and service.
| 22 | | (10) Deleterious land use or layout. The existence of | 23 | | incompatible
land-use
relationships, buildings occupied by | 24 | | inappropriate mixed-uses, or uses
considered to be | 25 | | noxious, offensive, or unsuitable for the
surrounding | 26 | | area.
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| 1 | | (11) Lack of community planning. The proposed | 2 | | redevelopment project area
was
developed prior to or | 3 | | without the benefit or guidance of a community plan.
This | 4 | | means that the development occurred prior to the adoption | 5 | | by the
municipality of a comprehensive or other community | 6 | | plan or that the plan was
not followed at the time of the | 7 | | area's development. This factor must be
documented by | 8 | | evidence of adverse or incompatible land-use | 9 | | relationships,
inadequate street layout, improper | 10 | | subdivision, parcels of inadequate shape and
size to meet | 11 | | contemporary development standards, or other evidence
| 12 | | demonstrating
an absence of effective community planning.
| 13 | | (12) The area has incurred Illinois Environmental | 14 | | Protection Agency or
United
States Environmental | 15 | | Protection Agency remediation costs for, or a study
| 16 | | conducted by an independent consultant recognized as | 17 | | having expertise in
environmental remediation has | 18 | | determined a need for, the clean-up of hazardous
waste, | 19 | | hazardous substances, or underground storage tanks | 20 | | required by State
or federal law, provided that the | 21 | | remediation costs constitute a material
impediment to the | 22 | | development or redevelopment of the redevelopment project
| 23 | | area.
| 24 | | (13) The total equalized assessed value of the proposed | 25 | | redevelopment
project area has declined for 3 of the last 5 | 26 | | calendar years
for which information is
available or is |
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| 1 | | increasing at an annual rate that is less than the balance | 2 | | of
the municipality for 3 of the last 5 calendar years for | 3 | | which information is
available or is increasing at an | 4 | | annual rate that is less
than the Consumer Price Index for | 5 | | All Urban Consumers published by the United
States | 6 | | Department of Labor or successor agency for 3 of the last 5 | 7 | | calendar
years for which information is available.
| 8 | | (c) "Industrial park" means an area in a blighted or | 9 | | conservation
area suitable for use by any manufacturing, | 10 | | industrial, research or
transportation enterprise, of | 11 | | facilities to include but not be limited to
factories, mills, | 12 | | processing plants, assembly plants, packing plants,
| 13 | | fabricating plants, industrial distribution centers, | 14 | | warehouses, repair
overhaul or service facilities, freight | 15 | | terminals, research facilities,
test facilities or railroad | 16 | | facilities.
| 17 | | (d) "Industrial park conservation area" means an area | 18 | | within the
boundaries of a redevelopment project area located | 19 | | within the territorial
limits of a municipality that is a labor | 20 | | surplus municipality or within 1
1/2 miles of the territorial | 21 | | limits of a municipality that is a labor
surplus municipality | 22 | | if the area is annexed to the municipality; which
area is zoned | 23 | | as industrial no later than at the time the municipality by
| 24 | | ordinance designates the redevelopment project area, and which | 25 | | area
includes both vacant land suitable for use as an | 26 | | industrial park and a
blighted area or conservation area |
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| 1 | | contiguous to such vacant land.
| 2 | | (e) "Labor surplus municipality" means a municipality in | 3 | | which, at any
time during the 6 months before the municipality | 4 | | by ordinance designates
an industrial park conservation area, | 5 | | the unemployment rate was over 6% and was
also 100% or more of | 6 | | the national average unemployment rate for that same
time as | 7 | | published in the United States Department of Labor Bureau of | 8 | | Labor
Statistics publication entitled "The Employment | 9 | | Situation" or its successor
publication. For the purpose of | 10 | | this subsection, if unemployment rate
statistics for the | 11 | | municipality are not available, the unemployment rate in
the | 12 | | municipality shall be deemed to be the same as the unemployment | 13 | | rate in
the principal county in which the municipality is | 14 | | located.
| 15 | | (f) "Municipality" shall mean a city, village, | 16 | | incorporated town, or a township that is located in the | 17 | | unincorporated portion of a county with 3 million or more | 18 | | inhabitants, if the county adopted an ordinance that approved | 19 | | the township's redevelopment plan.
| 20 | | (g) "Initial Sales Tax Amounts" means the amount of taxes | 21 | | paid under
the Retailers' Occupation Tax Act, Use Tax Act, | 22 | | Service Use Tax Act, the
Service Occupation Tax Act, the | 23 | | Municipal Retailers' Occupation Tax Act,
and the Municipal | 24 | | Service Occupation Tax Act by
retailers and servicemen on | 25 | | transactions at places located in a
State Sales Tax Boundary | 26 | | during the calendar year 1985.
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| 1 | | (g-1) "Revised Initial Sales Tax Amounts" means the amount | 2 | | of taxes paid
under the Retailers' Occupation Tax Act, Use Tax | 3 | | Act, Service Use Tax Act, the
Service Occupation Tax Act, the | 4 | | Municipal Retailers' Occupation Tax Act,
and the Municipal | 5 | | Service Occupation Tax Act by retailers and servicemen on
| 6 | | transactions at places located within the State Sales Tax | 7 | | Boundary
revised pursuant to Section 11-74.4-8a(9) of this Act.
| 8 | | (h) "Municipal Sales Tax Increment" means an amount equal | 9 | | to the
increase in the aggregate amount of taxes paid to a | 10 | | municipality from the
Local Government Tax Fund arising from | 11 | | sales by retailers and servicemen
within the redevelopment | 12 | | project area or State Sales Tax Boundary, as
the case may be, | 13 | | for as long as the redevelopment project area or State
Sales | 14 | | Tax Boundary, as the case may be, exist over and above the | 15 | | aggregate
amount of taxes as certified by the Illinois | 16 | | Department of Revenue and paid
under the Municipal Retailers' | 17 | | Occupation Tax Act and the Municipal Service
Occupation Tax Act | 18 | | by retailers and servicemen, on transactions at places
of | 19 | | business located in the redevelopment project area or State | 20 | | Sales Tax
Boundary, as the case may be, during the
base year | 21 | | which shall be the calendar year immediately prior to the year | 22 | | in
which the municipality adopted tax increment allocation | 23 | | financing. For
purposes of computing the aggregate amount of | 24 | | such taxes for base years
occurring prior to 1985, the | 25 | | Department of Revenue shall determine the
Initial Sales Tax | 26 | | Amounts for such taxes and deduct therefrom an amount
equal to |
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| 1 | | 4% of the aggregate amount of taxes per year for each year the
| 2 | | base year is prior to 1985, but not to exceed a total deduction | 3 | | of 12%.
The amount so determined shall be known as the | 4 | | "Adjusted Initial Sales Tax
Amounts". For purposes of | 5 | | determining the Municipal Sales Tax Increment,
the Department | 6 | | of Revenue shall for each period subtract from the amount
paid | 7 | | to the municipality from the Local Government Tax Fund arising | 8 | | from
sales by retailers and servicemen on transactions
located | 9 | | in the redevelopment project area or the State Sales Tax | 10 | | Boundary,
as the case may be, the certified Initial Sales Tax
| 11 | | Amounts, the Adjusted Initial Sales Tax Amounts or the Revised | 12 | | Initial
Sales Tax Amounts for the Municipal Retailers'
| 13 | | Occupation Tax Act and the Municipal Service
Occupation Tax | 14 | | Act. For the State Fiscal Year 1989, this calculation shall
be | 15 | | made by utilizing the calendar year 1987 to determine the tax | 16 | | amounts
received. For the State Fiscal Year 1990, this | 17 | | calculation shall be made
by utilizing the period from January | 18 | | 1, 1988, until September 30, 1988, to
determine the tax amounts | 19 | | received from retailers and servicemen pursuant
to the | 20 | | Municipal Retailers' Occupation Tax and the Municipal Service
| 21 | | Occupation Tax Act, which shall have deducted therefrom
| 22 | | nine-twelfths of the certified Initial Sales Tax Amounts, the | 23 | | Adjusted Initial
Sales Tax Amounts or the Revised Initial Sales | 24 | | Tax Amounts as appropriate.
For the State Fiscal Year 1991, | 25 | | this calculation shall be made by utilizing
the period from | 26 | | October 1, 1988, to June 30, 1989, to determine the tax
amounts |
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| 1 | | received from retailers and servicemen pursuant to the | 2 | | Municipal
Retailers' Occupation Tax and the Municipal Service | 3 | | Occupation Tax Act
which shall have deducted therefrom | 4 | | nine-twelfths of the
certified Initial Sales Tax Amounts, | 5 | | Adjusted Initial Sales Tax
Amounts or the Revised Initial Sales | 6 | | Tax Amounts as appropriate. For every
State Fiscal Year | 7 | | thereafter, the applicable period shall be the 12 months
| 8 | | beginning July 1 and ending June 30 to determine the tax | 9 | | amounts received
which shall have deducted therefrom the | 10 | | certified Initial Sales Tax
Amounts, the Adjusted Initial Sales | 11 | | Tax Amounts or the Revised Initial
Sales Tax Amounts, as the | 12 | | case may be.
| 13 | | (i) "Net State Sales Tax Increment" means the sum of the | 14 | | following: (a)
80% of the first $100,000 of State Sales Tax | 15 | | Increment annually generated
within a State Sales Tax Boundary; | 16 | | (b) 60% of the amount in excess of
$100,000 but not exceeding | 17 | | $500,000 of State Sales Tax Increment annually
generated within | 18 | | a State Sales Tax Boundary; and (c) 40% of all amounts in
| 19 | | excess of $500,000 of State Sales Tax Increment annually | 20 | | generated within a
State Sales Tax Boundary. If, however, a | 21 | | municipality established a tax
increment financing district in | 22 | | a county with a population in excess of
3,000,000 before | 23 | | January 1, 1986, and the municipality entered into a
contract | 24 | | or issued bonds after January 1, 1986, but before December 31, | 25 | | 1986,
to finance redevelopment project costs within a State | 26 | | Sales Tax
Boundary, then the Net State Sales Tax Increment |
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| 1 | | means, for the fiscal years
beginning July 1, 1990, and July 1, | 2 | | 1991, 100% of the State Sales Tax
Increment annually generated | 3 | | within a State Sales Tax Boundary; and
notwithstanding any | 4 | | other provision of this Act, for those fiscal years the
| 5 | | Department of Revenue shall distribute to those municipalities | 6 | | 100% of
their Net State Sales Tax Increment before any | 7 | | distribution to any other
municipality and regardless of | 8 | | whether or not those other municipalities
will receive 100% of | 9 | | their Net State Sales Tax Increment. For Fiscal Year
1999, and | 10 | | every year thereafter until the year 2007, for any municipality
| 11 | | that has not entered into a contract or has not issued bonds | 12 | | prior to June
1, 1988 to finance redevelopment project costs | 13 | | within a State Sales Tax
Boundary, the Net State Sales Tax | 14 | | Increment shall be calculated as follows:
By multiplying the | 15 | | Net State Sales Tax Increment by 90% in the State Fiscal
Year | 16 | | 1999; 80% in the State Fiscal Year 2000; 70% in the State | 17 | | Fiscal Year
2001; 60% in the State Fiscal Year 2002; 50% in the | 18 | | State Fiscal Year 2003; 40%
in the State Fiscal Year 2004; 30% | 19 | | in the State Fiscal Year 2005; 20% in
the State Fiscal Year | 20 | | 2006; and 10% in the State Fiscal Year 2007. No
payment shall | 21 | | be made for State Fiscal Year 2008 and thereafter.
| 22 | | Municipalities that issued bonds in connection with a | 23 | | redevelopment project
in a redevelopment project area within | 24 | | the State Sales Tax Boundary prior to
July 29, 1991,
or that | 25 | | entered into contracts in connection with a redevelopment | 26 | | project in
a redevelopment project area before June 1, 1988,
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| 1 | | shall continue to receive their proportional share of the
| 2 | | Illinois Tax Increment Fund distribution until the date on | 3 | | which the
redevelopment project is completed or terminated.
If, | 4 | | however, a municipality that issued bonds in connection with a
| 5 | | redevelopment project in a redevelopment project area within | 6 | | the State Sales
Tax Boundary prior to July 29, 1991 retires the | 7 | | bonds prior to June 30, 2007 or
a municipality that entered | 8 | | into contracts in connection with a redevelopment
project in a | 9 | | redevelopment project area before June 1, 1988 completes the
| 10 | | contracts prior to June 30, 2007, then so long as the | 11 | | redevelopment project is
not
completed or is not terminated, | 12 | | the Net State Sales Tax Increment shall be
calculated, | 13 | | beginning on the date on which the bonds are retired or the
| 14 | | contracts are completed, as follows: By multiplying the Net | 15 | | State Sales Tax
Increment by 60% in the State Fiscal Year
2002; | 16 | | 50% in the State Fiscal Year 2003; 40% in the State Fiscal Year | 17 | | 2004; 30%
in the State Fiscal Year 2005; 20% in the State | 18 | | Fiscal Year 2006; and 10% in
the State Fiscal Year 2007. No | 19 | | payment shall be made for State Fiscal Year
2008 and | 20 | | thereafter.
Refunding of any bonds issued
prior to July 29, | 21 | | 1991, shall not alter the Net State Sales Tax Increment.
| 22 | | (j) "State Utility Tax Increment Amount" means an amount | 23 | | equal to the
aggregate increase in State electric and gas tax | 24 | | charges imposed on owners
and tenants, other than residential | 25 | | customers, of properties located within
the redevelopment | 26 | | project area under Section 9-222 of the Public Utilities
Act, |
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| 1 | | over and above the aggregate of such charges as certified by | 2 | | the
Department of Revenue and paid by owners and tenants, other | 3 | | than
residential customers, of properties within the | 4 | | redevelopment project area
during the base year, which shall be | 5 | | the calendar year immediately prior to
the year of the adoption | 6 | | of the ordinance authorizing tax increment allocation
| 7 | | financing.
| 8 | | (k) "Net State Utility Tax Increment" means the sum of the | 9 | | following:
(a) 80% of the first $100,000 of State Utility Tax | 10 | | Increment annually
generated by a redevelopment project area; | 11 | | (b) 60% of the amount in excess
of $100,000 but not exceeding | 12 | | $500,000 of the State Utility Tax Increment
annually generated | 13 | | by a redevelopment project area; and (c) 40% of all
amounts in | 14 | | excess of $500,000 of State Utility Tax Increment annually
| 15 | | generated by a redevelopment project area. For the State Fiscal | 16 | | Year 1999,
and every year thereafter until the year 2007, for | 17 | | any municipality that
has not entered into a contract or has | 18 | | not issued bonds prior to June 1,
1988 to finance redevelopment | 19 | | project costs within a redevelopment project
area, the Net | 20 | | State Utility Tax Increment shall be calculated as follows:
By | 21 | | multiplying the Net State Utility Tax Increment by 90% in the | 22 | | State
Fiscal Year 1999; 80% in the State Fiscal Year 2000; 70% | 23 | | in the State
Fiscal Year 2001; 60% in the State Fiscal Year | 24 | | 2002; 50% in the State
Fiscal Year 2003; 40% in the State | 25 | | Fiscal Year 2004; 30% in the State
Fiscal Year 2005; 20% in the | 26 | | State Fiscal Year 2006; and 10% in the State
Fiscal Year 2007. |
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| 1 | | No payment shall be made for the State Fiscal Year 2008
and | 2 | | thereafter.
| 3 | | Municipalities that issue bonds in connection with the | 4 | | redevelopment project
during the period from June 1, 1988 until | 5 | | 3 years after the effective date
of this Amendatory Act of 1988 | 6 | | shall receive the Net State Utility Tax
Increment, subject to | 7 | | appropriation, for 15 State Fiscal Years after the
issuance of | 8 | | such bonds. For the 16th through the 20th State Fiscal Years
| 9 | | after issuance of the bonds, the Net State Utility Tax | 10 | | Increment shall be
calculated as follows: By multiplying the | 11 | | Net State Utility Tax Increment
by 90% in year 16; 80% in year | 12 | | 17; 70% in year 18; 60% in year 19; and 50%
in year 20. | 13 | | Refunding of any bonds issued prior to June 1, 1988, shall not
| 14 | | alter the revised Net State Utility Tax Increment payments set | 15 | | forth above.
| 16 | | (l) "Obligations" mean bonds, loans, debentures, notes, | 17 | | special certificates
or other evidence of indebtedness issued | 18 | | by the municipality to carry out
a redevelopment project or to | 19 | | refund outstanding obligations.
| 20 | | (m) "Payment in lieu of taxes" means those estimated tax | 21 | | revenues from
real property in a redevelopment project area | 22 | | derived from real property that
has been acquired by a | 23 | | municipality
which according to the redevelopment project or | 24 | | plan is to be used for a
private use which taxing districts | 25 | | would have received had a municipality
not acquired the real | 26 | | property and adopted tax increment allocation
financing and |
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| 1 | | which would result from
levies made after the time of the | 2 | | adoption of tax increment allocation
financing to the time the | 3 | | current equalized value of real property in the
redevelopment | 4 | | project area exceeds the total initial equalized value of
real | 5 | | property in said area.
| 6 | | (n) "Redevelopment plan" means the comprehensive program | 7 | | of
the municipality for development or redevelopment intended | 8 | | by the payment of
redevelopment project costs to reduce or | 9 | | eliminate those conditions the
existence of which qualified the | 10 | | redevelopment project area as
a "blighted
area" or | 11 | | "conservation area" or combination thereof or "industrial park
| 12 | | conservation area," and thereby to enhance the tax bases of the | 13 | | taxing
districts which extend into the redevelopment project | 14 | | area, provided that, with respect to redevelopment project | 15 | | areas described in subsections (p-1) and (p-2), "redevelopment | 16 | | plan" means the comprehensive program of the affected | 17 | | municipality for the development of qualifying transit | 18 | | facilities.
On and after November 1, 1999 (the effective date | 19 | | of
Public Act 91-478), no
redevelopment plan may be approved or | 20 | | amended that includes the development of
vacant land (i) with a | 21 | | golf course and related clubhouse and other facilities
or (ii) | 22 | | designated by federal, State, county, or municipal government | 23 | | as public
land for outdoor recreational activities or for | 24 | | nature preserves and used for
that purpose within 5
years prior | 25 | | to the adoption of the redevelopment plan. For the purpose of
| 26 | | this subsection, "recreational activities" is limited to mean |
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| 1 | | camping and
hunting.
Each
redevelopment plan shall set forth in | 2 | | writing the program to be undertaken
to accomplish the | 3 | | objectives and shall include but not be limited to:
| 4 | | (A) an itemized list of estimated redevelopment | 5 | | project costs;
| 6 | | (B) evidence indicating that the redevelopment project | 7 | | area on the whole
has not been subject to growth and | 8 | | development through investment by private
enterprise, | 9 | | provided that such evidence shall not be required for any | 10 | | redevelopment project area located within a transit | 11 | | facility improvement area established pursuant to Section | 12 | | 11-74.4-3.3;
| 13 | | (C) an assessment of any financial impact of the | 14 | | redevelopment project
area on or any increased demand for | 15 | | services from any taxing district affected
by the plan and | 16 | | any program to address such financial impact or increased
| 17 | | demand;
| 18 | | (D) the sources of funds to pay costs;
| 19 | | (E) the nature and term of the obligations to be | 20 | | issued;
| 21 | | (F) the most recent equalized assessed valuation of the | 22 | | redevelopment
project area;
| 23 | | (G) an estimate as to the equalized assessed valuation | 24 | | after redevelopment
and the general land uses to apply in | 25 | | the redevelopment project area;
| 26 | | (H) a commitment to fair employment practices and an |
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| 1 | | affirmative action
plan;
| 2 | | (I) if it concerns an industrial park
conservation | 3 | | area, the plan shall
also include a general description
of | 4 | | any proposed developer, user and tenant of any property, a | 5 | | description
of the type, structure and general character of | 6 | | the facilities to be
developed, a description of the type, | 7 | | class and number of new employees to
be employed in the | 8 | | operation of the facilities to be developed; and
| 9 | | (J) if property is to be annexed to the municipality, | 10 | | the plan shall
include the terms of the annexation | 11 | | agreement.
| 12 | | The provisions of items (B) and (C) of this subsection (n) | 13 | | shall not apply to
a municipality that before March 14, 1994 | 14 | | (the effective date of Public Act
88-537) had fixed, either by | 15 | | its
corporate authorities or by a commission designated under | 16 | | subsection (k) of
Section 11-74.4-4, a time and place for a | 17 | | public hearing as required by
subsection (a) of Section | 18 | | 11-74.4-5.
No redevelopment plan shall be adopted unless a
| 19 | | municipality complies with all of the following requirements:
| 20 | | (1) The municipality finds that the redevelopment | 21 | | project area on
the whole has not been subject to growth | 22 | | and development through investment
by private enterprise | 23 | | and would not reasonably be anticipated to be
developed | 24 | | without the adoption of the redevelopment plan, provided, | 25 | | however, that such a finding shall not be required with | 26 | | respect to any redevelopment project area located within a |
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| 1 | | transit facility improvement area established pursuant to | 2 | | Section 11-74.4-3.3.
| 3 | | (2) The municipality finds that the redevelopment plan | 4 | | and project conform
to the comprehensive plan for the | 5 | | development of the municipality as a whole,
or, for | 6 | | municipalities with a population of 100,000 or more, | 7 | | regardless of when
the redevelopment plan and project was | 8 | | adopted, the redevelopment plan and
project either: (i) | 9 | | conforms to the strategic economic development or
| 10 | | redevelopment plan issued by the designated planning | 11 | | authority of the
municipality, or (ii) includes land uses | 12 | | that have been approved by the
planning commission of the | 13 | | municipality.
| 14 | | (3) The redevelopment plan establishes the estimated | 15 | | dates of completion
of the redevelopment project and | 16 | | retirement of obligations issued to finance
redevelopment | 17 | | project costs. Those dates may not be later than the dates | 18 | | set forth under Section 11-74.4-3.5.
| 19 | | A municipality may by municipal ordinance amend an | 20 | | existing redevelopment
plan to conform to this paragraph | 21 | | (3) as amended by Public Act 91-478, which
municipal | 22 | | ordinance may be adopted without
further hearing or
notice | 23 | | and without complying with the procedures provided in this | 24 | | Act
pertaining to an amendment to or the initial approval | 25 | | of a redevelopment plan
and project and
designation of a | 26 | | redevelopment project area.
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| 1 | | (3.5) The municipality finds, in the case of an | 2 | | industrial
park
conservation area, also that the | 3 | | municipality is a labor surplus municipality
and that the | 4 | | implementation of the redevelopment plan will reduce | 5 | | unemployment,
create new jobs and by the provision of new | 6 | | facilities enhance the tax base of
the taxing districts | 7 | | that extend into the redevelopment project area.
| 8 | | (4) If any incremental revenues are being utilized | 9 | | under
Section 8(a)(1)
or 8(a)(2) of this Act in | 10 | | redevelopment project areas approved by ordinance
after | 11 | | January 1, 1986, the municipality finds: (a) that the | 12 | | redevelopment
project area would not reasonably be | 13 | | developed without the use of such
incremental revenues, and | 14 | | (b) that such incremental revenues will be
exclusively | 15 | | utilized for the development of the redevelopment project | 16 | | area.
| 17 | | (5) If: (a)
the redevelopment plan will not result in
| 18 | | displacement of
residents from 10 or more inhabited | 19 | | residential units, and the
municipality certifies in the | 20 | | plan that
such displacement will not result from the plan; | 21 | | or (b) the redevelopment plan is for a redevelopment | 22 | | project area located within a transit facility improvement | 23 | | area established pursuant to Section 11-74.4-3.3, and the | 24 | | applicable project is subject to the process for evaluation | 25 | | of environmental effects under the National Environmental | 26 | | Policy Act of 1969, 42 U.S.C. 4321 et seq., then a housing |
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| 1 | | impact study
need not be performed.
If, however, the | 2 | | redevelopment plan would result in the displacement
of
| 3 | | residents from 10 or more inhabited
residential units,
or | 4 | | if the redevelopment project area contains 75 or more | 5 | | inhabited residential
units and no
certification is made,
| 6 | | then the municipality shall prepare, as part of the | 7 | | separate
feasibility report required by subsection (a) of | 8 | | Section 11-74.4-5, a housing
impact study.
| 9 | | Part I of the housing impact study shall include (i) | 10 | | data as to whether
the residential units are single family | 11 | | or multi-family units,
(ii) the number and type of rooms | 12 | | within the units, if that information is
available, (iii) | 13 | | whether
the
units are inhabited or uninhabited, as | 14 | | determined not less than 45
days before the date that the | 15 | | ordinance or resolution required
by subsection (a) of | 16 | | Section 11-74.4-5 is passed, and (iv) data as to the
racial | 17 | | and ethnic composition of the residents in the inhabited | 18 | | residential
units. The data requirement as to the racial | 19 | | and ethnic composition of the
residents in the inhabited | 20 | | residential units shall be deemed to be fully
satisfied by | 21 | | data from the most recent federal census.
| 22 | | Part II of the housing impact study shall identify the | 23 | | inhabited
residential units in the proposed redevelopment | 24 | | project area that are to be or
may be removed. If inhabited | 25 | | residential units are to be removed, then the
housing | 26 | | impact study shall identify (i) the number and location of |
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| 1 | | those units
that will or may be removed, (ii) the | 2 | | municipality's plans for relocation
assistance for those | 3 | | residents in the proposed redevelopment project area
whose | 4 | | residences are to be removed, (iii) the availability of | 5 | | replacement
housing for those residents whose residences | 6 | | are to be removed, and shall
identify the type, location, | 7 | | and cost of the housing, and (iv) the type and
extent
of | 8 | | relocation assistance to be provided.
| 9 | | (6) On and after November 1, 1999, the
housing impact | 10 | | study required by paragraph (5) shall be
incorporated in | 11 | | the redevelopment plan for the
redevelopment project area.
| 12 | | (7) On and after November 1, 1999, no
redevelopment | 13 | | plan shall be adopted, nor an
existing plan amended, nor | 14 | | shall residential housing that is
occupied by households of | 15 | | low-income and very low-income
persons in currently | 16 | | existing redevelopment project
areas be removed after | 17 | | November 1, 1999 unless the redevelopment plan provides, | 18 | | with
respect to inhabited housing units that are to be | 19 | | removed for
households of low-income and very low-income | 20 | | persons, affordable
housing and relocation assistance not | 21 | | less than that which would
be provided under the federal | 22 | | Uniform Relocation Assistance and
Real Property | 23 | | Acquisition Policies Act of 1970 and the regulations
under | 24 | | that Act, including the eligibility criteria.
Affordable | 25 | | housing may be either existing or newly constructed
| 26 | | housing. For purposes of this paragraph (7), "low-income
|
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| 1 | | households", "very low-income households", and "affordable
| 2 | | housing" have the meanings set forth in the Illinois | 3 | | Affordable
Housing Act.
The municipality shall make a good | 4 | | faith effort to ensure that this affordable
housing is | 5 | | located in or near the redevelopment project area within | 6 | | the
municipality.
| 7 | | (8) On and after November 1, 1999, if,
after the | 8 | | adoption of the redevelopment plan for the
redevelopment | 9 | | project area, any municipality desires to amend its
| 10 | | redevelopment plan
to remove more inhabited residential | 11 | | units than
specified in its original redevelopment plan, | 12 | | that change shall be made in
accordance with the procedures | 13 | | in subsection (c) of Section 11-74.4-5.
| 14 | | (9) For redevelopment project areas designated prior | 15 | | to November 1,
1999, the redevelopment plan may be amended | 16 | | without further joint review board
meeting or hearing, | 17 | | provided that the municipality shall give notice of any
| 18 | | such changes by mail to each affected taxing district and | 19 | | registrant on the
interested party registry, to authorize | 20 | | the municipality to expend tax
increment revenues for | 21 | | redevelopment project costs defined by paragraphs (5)
and | 22 | | (7.5), subparagraphs (E) and (F) of paragraph (11), and | 23 | | paragraph (11.5) of
subsection (q) of Section 11-74.4-3, so | 24 | | long as the changes do not increase the
total estimated | 25 | | redevelopment project costs set out in the redevelopment | 26 | | plan
by more than 5% after adjustment for inflation from |
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| 1 | | the date the plan was
adopted.
| 2 | | (o) "Redevelopment project" means any public and private | 3 | | development project
in furtherance of the objectives of a | 4 | | redevelopment plan.
On and after November 1, 1999 (the | 5 | | effective date of Public Act 91-478), no
redevelopment plan may | 6 | | be approved or amended that includes the development
of vacant | 7 | | land (i) with a golf course and related clubhouse and other
| 8 | | facilities
or (ii) designated by federal, State, county, or | 9 | | municipal government as public
land for outdoor recreational | 10 | | activities or for nature preserves and used for
that purpose | 11 | | within 5
years prior to the adoption of the redevelopment plan. | 12 | | For the purpose of
this subsection, "recreational activities" | 13 | | is limited to mean camping and
hunting.
| 14 | | (p) "Redevelopment project area" means an area designated | 15 | | by
the
municipality, which is not less in the aggregate than 1 | 16 | | 1/2 acres and in
respect to which the municipality has made a | 17 | | finding that there exist
conditions which cause the area to be | 18 | | classified as an industrial park
conservation area or a | 19 | | blighted area or a conservation area, or a
combination of both | 20 | | blighted areas and conservation areas.
| 21 | | (p-1) Notwithstanding any provision of this Act to the | 22 | | contrary, on and after August 25, 2009 (the effective date of | 23 | | Public Act 96-680), a redevelopment project area may include | 24 | | areas within a one-half mile radius of an existing or proposed | 25 | | Regional Transportation Authority Suburban Transit Access | 26 | | Route (STAR Line) station without a finding that the area is |
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| 1 | | classified as an industrial park conservation area, a blighted | 2 | | area, a conservation area, or a combination thereof, but only | 3 | | if the municipality receives unanimous consent from the joint | 4 | | review board created to review the proposed redevelopment | 5 | | project area. | 6 | | (p-2) Notwithstanding any provision of this Act to the | 7 | | contrary, on and after the effective date of this amendatory | 8 | | Act of the 99th General Assembly, a redevelopment project area | 9 | | may include areas within a transit facility improvement area | 10 | | that has been established pursuant to Section 11-74.4-3.3 | 11 | | without a finding that the area is classified as an industrial | 12 | | park conservation area, a blighted area, a conservation area, | 13 | | or any combination thereof. | 14 | | (q) "Redevelopment project costs", except for | 15 | | redevelopment project areas created pursuant to subsection | 16 | | (p-1) or (p-2), means and includes the sum total of all
| 17 | | reasonable or necessary costs incurred or estimated to be | 18 | | incurred, and
any such costs incidental to a redevelopment plan | 19 | | and a redevelopment
project. Such costs include, without | 20 | | limitation, the following:
| 21 | | (1) Costs of studies, surveys, development of plans, | 22 | | and
specifications, implementation and administration of | 23 | | the redevelopment
plan including but not limited to staff | 24 | | and professional service costs for
architectural, | 25 | | engineering, legal, financial, planning or other
services, | 26 | | provided however that no charges for professional services |
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| 1 | | may be
based on a percentage of the tax increment | 2 | | collected; except that on and
after November 1, 1999 (the | 3 | | effective date of Public Act 91-478), no
contracts for
| 4 | | professional services, excluding architectural and | 5 | | engineering services, may be
entered into if the terms of | 6 | | the contract extend
beyond a period of 3 years. In | 7 | | addition, "redevelopment project costs" shall
not include | 8 | | lobbying expenses.
After consultation with the | 9 | | municipality, each tax
increment consultant or advisor to a | 10 | | municipality that plans to designate or
has designated a | 11 | | redevelopment project area shall inform the municipality | 12 | | in
writing of any contracts that the consultant or advisor | 13 | | has entered into with
entities or individuals that have | 14 | | received, or are receiving, payments financed
by tax
| 15 | | increment revenues produced by the redevelopment project | 16 | | area with respect to
which the consultant or advisor has | 17 | | performed, or will be performing, service
for the
| 18 | | municipality. This requirement shall be satisfied by the | 19 | | consultant or advisor
before the commencement of services | 20 | | for the municipality and thereafter
whenever any other | 21 | | contracts with those individuals or entities are executed | 22 | | by
the consultant or advisor;
| 23 | | (1.5) After July 1, 1999, annual administrative costs | 24 | | shall
not include general overhead or
administrative costs | 25 | | of the municipality
that would still have been incurred by | 26 | | the municipality if the municipality had
not
designated a |
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| 1 | | redevelopment project area or approved a redevelopment | 2 | | plan;
| 3 | | (1.6) The cost of
marketing sites within the | 4 | | redevelopment project area to prospective
businesses, | 5 | | developers, and investors;
| 6 | | (2) Property assembly costs, including but not limited | 7 | | to acquisition
of land and other property, real or | 8 | | personal, or rights or interests therein,
demolition of | 9 | | buildings, site preparation, site improvements that serve | 10 | | as an
engineered barrier addressing ground level or below | 11 | | ground environmental
contamination, including, but not | 12 | | limited to parking lots and other concrete
or asphalt | 13 | | barriers, and the clearing and grading of
land;
| 14 | | (3) Costs of rehabilitation, reconstruction or repair | 15 | | or remodeling of
existing public or private buildings, | 16 | | fixtures, and leasehold
improvements; and the cost of | 17 | | replacing
an existing public building if pursuant to the | 18 | | implementation of a
redevelopment project the existing | 19 | | public building is to be demolished to use
the site for | 20 | | private investment or
devoted to a different use requiring | 21 | | private investment; including any direct or indirect costs | 22 | | relating to Green Globes or LEED certified construction | 23 | | elements or construction elements with an equivalent | 24 | | certification;
| 25 | | (4) Costs of the construction of public works or | 26 | | improvements, including any direct or indirect costs |
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| 1 | | relating to Green Globes or LEED certified construction | 2 | | elements or construction elements with an equivalent | 3 | | certification, except
that on and after November 1, 1999,
| 4 | | redevelopment
project costs shall not include the cost of | 5 | | constructing a
new municipal public building principally | 6 | | used to provide
offices, storage space, or conference | 7 | | facilities or vehicle storage,
maintenance, or repair for | 8 | | administrative,
public safety, or public works personnel
| 9 | | and that is not intended to replace an existing
public | 10 | | building as provided under paragraph (3) of subsection (q) | 11 | | of Section
11-74.4-3
unless either (i) the construction of | 12 | | the new municipal building
implements a redevelopment | 13 | | project that was included in a redevelopment plan
that was | 14 | | adopted by the municipality prior to November 1, 1999, (ii) | 15 | | the
municipality makes a reasonable
determination in the | 16 | | redevelopment plan, supported by information that provides
| 17 | | the basis for that determination, that the new municipal | 18 | | building is required
to meet an increase in the need for | 19 | | public safety purposes anticipated to
result from the | 20 | | implementation of the redevelopment plan, or (iii) the new | 21 | | municipal public building is for the storage, maintenance, | 22 | | or repair of transit vehicles and is located in a transit | 23 | | facility improvement area that has been established | 24 | | pursuant to Section 11-74.4-3.3;
| 25 | | (5) Costs of job training and retraining projects, | 26 | | including the cost of
"welfare to work" programs |
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| 1 | | implemented by businesses located within the
redevelopment | 2 | | project area;
| 3 | | (6) Financing costs, including but not limited to all | 4 | | necessary and
incidental expenses related to the issuance | 5 | | of obligations and which may
include payment of interest on | 6 | | any obligations issued hereunder including
interest | 7 | | accruing
during the estimated period of construction of any | 8 | | redevelopment project
for which such obligations are | 9 | | issued and for not exceeding 36 months
thereafter and | 10 | | including reasonable reserves related thereto;
| 11 | | (7) To the extent the municipality by written agreement | 12 | | accepts and
approves
the same, all or a portion of a taxing | 13 | | district's capital costs resulting
from the redevelopment | 14 | | project necessarily incurred or to be incurred within a
| 15 | | taxing district in
furtherance of the objectives of the | 16 | | redevelopment plan and project;
| 17 | | (7.5) For redevelopment project areas designated (or | 18 | | redevelopment
project areas amended to add or increase the | 19 | | number of
tax-increment-financing assisted housing units) | 20 | | on or after November 1,
1999,
an elementary, secondary,
or | 21 | | unit school
district's increased costs attributable to | 22 | | assisted housing units located
within the
redevelopment | 23 | | project area for which the developer or redeveloper | 24 | | receives
financial assistance through an agreement with | 25 | | the municipality or because the
municipality incurs the | 26 | | cost of necessary infrastructure improvements within
the |
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| 1 | | boundaries of the assisted housing sites necessary for the | 2 | | completion of
that housing
as authorized by this Act, and | 3 | | which costs shall be paid by the municipality
from the | 4 | | Special Tax Allocation Fund when the tax increment revenue | 5 | | is received
as a result of the assisted housing units and | 6 | | shall be calculated annually as
follows:
| 7 | | (A) for foundation districts, excluding any school | 8 | | district in a
municipality with a population in excess | 9 | | of 1,000,000, by multiplying the
district's increase | 10 | | in attendance resulting from the net increase in new
| 11 | | students enrolled in that school district who reside in | 12 | | housing units within
the redevelopment project area | 13 | | that have received financial assistance through
an | 14 | | agreement with the municipality or because the | 15 | | municipality incurs the cost
of necessary | 16 | | infrastructure improvements within the boundaries of | 17 | | the housing
sites necessary for the completion of that | 18 | | housing as authorized by this Act
since the designation | 19 | | of the redevelopment project area by the most recently
| 20 | | available per capita tuition cost as defined in Section | 21 | | 10-20.12a of the School
Code less any increase in | 22 | | general State aid as defined in Section 18-8.05 of
the | 23 | | School Code or evidence-based funding as defined in | 24 | | Section 18-8.15 of the School Code attributable to | 25 | | these added new students subject to the
following | 26 | | annual limitations:
|
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| 1 | | (i) for unit school districts with a district | 2 | | average 1995-96 Per
Capita
Tuition Charge of less | 3 | | than $5,900, no more than 25% of the total amount | 4 | | of
property tax increment revenue produced by | 5 | | those housing units that have
received tax | 6 | | increment finance assistance under this Act;
| 7 | | (ii) for elementary school districts with a | 8 | | district average 1995-96
Per
Capita Tuition Charge | 9 | | of less than $5,900, no more than 17% of the total | 10 | | amount
of property tax increment revenue produced | 11 | | by those housing units that have
received tax | 12 | | increment finance assistance under this Act; and
| 13 | | (iii) for secondary school districts with a | 14 | | district average 1995-96
Per
Capita Tuition Charge | 15 | | of less than $5,900, no more than 8% of the total | 16 | | amount
of property tax increment revenue produced | 17 | | by those housing units that have
received tax | 18 | | increment finance assistance under this Act.
| 19 | | (B) For alternate method districts, flat grant | 20 | | districts, and foundation
districts with a district | 21 | | average 1995-96 Per Capita Tuition Charge equal to or
| 22 | | more than $5,900, excluding any school district with a | 23 | | population in excess of
1,000,000, by multiplying the | 24 | | district's increase in attendance
resulting
from the | 25 | | net increase in new students enrolled in that school | 26 | | district who
reside in
housing units within the |
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| 1 | | redevelopment project area that have received
| 2 | | financial assistance through an agreement with the | 3 | | municipality or because the
municipality incurs the | 4 | | cost of necessary infrastructure improvements within
| 5 | | the boundaries of the housing sites necessary for the | 6 | | completion of that
housing as authorized by this Act | 7 | | since the designation of the redevelopment
project | 8 | | area by the most recently available per capita tuition | 9 | | cost as defined
in Section 10-20.12a of the School Code | 10 | | less any increase in general state aid
as defined in | 11 | | Section 18-8.05 of the School Code or evidence-based | 12 | | funding as defined in Section 18-8.15 of the School | 13 | | Code attributable to these added
new students subject | 14 | | to the following annual limitations:
| 15 | | (i) for unit school districts, no more than 40% | 16 | | of the total amount of
property tax increment | 17 | | revenue produced by those housing units that have
| 18 | | received tax increment finance assistance under | 19 | | this Act;
| 20 | | (ii) for elementary school districts, no more | 21 | | than 27% of the total
amount
of property tax | 22 | | increment revenue produced by those housing units | 23 | | that have
received tax increment finance | 24 | | assistance under this Act; and
| 25 | | (iii) for secondary school districts, no more | 26 | | than 13% of the total
amount
of property tax |
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| 1 | | increment revenue produced by those housing units | 2 | | that have
received tax increment finance | 3 | | assistance under this Act.
| 4 | | (C) For any school district in a municipality with | 5 | | a population in
excess of
1,000,000, the following | 6 | | restrictions shall apply to the
reimbursement of | 7 | | increased costs under this paragraph (7.5):
| 8 | | (i) no increased costs shall be reimbursed | 9 | | unless the school district
certifies that each of | 10 | | the schools affected by the assisted housing | 11 | | project
is at or over its student capacity;
| 12 | | (ii) the amount reimbursable shall be reduced | 13 | | by the value of any
land
donated to the school | 14 | | district by the municipality or developer, and by | 15 | | the
value of any physical improvements made to the | 16 | | schools by the
municipality or developer; and
| 17 | | (iii) the amount reimbursed may not affect | 18 | | amounts otherwise obligated
by
the terms of any | 19 | | bonds, notes, or other funding instruments, or the | 20 | | terms of
any redevelopment agreement.
| 21 | | Any school district seeking payment under this | 22 | | paragraph (7.5) shall,
after July 1 and before | 23 | | September 30 of each year,
provide the municipality | 24 | | with reasonable evidence to support its claim for
| 25 | | reimbursement before the municipality shall be | 26 | | required to approve or make
the payment to the school |
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| 1 | | district. If the school district fails to provide
the | 2 | | information during this period in any year, it shall | 3 | | forfeit any claim to
reimbursement for that year. | 4 | | School districts may adopt a resolution
waiving the | 5 | | right to all or a portion of the reimbursement | 6 | | otherwise required
by this paragraph
(7.5). By | 7 | | acceptance of this reimbursement the school
district | 8 | | waives the right to directly or indirectly set aside, | 9 | | modify, or
contest in any manner the establishment of | 10 | | the redevelopment project area or
projects;
| 11 | | (7.7) For redevelopment project areas designated (or | 12 | | redevelopment
project areas amended to add or increase the | 13 | | number of
tax-increment-financing assisted housing units) | 14 | | on or after
January 1, 2005 (the effective date of Public | 15 | | Act 93-961),
a public library
district's increased costs | 16 | | attributable to assisted housing units located
within the
| 17 | | redevelopment project area for which the developer or | 18 | | redeveloper receives
financial assistance through an | 19 | | agreement with the municipality or because the
| 20 | | municipality incurs the cost of necessary infrastructure | 21 | | improvements within
the boundaries of the assisted housing | 22 | | sites necessary for the completion of
that housing
as | 23 | | authorized by this Act shall be paid to the library | 24 | | district by the
municipality
from the Special Tax | 25 | | Allocation Fund when the tax increment revenue is received
| 26 | | as a result of the assisted housing units. This paragraph |
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| 1 | | (7.7) applies only if (i) the library district is located | 2 | | in a county that is subject to the Property Tax Extension | 3 | | Limitation Law or (ii) the library district is not located | 4 | | in a county that is subject to the Property Tax Extension | 5 | | Limitation Law but the district is prohibited by any other | 6 | | law from increasing its tax levy rate without a prior voter | 7 | | referendum.
| 8 | | The amount paid to a library district under this | 9 | | paragraph (7.7) shall be
calculated
by multiplying (i) the | 10 | | net increase in the number of persons eligible to obtain
a
| 11 | | library card
in that district who reside in housing units | 12 | | within
the redevelopment project area that have received | 13 | | financial assistance through
an agreement with the | 14 | | municipality or because the municipality incurs the cost
of | 15 | | necessary infrastructure improvements within the | 16 | | boundaries of the housing
sites necessary for the | 17 | | completion of that housing as authorized by this Act
since | 18 | | the designation of the redevelopment project area by (ii)
| 19 | | the per-patron cost of providing library services so long | 20 | | as it does not exceed $120.
The per-patron cost shall be | 21 | | the Total Operating Expenditures Per Capita for the library | 22 | | in the previous fiscal year.
The municipality may deduct | 23 | | from the amount that it must pay to a library district | 24 | | under this paragraph any amount that it has voluntarily | 25 | | paid to the library district from the tax increment | 26 | | revenue. The amount paid to a library district under this |
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| 1 | | paragraph (7.7) shall be no
more
than 2% of the amount | 2 | | produced by the assisted housing units and deposited into | 3 | | the Special Tax Allocation Fund.
| 4 | | A library district is not eligible for any payment | 5 | | under this paragraph
(7.7)
unless the library district has | 6 | | experienced an increase in the
number of patrons from the | 7 | | municipality that created the tax-increment-financing | 8 | | district since the designation of the redevelopment | 9 | | project area.
| 10 | | Any library district seeking payment under this | 11 | | paragraph (7.7) shall,
after July 1 and before September 30 | 12 | | of each year,
provide the municipality with convincing | 13 | | evidence to support its claim for
reimbursement before the | 14 | | municipality shall be required to approve or make
the | 15 | | payment to the library district. If the library district | 16 | | fails to provide
the information during this period in any | 17 | | year, it shall forfeit any claim to
reimbursement for that | 18 | | year. Library districts may adopt a resolution
waiving the | 19 | | right to all or a portion of the reimbursement otherwise | 20 | | required by this paragraph (7.7). By acceptance of such | 21 | | reimbursement, the library district shall forfeit any | 22 | | right to directly or indirectly set aside, modify, or | 23 | | contest in any manner whatsoever the establishment of the | 24 | | redevelopment project area or
projects; | 25 | | (8) Relocation costs to the extent that a municipality | 26 | | determines that
relocation costs shall be paid or is |
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| 1 | | required to make payment of relocation
costs by federal or | 2 | | State law or in order to satisfy subparagraph (7) of
| 3 | | subsection (n);
| 4 | | (9) Payment in lieu of taxes;
| 5 | | (10) Costs of job training, retraining, advanced | 6 | | vocational education
or career
education, including but | 7 | | not limited to courses in occupational,
semi-technical or | 8 | | technical fields leading directly to employment, incurred
| 9 | | by one or more taxing districts, provided that such costs | 10 | | (i) are related
to the establishment and maintenance of | 11 | | additional job training, advanced
vocational education or | 12 | | career education programs for persons employed or
to be | 13 | | employed by employers located in a redevelopment project | 14 | | area; and
(ii) when incurred by a taxing district or taxing | 15 | | districts other than the
municipality, are set forth in a | 16 | | written agreement by or among the
municipality and the | 17 | | taxing district or taxing districts, which agreement
| 18 | | describes the program to be undertaken, including but not | 19 | | limited to the
number of employees to be trained, a | 20 | | description of the training and
services to be provided, | 21 | | the number and type of positions available or to
be | 22 | | available, itemized costs of the program and sources of | 23 | | funds to pay for the
same, and the term of the agreement. | 24 | | Such costs include, specifically, the
payment by community | 25 | | college districts of costs pursuant to Sections 3-37,
3-38, | 26 | | 3-40 and 3-40.1 of the Public Community College Act and by |
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| 1 | | school
districts of costs pursuant to Sections 10-22.20a | 2 | | and 10-23.3a of the School
Code;
| 3 | | (11) Interest cost incurred by a redeveloper related to | 4 | | the
construction, renovation or rehabilitation of a | 5 | | redevelopment project
provided that:
| 6 | | (A) such costs are to be paid directly from the | 7 | | special tax
allocation fund established pursuant to | 8 | | this Act;
| 9 | | (B) such payments in any one year may not exceed | 10 | | 30% of the annual
interest costs incurred by the | 11 | | redeveloper with regard to the redevelopment
project | 12 | | during that year;
| 13 | | (C) if there are not sufficient funds available in | 14 | | the special tax
allocation fund to make the payment | 15 | | pursuant to this paragraph (11) then
the amounts so due | 16 | | shall accrue and be payable when sufficient funds are
| 17 | | available in the special tax allocation fund;
| 18 | | (D) the total of such interest payments paid | 19 | | pursuant to this Act
may not exceed 30% of the total | 20 | | (i) cost paid or incurred by the
redeveloper for the | 21 | | redevelopment project plus (ii) redevelopment project
| 22 | | costs excluding any property assembly costs and any | 23 | | relocation costs
incurred by a municipality pursuant | 24 | | to this Act;
| 25 | | (E) the cost limits set forth in subparagraphs (B) | 26 | | and (D) of
paragraph (11) shall be modified for the |
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| 1 | | financing of rehabilitated or
new housing units for | 2 | | low-income households and very low-income households, | 3 | | as
defined in
Section 3 of the Illinois Affordable | 4 | | Housing Act. The percentage of
75% shall be substituted | 5 | | for 30% in subparagraphs (B) and (D) of
paragraph (11); | 6 | | and
| 7 | | (F) instead of the eligible costs provided by | 8 | | subparagraphs (B) and (D)
of
paragraph (11), as | 9 | | modified by this subparagraph, and notwithstanding
any | 10 | | other provisions of this Act to the contrary, the | 11 | | municipality may
pay from tax increment revenues up to | 12 | | 50% of the cost of construction
of new housing units to | 13 | | be occupied by low-income households and very
| 14 | | low-income
households as defined in Section 3 of the | 15 | | Illinois Affordable Housing
Act. The cost of | 16 | | construction of those units may be derived from the
| 17 | | proceeds of bonds issued by the municipality under this | 18 | | Act or
other constitutional or statutory authority or | 19 | | from other sources of
municipal revenue that may be | 20 | | reimbursed from tax increment
revenues or the proceeds | 21 | | of bonds issued to finance the construction
of that | 22 | | housing.
| 23 | | The eligible costs provided under this | 24 | | subparagraph (F) of paragraph (11)
shall
be
an eligible | 25 | | cost for the construction, renovation, and | 26 | | rehabilitation of all
low and very low-income housing |
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| 1 | | units, as defined in Section 3 of the Illinois
| 2 | | Affordable Housing Act, within the redevelopment | 3 | | project area. If the low and
very
low-income units are | 4 | | part of a residential redevelopment project that | 5 | | includes
units not affordable to low and very | 6 | | low-income households, only the low and
very | 7 | | low-income units shall be eligible for benefits under | 8 | | this subparagraph (F) of
paragraph (11).
The standards | 9 | | for maintaining the occupancy
by low-income households | 10 | | and very low-income households,
as
defined in Section 3 | 11 | | of the Illinois Affordable Housing Act,
of those units | 12 | | constructed with eligible costs made available under | 13 | | the
provisions of
this subparagraph (F) of paragraph | 14 | | (11)
shall be
established by guidelines adopted by the | 15 | | municipality. The
responsibility for annually | 16 | | documenting the initial occupancy of
the units by | 17 | | low-income households and very low-income households, | 18 | | as defined
in
Section 3
of the Illinois Affordable | 19 | | Housing Act, shall be that of the then current
owner of | 20 | | the property.
For ownership units, the guidelines will | 21 | | provide, at a minimum, for a
reasonable recapture of | 22 | | funds, or other appropriate methods designed to
| 23 | | preserve the original affordability of the ownership | 24 | | units. For rental units,
the guidelines will provide, | 25 | | at a minimum, for the affordability of rent to low
and | 26 | | very low-income households. As units become available, |
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| 1 | | they shall be
rented to income-eligible tenants.
The | 2 | | municipality may modify these
guidelines from time to | 3 | | time; the guidelines, however, shall be in effect
for | 4 | | as long as tax increment revenue is being used to pay | 5 | | for costs
associated with the units or for the | 6 | | retirement of bonds issued to finance
the units or for | 7 | | the life of the redevelopment project area, whichever | 8 | | is
later;
| 9 | | (11.5) If the redevelopment project area is located | 10 | | within a municipality
with a population of more than | 11 | | 100,000, the cost of day care services for
children of | 12 | | employees from
low-income
families working for businesses | 13 | | located within the redevelopment project area
and all or a
| 14 | | portion of the cost of operation of day care centers | 15 | | established by
redevelopment project
area businesses to | 16 | | serve employees from low-income families working in
| 17 | | businesses
located in the redevelopment project area. For | 18 | | the purposes of this paragraph,
"low-income families" | 19 | | means families whose annual income does not exceed 80% of
| 20 | | the
municipal, county, or regional median income, adjusted | 21 | | for family size, as the
annual
income and municipal, | 22 | | county, or regional median income are determined from
time | 23 | | to
time by the United States Department of Housing and | 24 | | Urban Development ; .
| 25 | | (12) Costs relating to the development of urban | 26 | | agricultural areas under Division 15.2 of the Illinois |
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| 1 | | Municipal Code ; and . | 2 | | (13) All or a portion of the operational expenses | 3 | | incurred or to be incurred by a tenant or owner of a | 4 | | privately owned commercial business enterprise having | 5 | | commenced commercial activities on or before March 9, 2020 | 6 | | within the redevelopment project area if the municipality, | 7 | | by resolution or ordinance, authorizes the same. The | 8 | | municipality is authorized to approve the reimbursement of | 9 | | operational expenses during, and for 91 days following the | 10 | | expiration of, the Gubernatorial Disaster Proclamation | 11 | | made by the Governor wherein all counties in the State of | 12 | | Illinois were declared disaster areas on March 9, 2020 in | 13 | | response to the severe acute respiratory syndrome | 14 | | coronavirus 2 (COVID-19) pandemic. As used in this | 15 | | paragraph, "operational expenses" include, but are not | 16 | | limited to, payroll expenses, payroll taxes, casualty | 17 | | insurance premiums of the business entity, workers' | 18 | | compensation insurance, unemployment insurance, real | 19 | | estate taxes, income taxes of the business entity, lease | 20 | | payments, mortgage principal and interest payments, the | 21 | | acquisition of product inventory or supplies, and such | 22 | | other operational costs as may be reasonably determined by | 23 | | the municipality to be necessary for the continued | 24 | | operation of the business entity. | 25 | | Unless explicitly stated herein the cost of construction of | 26 | | new
privately-owned buildings shall not be an eligible |
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| 1 | | redevelopment project cost.
| 2 | | After November 1, 1999 (the effective date of Public Act
| 3 | | 91-478), none of
the
redevelopment project costs enumerated in | 4 | | this subsection shall be eligible
redevelopment project costs | 5 | | if those costs would provide direct financial
support to a
| 6 | | retail entity initiating operations in the
redevelopment | 7 | | project area while
terminating operations at another Illinois | 8 | | location within 10 miles of the
redevelopment project area but | 9 | | outside the boundaries of the redevelopment
project area | 10 | | municipality. For
purposes of this paragraph, termination | 11 | | means a
closing of a retail operation that is directly related | 12 | | to the opening of the
same operation or like retail entity | 13 | | owned or operated by more than 50% of the
original ownership in | 14 | | a redevelopment project area, but
it does not mean
closing an | 15 | | operation for reasons beyond the control of the
retail entity, | 16 | | as
documented by the retail entity, subject to a reasonable | 17 | | finding by the
municipality that the current location contained | 18 | | inadequate space, had become
economically obsolete, or was no | 19 | | longer a viable location for the retailer or
serviceman.
| 20 | | No cost shall be a redevelopment project cost in a | 21 | | redevelopment project area if used to demolish, remove, or | 22 | | substantially modify a historic resource, after August 26, 2008 | 23 | | (the effective date of Public Act 95-934), unless no prudent | 24 | | and feasible alternative exists. "Historic resource" for the | 25 | | purpose of this paragraph means (i) a place or structure that | 26 | | is included or eligible for inclusion on the National Register |
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| 1 | | of Historic Places or (ii) a contributing structure in a | 2 | | district on the National Register of Historic Places. This | 3 | | paragraph does not apply to a place or structure for which | 4 | | demolition, removal, or modification is subject to review by | 5 | | the preservation agency of a Certified Local Government | 6 | | designated as such by the National Park Service of the United | 7 | | States Department of the Interior. | 8 | | If a special service area has been established pursuant to
| 9 | | the Special Service Area Tax Act or Special Service Area Tax | 10 | | Law, then any
tax increment revenues derived
from the tax | 11 | | imposed pursuant to the Special Service Area Tax Act or Special
| 12 | | Service Area Tax Law may
be used within the redevelopment | 13 | | project area for the purposes permitted by
that Act or Law as | 14 | | well as the purposes permitted by this Act.
| 15 | | (q-1) For redevelopment project areas created pursuant to | 16 | | subsection (p-1), redevelopment project costs are limited to | 17 | | those costs in paragraph (q) that are related to the existing | 18 | | or proposed Regional Transportation Authority Suburban Transit | 19 | | Access Route (STAR Line) station. | 20 | | (q-2) For a redevelopment project area located within a | 21 | | transit facility improvement area established pursuant to | 22 | | Section 11-74.4-3.3, redevelopment project costs means those | 23 | | costs described in subsection (q) that are related to the | 24 | | construction, reconstruction, rehabilitation, remodeling, or | 25 | | repair of any existing or proposed transit facility. | 26 | | (r) "State Sales Tax Boundary" means the redevelopment |
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| 1 | | project area or
the amended redevelopment project area | 2 | | boundaries which are determined
pursuant to subsection (9) of | 3 | | Section 11-74.4-8a of this
Act. The Department of Revenue shall | 4 | | certify pursuant to subsection (9) of
Section 11-74.4-8a the | 5 | | appropriate boundaries eligible for the
determination of State | 6 | | Sales Tax Increment.
| 7 | | (s) "State Sales Tax Increment" means an amount equal to | 8 | | the increase
in the aggregate amount of taxes paid by retailers | 9 | | and servicemen, other
than retailers and servicemen subject to | 10 | | the Public Utilities Act,
on transactions at places of business | 11 | | located within a State Sales Tax
Boundary pursuant to the | 12 | | Retailers' Occupation Tax Act, the Use Tax Act,
the Service Use | 13 | | Tax Act, and the Service Occupation Tax Act, except such
| 14 | | portion of such increase that is paid into the State and Local | 15 | | Sales Tax
Reform Fund, the Local Government Distributive Fund, | 16 | | the Local
Government Tax Fund and the County and Mass Transit | 17 | | District Fund, for as
long as State participation exists, over | 18 | | and above the Initial Sales Tax
Amounts, Adjusted Initial Sales | 19 | | Tax Amounts or the Revised Initial Sales
Tax Amounts for such | 20 | | taxes as certified by the Department of Revenue and
paid under | 21 | | those Acts by retailers and servicemen on transactions at | 22 | | places
of business located within the State Sales Tax Boundary | 23 | | during the base
year which shall be the calendar year | 24 | | immediately prior to the year in
which the municipality adopted | 25 | | tax increment allocation financing, less
3.0% of such amounts | 26 | | generated under the Retailers' Occupation Tax Act, Use
Tax Act |
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| 1 | | and Service Use Tax Act and the Service Occupation Tax Act, | 2 | | which
sum shall be appropriated to the Department of Revenue to | 3 | | cover its costs
of administering and enforcing this Section. | 4 | | For purposes of computing the
aggregate amount of such taxes | 5 | | for base years occurring prior to 1985, the
Department of | 6 | | Revenue shall compute the Initial Sales Tax Amount for such
| 7 | | taxes and deduct therefrom an amount equal to 4% of the | 8 | | aggregate amount of
taxes per year for each year the base year | 9 | | is prior to 1985, but not to
exceed a total deduction of 12%. | 10 | | The amount so determined shall be known
as the "Adjusted | 11 | | Initial Sales Tax Amount". For purposes of determining the
| 12 | | State Sales Tax Increment the Department of Revenue shall for | 13 | | each period
subtract from the tax amounts received from | 14 | | retailers and servicemen on
transactions located in the State | 15 | | Sales Tax Boundary, the certified Initial
Sales Tax Amounts, | 16 | | Adjusted Initial Sales Tax Amounts or Revised Initial
Sales Tax | 17 | | Amounts for the Retailers' Occupation Tax Act, the Use Tax Act,
| 18 | | the Service Use Tax Act and the Service Occupation Tax Act. For | 19 | | the State
Fiscal Year 1989 this calculation shall be made by | 20 | | utilizing the calendar
year 1987 to determine the tax amounts | 21 | | received. For the State Fiscal Year
1990, this calculation | 22 | | shall be made by utilizing the period from January
1, 1988, | 23 | | until September 30, 1988, to determine the tax amounts received
| 24 | | from retailers and servicemen, which shall have deducted | 25 | | therefrom
nine-twelfths of the certified Initial Sales Tax | 26 | | Amounts, Adjusted Initial
Sales Tax Amounts or the Revised |
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| 1 | | Initial Sales Tax Amounts as appropriate.
For the State Fiscal | 2 | | Year 1991, this calculation shall be made by utilizing
the | 3 | | period from October 1, 1988, until June 30, 1989, to determine | 4 | | the tax
amounts received from retailers and servicemen, which | 5 | | shall have
deducted therefrom nine-twelfths of the certified | 6 | | Initial State Sales Tax
Amounts, Adjusted Initial Sales Tax | 7 | | Amounts or the Revised Initial Sales
Tax Amounts as | 8 | | appropriate. For every State Fiscal Year thereafter, the
| 9 | | applicable period shall be the 12 months beginning July 1 and | 10 | | ending on
June 30, to determine the tax amounts received which | 11 | | shall have deducted
therefrom the certified Initial Sales Tax | 12 | | Amounts, Adjusted Initial Sales
Tax Amounts or the Revised | 13 | | Initial Sales Tax Amounts. Municipalities
intending to receive | 14 | | a distribution of State Sales Tax Increment must
report a list | 15 | | of retailers to the Department of Revenue by October 31, 1988
| 16 | | and by July 31, of each year thereafter.
| 17 | | (t) "Taxing districts" means counties, townships, cities | 18 | | and incorporated
towns and villages, school, road, park, | 19 | | sanitary, mosquito abatement, forest
preserve, public health, | 20 | | fire protection, river conservancy, tuberculosis
sanitarium | 21 | | and any other municipal corporations or districts with the | 22 | | power
to levy taxes.
| 23 | | (u) "Taxing districts' capital costs" means those costs of | 24 | | taxing districts
for capital improvements that are found by the | 25 | | municipal corporate authorities
to be necessary and directly | 26 | | result from the redevelopment project.
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| 1 | | (v) As used in subsection (a) of Section 11-74.4-3 of this
| 2 | | Act, "vacant
land" means any parcel or combination of parcels | 3 | | of real property without
industrial, commercial, and | 4 | | residential buildings which has not been used
for commercial | 5 | | agricultural purposes within 5 years prior to the
designation | 6 | | of the redevelopment project area, unless the parcel
is | 7 | | included in an industrial park conservation area or the parcel | 8 | | has
been subdivided; provided that if the parcel was part of a | 9 | | larger tract that
has been divided into 3 or more smaller | 10 | | tracts that were accepted for
recording during the period from | 11 | | 1950 to 1990, then the parcel shall be deemed
to have been | 12 | | subdivided, and all proceedings and actions of the municipality
| 13 | | taken in that connection with respect to any previously | 14 | | approved or designated
redevelopment project area or amended | 15 | | redevelopment project area are hereby
validated and hereby | 16 | | declared to be legally sufficient for all purposes of this
Act.
| 17 | | For purposes of this Section and only for land subject to
the | 18 | | subdivision requirements of the Plat Act, land is subdivided | 19 | | when the
original plat of
the proposed Redevelopment Project | 20 | | Area or relevant portion thereof has
been
properly certified, | 21 | | acknowledged, approved, and recorded or filed in accordance
| 22 | | with the Plat Act and a preliminary plat, if any, for any | 23 | | subsequent phases of
the
proposed Redevelopment Project Area or | 24 | | relevant portion thereof has been
properly approved and filed | 25 | | in accordance with the applicable ordinance of the
| 26 | | municipality.
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| 1 | | (w) "Annual Total Increment" means the sum of each | 2 | | municipality's
annual Net Sales Tax Increment and each | 3 | | municipality's annual Net Utility
Tax Increment. The ratio of | 4 | | the Annual Total Increment of each
municipality to the Annual | 5 | | Total Increment for all municipalities, as most
recently | 6 | | calculated by the Department, shall determine the proportional
| 7 | | shares of the Illinois Tax Increment Fund to be distributed to | 8 | | each
municipality.
| 9 | | (x) "LEED certified" means any certification level of | 10 | | construction elements by a qualified Leadership in Energy and | 11 | | Environmental Design Accredited Professional as determined by | 12 | | the U.S. Green Building Council. | 13 | | (y) "Green Globes certified" means any certification level | 14 | | of construction elements by a qualified Green Globes | 15 | | Professional as determined by the Green Building Initiative. | 16 | | (Source: P.A. 99-792, eff. 8-12-16; 100-201, eff. 8-18-17; | 17 | | 100-465, eff. 8-31-17; 100-1133, eff. 1-1-19.)
| 18 | | Section 99. Effective date. This Act takes effect upon | 19 | | becoming law.".
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