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90_SB1203
60 ILCS 1/Art. 207 heading new
60 ILCS 1/207-5 new
60 ILCS 1/207-10 new
60 ILCS 1/207-15 new
60 ILCS 1/207-20 new
60 ILCS 1/207-25 new
60 ILCS 1/207-30 new
60 ILCS 1/207-35 new
60 ILCS 1/207-40 new
60 ILCS 1/207-45 new
60 ILCS 1/207-50 new
Amends the Township Code. Authorizes a township in a
county with a population of more than 3,000,000 to fund and
provide special services for its streets, street lighting,
sidewalks, sewer and water systems, alleys, and other
necessary adjuncts, by establishing a special service area.
Provides for notice and hearings on the creation or
enlargement of a special service area, the levy of a tax or
the issuance of bonds for the special services, and the
disconnection of territory from the area. Provides that a
timely filed petition signed by 51% of the area's electors
and 51% of the area's owners of record shall prevent the
township from creating or enlarging a special service area,
levying or increasing a tax for the special services, or
issuing bonds to provide the special services. Effective
immediately.
LRB9006856PTcw
LRB9006856PTcw
1 AN ACT to amend the Township Code by adding Article 207.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Township Code is amended by adding
5 Article 207 as follows:
6 (60 ILCS 1/Art. 207 heading new)
7 ARTICLE 207. TOWNSHIP
8 PUBLIC IMPROVEMENT SPECIAL SERVICE AREAS
9 (60 ILCS 1/207-5 new)
10 Sec. 207-5. Special service area. For the purposes of
11 this Article, "special service area" means a contiguous area
12 within a township in which special governmental services are
13 provided in addition to those services provided generally
14 throughout the township. The cost of the special services
15 shall be paid from revenues collected from taxes levied or
16 imposed upon property within that area. Territory is
17 contiguous for purposes of this Article even though certain
18 completely surrounded portions of the territory are excluded
19 from the special service area.
20 (60 ILCS 1/207-10 new)
21 Sec. 207-10. Township board powers.
22 (a) A township in a county with a population of more
23 than 3,000,000 may provide special services for streets,
24 street lighting, sidewalks, sanitary sewer systems, storm
25 sewer systems, water systems, alleys, and other necessary
26 adjuncts, in any special service area within the township.
27 (b) The township board shall be the governing body of
28 the special service area. The township board may levy a tax
29 to provide those special services or to provide for the
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1 payment of debt incurred to provide those special services in
2 accordance with this Article.
3 (c) Territory within a municipality shall not be
4 included within a special service area without the consent of
5 the municipality. A township board may create a special
6 service area within the unincorporated area of a county
7 without the consent of the county. After the township board
8 has passed an ordinance proposing the establishment of a
9 special service area, no unincorporated territory within the
10 proposed special service area at the time the ordinance is
11 passed shall be excluded except with the approval of the
12 township board, even if the territory is subsequently annexed
13 to a municipality.
14 (d) The questions under Sections 207-15, 207-20, and
15 207-25 of the creation of a special service area, the levy or
16 imposition of a tax in the special service area, and the
17 issuance of bonds for providing the special services may all
18 be considered together at one hearing.
19 (60 ILCS 1/207-15 new)
20 Sec. 207-15. Tax levy; notice and hearing.
21 (a) Taxes may be levied or imposed by the township board
22 in the special service area at a rate or amount of tax
23 sufficient to produce revenues required to provide the
24 special services. Before the first levy of taxes in the
25 special service area, notice shall be given and a hearing
26 shall be held under Section 207-20. For the purposes of this
27 Section the notice shall include:
28 (1) the time and place of the 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
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1 opportunity to be heard at the hearing regarding the tax
2 levy and an opportunity to file objections to the amount
3 of the tax levy upon their property; and
4 (4) the maximum rate of taxes to be extended in any
5 year and may include the maximum number of years that the
6 taxes will be levied.
7 (b) After the first levy, taxes may be extended against
8 the special service area for the services specified without
9 additional hearings, provided that (i) the taxes shall not
10 exceed the rate specified in the notice under subsection (a)
11 and (ii) if a maximum number of years is specified in the
12 notice under subsection (a), then the taxes shall not be
13 extended for a longer period. Otherwise, tax rates may be
14 increased and the period specified may be extended, provided
15 that new notice is given and new public hearings are held in
16 accordance with Section 207-20.
17 (60 ILCS 1/207-20 new)
18 Sec. 207-20. Establishment of special service area;
19 notice and hearing; objections.
20 (a) Before or within 60 days after the adoption of the
21 ordinance proposing the establishment of a special service
22 area, the township board shall fix a time and a place for a
23 public hearing. Notice of the hearing shall be given by
24 publication and mailing. Notice by publication shall be given
25 by publication at least once not less than 15 days before the
26 hearing in a newspaper of general circulation within the
27 township. Notice by mailing shall be given by depositing the
28 notice in the United States mails addressed to the person or
29 persons in whose name the general taxes for the last
30 preceding year were paid on each lot, block, tract, or parcel
31 of land lying within the special service area. The notice
32 shall be mailed not less than 10 days before the time set for
33 the public hearing. In the event taxes for the last preceding
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1 year were not paid, the notice shall be sent to the person
2 last listed on the tax rolls before that year as the owner of
3 the property.
4 (b) At the public hearing any interested person,
5 including all persons owning taxable real property located
6 within the proposed special service area, may file with the
7 township clerk written objections to and may be heard orally
8 in respect to any issues embodied in the notice. The township
9 board shall hear and determine all protests and objections at
10 the hearing, and the hearing may be adjourned to another date
11 without further notice other than a motion to be entered upon
12 the minutes fixing the time and place of its adjournment. At
13 the public hearing or at the first regular meeting of the
14 township board thereafter, the board may delete territory
15 from the special service area, except that the special
16 service area must still be a contiguous area as provided in
17 Section 207-5.
18 (60 ILCS 1/207-25 new)
19 Sec. 207-25. Bonds; notice and hearing.
20 (a) Bonds secured by the full faith and credit of the
21 territory included in the special service area may be issued
22 for providing the special services. These bonds shall be
23 retired by the levy of taxes, in addition to the taxes
24 specified in Section 207-15, against all of the taxable real
25 property included in the area as provided in the ordinance
26 authorizing the issuance of the bonds or by the imposition of
27 another tax within the special service area. The county
28 clerk shall annually extend taxes against all of the taxable
29 property situated in the county and contained in the special
30 service area in amounts sufficient to pay maturing principal
31 and interest of the bonds without limitation as to rate or
32 amount and in addition to and in excess of any taxes that may
33 now or hereafter be authorized to be levied by the township.
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1 Before the issuance of the bonds, notice shall be given and a
2 hearing shall be held under the provisions of Section 207-20.
3 For purposes of this Section the notice shall include:
4 (1) the time and place of the hearing;
5 (2) the boundaries of the area by legal description
6 and by street location, where possible;
7 (3) a notification that all interested persons,
8 including all persons owning taxable real property
9 located within the special service area, will be given an
10 opportunity to be heard at the hearing regarding the
11 issuance of the bonds and an opportunity to file
12 objections to the issuance of the bonds; and
13 (4) the maximum amount of bonds proposed to be
14 issued, the maximum period of time over which the bonds
15 shall be retired, and the maximum interest rate the bonds
16 shall bear.
17 (b) Any bonds issued shall not exceed the number of
18 bonds, the interest rate, and the period of extension set
19 forth in the notice, unless an additional hearing is held.
20 No bonds issued under this Section shall be regarded as
21 indebtedness of the township for the purpose of any
22 limitation imposed by any law.
23 (60 ILCS 1/207-30 new)
24 Sec. 207-30. Enlarging area; notice and hearing.
25 Boundaries of a special service area may be enlarged, but
26 only after notice and a hearing as provided in Section
27 207-20. The notice shall be served in the original area of
28 the special service area and in any areas proposed to be
29 added to the special service area. If the property being
30 added represents less than 5% of the assessed valuation of
31 the entire original area, as determined by the clerk of the
32 county wherein the land is located, then the notice by
33 mailing requirement of Section 207-20 shall be limited only
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1 to the area to be added and not to the original special
2 service area. The property added to the area shall be subject
3 to all taxes levied therein after that property becomes a
4 part of the area and shall become additional security for
5 bonded indebtedness outstanding at the time the property is
6 added to the area.
7 (60 ILCS 1/207-35 new)
8 Sec. 207-35. Objections. If a petition signed by at
9 least 51% of the electors residing within the special service
10 area and by at least 51% of the owners of record of the land
11 included within the boundaries of the special service area is
12 filed with the township clerk within 60 days following the
13 final adjournment of the public hearing objecting to the
14 creation of the special service area, the enlargement
15 thereof, the levy or imposition of a tax or the issuance of
16 bonds for the provision of special services to the area, or
17 to a proposed increase in the tax rate; then no such area may
18 be created or enlarged, no such tax may be levied or imposed
19 nor the rate increased, or no such bonds may be issued. The
20 subject matter of the petition shall not be proposed relative
21 to any signatories of the petition within the next 2 years.
22 Each resident of the special service area registered to vote
23 at the time of the public hearing held with regard to the
24 special service area shall be considered an elector. Each
25 person in whose name legal title to land included within the
26 boundaries of the special service area is held according to
27 the records of the county wherein the land is located shall
28 be considered an owner of record. Owners of record shall be
29 determined at the time of the public hearing held with regard
30 to a special service area. Land owned in the name of a land
31 trust, corporation, estate, or partnership shall be
32 considered to have a single owner of record.
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1 (60 ILCS 1/207-40 new)
2 Sec. 207-40. Disconnection; notice and hearing.
3 (a) Any territory located within the boundaries of any
4 special service area organized under this Article may become
5 disconnected from the area in the manner provided in this
6 Section. At least 51% of the resident electors and 51% of
7 the record owners of land in the territory sought to be
8 disconnected from the area must sign a petition for
9 disconnection. The petition shall be addressed to the
10 circuit court and shall:
11 (1) contain a definite description of the
12 boundaries of the territory;
13 (2) recite as a fact that, as of the date the
14 petition is filed, the territory was not, is not, and is
15 not intended by the township board that created the
16 special service area to be either benefited or served by
17 any work or services either then existing or then
18 authorized by the special service area; and
19 (3) that the territory constitutes less than 1 and
20 1/2% of the special service area's total equalized
21 assessed valuation.
22 (b) Upon the filing of the petition, the court shall set
23 the petition for public hearing within 60 days after the date
24 of the filing of the petition. The court shall give at least
25 45 days notice of the hearing by publishing notice of the
26 hearing once in a newspaper having a general circulation
27 within the special service area from which the territory is
28 sought to be disconnected. The notice shall:
29 (1) refer to the petition filed with the court;
30 (2) describe the territory proposed to be
31 disconnected;
32 (3) indicate the prayer of the petition and the
33 date, time, and place at which the public hearing will be
34 held; and
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1 (4) further indicate that the township board that
2 created the special service area and any persons residing
3 in or owning property in the territory involved or in the
4 special service area from which the territory is sought
5 to be disconnected shall have an opportunity to be heard
6 on the prayer of the petition. Notice of the filing of
7 the petition, the substance of which shall be as
8 prescribed for the published notice, shall also be mailed
9 to the presiding officer of the township board from which
10 the territory is sought to be disconnected.
11 The public hearing may be continued from time to time by
12 the court. At the public hearing, the court shall hear all
13 persons desiring to speak, including the township board and
14 all persons residing in or owning property in the territory
15 involved or in the special service area from which the
16 territory is sought to be disconnected. If the court finds
17 that all the allegations of the petition are true, the court
18 shall grant the prayer of the petition and shall enter an
19 order disconnecting the territory from the special service
20 area. The order shall be entered at length in the records of
21 the court, and the clerk of the court shall file a certified
22 copy of the order with the clerk of the township which
23 created the special service area from which the territory has
24 been disconnected. If the court finds that the allegations
25 contained in the petition are not true, then the court shall
26 enter an order dismissing the petition.
27 (c) Any disconnected territory shall cease to be subject
28 to any taxes levied under this Article and shall not be
29 security for any future bonded indebtedness. When the amount
30 of any taxes levied by a special service area is cancelled
31 due to disconnection of territory, the court may, in the same
32 disconnection proceeding, distribute the cancelled amount
33 upon the other property in the area assessed, in the manner
34 that the court finds just and equitable, not exceeding,
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1 however, the amount by which the property will benefit from
2 the special service.
3 (60 ILCS 1/207-45 new)
4 Sec. 207-45. Levy and extension of tax.
5 (a) If a property tax is levied, then the tax shall be
6 extended by the county clerk in the special service area in
7 the manner provided by the Property Tax Code based on
8 assessed values as established under that Code. The township
9 board shall file a certified copy of the ordinance creating
10 the special service area, including an accurate map of the
11 area, with the county clerk. The township is authorized to
12 levy taxes in the special service area for the same year in
13 which the ordinance and map are filed with the county clerk.
14 In addition, the township board shall file a certified copy
15 of each ordinance levying taxes in the special service area
16 on or before the third Tuesday of September of each year and
17 shall file a certified copy of any ordinance authorizing the
18 issuance of bonds and providing for a property tax levy in
19 that ordinance on or before December 31 of the year of the
20 first levy.
21 (b) Instead of or in addition to a property tax, a
22 special tax may be levied and extended within the special
23 service area on any other basis that provides a rational
24 relationship between the amount of the tax levied against
25 each lot, block, tract, and parcel of land in the special
26 service area and the special service benefit rendered. For a
27 special tax under this subsection, a special tax roll shall
28 be prepared containing:
29 (1) an explanation of the method of spreading the
30 special tax;
31 (2) a list of lots, blocks, tracts, and parcels of
32 land in the special service area; and
33 (3) the amount assessed against each lot, block,
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1 tract, or parcel.
2 The special tax roll shall be included in the ordinance
3 establishing the special service area or in an amendment
4 thereto and shall be filed with the county clerk for use in
5 extending the tax. The lien and foreclosure remedies
6 provided in Article 9 of the Illinois Municipal Code shall
7 apply upon nonpayment of the special tax.
8 (60 ILCS 1/207-50 new)
9 Sec. 207-50. Effective date of ordinance. An ordinance
10 establishing a special service area shall not take effect
11 until a certified copy of the ordinance containing a
12 description of the territory of the area is filed for record
13 in the office of the recorder in the county in which the area
14 is located.
15 Section 99. Effective date. This Act takes effect upon
16 becoming law.