| ||||
| Public Act 099-0930 | ||||
| ||||
| ||||
AN ACT concerning revenue.
| ||||
Be it enacted by the People of the State of Illinois,
| ||||
represented in the General Assembly:
| ||||
Section 5. The Property Tax Code is amended by changing | ||||
Sections 27-5 and 27-25 and by adding Sections 27-100, 27-105, | ||||
27-110, 27-115, 27-120, and 27-125 as follows:
| ||||
(35 ILCS 200/27-5)
| ||||
Sec. 27-5. Short title; definitions. This Article may be | ||||
cited as the
Special Service Area Tax Law.
| ||||
When used in this Article:
| ||||
"Services contract" means an agreement between a service | ||||
provider agency and a municipality or county for the purpose of | ||||
providing special services in and for a special service area. | ||||
"Service provider agency" means an entity that enters into | ||||
a services contract with a municipality or county for the | ||||
purpose of providing special services in and for a special | ||||
service area. | ||||
"Special Service Area" means a contiguous area within a | ||||
municipality
or county in which special governmental services | ||||
are provided in
addition to those services provided generally | ||||
throughout the
municipality or county, the cost of the special | ||||
services to be paid
from revenues collected from taxes levied | ||||
or imposed upon property
within that area. Territory shall be | ||||
considered contiguous for purposes
of this Article even though | ||
certain completely surrounded portions of the
territory are | ||
excluded from the special service area. A county may create
a | ||
special service area within a municipality or municipalities | ||
when the
municipality or municipalities consent to the creation | ||
of the special
service area. A municipality may create a | ||
special service area within a
municipality and the | ||
unincorporated area of a county or within another
municipality | ||
when the county or other municipality consents to the creation
| ||
of the special service area.
| ||
"Special service area commission" means a local board | ||
established by the corporate authorities of a municipality or | ||
county for the purpose of managing a particular special service | ||
area. | ||
"Special Services" means all forms of services pertaining | ||
to the
government and affairs of the municipality or county, | ||
including
but not limited to weather modification and | ||
improvements permissible under
Article 9 of the Illinois | ||
Municipal Code, and contracts for the supply of
water as | ||
described in Section 11-124-1 of the Illinois Municipal Code | ||
which
may be entered into by the municipality or by the county | ||
on behalf of a
county service area.
| ||
(Source: P.A. 86-1324; 88-445.)
| ||
(35 ILCS 200/27-25)
| ||
Sec. 27-25. Form of hearing notice. Taxes may be levied or | ||
imposed by the
municipality or county in the special service | ||
area at a rate or amount of tax
sufficient to produce revenues | ||
required to provide the special services. Prior
to the first | ||
levy of taxes in the special service area, notice shall be | ||
given
and a hearing shall be held under the provisions of | ||
Sections 27-30 and 27-35.
For purposes of this Section the | ||
notice shall include:
| ||
(a) The time and place of hearing;
| ||
(b) The boundaries of the area by legal description | ||
and, where possible, by street
location; | ||
(c) The permanent tax index number of each parcel | ||
located within the area;
| ||
(d) The nature of the proposed special services to be | ||
provided within the special service area and a statement as | ||
to whether the proposed special services are for new | ||
construction, maintenance, or other purposes;
| ||
(d-5) The proposed amount of the tax levy for special | ||
services for the initial year for which taxes will be | ||
levied within the special service area;
| ||
(e) A notification that all interested persons, | ||
including all persons
owning
taxable real property located | ||
within the special service area, will be given an
| ||
opportunity to be heard at the hearing regarding the tax | ||
levy and an
opportunity to file objections to the amount of | ||
the tax levy if the tax is a
tax upon property; and
| ||
(f) The maximum rate of taxes to be extended within the | ||
special service area
in any year and the
maximum number of | ||
years taxes will be levied if a maximum number of years is | ||
to be established; and .
| ||
(g) If funds received through the special service area | ||
are going to be used by a person or entity other than the | ||
municipality or county, then a statement to that effect. | ||
After the first levy of taxes within the special service | ||
area, taxes may continue to be levied in subsequent years | ||
without the requirement of an additional public hearing if the | ||
tax rate does not exceed the rate specified in the notice for | ||
the original public hearing
and
the taxes are not extended for | ||
a longer
period than the number of years specified in the | ||
notice if a number of years is specified. Tax rates may be | ||
increased and the period specified may be extended, if
notice | ||
is given and new public hearings are held in accordance with | ||
Sections
27-30 and 27-35.
| ||
(Source: P.A. 97-1053, eff. 1-1-13.)
| ||
(35 ILCS 200/27-100 new) | ||
Sec. 27-100. Special service area commissions. | ||
(a) Notwithstanding any other provision of law, no member | ||
of a special service area commission may be an executive | ||
officer, owner, or member of the board of directors of the | ||
service provider agency selected for a services contract for | ||
that special service area. | ||
(b) Notwithstanding any other provision of law, no business | ||
owned by a member of a special service area commission may, for | ||
valuable consideration, provide goods or services as a | ||
subcontractor of a service provider agency pursuant to a | ||
services contract for the special service area that is the | ||
subject of that special service area commission. No business | ||
owned by an employee or elected official of a municipality may, | ||
for valuable consideration, provide goods or services as a | ||
subcontractor of a service provider agency pursuant to a | ||
services contract for any special service area located within | ||
that municipality. | ||
(c) At least one membership position for a special service | ||
area commission in a special service area which contains one or | ||
more homestead properties, as defined in Section 15-175, shall | ||
be reserved as a first priority membership position for any | ||
owner of homestead property located within such special service | ||
area. | ||
(35 ILCS 200/27-105 new) | ||
Sec. 27-105. Lines of credit. Special service area | ||
commissions may not establish a loan or line of credit in | ||
connection with the special service area. Service provider | ||
agencies in those municipalities may establish a loan or line | ||
of credit in connection with the special service area; however, | ||
financing under this Section may not be secured by future tax | ||
revenue generated by the special service area. | ||
(35 ILCS 200/27-110 new) | ||
Sec. 27-110. Special service area moneys used in the next | ||
fiscal year. Notwithstanding any other provision of law, if | ||
there is excess money remaining in a special service area fund | ||
at the end of a fiscal year, then the corporate authorities may | ||
authorize the use of that excess money to provide special | ||
services within the special service area in the next fiscal | ||
year, provided that the total amount used for purposes other | ||
than capital expenditures may not exceed 25% of the previous | ||
fiscal year's budget for the special service area. | ||
(35 ILCS 200/27-115 new) | ||
Sec. 27-115. Special service area audits. Each special | ||
service area commission shall cause an audit of the funds and | ||
accounts of the special service area to be submitted to the | ||
corporate authorities of the municipality at least annually. | ||
The audit shall be made in accordance with generally accepted | ||
auditing standards. | ||
(35 ILCS 200/27-120 new) | ||
Sec. 27-120. Exclusion of erroneously included property. | ||
If a property is determined by the corporate authorities of the | ||
municipality to be erroneously included in a special service | ||
area, the corporate authorities of the municipality may | ||
disconnect that property from the special service area solely | ||
by municipal action without regard to Section 27-60 or Section | ||
27-65 of this Act. | ||
(35 ILCS 200/27-125 new) | ||
Sec. 27-125. Administrative fees. Notwithstanding any | ||
other provision of law, an annual administrative fee may be | ||
charged for the administration of a special service area. Such | ||
annual administrative fee may be derived from the annual tax | ||
levy for each special service area. Any amount recommended by a | ||
special service area commission and approved as an | ||
administrative expense which may be paid to the service | ||
provider agency pursuant to the budget included in a services | ||
contract shall not exceed 30% of the annual tax levy for the | ||
special service area that is the subject of such services | ||
contract and is separate from any municipal administrative fee. | ||
Section 99. Effective date. This Act takes effect upon | ||
becoming law.
| ||