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90_HB2553enr
70 ILCS 2405/19.1 from Ch. 42, par. 317a.1
70 ILCS 2405/23.5 from Ch. 42, par. 317e.5
70 ILCS 2405/25 from Ch. 42, par. 317g
70 ILCS 2805/27.1 from Ch. 42, par. 438.1
Amends the Sanitary District Act of 1917. Provides that
territory that is not contiguous to a sanitary district but
is separated from the sanitary district by only a forest
preserve district may be annexed to the sanitary district.
Provides that the territory within the forest preserve
district shall not be annexed to the sanitary district and
shall not be subject to rights-of-way for access or services
between parts of the sanitary district without the consent of
the governing body of the forest preserve district. Provides
that a sanitary district may self insure its employees.
Provides that if the board of trustees provides insurance to
the sanitary district's employees it may obtain the insurance
from, among other insurers, any for-profit or not-for-profit
organization offering those services including, without
limitation, hospitals, clinics, health maintenance
organizations, and physicians' groups. Provides that the
board of trustees may enact an ordinance prescribing the
method for entering into contracts with for-profit and
not-for-profit organizations or services providing health
care services. Amends the Sanitary District Act of 1917 and
the Sanitary District Act of 1936. Deletes a provision that
the lien and foreclosure remedies of Article 9 of the
Illinois Municipal Code shall apply upon the nonpayment of a
special tax levied within the special service area. Makes
other changes. Effective immediately.
LRB9008938MWgc
HB2553 Enrolled LRB9008938MWgc
1 AN ACT concerning sanitary districts, amending named
2 Acts.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Sanitary District Act of 1917 is amended
6 by changing Sections 19.1, 23.5, and 25 as follows:
7 (70 ILCS 2405/19.1) (from Ch. 42, par. 317a.1)
8 Sec. 19.1. Special service areas.
9 (a) A sanitary district organized under this Act may
10 provide special services limited to the construction,
11 maintenance, alteration, and extension of the district's
12 drains, sewers, laterals, and other necessary adjuncts,
13 including pumps and pumping stations, in any special service
14 area within the district. The district may levy a tax to
15 provide those special services or to provide for the payment
16 of debt incurred to provide those special services in
17 accordance with this Act.
18 (b) The manner of providing special services and of
19 levying the tax authorized by subsection (a) shall be as
20 provided in this Section.
21 (c) "Special Service Area" means a contiguous area
22 within a district in which special governmental services are
23 provided in addition to those services provided generally
24 throughout the district, the cost of those special services
25 to be paid from revenues collected from taxes levied or
26 imposed upon property within that area. Territory is
27 contiguous for purposes of this Section even though certain
28 completely surrounded portions of the territory are excluded
29 from the special service area. A district may create a
30 special service area within a municipality or municipalities
31 when the municipality or municipalities consent to the
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1 creation of the special service area. A district may create a
2 special service area within the unincorporated area of a
3 county when the county consents to the creation of the
4 special service area.
5 (d) The corporate authorities of the district shall be
6 the governing body of the special service area.
7 (e) Taxes may be levied or imposed by the district in
8 the special service area at a rate or amount of tax
9 sufficient to produce revenues required to provide the
10 special services. Before the first levy of taxes in the
11 special service area, notice shall be given and hearing shall
12 be held under the provisions of subsections (f) and (g). For
13 purposes of this subsection the notice shall include:
14 (1) the time and place of hearing;
15 (2) the boundaries of the area by legal description
16 and by street location, where possible;
17 (3) a notification that all interested persons,
18 including all persons owning taxable real property
19 located within the special service area, will be given an
20 opportunity to be heard at the hearing regarding the tax
21 levy and an opportunity to file objections to the amount
22 of the tax levy if the tax is a tax upon their property;
23 and
24 (4) the maximum rate of taxes to be extended in any
25 year and may include a maximum number of years the taxes
26 will be levied.
27 After the first levy, taxes may be extended against the
28 special service area for the services specified without
29 additional hearings, provided the taxes shall not exceed the
30 rate specified in the notice and, if a maximum number of
31 years is specified in the notice, the taxes shall not be
32 extended for a longer period. Tax rates may be increased and
33 the period specified may be extended, provided notice is
34 given and new public hearings are held in accordance with
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1 subsections (f) and (g).
2 (f) Before or within 60 days after the adoption of the
3 ordinance proposing the establishment of a special service
4 area, the district shall fix a time and a place for a public
5 hearing. Notice of the hearing shall be given by publication
6 and mailing. Notice by publication shall be given by
7 publication at least once not less than 15 days before the
8 hearing in a newspaper of general circulation within the
9 district. Notice by mailing shall be given by depositing the
10 notice in the United States mails addressed to the person or
11 persons in whose name the general taxes for the last
12 preceding year were paid on each lot, block, tract or parcel
13 of land lying within the special service area. The notice
14 shall be mailed not less than 10 days before the time set for
15 the public hearing. In the event taxes for the last preceding
16 year were not paid, the notice shall be sent to the person
17 last listed on the tax rolls before that year as the owner of
18 the property.
19 (g) At the public hearing any interested person,
20 including all persons owning taxable real property located
21 within the proposed special service area, may file with the
22 district clerk written objections to and may be heard orally
23 in respect to any issues embodied in the notice. The district
24 shall hear and determine all protests and objections at the
25 hearing, and the hearing may be adjourned to another date
26 without further notice other than a motion to be entered upon
27 the minutes fixing the time and place of its adjournment. At
28 the public hearing or at the first regular meeting of the
29 corporate authorities thereafter, the district may delete
30 area from the special service area, except that the special
31 service area must still be a contiguous area as provided in
32 subsection (c).
33 (h) Bonds secured by the full faith and credit of the
34 area included in the special service area may be issued for
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1 providing the special services. Bonds, when so issued, shall
2 be retired by the levy of taxes, in addition to the taxes
3 specified in subsection (e), against all of the taxable real
4 property included in the area as provided in the ordinance
5 authorizing the issuance of the bonds or by the imposition of
6 another tax within the special service area. The county
7 clerk shall annually extend taxes against all of the taxable
8 property situated in the county and contained in the special
9 service area in amounts sufficient to pay maturing principal
10 and interest of such bonds without limitation as to rate or
11 amount and in addition to and in excess of any taxes that may
12 now or hereafter be authorized to be levied by the district.
13 Before the issuance of such bonds, notice shall be given and
14 a hearing shall be held under the provisions of subsections
15 (f) and (g). For purposes of this subsection a notice shall
16 include:
17 (1) the time and place of hearing;
18 (2) the boundaries of the area by legal description
19 and by street location, where possible;
20 (3) a notification that all interested persons,
21 including all persons owning taxable real property
22 located within the special service area, will be given an
23 opportunity to be heard at the hearing regarding the
24 issuance of such bonds and an opportunity to file
25 objections to the issuance of such bonds; and
26 (4) the maximum amount of bonds proposed to be
27 issued, the maximum period of time over which the bonds
28 shall be retired, and the maximum interest rate the bonds
29 shall bear.
30 The question of the creation of a special service area,
31 the levy or imposition of a tax in the special service area,
32 and the issuance of bonds for providing special services may
33 all be considered together at one hearing.
34 Any bonds issued shall not exceed the number of bonds,
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1 the interest rate, and the period of extension set forth in
2 the notice, unless an additional hearing is held. No bonds
3 issued under this Section shall be regarded as indebtedness
4 of the district for the purpose of any limitation imposed by
5 any law.
6 (i) Boundaries of a special service area may be
7 enlarged, but only after hearing and notice as provided in
8 subsections (f) and (g), the notice to be served in the
9 original area of the special service area and in any areas
10 proposed to be added to the special service area, except
11 where the property being added represents less than 5% of the
12 assessed valuation of the entire original area, as determined
13 by the clerk of the county wherein the land is located, then
14 the notice by mailing requirement of subsection (f) shall be
15 limited only to the area to be added and not to the original
16 special service area. The property added to the area shall be
17 subject to all taxes levied therein after that property
18 becomes a part of the area and shall become additional
19 security for bonded indebtedness outstanding at the time the
20 property is added to the area.
21 (j) If a petition signed by at least 51% of the electors
22 residing within the special service area and by at least 51%
23 of the owners of record of the land included within the
24 boundaries of the special service area is filed with the
25 district clerk within 60 days following the final adjournment
26 of the public hearing objecting to the creation of the
27 special service district, the enlargement thereof, the levy
28 or imposition of a tax or the issuance of bonds for the
29 provision of special services to the area, or to a proposed
30 increase in the tax rate, no such district may be created or
31 enlarged, no such tax may be levied or imposed nor the rate
32 increased, or no such bonds may be issued. The subject matter
33 of the petition shall not be proposed relative to any
34 signatories of the petition within the next 2 years. Each
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1 resident of the special service area registered to vote at
2 the time of the public hearing held with regard to the
3 special service area shall be considered an elector. Each
4 person in whose name legal title to land included within the
5 boundaries of the special service area is held according to
6 the records of the county wherein the land is located shall
7 be considered an owner of record. Owners of record shall be
8 determined at the time of the public hearing held with regard
9 to a special service area. Land owned in the name of a land
10 trust, corporation, estate, or partnership shall be
11 considered to have a single owner of record.
12 (k) Any territory located within the boundaries of any
13 special service area organized under this Section may become
14 disconnected from the area in the manner provided in this
15 subsection. A majority of the resident electors and a
16 majority of the record owners of land in the territory sought
17 to be disconnected from the area may sign a petition. The
18 petition shall be addressed to the circuit court and shall
19 contain a definite description of the boundaries of such
20 territory and recite as a fact that, as of the date the
21 petition is filed, such territory was not, is not, and is not
22 intended by the corporate authority which created the special
23 service area to be either benefited or served by any work or
24 services either then existing or then authorized by the
25 special service area, and that such territory constitutes
26 less than 1 1/2% of the special service area's total
27 equalized assessed valuation.
28 Upon the filing of the petition, the court shall set the
29 petition for public hearing within 60 days after the date of
30 the filing of the petition. The court shall give at least 45
31 days notice of the hearing by publishing notice of the
32 hearing once in a newspaper having a general circulation
33 within the special service area from which the territory is
34 sought to be disconnected. The notice (1) shall refer to the
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1 petition filed with the court, (2) shall describe the
2 territory proposed to be disconnected, (3) shall indicate the
3 prayer of the petition and the date, time and place at which
4 the public hearing will be held and (4) shall further
5 indicate that the corporate authority which created the
6 special service area and any persons residing in or owning
7 property in the territory involved or in the special service
8 area from which such territory is sought to be disconnected
9 shall have an opportunity to be heard on the prayer of the
10 petition. Notice of the filing of the petition, the
11 substance of which shall be as prescribed for the published
12 notice, shall also be mailed to the presiding officer of the
13 corporate authority from which the territory is sought to be
14 disconnected.
15 The public hearing may be continued from time to time by
16 the court. After the public hearing and having heard all
17 persons desiring to be heard, including such corporate
18 authority and all persons residing in or owning property in
19 the territory involved or in the special service area from
20 which such territory is sought to be disconnected, if the
21 court finds that all the allegations of the petition are
22 true, the court shall grant the prayer of the petition and
23 shall enter an order disconnecting the territory from the
24 special service area, which order shall be entered at length
25 in the records of the court, and the clerk of the court shall
26 file a certified copy of the order with the clerk of the
27 district which created the special service area from which
28 such territory has been disconnected. If the court finds
29 that the allegations contained in the petition are not true,
30 then the court shall enter an order dismissing the petition.
31 Any disconnected territory shall cease to be subject to
32 any taxes levied under this Section and shall not be security
33 for any future bonded indebtedness. When the amount of any
34 taxes levied by a special service area is cancelled due to
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1 disconnection of territory, the court may, in the same
2 disconnection proceeding, distribute the cancelled amount
3 upon the other property in the area assessed, in such manner
4 as the court finds just and equitable, not exceeding,
5 however, the amount by which such property will benefit from
6 the special service.
7 (l) If a property tax is levied, the tax shall be
8 extended by the county clerk in the special service area in
9 the manner provided by the Property Tax Code based on
10 assessed values as established under that Code. In that
11 case, the district shall file a certified copy of the
12 ordinance creating the special service area, including an
13 accurate map of the area, with the county clerk. The
14 corporate authorities of the district are authorized to levy
15 taxes in the special service area for the same year in which
16 the ordinance and map are filed with the county clerk. In
17 addition, the corporate authorities shall file a certified
18 copy of each ordinance levying taxes in the special service
19 area on or before the third Tuesday of September of each year
20 and shall file a certified copy of any ordinance authorizing
21 the issuance of bonds and providing for a property tax levy
22 in that ordinance by December 31 of the year of the first
23 levy.
24 Instead of or in addition to such property tax, a special
25 tax may be levied and extended within the special service
26 area on any other basis that provides a rational relationship
27 between the amount of the tax levied against each lot, block,
28 tract and parcel of land in the special service area and the
29 special service benefit rendered; a special tax roll shall be
30 prepared containing: (1) an explanation of the method of
31 spreading the special tax, (2) a list of lots, blocks,
32 tracts and parcels of land in the special service area
33 and (3) the amount assessed against each. The special tax
34 roll shall be included in the ordinance establishing the
HB2553 Enrolled -9- LRB9008938MWgc
1 special service area or in an amendment thereto, and shall be
2 filed with the county clerk for use in extending the tax.
3 The lien and foreclosure remedies provided in Article 9 of
4 the Illinois Municipal Code, as now or hereafter amended,
5 shall apply upon nonpayment of such special tax.
6 (m) An ordinance establishing a special service area
7 shall not take effect until a certified copy of the
8 ordinance, containing a description of the territory of the
9 area, is filed for record in the office of the recorder in
10 each county in which any part of the area is located.
11 (Source: P.A. 88-670, eff. 12-2-94.)
12 (70 ILCS 2405/23.5) (from Ch. 42, par. 317e.5)
13 Sec. 23.5. Any sanitary district may annex any territory
14 which is not within the corporate limits of the sanitary
15 district but which is contiguous to it and is served by the
16 sanitary district or by a municipality with sanitary sewers
17 that are connected and served by the sanitary district by the
18 passage of an ordinance to that effect by the board of
19 trustees, describing the territory to be annexed. A copy of
20 the ordinance with an accurate map of the annexed territory,
21 certified as correct by the clerk of the district shall be
22 filed with the county clerk of the county in which the
23 annexed territory is located. For purposes of this Act, a
24 property is served by a sanitary district if a sewer that is
25 part of the sanitary district's sewer system, part of the
26 sewer system of a municipality that is connected to the
27 sanitary district, or part of any other sewer system that
28 connects to and is served by the sanitary district has been
29 extended to, across, or along the property, whether or not
30 the buildings on the property are physically connected to the
31 sewer.
32 Territory that is not contiguous to a sanitary district
33 but is separated from the sanitary district by only a forest
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1 preserve district may be annexed to the sanitary district
2 under this Section. The territory included within the forest
3 preserve district shall not be annexed to the sanitary
4 district and shall not be subject to rights-of-way for
5 access or services between the parts of the sanitary district
6 separated by the forest preserve district without the
7 approval of the governing body of the forest preserve
8 district.
9 (Source: P.A. 86-296.)
10 (70 ILCS 2405/25) (from Ch. 42, par. 317g)
11 Sec. 25. The board of trustees of any sanitary district
12 may arrange to provide for the benefit of employees and
13 trustees of the sanitary district group life, health,
14 accident, hospital and medical insurance, or any one or any
15 combination of such types of insurance. The Board of
16 trustees may also elect to self insure the district's
17 employees. In the event the board arranges to provide
18 insurance, such insurance may include provision for employees
19 and trustees who rely on treatment by prayer or spiritual
20 means alone for healing in accordance with the tenets and
21 practice of a well recognized religious denomination. The
22 board of trustees may provide for payment by the sanitary
23 district of the premium or charge for such insurance.
24 If the board of trustees elects to do not provide the
25 insurance, but does not provide for a plan pursuant to which
26 the sanitary district pays the premium or charge for any
27 group insurance plan, the board of trustees may provide for
28 the withholding and deducting from the compensation of such
29 of the employees and trustees as consent thereto the premium
30 or charge for any group life, health, accident, hospital and
31 medical insurance.
32 If the board of trustees elects to provide insurance
33 under the provisions of this Section, it may exercise the
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1 powers granted in this Section only if the kinds of such
2 group insurance are obtained from any insurance company
3 authorized to do business in the State of Illinois, or any
4 non-profit hospital service corporation organized under the
5 provisions of the Non-Profit Hospital Service Plan Act, as
6 heretofore and hereafter amended, or incorporated under the
7 provisions of the Medical Service Plan Act, as heretofore and
8 hereafter amended, or any other for-profit or not-for-profit
9 organization or service offering similar coverage including
10 without limitation, hospitals, clinics, health maintenance
11 organizations, and physicians' groups. The board of trustees
12 may enact an ordinance prescribing the method of operation of
13 the such insurance or self-insurance program and for entering
14 into contracts with for-profit and not-for-profit
15 organizations or services providing health care services.
16 (Source: Laws 1963, p. 2755.)
17 Section 10. The Sanitary District Act of 1936 is amended
18 by changing Section 27.1 as follows:
19 (70 ILCS 2805/27.1) (from Ch. 42, par. 438.1)
20 Sec. 27.1. Special service areas.
21 (a) A sanitary district organized under this Act may
22 provide special services limited to the construction,
23 maintenance, alteration, and extension of the district's
24 drains, sewers, laterals, and other necessary adjuncts,
25 including pumps and pumping stations, in any special service
26 area within the district. The district may levy a tax to
27 provide those special services or to provide for the payment
28 of debt incurred to provide those special services in
29 accordance with this Act.
30 (b) The manner of providing special services and of
31 levying the tax authorized by subsection (a) shall be as
32 provided in this Section.
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1 (c) "Special Service Area" means a contiguous area
2 within a district in which special governmental services are
3 provided in addition to those services provided generally
4 throughout the district, the cost of those special services
5 to be paid from revenues collected from taxes levied or
6 imposed upon property within that area. Territory is
7 "contiguous" for purposes of this Section even though certain
8 completely surrounded portions of the territory are excluded
9 from the special service area. A district may create a
10 special service area within a municipality or municipalities
11 when the municipality or municipalities consent to the
12 creation of the special service area. A district may create a
13 special service area within the unincorporated area of a
14 county when the county consents to the creation of the
15 special service area.
16 (d) The corporate authorities of the district shall be
17 the governing body of the special service area.
18 (e) Taxes may be levied or imposed by the district in
19 the special service area at a rate or amount of tax
20 sufficient to produce revenues required to provide the
21 special services. Before the first levy of taxes in the
22 special service area, notice shall be given and hearing shall
23 be held under the provisions of subsections (f) and (g). For
24 purposes of this subsection the notice shall include:
25 (1) the time and place of hearing;
26 (2) the boundaries of the area by legal description
27 and by street location, where possible;
28 (3) a notification that all interested persons,
29 including all persons owning taxable real property
30 located within the special service area, will be given an
31 opportunity to be heard at the hearing regarding the tax
32 levy and an opportunity to file objections to the amount
33 of the tax levy if the tax is a tax upon their property;
34 and
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1 (4) the maximum rate of taxes to be extended in any
2 year and may include a maximum number of years the taxes
3 will be levied.
4 After the first levy, taxes may be extended against the
5 special service area for the services specified without
6 additional hearings, provided the taxes shall not exceed the
7 rate specified in the notice and, if a maximum number of
8 years is specified in the notice, the taxes shall not be
9 extended for a longer period. Tax rates may be increased and
10 the period specified may be extended, provided notice is
11 given and new public hearings are held in accordance with
12 subsections (f) and (g).
13 (f) Before or within 60 days after the adoption of the
14 ordinance proposing the establishment of a special service
15 area, the district shall fix a time and a place for a public
16 hearing. Notice of the hearing shall be given by publication
17 and mailing. Notice by publication shall be given by
18 publication at least once not less than 15 days before the
19 hearing in a newspaper of general circulation within the
20 district. Notice by mailing shall be given by depositing the
21 notice in the United States mails addressed to the person or
22 persons in whose name the general taxes for the last
23 preceding year were paid on each lot, block, tract, or parcel
24 of land lying within the special service area. The notice
25 shall be mailed not less than 10 days before the time set for
26 the public hearing. In the event taxes for the last preceding
27 year were not paid, the notice shall be sent to the person
28 last listed on the tax rolls before that year as the owner of
29 the property.
30 (g) At the public hearing any interested person,
31 including all persons owning taxable real property located
32 within the proposed special service area, may file with the
33 district clerk written objections to and may be heard orally
34 in respect to any issues embodied in the notice. The district
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1 shall hear and determine all protests and objections at the
2 hearing, and the hearing may be adjourned to another date
3 without further notice other than a motion to be entered upon
4 the minutes fixing the time and place of its adjournment. At
5 the public hearing or at the first regular meeting of the
6 corporate authorities thereafter, the district may delete
7 area from the special service area, except that the special
8 service area must still be a contiguous area as provided in
9 subsection (c).
10 (h) Bonds secured by the full faith and credit of the
11 area included in the special service area may be issued for
12 providing the special services. Bonds, when so issued, shall
13 be retired by the levy of taxes, in addition to the taxes
14 specified in subsection (e), against all of the taxable real
15 property included in the area as provided in the ordinance
16 authorizing the issuance of the bonds or by the imposition of
17 another tax within the special service area. The county
18 clerk shall annually extend taxes against all of the taxable
19 property situated in the county and contained in the special
20 service area in amounts sufficient to pay maturing principal
21 and interest of those bonds without limitation as to rate or
22 amount and in addition to and in excess of any taxes that may
23 now or hereafter be authorized to be levied by the district.
24 Before the issuance of bonds, notice shall be given and a
25 hearing shall be held under the provisions of subsections (f)
26 and (g). For purposes of this subsection a notice shall
27 include:
28 (1) the time and place of hearing;
29 (2) the boundaries of the area by legal description
30 and by street location, where possible;
31 (3) a notification that all interested persons,
32 including all persons owning taxable real property
33 located within the special service area, will be given an
34 opportunity to be heard at the hearing regarding the
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1 issuance of the bonds and an opportunity to file
2 objections to the issuance of the bonds; and
3 (4) the maximum amount of bonds proposed to be
4 issued, the maximum period of time over which the bonds
5 shall be retired, and the maximum interest rate the bonds
6 shall bear.
7 The question of the creation of a special service area,
8 the levy or imposition of a tax in the special service area,
9 and the issuance of bonds for providing special services may
10 all be considered together at one hearing.
11 Any bonds issued shall not exceed the number of bonds,
12 the interest rate, and the period of extension set forth in
13 the notice, unless an additional hearing is held. No bonds
14 issued under this Section shall be regarded as indebtedness
15 of the district for the purpose of any limitation imposed by
16 any law.
17 (i) Boundaries of a special service area may be
18 enlarged, but only after hearing and notice as provided in
19 subsections (f) and (g), the notice to be served in the
20 original area of the special service area and in any areas
21 proposed to be added to the special service area, except
22 where the property being added represents less than 5% of the
23 assessed valuation of the entire original area, as determined
24 by the clerk of the county wherein the land is located, then
25 the notice by mailing requirement of subsection (f) shall be
26 limited only to the area to be added and not to the original
27 special service area. The property added to the area shall be
28 subject to all taxes levied after that property becomes a
29 part of the area and shall become additional security for
30 bonded indebtedness outstanding at the time the property is
31 added to the area.
32 (j) If a petition signed by at least 51% of the electors
33 residing within the special service area and by at least 51%
34 of the owners of record of the land included within the
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1 boundaries of the special service area is filed with the
2 district clerk within 60 days following the final adjournment
3 of the public hearing objecting to the creation of the
4 special service area, the enlargement of the area, the levy
5 or imposition of a tax, or the issuance of bonds for the
6 provision of special services to the area, or to a proposed
7 increase in the tax rate, no such area may be created or
8 enlarged, no such tax may be levied or imposed nor the rate
9 increased, or no such bonds may be issued. The subject matter
10 of the petition shall not be proposed relative to any
11 signatories of the petition within the next 2 years. Each
12 resident of the special service area registered to vote at
13 the time of the public hearing held with regard to the
14 special service area shall be considered an elector. Each
15 person in whose name legal title to land included within the
16 boundaries of the special service area is held according to
17 the records of the county wherein the land is located shall
18 be considered an owner of record. Owners of record shall be
19 determined at the time of the public hearing held with regard
20 to a special service area. Land owned in the name of a land
21 trust, corporation, estate, or partnership shall be
22 considered to have a single owner of record.
23 (k) Any territory located within the boundaries of any
24 special service area organized under this Section may become
25 disconnected from the area in the manner provided in this
26 subsection. A majority of the resident electors and a
27 majority of the record owners of land in the territory sought
28 to be disconnected from the area may sign a petition. The
29 petition shall be addressed to the circuit court and shall
30 contain a definite description of the boundaries of the
31 territory sought to be disconnected and recite as a fact
32 that, as of the date the petition is filed, the territory was
33 not, is not, and is not intended by the corporate authority
34 that created the special service area to be either benefited
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1 or served by any work or services either then existing or
2 then authorized by the special service area, and that the
3 territory constitutes less than 1.5% of the special service
4 area's total equalized assessed valuation.
5 Upon the filing of the petition, the court shall set the
6 petition for public hearing within 60 days after the date of
7 the filing of the petition. The court shall give at least 45
8 days notice of the hearing by publishing notice of the
9 hearing once in a newspaper having a general circulation
10 within the special service area from which the territory is
11 sought to be disconnected. The notice (i) shall refer to the
12 petition filed with the court, (ii) shall describe the
13 territory proposed to be disconnected, (iii) shall indicate
14 the prayer of the petition and the date, time, and place at
15 which the public hearing will be held, and (iv) shall further
16 indicate that the corporate authority that created the
17 special service area and any persons residing in or owning
18 property in the territory involved or in the special service
19 area from which the territory is sought to be disconnected
20 shall have an opportunity to be heard on the prayer of the
21 petition. Notice of the filing of the petition, the
22 substance of which shall be as prescribed for the published
23 notice, shall also be mailed to the presiding officer of the
24 corporate authority from which the territory is sought to be
25 disconnected.
26 The public hearing may be continued from time to time by
27 the court. After the public hearing and having heard all
28 persons desiring to be heard, including the corporate
29 authority that created the special service area and all
30 persons residing in or owning property in the territory
31 involved or in the special service area from which the
32 territory is sought to be disconnected, if the court finds
33 that all the allegations of the petition are true, the court
34 shall grant the prayer of the petition and shall enter an
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1 order disconnecting the territory from the special service
2 area, which order shall be entered at length in the records
3 of the court, and the clerk of the court shall file a
4 certified copy of the order with the clerk of the district
5 that created the special service area from which the
6 territory has been disconnected. If the court finds that the
7 allegations contained in the petition are not true, then the
8 court shall enter an order dismissing the petition.
9 Any disconnected territory shall cease to be subject to
10 any taxes levied under this Section and shall not be security
11 for any future bonded indebtedness. When the amount of any
12 taxes levied by a special service area is cancelled due to
13 disconnection of territory, the court may, in the same
14 disconnection proceeding, distribute the cancelled amount
15 upon the other property in the area assessed, in a manner
16 that the court finds just and equitable, not exceeding,
17 however, the amount by which such property will benefit from
18 the special service.
19 (l) If a property tax is levied, the tax shall be
20 extended by the county clerk in the special service area in
21 the manner provided by the Property Tax Code based on
22 assessed values as established under that Act. In that case,
23 the district shall file a certified copy of the ordinance
24 creating the special service area, including an accurate map
25 of the area, with the county clerk. The corporate
26 authorities of the district are authorized to levy taxes in
27 the special service area for the same year in which the
28 ordinance and map are filed with the county clerk. In
29 addition, the corporate authorities shall file a certified
30 copy of each ordinance levying taxes in the special service
31 area on or before the third Tuesday of September of each year
32 and shall file a certified copy of any ordinance authorizing
33 the issuance of bonds and providing for a property tax levy
34 in that ordinance by December 31 of the year of the first
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1 levy.
2 Instead of or in addition to that property tax, a special
3 tax may be levied and extended within the special service
4 area on any other basis that provides a rational relationship
5 between the amount of the tax levied against each lot, block,
6 tract, and parcel of land in the special service area and the
7 special service benefit rendered; a special tax roll shall be
8 prepared containing (i) an explanation of the method of
9 spreading the special tax, (ii) a list of lots, blocks,
10 tracts, and parcels of land in the special service area, and
11 (iii) the amount assessed against each. The special tax roll
12 shall be included in the ordinance establishing the special
13 service area or in an amendment to that ordinance, and shall
14 be filed with the county clerk for use in extending the tax.
15 The lien and foreclosure remedies provided in Article 9 of
16 the Illinois Municipal Code shall apply upon nonpayment of
17 the special tax.
18 (m) An ordinance establishing a special service area
19 shall not take effect until a certified copy of the
20 ordinance, containing a description of the territory of the
21 area, is filed for record in the office of the recorder in
22 each county in which any part of the area is located.
23 (Source: P.A. 88-670, eff. 12-2-94.)
24 Section 99. Effective date. This Act takes effect upon
25 becoming law.