|
Public Act 101-0551
|
| SB1456 Enrolled | LRB101 09049 HLH 54142 b |
|
|
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 |
Section 15-185 as follows:
|
(35 ILCS 200/15-185)
|
Sec. 15-185. Exemption for leaseback property and |
qualified leased property.
|
(a) Notwithstanding anything in this Code to
the
contrary, |
all property owned by a municipality with a population of over
|
500,000
inhabitants, a unit of local government whose |
jurisdiction includes
territory located in
whole or in part |
within a municipality with a population of over 500,000
|
inhabitants, or a municipality with home rule powers that is |
contiguous to a municipality with a population of over 500,000 |
inhabitants,
shall remain exempt from taxation and any |
leasehold interest in that property
shall not be
subject to |
taxation under Section 9-195 if
the
property is directly or |
indirectly leased, sold, or otherwise transferred to
another |
entity
whose property is not exempt and immediately thereafter |
is the subject of a
leaseback or
other agreement that directly |
or indirectly gives the municipality or unit of
local
|
government (i) a right to use, control, and possess the |
|
property or (ii) a
right to require
the other entity, or the |
other entity's designee or assignee, to use the
property in the
|
performance of services for the municipality or unit of local |
government. Property
shall no longer be exempt under this |
subsection as of the date when the right of
the
municipality or |
unit of local government to use, control, and possess the
|
property or to
require the performance of services is |
terminated and the municipality or unit
of local
government no |
longer has any option to purchase or otherwise reacquire the
|
interest in
the property which was transferred by the |
municipality or unit of local
government.
|
(b) Notwithstanding anything in this Code to
the
contrary, |
all property owned by a municipality with a population of over
|
500,000
inhabitants, a unit of local government whose |
jurisdiction includes
territory located in
whole or in part |
within a municipality with a population of over 500,000
|
inhabitants, or a municipality with home rule powers that is |
contiguous to a municipality with a population of over 500,000 |
inhabitants,
shall remain exempt from taxation and any |
leasehold interest in that property
is not
subject to taxation |
under Section 9-195 if the property, including dedicated public |
property, is used by a municipality or other unit of local |
government for the purpose of an airport or parking or for |
waste disposal or processing and is leased for continued use |
for the same purpose to another entity whose property is not |
exempt. If property located in a municipality with a population |
|
of more than 500,000 inhabitants is not subject to taxation due |
to its use for the purpose of parking, and any portion of the |
property is used for a purpose other than parking, that portion |
of the property shall be subject to taxation under Section |
9-195 for the period of time during which it is used for that |
non-exempt purpose; provided, however, that the use of a |
portion of such property for a non-exempt purpose shall have no |
effect on (i) the exemption of the remaining portion of the |
property that continues to be used for an exempt purpose, as |
identified in this subsection, or (ii) the future exemption of |
that same portion of the property if it ceases to be used for a |
non-exempt purpose and returned to use for an exempt purpose as |
identified in this subsection. No taxes shall be assessed on |
any portion of the property identified in this subsection prior |
to the effective date of this amendatory Act of the 101st |
General Assembly. |
For the purposes of this subsection (b), "airport" does not |
include any airport property, as defined under Section 10 of |
the O'Hare Modernization Act. |
Any transaction described under this subsection must be |
undertaken in accordance with all appropriate federal laws and |
regulations. |
(c) For purposes of this Section, "municipality" means a |
municipality as defined
in
Section 1-1-2 of the Illinois |
Municipal Code, and "unit of local government"
means a unit
of |
local government as defined in Article VII, Section 1 of the |