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90_HB0884ccr001
SRS90HB0884NCchccr3
1 90TH GENERAL ASSEMBLY
2 CONFERENCE COMMITTEE REPORT
3 ON HOUSE BILL 884
4 -------------------------------------------------------------
5 -------------------------------------------------------------
6 To the President of the Senate and the Speaker of the
7 House of Representatives:
8 We, the conference committee appointed to consider the
9 differences between the houses in relation to Senate
10 Amendment No. 1 to House Bill 884, recommend the following:
11 (1) that the Senate recede from Senate Amendment No. 1;
12 and
13 (2) that House Bill 884 be amended by replacing the
14 title with the following:
15 "AN ACT in relation to property taxes, amending named
16 Acts."; and
17 by replacing everything below the enacting clause with the
18 following:
19 "Section 5. The Property Tax Code is amended by changing
20 Sections 9-195, 14-15, 15-175, 21-105, 21-310, 21-315,
21 21-345, 21-385, 22-15, and 22-20 and adding Sections 15-103
22 and 20-178 as follows:
23 (35 ILCS 200/9-195)
24 Sec. 9-195. Leasing of exempt property.
25 (a) Except as provided in Sections Section 15-55, and
26 15-100, and 15-103, when property which is exempt from
27 taxation is leased to another whose property is not exempt,
28 and the leasing of which does not make the property taxable,
29 the leasehold estate and the appurtenances shall be listed as
30 the property of the lessee thereof, or his or her assignee.
31 Taxes on that property shall be collected in the same manner
32 as on property that is not exempt, and the lessee shall be
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1 liable for those taxes. However, no tax lien shall attach to
2 the exempt real estate. The changes made by this amendatory
3 Act of 1997 are declaratory of existing law and shall not be
4 construed as a new enactment. The changes made by Public
5 Acts 88-221 and 88-420 that are incorporated into this
6 Section by this amendatory Act of 1993 are declarative of
7 existing law and are not a new enactment.
8 (b) The provisions of this Section regarding taxation of
9 leasehold interests in exempt property do not apply to any
10 leasehold interest created pursuant to any transaction
11 described in subsection (b) of Section 15-100 or in Section
12 15-103.
13 (Source: P.A. 90-562, eff. 12-16-97.)
14 (35 ILCS 200/14-15)
15 Sec. 14-15. Certificate of error; counties of 3,000,000
16 or more.
17 (a) In counties with 3,000,000 or more inhabitants,
18 if,after the assessment is certified pursuant to Section
19 16-150, but subject to the limitations of subsection (c) of
20 this Section, at any time before judgment is rendered in any
21 proceeding to collect or to enjoin the collection of taxes
22 based upon any assessment of any property belonging to any
23 taxpayer, the county assessor discovers an error or mistake
24 in the assessment, the assessor shall execute a certificate
25 setting forth the nature and cause of the error. The
26 certificate when endorsed by the county assessor, or when
27 endorsed by the county assessor and board of appeals (until
28 the first Monday in December 1998 and the board of review
29 beginning the first Monday in December 1998 and thereafter)
30 where the certificate is executed for any assessment which
31 was the subject of a complaint filed in the board of appeals
32 (until the first Monday in December 1998 and the board of
33 review beginning the first Monday in December 1998 and
34 thereafter) for the tax year for which the certificate is
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1 issued, may, at the discretion of the county assessor, either
2 be certified according to the procedure authorized by this
3 Section or be presented and received in evidence in any court
4 of competent jurisdiction. When so introduced in evidence
5 such certificate shall become a part of the court records,
6 and shall not be removed from the files except upon the order
7 of the court. A certificate executed under this Section may
8 be issued to the person erroneously assessed.
9 Certificates of error that will be presented to the court
10 shall be filed A certificate executed under this Section or a
11 list of the parcels for which certificates have been issued
12 may be presented by the assessor to the court as an objection
13 in the application for judgment and order of sale for the
14 year in relation to which the certificate is made or as an
15 amendment to the objection under subsection (b).
16 Certificates of error that are to be certified according to
17 the procedure authorized by this Section need not be
18 presented to the court as an objection or an amendment under
19 subsection (b). The State's Attorney of the county in which
20 the property is situated shall mail a copy of any final
21 judgment entered by the court regarding any the certificate
22 of error to the taxpayer of record for the year in question.
23 Any unpaid taxes after the entry of the final judgment by
24 the court or certification on certificates issued under this
25 Section may be included in a special tax sale, provided that
26 an advertisement is published and a notice is mailed to the
27 person in whose name the taxes were last assessed, in a form
28 and manner substantially similar to the advertisement and
29 notice required under Sections 21-110 and 21-135. The
30 advertisement and sale shall be subject to all provisions of
31 law regulating the annual advertisement and sale of
32 delinquent property, to the extent that those provisions may
33 be made applicable.
34 A certificate of error certified executed under this
35 Section allowing homestead exemptions under Sections 15-170,
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1 15-172, and 15-175 of this Act (formerly Sections 19.23-1 and
2 19.23-1a of the Revenue Act of 1939) not previously allowed
3 shall be given effect by the county treasurer, who shall mark
4 the tax books and, upon receipt of one of the following
5 certificates certificate from the county assessor or the
6 county assessor and the board of appeals (until the first
7 Monday in December 1998 and the board of review beginning the
8 first Monday in December 1998 and thereafter) where the board
9 of appeals or board of review is required to endorse the
10 certificate of error, shall issue refunds to the taxpayer
11 accordingly:
12 "CERTIFICATION
13 I, .................., county assessor, hereby certify
14 that the Certificates of Error set out on the attached
15 list have been duly issued to correct an error or mistake
16 in the assessment allow homestead exemptions pursuant to
17 Sections 15-170, 15-172, and 15-175 of the Property Tax
18 Code (formerly Sections 19.23-1 and 19.23-1a of the
19 Revenue Act of 1939) which should have been previously
20 allowed; and that a certified copy of the attached list
21 and this certification have been served upon the county
22 State's Attorney."
23 "CERTIFICATION
24 I, .................., county assessor, and we,
25 ........................................................,
26 Commissioners of the board of appeals (until the first
27 Monday in December 1998 and Members of the board of
28 review beginning the first Monday in December 1998 and
29 thereafter) hereby certify that the Certificates of Error
30 set out on the attached list have been duly issued to
31 correct an error or mistake in the assessment, that any
32 certificates of error required to be endorsed by the
33 board of appeals (until the first Monday in December 1998
34 and the board of review beginning the first Monday in
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1 December 1998 and thereafter) have been so endorsed."
2 The county treasurer has the power to mark the tax books
3 to reflect the issuance of homestead certificates of error
4 certified according to the procedure authorized in this
5 Section for certificates of error issued under Section 14-25
6 or certificates of error issued to and including 3 years
7 after the date on which the annual judgment and order of sale
8 for that tax year was first entered. The county treasurer
9 has the power to issue refunds to the taxpayer as set forth
10 above until all refunds authorized by this Section have been
11 completed.
12 The county treasurer has no power to issue refunds to the
13 taxpayer as set forth above unless the Certification set out
14 in this Section has been served upon the county State's
15 Attorney.
16 (b) Nothing in subsection (a) of this Section shall be
17 construed to prohibit the execution, endorsement, issuance,
18 and adjudication of a certificate of error if (i) the annual
19 judgment and order of sale for the tax year in question is
20 reopened for further proceedings upon consent of the county
21 collector and county assessor, represented by the State's
22 Attorney, and (ii) a new final judgment is subsequently
23 entered pursuant to the certificate. This subsection (b)
24 shall be construed as declarative of existing law and not as
25 a new enactment.
26 (c) No certificate of error, other than a certificate to
27 establish an exemption under Section 14-25, shall be executed
28 for any tax year more than 3 years after the date on which
29 the annual judgment and order of sale for that tax year was
30 first entered.
31 (d) The time limitation of subsection (c) shall not
32 apply to a certificate of error correcting an assessment to
33 $1, under Section 10-35, on a parcel that a subdivision or
34 planned development has acquired by adverse possession, if
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1 during the tax year for which the certificate is executed the
2 subdivision or planned development used the parcel as common
3 area, as defined in Section 10-35, and if application for the
4 certificate of error is made prior to December 1, 31, 1997.
5 (e) The changes made by this amendatory Act of 1998
6 apply to certificates of error issued before, on, and after
7 the effective date of this amendatory Act of 1998.
8 (Source: P.A. 89-126, eff. 7-11-95; 89-671, eff. 8-14-96;
9 90-4, eff. 3-7-97; 90-288, eff. 8-1-97; revised 10-21-97.)
10 (35 ILCS 200/15-103 new)
11 Sec. 15-103. Bi-State Development Agency.
12 (a) Property owned by the Bi-State Development Agency of
13 the Missouri-Illinois Metropolitan District is exempt.
14 (b) The exemption under this Section is not affected by
15 any transaction in which, for the purpose of obtaining
16 financing, the Agency, directly or indirectly, leases or
17 otherwise transfers the property to another for which or whom
18 property is not exempt and immediately after the lease or
19 transfer enters into a leaseback or other agreement that
20 directly or indirectly gives the Agency a right to use,
21 control, and possess the property. In the case of a
22 conveyance of the property, the Agency must retain an option
23 to purchase the property at a future date or, within the
24 limitations period for reverters, the property must revert
25 back to the Agency.
26 (c) If the property has been conveyed as described in
27 subsection (b), the property is no longer exempt under this
28 Section as of the date when:
29 (1) the right of the Agency to use, control, and
30 possess the property is terminated;
31 (2) the Agency no longer has an option to purchase
32 or otherwise acquire the property; and
33 (3) there is no provision for a reverter of the
34 property to the Agency within the limitations period for
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1 reverters.
2 (d) Pursuant to Sections 15-15 and 15-20 of this Code,
3 the Agency shall notify the chief county assessment officer
4 of any transaction under subsection (b). The chief county
5 assessment officer shall determine initial and continuing
6 compliance with the requirements of this Section for tax
7 exemption. Failure to notify the chief county assessment
8 officer of a transaction under this Section or to otherwise
9 comply with the requirements of Sections 15-15 and 15-20 of
10 this Code shall, in the discretion of the chief county
11 assessment officer, constitute cause to terminate the
12 exemption, notwithstanding any other provision of this Code.
13 (e) No provision of this Section shall be construed to
14 affect the obligation of the Agency under Section 15-10 of
15 this Code to file an annual certificate of status or to
16 notify the chief county assessment officer of transfers of
17 interest or other changes in the status of the property as
18 required by this Code.
19 (35 ILCS 200/15-175)
20 Sec. 15-175. General homestead exemption. Homestead
21 property is entitled to an annual homestead exemption
22 limited, except as described here with relation to
23 cooperatives, to a reduction in the equalized assessed value
24 of homestead property equal to the increase in equalized
25 assessed value for the current assessment year above the
26 equalized assessed value of the property for 1977, up to the
27 maximum reduction set forth below. If however, the 1977
28 equalized assessed value upon which taxes were paid is
29 subsequently determined by local assessing officials, the
30 Property Tax Appeal Board, or a court to have been excessive,
31 the equalized assessed value which should have been placed on
32 the property for 1977 shall be used to determine the amount
33 of the exemption.
34 The maximum reduction shall be $4,500 in counties with
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1 3,000,000 or more inhabitants and $3,500 in all other
2 counties.
3 In counties with fewer than 3,000,000 inhabitants, if,
4 based on the most recent assessment, the equalized assessed
5 value of the homestead property for the current assessment
6 year is greater than the equalized assessed value of the
7 property for 1977, the owner of the property shall
8 automatically receive the exemption granted under this
9 Section in an amount equal to the increase over the 1977
10 assessment up to the maximum reduction set forth in this
11 Section.
12 If in any assessment year, beginning with the 1998
13 assessment year, homestead property has a pro-rata valuation
14 under Section 9-180 resulting in an increase in the assessed
15 valuation, a reduction in equalized assessed valuation equal
16 to the increase in equalized assessed value of the property
17 for the year of the pro-rata valuation above the equalized
18 assessed value of the property for 1977 shall be applied to
19 the property on a proportionate basis for the period the
20 property qualified as homestead property during the
21 assessment year. The maximum proportionate homestead
22 exemption shall not exceed the maximum homestead exemption
23 allowed in the county under this Section divided by 365 and
24 multiplied by the number of days the property qualified as
25 homestead property.
26 "Homestead property" under this Section includes
27 residential property that is occupied by its owner or owners
28 as his or their principal dwelling place, or that is a
29 leasehold interest on which a single family residence is
30 situated, which is occupied as a residence by a person who
31 has an ownership interest therein, legal or equitable or as a
32 lessee, and on which the person is liable for the payment of
33 property taxes. For land improved with an apartment building
34 owned and operated as a cooperative or a building which is a
35 life care facility as defined in Section 15-170 and
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1 considered to be a cooperative under Section 15-170, the
2 maximum reduction from the equalized assessed value shall be
3 limited to the increase in the value above the equalized
4 assessed value of the property for 1977, up to the maximum
5 reduction set forth above, multiplied by the number of
6 apartments or units occupied by a person or persons who is
7 liable, by contract with the owner or owners of record, for
8 paying property taxes on the property and is an owner of
9 record of a legal or equitable interest in the cooperative
10 apartment building, other than a leasehold interest. For
11 purposes of this Section, the term "life care facility" has
12 the meaning stated in Section 15-170.
13 In a cooperative where a homestead exemption has been
14 granted, the cooperative association or its management firm
15 shall credit the savings resulting from that exemption only
16 to the apportioned tax liability of the owner who qualified
17 for the exemption. Any person who willfully refuses to so
18 credit the savings shall be guilty of a Class B misdemeanor.
19 Where married persons maintain and reside in separate
20 residences qualifying as homestead property, each residence
21 shall receive 50% of the total reduction in equalized
22 assessed valuation provided by this Section.
23 In counties with more than 3,000,000 inhabitants, the
24 assessor, or chief county assessment officer may determine
25 the eligibility of residential property to receive the
26 homestead exemption by application, visual inspection,
27 questionnaire or other reasonable methods. The determination
28 shall be made in accordance with guidelines established by
29 the Department. In counties with fewer than 3,000,000
30 inhabitants, in the event of a sale of homestead property the
31 homestead exemption shall remain in effect for the remainder
32 of the assessment year of the sale. The assessor or chief
33 county assessment officer may require the new owner of the
34 property to apply for the homestead exemption for the
35 following assessment year.
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1 (Source: P.A. 90-368, eff. 1-1-98; 90-552, eff. 12-12-97;
2 revised 1-6-98.)
3 (35 ILCS 200/20-178 new)
4 Sec. 20-178. Certificate of error; refund; interest.
5 When the county collector makes any refunds due on
6 certificates of error issued under Sections 14-15 through
7 14-25 that have been either certified or adjudicated, the
8 county collector shall pay the taxpayer interest on the
9 amount of the refund at the rate of 0.5% per month.
10 No interest shall be due under this Section for any time
11 prior to 60 days after the effective date of this amendatory
12 Act of 1998. For certificates of error issued prior to the
13 effective date of this amendatory Act of 1998, the county
14 collector shall pay the taxpayer interest from 60 days after
15 the effective date of this amendatory Act of 1998 until the
16 date the refund is paid. For certificates of error issued on
17 or after the effective date of this amendatory Act of 1998,
18 interest shall be paid from 60 days after the certificate of
19 error is issued by the chief county assessment officer to the
20 date the refund is made. To cover the cost of interest, the
21 county collector shall proportionately reduce the
22 distribution of taxes collected for each taxing district in
23 which the property is situated.
24 This Section shall not apply to any certificate of error
25 granting a homestead exemption under Section 15-170, 15-172,
26 or 15-175.
27 (35 ILCS 200/21-105)
28 Sec. 21-105. Liability of owner; rights of tax
29 purchaser. Nothing in Sections 21-95 and 21-100 shall relieve
30 any owner liable for delinquent property taxes under this
31 Code from the payment of any delinquent taxes or liens which
32 have become null and void under those Sections.
33 Sections 21-95 and 21-100 shall not adversely affect the
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1 rights or interests of the holder of any bona fide
2 certificate of purchase of the property for delinquent taxes.
3 However, upon acquisition of property by a governmental unit
4 as set forth in Section 21-95, the rights and interests of
5 the holder of any bona fide certificate of purchase of the
6 property for delinquent taxes shall be limited to a sale in
7 error and a refund as provided under Section 21-310.
8 (Source: P.A. 86-949; 86-1158; 88-455.)
9 (35 ILCS 200/21-310)
10 Sec. 21-310. Sales in error.
11 (a) When, upon application of the county collector, tax
12 purchaser, or a municipality which owns or has owned the
13 property ordered sold, it appears to the satisfaction of the
14 court which ordered the property sold that any of the
15 following subsections are applicable, the court shall declare
16 the sale to be a sale in error:
17 (1) the property was not subject to taxation,
18 (2) the taxes or special assessments had been paid
19 prior to the sale of the property,
20 (3) there is a double assessment,
21 (4) the description is void for uncertainty,
22 (5) the assessor, chief county assessment officer,
23 board of review, or board of appeals has made an error
24 (other than an error of judgment as to the value of any
25 property), or
26 (6) prior to the tax sale a voluntary or
27 involuntary petition has been filed by or against the
28 legal or beneficial owner of the property requesting
29 relief under the provisions of 11 U.S.C. Chapter 7, 11,
30 12 or 13, or.
31 (7) a municipality has acquired the property (i)
32 through the foreclosure of a lien authorized under
33 Section 11-31-1 of the Illinois Municipal Code or through
34 a judicial deed issued under that Section, (ii) through
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1 foreclosure of a receivership lien, or (iii) through
2 acceptance of a deed of conveyance in lieu of foreclosing
3 a receivership certificate lien or other lien against the
4 property.
5 (b) When, upon application of the tax purchaser or his
6 or her assignee only, it appears to the satisfaction of the
7 court which ordered the property sold that any of the
8 following subsections are applicable, the court shall declare
9 a sale in error:
10 (1) A voluntary or involuntary petition under the
11 provisions of U.S.C. Chapter 7, 11, 12, or 13 has been
12 filed subsequent to the tax sale and prior to the
13 issuance of the tax deed.
14 (2) The improvements upon the property sold have
15 been substantially destroyed or rendered uninhabitable or
16 otherwise unfit for occupancy subsequent to the tax sale
17 and prior to the issuance of the tax deed.
18 (3) There is an interest held by the United States
19 in the property sold which could not be extinguished by
20 the tax deed.
21 (4) The real property contains a hazardous
22 substance, hazardous waste, or underground storage tank
23 that would require cleanup or other removal under any
24 federal, State, or local law, ordinance, or regulation,
25 only if the tax purchaser purchased the property without
26 actual knowledge of the hazardous substance, hazardous
27 waste, or underground storage tank. This paragraph (4)
28 applies only to tax purchases occurring after January 1,
29 1990 and if the tax purchaser or his or her assignee has
30 made application for a sale in error at any time before
31 the issuance of a tax deed.
32 (5) An order has been entered during the period of
33 redemption or within one year after the expiration of the
34 period of redemption vacating a prior tax sale.
35 If a sale is declared to be a sale in error, the county
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1 clerk shall make entry in the tax judgment, sale, redemption
2 and forfeiture record, that the property was erroneously
3 sold, and the county collector shall, on demand of the owner
4 of the certificate of purchase, refund the amount paid, pay
5 any interest and costs as may be ordered under Sections
6 21-315 through 21-335, and cancel the certificate so far as
7 it relates to the property. The county collector shall deduct
8 from the accounts of the appropriate taxing bodies their pro
9 rata amounts paid.
10 (Source: P.A. 88-455; 88-676, eff. 12-14-94.)
11 (35 ILCS 200/21-315)
12 Sec. 21-315. Interest on refund.
13 (a) In those cases which arise solely under grounds set
14 forth in Section 21-310 or 22-35, and in no other cases, the
15 court which orders a sale in error shall also award interest
16 on the refund of the amount paid for the certificate of
17 purchase, together with all costs paid by the owner of the
18 certificate of purchase or his or her assignor which were
19 posted to the tax judgment, sale, redemption and forfeiture
20 record, except as otherwise provided in this Section. Except
21 as otherwise provided in this Section, interest shall be
22 awarded and paid at the rate of 1% per month from the date of
23 sale to the date of payment to the tax purchaser, or in an
24 amount equivalent to the penalty interest which would be
25 recovered on a redemption at the time of payment pursuant to
26 the order for sale in error, whichever is less.
27 (b) Interest on the refund to the owner of the
28 certificate of purchase shall not be paid (i) in any case in
29 which the improvements upon the property sold have been
30 substantially destroyed or rendered uninhabitable or
31 otherwise unfit for occupancy, (ii) when the sale in error is
32 made in pursuant to Section 22-35 or paragraph (5) of
33 subsection (b) of Section 21-310, (iii) in any case, after
34 January 1, 1990, in which the real estate contains a
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1 hazardous substance, hazardous waste, or underground storage
2 tank that would require a cleanup or other removal under any
3 federal, State, or local law, ordinance or regulation, only
4 if the tax purchaser purchased the property without actual
5 knowledge of the hazardous substance, hazardous waste or
6 underground storage tank, or (iv) in any other case where the
7 court determines that the tax purchaser had actual knowledge
8 prior to the sale of the grounds on which the sale is
9 declared to be erroneous.
10 (c) When the county collector files a petition for sale
11 in error under Section 21-310 and mails a notice thereof by
12 certified or registered mail to the tax purchaser, any
13 interest otherwise payable under this Section shall cease to
14 accrue as of the date the petition is filed, unless the tax
15 purchaser agrees to an order for sale in error upon the
16 presentation of the petition to the court. Notices under
17 this subsection may be mailed to the original owner of the
18 certificate of purchase, or to the latest assignee, if known.
19 When the owner of the certificate of purchase contests the
20 collector's petition solely to determine whether the grounds
21 for sale in error are such as to support a claim for
22 interest, the court may direct that the principal amount of
23 the refund be paid to the owner of the certificate of
24 purchase forthwith. If the court thereafter determines that a
25 claim for interest lies under this Section, it shall award
26 such interest from the date of sale to the date the principal
27 amount was paid.
28 (Source: P.A. 88-455; 88-676, eff. 12-14-94; 89-69, eff.
29 6-30-95; revised 12-18-97.)
30 (35 ILCS 200/21-345)
31 Sec. 21-345. Right of redemption.
32 (a) Property sold under this Code may be redeemed only
33 by those persons having a right of redemption as defined in
34 this Section and only in accordance with this Code.
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1 A right to redeem property from any sale under this Code
2 shall exist in any owner or person interested in that
3 property, other than an undisclosed beneficiary of an
4 Illinois land trust, whether or not the interest in the
5 property sold is recorded or filed. Any redemption shall be
6 presumed to have been made by or on behalf of the owners and
7 persons interested in the property and shall inure to the
8 benefit of the persons having the legal or equitable title to
9 the property redeemed, subject to the right of the person
10 making the redemption to be reimbursed by the persons
11 benefited. No redemption shall be held invalid by reason of
12 the failure of the person redeeming to have recorded or filed
13 the document evidencing an interest in the property prior to
14 redemption, other than an undisclosed beneficiary of an
15 Illinois land trust.
16 (b) Any person who desires to redeem and does not desire
17 to contest the validity of the petition for tax deed may
18 redeem pursuant to this Section and related Sections of this
19 Code without submitting a written protest under Section
20 21-380. This subsection (b) shall be construed as
21 declarative of the existing law and not as a new enactment.
22 (Source: P.A. 86-286; 86-413; 86-418; 86-949; 86-1028;
23 86-1158; 86-1481; 87-145; 87-236; 87-435; 87-895; 87-1189;
24 88-455.)
25 (35 ILCS 200/21-385)
26 Sec. 21-385. Extension of period of redemption. The
27 purchaser or his or her assignee of property sold for
28 nonpayment of general taxes or special assessments may extend
29 the period of redemption at any time before the expiration of
30 the original period of redemption, or thereafter prior to the
31 expiration of any extended period of redemption, for a period
32 which will expire not later than 3 years from the date of
33 sale, by filing with the county clerk of the county in which
34 the property is located a written notice to that effect
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1 describing the property, stating the date of the sale and
2 specifying the extended period of redemption. If prior to
3 the expiration of the period of redemption or extended period
4 of redemption a petition for tax deed has been filed under
5 Section 22-30, upon application of the petitioner, the court
6 shall allow the purchaser or his or her assignee to extend
7 the period of redemption after expiration of the original
8 period or any extended period of redemption, provided that
9 any extension allowed will expire not later than 3 years from
10 the date of sale. If the period of redemption is extended,
11 the purchaser or his or her assignee must give the notices
12 provided for in Section 22-10 at the specified times prior to
13 the expiration of the extended period of redemption by
14 causing a sheriff (or if he or she is disqualified, a
15 coroner) of the county in which the property, or any part
16 thereof, is located to serve the notices as provided in
17 Sections 22-15 and 22-20. The notices may also be served as
18 provided in Sections 22-15 and 22-20 by a special process
19 server appointed by the court under Section 22-15.
20 (Source: P.A. 86-949; 87-1189; 88-455.)
21 (35 ILCS 200/22-15)
22 Sec. 22-15. Service of notice. The purchaser or his or
23 her assignee shall give the notice required by Section 22-10
24 by causing it to be published in a newspaper as set forth in
25 Section 22-20. In addition, the notice shall be served by a
26 sheriff (or if he or she is disqualified, by a coroner) of
27 the county in which the property, or any part thereof, is
28 located upon owners who reside on any part of the property
29 sold by leaving a copy of the notice with those owners
30 personally.
31 In counties of 3,000,000 or more inhabitants where a
32 taxing district is a petitioner for tax deed pursuant to
33 Section 21-90, in lieu of service by the sheriff or coroner
34 the notice may be served by a special process server
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1 appointed by the circuit court as provided in this Section.
2 The taxing district may move prior to filing one or more
3 petitions for tax deed for appointment of such a special
4 process server. The court, upon being satisfied that the
5 person named in the motion is at least 18 years of age and is
6 capable of serving notice as required under this Code, shall
7 enter an order appointing such person as a special process
8 server for a period of one year. The appointment may be
9 renewed for successive periods of one year each by motion and
10 order, and a copy of the original and any subsequent order
11 shall be filed in each tax deed case in which a notice is
12 served by the appointed person. Delivery of the notice to
13 and service of the notice by the special process server shall
14 have the same force and effect as its delivery to and service
15 by the sheriff or coroner.
16 The same form of notice shall also be served upon all
17 other owners and parties interested in the property, if upon
18 diligent inquiry they can be found in the county, and upon
19 the occupants of the property in the following manner:
20 (a) as to individuals, by (1) leaving a copy of the
21 notice with the person personally or (2) by leaving a
22 copy at his or her usual place of residence with a person
23 of the family, of the age of 13 years or more, and
24 informing that person of its contents. The person making
25 the service shall cause also send a copy of the notice to
26 be sent by registered or certified mail, return receipt
27 requested, to that party at his or her usual place of
28 residence;
29 (b) as to public and private corporations,
30 municipal, governmental and quasi-municipal corporations,
31 partnerships, receivers and trustees of corporations, by
32 leaving a copy of the notice with the person designated
33 by the Civil Practice Law.
34 If the property sold has more than 4 dwellings or other
35 rental units, and has a managing agent or party who collects
-18- SRS90HB0884NCchccr3
1 rents, that person shall be deemed the occupant and shall be
2 served with notice instead of the occupants of the individual
3 units. If the property has no dwellings or rental units, but
4 economic or recreational activities are carried on therein,
5 the person directing such activities shall be deemed the
6 occupant. Holders of rights of entry and possibilities of
7 reverter shall not be deemed parties interested in the
8 property.
9 When a party interested in the property is a trustee,
10 notice served upon the trustee shall be deemed to have been
11 served upon any beneficiary or note holder thereunder unless
12 the holder of the note is disclosed of record.
13 When a judgment is a lien upon the property sold, the
14 holder of the lien shall be served with notice if the name of
15 the judgment debtor as shown in the transcript, certified
16 copy or memorandum of judgment filed of record is identical,
17 as to given name and surname, with the name of the party
18 interested as it appears of record.
19 If any owner or party interested, upon diligent inquiry
20 and effort, cannot be found or served with notice in the
21 county as provided in this Section, and the person in actual
22 occupancy and possession is tenant to, or in possession under
23 the owners or the parties interested in the property, then
24 service of notice upon the tenant, occupant or person in
25 possession shall be deemed service upon the owners or parties
26 interested.
27 If any owner or party interested, upon diligent inquiry
28 and effort cannot be found or served with notice in the
29 county, then the person making the service shall cause send a
30 copy of the notice to be sent by registered or certified
31 mail, return receipt requested, to that party at his or her
32 residence, if ascertainable.
33 (Source: P.A. 87-1189; 88-455; incorporates 88-451; 88-670,
34 eff. 12-2-94.)
-19- SRS90HB0884NCchccr3
1 (35 ILCS 200/22-20)
2 Sec. 22-20. Proof of service of notice; publication of
3 notice. The sheriff or coroner serving notice under Section
4 22-15 shall endorse his or her return thereon and file it
5 with the Clerk of the Circuit Court and it shall be a part of
6 the court record. A special process server appointed under
7 Section 22-15 shall make his or her return by affidavit and
8 shall file it with the Clerk of the Circuit Court, where it
9 shall be a part of the court record. If a sheriff, special
10 process server, or coroner to whom any notice is delivered
11 for service, neglects or refuses to make the return, the
12 purchaser or his or her assignee may petition the court to
13 enter a rule requiring the sheriff, special process server,
14 or coroner to make return of the notice on a day to be fixed
15 by the court, or to show cause on that day why he or she
16 should not be attached for contempt of the court. The
17 purchaser or assignee shall cause a written notice of the
18 rule to be served upon the sheriff, special process server,
19 or coroner. If good and sufficient cause to excuse the
20 sheriff, special process server, or coroner is not shown, the
21 court shall adjudge him or her guilty of a contempt, and
22 shall proceed to punish him as in other cases of contempt.
23 If the property is located in a municipality in a county
24 with less than 3,000,000 inhabitants, the purchaser or his or
25 her assignee shall also publish a notice as to the owner or
26 party interested, in some newspaper published in the
27 municipality. If the property is not in a municipality in a
28 county with less than 3,000,000 inhabitants, or if no
29 newspaper is published therein, or if the property is in a
30 county with 3,000,000 or more inhabitants, the notice shall
31 be published in some newspaper in the county. If no
32 newspaper is published in the county, then the notice shall
33 be published in the newspaper that is published nearest the
34 county seat of the county in which the property is located.
35 If the owners and parties interested in the property upon
-20- SRS90HB0884NCchccr3
1 diligent inquiry are unknown to the purchaser or his or her
2 assignee, the publication as to such owner or party
3 interested, may be made to unknown owners or parties
4 interested. Any notice by publication given under this
5 Section shall be given 3 times at any time after filing a
6 petition for tax deed, but not less than 3 months nor more
7 than 5 months prior to the expiration of the period of
8 redemption. The publication shall contain (a) notice of the
9 filing of the petition for tax deed, (b) the date on which
10 the petitioner intends to make application for an order on
11 the petition that a tax deed issue, (c) a description of the
12 property, (d) the date upon which the property was sold, (e)
13 the taxes or special assessments for which it was sold and
14 (f) the date on which the period of redemption will expire.
15 The publication shall not include more than one property
16 listed and sold in one description, except as provided in
17 Section 21-90, and except that when more than one property is
18 owned by one person, all of the parcels owned by that person
19 may be included in one notice.
20 (Source: P.A. 87-1189; 88-455; 88-535.)
21 Section 10. The Illinois Municipal Code is amended by
22 changing Section 11-31-1 as follows:
23 (65 ILCS 5/11-31-1) (from Ch. 24, par. 11-31-1)
24 Sec. 11-31-1. Demolition, repair, enclosure, or
25 remediation.
26 (a) The corporate authorities of each municipality may
27 demolish, repair, or enclose or cause the demolition, repair,
28 or enclosure of dangerous and unsafe buildings or uncompleted
29 and abandoned buildings within the territory of the
30 municipality and may remove or cause the removal of garbage,
31 debris, and other hazardous, noxious, or unhealthy substances
32 or materials from those buildings. In any county having
33 adopted by referendum or otherwise a county health department
-21- SRS90HB0884NCchccr3
1 as provided by Division 5-25 of the Counties Code or its
2 predecessor, the county board of that county may exercise
3 those powers with regard to dangerous and unsafe buildings or
4 uncompleted and abandoned buildings within the territory of
5 any city, village, or incorporated town having less than
6 50,000 population.
7 The corporate authorities shall apply to the circuit
8 court of the county in which the building is located (i) for
9 an order authorizing action to be taken with respect to a
10 building if the owner or owners of the building, including
11 the lien holders of record, after at least 15 days' written
12 notice by mail so to do, have failed to put the building in a
13 safe condition or to demolish it or (ii) for an order
14 requiring the owner or owners of record to demolish, repair,
15 or enclose the building or to remove garbage, debris, and
16 other hazardous, noxious, or unhealthy substances or
17 materials from the building. It is not a defense to the
18 cause of action that the building is boarded up or otherwise
19 enclosed, although the court may order the defendant to have
20 the building boarded up or otherwise enclosed. Where, upon
21 diligent search, the identity or whereabouts of the owner or
22 owners of the building, including the lien holders of record,
23 is not ascertainable, notice mailed to the person or persons
24 in whose name the real estate was last assessed is sufficient
25 notice under this Section.
26 The hearing upon the application to the circuit court
27 shall be expedited by the court and shall be given precedence
28 over all other suits. Any person entitled to bring an action
29 under subsection (b) shall have the right to intervene in an
30 action brought under this Section.
31 The cost of the demolition, repair, enclosure, or removal
32 incurred by the municipality, by an intervenor, or by a lien
33 holder of record, including court costs, attorney's fees, and
34 other costs related to the enforcement of this Section, is
35 recoverable from the owner or owners of the real estate or
-22- SRS90HB0884NCchccr3
1 the previous owner or both if the property was transferred
2 during the 15 day notice period and is a lien on the real
3 estate; the lien is superior to all prior existing liens and
4 encumbrances, except taxes, if, within 180 days after the
5 repair, demolition, enclosure, or removal, the municipality,
6 the lien holder of record, or the intervenor who incurred the
7 cost and expense shall file a notice of lien for the cost and
8 expense incurred in the office of the recorder in the county
9 in which the real estate is located or in the office of the
10 registrar of titles of the county if the real estate affected
11 is registered under the Registered Titles (Torrens) Act.
12 The notice must consist of a sworn statement setting out
13 (1) a description of the real estate sufficient for its
14 identification, (2) the amount of money representing the cost
15 and expense incurred, and (3) the date or dates when the cost
16 and expense was incurred by the municipality, the lien holder
17 of record, or the intervenor. Upon payment of the cost and
18 expense by the owner of or persons interested in the property
19 after the notice of lien has been filed, the lien shall be
20 released by the municipality, the person in whose name the
21 lien has been filed, or the assignee of the lien, and the
22 release may be filed of record as in the case of filing
23 notice of lien. Unless the lien is enforced under subsection
24 (c), the lien may be enforced by foreclosure proceedings as
25 in the case of mortgage foreclosures under Article XV of the
26 Code of Civil Procedure or mechanics' lien foreclosures. An
27 action to foreclose this lien may be commenced at any time
28 after the date of filing of the notice of lien. The costs of
29 foreclosure incurred by the municipality, including court
30 costs, reasonable attorney's fees, advances to preserve the
31 property, and other costs related to the enforcement of this
32 subsection, plus statutory interest, are a lien on the real
33 estate and are recoverable by the municipality from the owner
34 or owners of the real estate.
35 All liens arising under this subsection (a) shall be
-23- SRS90HB0884NCchccr3
1 assignable. The assignee of the lien shall have the same
2 power to enforce the lien as the assigning party, except that
3 the lien may not be enforced under subsection (c).
4 If the appropriate official of any municipality
5 determines that any dangerous and unsafe building or
6 uncompleted and abandoned building within its territory
7 fulfills the requirements for an action by the municipality
8 under the Abandoned Housing Rehabilitation Act, the
9 municipality may petition under that Act in a proceeding
10 brought under this subsection.
11 (b) Any owner or tenant of real property within 1200
12 feet in any direction of any dangerous or unsafe building
13 located within the territory of a municipality with a
14 population of 500,000 or more may file with the appropriate
15 municipal authority a request that the municipality apply to
16 the circuit court of the county in which the building is
17 located for an order permitting the demolition, removal of
18 garbage, debris, and other noxious or unhealthy substances
19 and materials from, or repair or enclosure of the building in
20 the manner prescribed in subsection (a) of this Section. If
21 the municipality fails to institute an action in circuit
22 court within 90 days after the filing of the request, the
23 owner or tenant of real property within 1200 feet in any
24 direction of the building may institute an action in circuit
25 court seeking an order compelling the owner or owners of
26 record to demolish, remove garbage, debris, and other noxious
27 or unhealthy substances and materials from, repair or enclose
28 or to cause to be demolished, have garbage, debris, and other
29 noxious or unhealthy substances and materials removed from,
30 repaired, or enclosed the building in question. A private
31 owner or tenant who institutes an action under the preceding
32 sentence shall not be required to pay any fee to the clerk of
33 the circuit court. The cost of repair, removal, demolition,
34 or enclosure shall be borne by the owner or owners of record
35 of the building. In the event the owner or owners of record
-24- SRS90HB0884NCchccr3
1 fail to demolish, remove garbage, debris, and other noxious
2 or unhealthy substances and materials from, repair, or
3 enclose the building within 90 days of the date the court
4 entered its order, the owner or tenant who instituted the
5 action may request that the court join the municipality as a
6 party to the action. The court may order the municipality to
7 demolish, remove materials from, repair, or enclose the
8 building, or cause that action to be taken upon the request
9 of any owner or tenant who instituted the action or upon the
10 municipality's request. The municipality may file, and the
11 court may approve, a plan for rehabilitating the building in
12 question. A court order authorizing the municipality to
13 demolish, remove materials from, repair, or enclose a
14 building, or cause that action to be taken, shall not
15 preclude the court from adjudging the owner or owners of
16 record of the building in contempt of court due to the
17 failure to comply with the order to demolish, remove garbage,
18 debris, and other noxious or unhealthy substances and
19 materials from, repair, or enclose the building.
20 If a municipality or a person or persons other than the
21 owner or owners of record pay the cost of demolition, removal
22 of garbage, debris, and other noxious or unhealthy substances
23 and materials, repair, or enclosure pursuant to a court
24 order, the cost, including court costs, attorney's fees, and
25 other costs related to the enforcement of this subsection, is
26 recoverable from the owner or owners of the real estate and
27 is a lien on the real estate; the lien is superior to all
28 prior existing liens and encumbrances, except taxes, if,
29 within 180 days after the repair, removal, demolition, or
30 enclosure, the municipality or the person or persons who paid
31 the costs of demolition, removal, repair, or enclosure shall
32 file a notice of lien of the cost and expense incurred in the
33 office of the recorder in the county in which the real estate
34 is located or in the office of the registrar of the county if
35 the real estate affected is registered under the Registered
-25- SRS90HB0884NCchccr3
1 Titles (Torrens) Act. The notice shall be in a form as is
2 provided in subsection (a). An owner or tenant who
3 institutes an action in circuit court seeking an order to
4 compel the owner or owners of record to demolish, remove
5 materials from, repair, or enclose any dangerous or unsafe
6 building, or to cause that action to be taken under this
7 subsection may recover court costs and reasonable attorney's
8 fees for instituting the action from the owner or owners of
9 record of the building. Upon payment of the costs and
10 expenses by the owner of or a person interested in the
11 property after the notice of lien has been filed, the lien
12 shall be released by the municipality or the person in whose
13 name the lien has been filed or his or her assignee, and the
14 release may be filed of record as in the case of filing a
15 notice of lien. Unless the lien is enforced under subsection
16 (c), the lien may be enforced by foreclosure proceedings as
17 in the case of mortgage foreclosures under Article XV of the
18 Code of Civil Procedure or mechanics' lien foreclosures. An
19 action to foreclose this lien may be commenced at any time
20 after the date of filing of the notice of lien. The costs of
21 foreclosure incurred by the municipality, including court
22 costs, reasonable attorneys' fees, advances to preserve the
23 property, and other costs related to the enforcement of this
24 subsection, plus statutory interest, are a lien on the real
25 estate and are recoverable by the municipality from the owner
26 or owners of the real estate.
27 All liens arising under the terms of this subsection (b)
28 shall be assignable. The assignee of the lien shall have the
29 same power to enforce the lien as the assigning party, except
30 that the lien may not be enforced under subsection (c).
31 (c) In any case where a municipality has obtained a lien
32 under subsection (a), (b), or (f), the municipality may
33 enforce the lien under this subsection (c) in the same
34 proceeding in which the lien is authorized.
35 A municipality desiring to enforce a lien under this
-26- SRS90HB0884NCchccr3
1 subsection (c) shall petition the court to retain
2 jurisdiction for foreclosure proceedings under this
3 subsection. Notice of the petition shall be served, by
4 certified or registered mail, on all persons who were served
5 notice under subsection (a), (b), or (f). The court shall
6 conduct a hearing on the petition not less than 15 days after
7 the notice is served. If the court determines that the
8 requirements of this subsection (c) have been satisfied, it
9 shall grant the petition and retain jurisdiction over the
10 matter until the foreclosure proceeding is completed. The
11 costs of foreclosure incurred by the municipality, including
12 court costs, reasonable attorneys' fees, advances to preserve
13 the property, and other costs related to the enforcement of
14 this subsection, plus statutory interest, are a lien on the
15 real estate and are recoverable by the municipality from the
16 owner or owners of the real estate. If the court denies the
17 petition, the municipality may enforce the lien in a separate
18 action as provided in subsection (a), (b), or (f).
19 All persons designated in Section 15-1501 of the Code of
20 Civil Procedure as necessary parties in a mortgage
21 foreclosure action shall be joined as parties before issuance
22 of an order of foreclosure. Persons designated in Section
23 15-1501 of the Code of Civil Procedure as permissible parties
24 may also be joined as parties in the action.
25 The provisions of Article XV of the Code of Civil
26 Procedure applicable to mortgage foreclosures shall apply to
27 the foreclosure of a lien under this subsection (c), except
28 to the extent that those provisions are inconsistent with
29 this subsection. For purposes of foreclosures of liens
30 under this subsection, however, the redemption period
31 described in subsection (b) of Section 15-1603 of the Code of
32 Civil Procedure shall end 60 days after the date of entry of
33 the order of foreclosure.
34 (d) In addition to any other remedy provided by law, the
35 corporate authorities of any municipality may petition the
-27- SRS90HB0884NCchccr3
1 circuit court to have property declared abandoned under this
2 subsection (d) if:
3 (1) the property has been tax delinquent for 2 or
4 more years or bills for water service for the property
5 have been outstanding for 2 or more years;
6 (2) the property is unoccupied by persons legally
7 in possession; and
8 (3) the property contains a dangerous or unsafe
9 building.
10 All persons having an interest of record in the property,
11 including tax purchasers and beneficial owners of any
12 Illinois land trust having title to the property, shall be
13 named as defendants in the petition and shall be served with
14 process. In addition, service shall be had under Section
15 2-206 of the Code of Civil Procedure as in other cases
16 affecting property.
17 The municipality, however, may proceed under this
18 subsection in a proceeding brought under subsection (a) or
19 (b). Notice of the petition shall be served by certified or
20 registered mail on all persons who were served notice under
21 subsection (a) or (b).
22 If the municipality proves that the conditions described
23 in this subsection exist and the owner of record of the
24 property does not enter an appearance in the action, or, if
25 title to the property is held by an Illinois land trust, if
26 neither the owner of record nor the owner of the beneficial
27 interest of the trust enters an appearance, the court shall
28 declare the property abandoned.
29 If that determination is made, notice shall be sent by
30 certified or registered mail to all persons having an
31 interest of record in the property, including tax purchasers
32 and beneficial owners of any Illinois land trust having title
33 to the property, stating that title to the property will be
34 transferred to the municipality unless, within 30 days of the
35 notice, the owner of record enters an appearance in the
-28- SRS90HB0884NCchccr3
1 action, or unless any other person having an interest in the
2 property files with the court a request to demolish the
3 dangerous or unsafe building or to put the building in safe
4 condition.
5 If the owner of record enters an appearance in the action
6 within the 30 day period, the court shall vacate its order
7 declaring the property abandoned. In that case, the
8 municipality may amend its complaint in order to initiate
9 proceedings under subsection (a).
10 If a request to demolish or repair the building is filed
11 within the 30 day period, the court shall grant permission to
12 the requesting party to demolish the building within 30 days
13 or to restore the building to safe condition within 60 days
14 after the request is granted. An extension of that period
15 for up to 60 additional days may be given for good cause. If
16 more than one person with an interest in the property files a
17 timely request, preference shall be given to the person with
18 the lien or other interest of the highest priority.
19 If the requesting party proves to the court that the
20 building has been demolished or put in a safe condition
21 within the period of time granted by the court, the court
22 shall issue a quitclaim judicial deed for the property to the
23 requesting party, conveying only the interest of the owner of
24 record, upon proof of payment to the municipality of all
25 costs incurred by the municipality in connection with the
26 action, including but not limited to court costs, attorney's
27 fees, administrative costs, the costs, if any, associated
28 with building enclosure or removal, and receiver's
29 certificates. The interest in the property so conveyed shall
30 be subject to all liens and encumbrances on the property. In
31 addition, if the interest is conveyed to a person holding a
32 certificate of purchase for the property under the Property
33 Tax Code, the conveyance shall be subject to the rights of
34 redemption of all persons entitled to redeem under that Act,
35 including the original owner of record.
-29- SRS90HB0884NCchccr3
1 If no person with an interest in the property files a
2 timely request or if the requesting party fails to demolish
3 the building or put the building in safe condition within the
4 time specified by the court, the municipality may petition
5 the court to issue a judicial deed for the property to the
6 municipality. A conveyance by judicial deed shall operate to
7 extinguish all existing ownership interests in, liens on, and
8 other interest in the property, including tax liens,. and
9 shall extinguish the rights and interests of any and all
10 holders of a bona fide certificate of purchase of the
11 property for delinquent taxes. Any such bona fide
12 certificate of purchase holder shall be entitled to a sale in
13 error as prescribed under Section 21-310 of the Property Tax
14 Code.
15 (e) Each municipality may use the provisions of this
16 subsection to expedite the removal of certain buildings that
17 are a continuing hazard to the community in which they are
18 located.
19 If a residential building is 2 stories or less in height
20 as defined by the municipality's building code, and the
21 corporate official designated to be in charge of enforcing
22 the municipality's building code determines that the building
23 is open and vacant and an immediate and continuing hazard to
24 the community in which the building is located, then the
25 official shall be authorized to post a notice not less than 2
26 feet by 2 feet in size on the front of the building. The
27 notice shall be dated as of the date of the posting and shall
28 state that unless the building is demolished, repaired, or
29 enclosed, and unless any garbage, debris, and other
30 hazardous, noxious, or unhealthy substances or materials are
31 removed so that an immediate and continuing hazard to the
32 community no longer exists, then the building may be
33 demolished, repaired, or enclosed, or any garbage, debris,
34 and other hazardous, noxious, or unhealthy substances or
35 materials may be removed, by the municipality.
-30- SRS90HB0884NCchccr3
1 Not later than 30 days following the posting of the
2 notice, the municipality shall do both of the following:
3 (1) Cause to be sent, by certified mail, return
4 receipt requested, a notice to all owners of record of
5 the property, the beneficial owners of any Illinois land
6 trust having title to the property, and all lienholders
7 of record in the property, stating the intent of the
8 municipality to demolish, repair, or enclose the building
9 or remove any garbage, debris, or other hazardous,
10 noxious, or unhealthy substances or materials if that
11 action is not taken by the owner or owners.
12 (2) Cause to be published, in a newspaper published
13 or circulated in the municipality where the building is
14 located, a notice setting forth (i) the permanent tax
15 index number and the address of the building, (ii) a
16 statement that the property is open and vacant and
17 constitutes an immediate and continuing hazard to the
18 community, and (iii) a statement that the municipality
19 intends to demolish, repair, or enclose the building or
20 remove any garbage, debris, or other hazardous, noxious,
21 or unhealthy substances or materials if the owner or
22 owners or lienholders of record fail to do so. This
23 notice shall be published for 3 consecutive days.
24 A person objecting to the proposed actions of the
25 corporate authorities may file his or her objection in an
26 appropriate form in a court of competent jurisdiction.
27 If the building is not demolished, repaired, or enclosed,
28 or the garbage, debris, or other hazardous, noxious, or
29 unhealthy substances or materials are not removed, within 30
30 days of mailing the notice to the owners of record, the
31 beneficial owners of any Illinois land trust having title to
32 the property, and all lienholders of record in the property,
33 or within 30 days of the last day of publication of the
34 notice, whichever is later, the corporate authorities shall
35 have the power to demolish, repair, or enclose the building
-31- SRS90HB0884NCchccr3
1 or to remove any garbage, debris, or other hazardous,
2 noxious, or unhealthy substances or materials.
3 The municipality may proceed to demolish, repair, or
4 enclose a building or remove any garbage, debris, or other
5 hazardous, noxious, or unhealthy substances or materials
6 under this subsection within a 120-day period following the
7 date of the mailing of the notice if the appropriate official
8 determines that the demolition, repair, enclosure, or removal
9 of any garbage, debris, or other hazardous, noxious, or
10 unhealthy substances or materials is necessary to remedy the
11 immediate and continuing hazard. If, however, before the
12 municipality proceeds with any of the actions authorized by
13 this subsection, any person has sought a hearing under this
14 subsection before a court and has served a copy of the
15 complaint on the chief executive officer of the municipality,
16 then the municipality shall not proceed with the demolition,
17 repair, enclosure, or removal of garbage, debris, or other
18 substances until the court determines that that action is
19 necessary to remedy the hazard and issues an order
20 authorizing the municipality to do so.
21 Following the demolition, repair, or enclosure of a
22 building, or the removal of garbage, debris, or other
23 hazardous, noxious, or unhealthy substances or materials
24 under this subsection, the municipality may file a notice of
25 lien against the real estate for the cost of the demolition,
26 repair, enclosure, or removal within 180 days after the
27 repair, demolition, enclosure, or removal occurred, for the
28 cost and expense incurred, in the office of the recorder in
29 the county in which the real estate is located or in the
30 office of the registrar of titles of the county if the real
31 estate affected is registered under the Registered Titles
32 (Torrens) Act. The notice of lien shall consist of a sworn
33 statement setting forth (i) a description of the real estate,
34 such as the address or other description of the property,
35 sufficient for its identification; (ii) the expenses incurred
-32- SRS90HB0884NCchccr3
1 by the municipality in undertaking the remedial actions
2 authorized under this subsection; (iii) the date or dates the
3 expenses were incurred by the municipality; (iv) a statement
4 by the corporate official responsible for enforcing the
5 building code that the building was open and vacant and
6 constituted an immediate and continuing hazard to the
7 community; (v) a statement by the corporate official that the
8 required sign was posted on the building, that notice was
9 sent by certified mail to the owners of record, and that
10 notice was published in accordance with this subsection; and
11 (vi) a statement as to when and where the notice was
12 published. The lien authorized by this subsection may
13 thereafter be released or enforced by the municipality as
14 provided in subsection (a).
15 (f) The corporate authorities of each municipality may
16 remove or cause the removal of, or otherwise environmentally
17 remediate hazardous substances on, in, or under any abandoned
18 and unsafe property within the territory of a municipality.
19 In addition, where preliminary evidence indicates the
20 presence or likely presence of a hazardous substance or a
21 release or a substantial threat of a release of a hazardous
22 substance on, in, or under the property, the corporate
23 authorities of the municipality may inspect the property and
24 test for the presence or release of hazardous substances. In
25 any county having adopted by referendum or otherwise a county
26 health department as provided by Division 5-25 of the
27 Counties Code or its predecessor, the county board of that
28 county may exercise the above-described powers with regard to
29 property within the territory of any city, village, or
30 incorporated town having less than 50,000 population.
31 For purposes of this subsection (f):
32 (1) "property" or "real estate" means all real
33 property, whether or not improved by a structure;
34 (2) "abandoned" means;
35 (A) the property has been tax delinquent for 2
-33- SRS90HB0884NCchccr3
1 or more years;
2 (B) the property is unoccupied by persons
3 legally in possession; and
4 (3) "unsafe" means property that presents an actual
5 or imminent threat to public health and safety caused by
6 the release of hazardous substances; and
7 (4) "hazardous substances" means the same as in
8 Section 3.14 of the Environmental Protection Act.
9 The corporate authorities shall apply to the circuit
10 court of the county in which the property is located (i) for
11 an order allowing the municipality to enter the property and
12 inspect and test substances on, in, or under the property; or
13 (ii) for an order authorizing the corporate authorities to
14 take action with respect to remediation of the property if
15 conditions on the property, based on the inspection and
16 testing authorized in paragraph (i), indicate the presence of
17 hazardous substances. Remediation shall be deemed complete
18 for purposes of paragraph (ii) above when the property
19 satisfies Tier I, II, or III remediation objectives for the
20 property's most recent usage, as established by the
21 Environmental Protection Act, and the rules and regulations
22 promulgated thereunder. Where, upon diligent search, the
23 identity or whereabouts of the owner or owners of the
24 property, including the lien holders of record, is not
25 ascertainable, notice mailed to the person or persons in
26 whose name the real estate was last assessed is sufficient
27 notice under this Section.
28 The court shall grant an order authorizing testing under
29 paragraph (i) above upon a showing of preliminary evidence
30 indicating the presence or likely presence of a hazardous
31 substance or a release of or a substantial threat of a
32 release of a hazardous substance on, in, or under abandoned
33 property. The preliminary evidence may include, but is not
34 limited to, evidence of prior use, visual site inspection, or
35 records of prior environmental investigations. The testing
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1 authorized by paragraph (i) above shall include any type of
2 investigation which is necessary for an environmental
3 professional to determine the environmental condition of the
4 property, including but not limited to performance of soil
5 borings and groundwater monitoring. The court shall grant a
6 remediation order under paragraph (ii) above where testing of
7 the property indicates that it fails to meet the applicable
8 remediation objectives. The hearing upon the application to
9 the circuit court shall be expedited by the court and shall
10 be given precedence over all other suits.
11 The cost of the inspection, testing, or remediation
12 incurred by the municipality or by a lien holder of record,
13 including court costs, attorney's fees, and other costs
14 related to the enforcement of this Section, is a lien on the
15 real estate; except that in any instances where a
16 municipality incurs costs of inspection and testing but finds
17 no hazardous substances on the property that present an
18 actual or imminent threat to public health and safety, such
19 costs are not recoverable from the owners nor are such costs
20 a lien on the real estate. The lien is superior to all prior
21 existing liens and encumbrances, except taxes and any lien
22 obtained under subsection (a) or (e), if, within 180 days
23 after the completion of the inspection, testing, or
24 remediation, the municipality or the lien holder of record
25 who incurred the cost and expense shall file a notice of lien
26 for the cost and expense incurred in the office of the
27 recorder in the county in which the real estate is located or
28 in the office of the registrar of titles of the county if the
29 real estate affected is registered under the Registered
30 Titles (Torrens) Act.
31 The notice must consist of a sworn statement setting out
32 (i) a description of the real estate sufficient for its
33 identification, (ii) the amount of money representing the
34 cost and expense incurred, and (iii) the date or dates when
35 the cost and expense was incurred by the municipality or the
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1 lien holder of record. Upon payment of the lien amount by
2 the owner of or persons interested in the property after the
3 notice of lien has been filed, a release of lien shall be
4 issued by the municipality, the person in whose name the lien
5 has been filed, or the assignee of the lien, and the release
6 may be filed of record as in the case of filing notice of
7 lien.
8 The lien may be enforced under subsection (c) or by
9 foreclosure proceedings as in the case of mortgage
10 foreclosures under Article XV of the Code of Civil Procedure
11 or mechanics' lien foreclosures; provided that where the lien
12 is enforced by foreclosure under subsection (c) or under
13 either statute, the municipality may not proceed against the
14 other assets of the owner or owners of the real estate for
15 any costs that otherwise would be recoverable under this
16 Section but that remain unsatisfied after foreclosure except
17 where such additional recovery is authorized by separate
18 environmental laws. An action to foreclose this lien may be
19 commenced at any time after the date of filing of the notice
20 of lien. The costs of foreclosure incurred by the
21 municipality, including court costs, reasonable attorney's
22 fees, advances to preserve the property, and other costs
23 related to the enforcement of this subsection, plus statutory
24 interest, are a lien on the real estate.
25 All liens arising under this subsection (f) shall be
26 assignable. The assignee of the lien shall have the same
27 power to enforce the lien as the assigning party, except that
28 the lien may not be enforced under subsection (c).
29 (Source: P.A. 89-235, eff. 8-4-95; 89-303, eff. 1-1-96;
30 90-393, eff. 1-1-98.)
31 Section 99. Effective date. This Act takes effect upon
32 becoming law.".
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1 Submitted on , 1998.
2 ______________________________ _____________________________
3 Senator Radogno Representative Fantin
4 ______________________________ _____________________________
5 Senator Peterson Representative Eugene Moore
6 ______________________________ _____________________________
7 Senator S. Weaver Representative Hannig
8 ______________________________ _____________________________
9 Senator Clayborne Representative Churchill
10 ______________________________ _____________________________
11 Senator Berman Representative Andrea Moore
12 Committee for the Senate Committee for the House