Public Act 93-0658
SB1937 Enrolled LRB093 08848 RCE 09080 b
AN ACT concerning taxes.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The State Finance Act is amended by adding
Sections 5.595 and 6z-59 as follows:
(30 ILCS 105/5.595 new)
Sec. 5.595. The Tax Recovery Fund.
(30 ILCS 105/6z-59 new)
Sec. 6z-59. The Tax Recovery Fund. There is created in
the State treasury the Tax Recovery Fund. Through December
31, 2010, all moneys received from the rental, authorized
under Section 2705-555 of the Department of Transportation
Law of the Civil Administrative Code of Illinois, of land,
buildings, or improvements on property held for development
of an airport in Will County by the Department of
Transportation shall be remitted to the State Treasurer for
payment into the Tax Recovery Fund. Subject to appropriation,
the moneys in the Fund shall be expended with the following
priority: (1) to compensate taxing districts for leasehold
taxes then (2) to the General Revenue Fund less any money
necessary to pay maintenance and repair costs for that real
property. The tax compensation shall be determined in
accordance with Sections 9-195 and 15-55 of the Property Tax
Code. Expenditures for these purposes may be made by
Department of Transportation without regard to the fiscal
year in which tax compensation liability and property
maintenance and repair costs were incurred. Unexpended moneys
in the Fund shall not be transferred or allocated by the
Comptroller or Treasurer to any other fund nor shall the
Governor authorize the transfer or allocation of those moneys
to any other fund. After December 31, 2010, all moneys
received from the rental, authorized under Section 2705-555
of the Department of Transportation Law of the Civil
Administrative Code of Illinois, of land, buildings, or
improvements on property held for the development of an
airport in Will County by the Department of Transportation
shall not be remitted to the Tax Recovery Fund but shall
instead be paid to the General Revenue Fund. The balance
remaining in the Tax Recovery Fund on December 31, 2010 shall
first be expended to compensate taxing districts for
leasehold taxes for the 2010 tax assessment year, and then
transferred to the General Revenue Fund for the purpose of
debt service on State bonds issued to provide funds for
airport land acquisition in Will County.
Section 10. The Property Tax Code is amended by changing
Section 15-55 as follows:
(35 ILCS 200/15-55)
Sec. 15-55. State property. All property belonging to
the State of Illinois is exempt. However, the State agency
holding title shall file the certificate of ownership and use
required by Section 15-10, together with a copy of any
written lease or agreement, in effect on March 30 of the
assessment year, concerning parcels of 1 acre or more, or an
explanation of the terms of any oral agreement under which
the property is leased, subleased or rented.
The leased property shall be assessed to the lessee and
the taxes thereon extended and billed to the lessee, and
collected in the same manner as for property which is not
exempt. The lessee shall be liable for the taxes and no lien
shall attach to the property of the State.
For the purposes of this Section, the word "leases"
includes licenses, franchises, operating agreements and other
arrangements under which private individuals, associations or
corporations are granted the right to use property of the
Illinois State Toll Highway Authority and includes all
property of the Authority used by others without regard to
the size of the leased parcel.
However, all property of every kind belonging to the
State of Illinois, which is or may hereafter be leased to the
Illinois Prairie Path Corporation, shall be exempt from all
assessments, taxation or collection, despite the making of
any such lease, if it is used for:
(a) conservation, nature trail or any other
charitable, scientific, educational or recreational
purposes with public benefit, including the preserving
and aiding in the preservation of natural areas, objects,
flora, fauna or biotic communities;
(b) the establishment of footpaths, trails and
other protected areas;
(c) the conservation of the proper use of natural
resources or the promotion of the study of plant and
animal communities and of other phases of ecology,
natural history and conservation;
(d) the promotion of education in the fields of
nature, preservation and conservation; or
(e) similar public recreational activities
conducted by the Illinois Prairie Path Corporation.
No lien shall attach to the property of the State. No tax
liability shall become the obligation of or be enforceable
against Illinois Prairie Path Corporation.
However, the fair market rent of each parcel of real
property in Will County owned by the State of Illinois for
the purpose of developing an airport by the Department of
Transportation shall include the assessed value of leasehold
tax. The lessee of each parcel of real property in Will
County owned by the State of Illinois for the purpose of
developing an airport by the Department of Transportation
shall not be liable for the taxes thereon. In order for the
State to compensate taxing districts for the leasehold tax
under this paragraph the Will County Supervisor of
Assessments shall certify, in writing, to the Department of
Transportation, the amount of leasehold taxes extended for
the 2002 property tax year for each such exempt parcel. The
Department of Transportation shall pay to the Will County
Treasurer, from the Tax Recovery Fund, on or before July 1 of
each year, the amount of leasehold taxes for each such exempt
parcel as certified by the Will County Supervisor of
Assessments. The tax compensation shall terminate on December
31, 2010. It is the duty of the Department of Transportation
to file with the Office of the Will County Supervisor of
Assessments an affidavit stating the termination date for
rental of each such parcel due to airport construction. The
affidavit shall include the property identification number
for each such parcel. In no instance shall tax compensation
for property owned by the State be deemed delinquent or bear
interest. In no instance shall a lien attach to the property
of the State. In no instance shall the State be required to
pay leasehold tax compensation in excess of the Tax Recovery
Fund's balance.
Public Act 81-1026 applies to all leases or agreements
entered into or renewed on or after September 24, 1979.
(Source: P.A. 86-413; 88-455.)
Section 99. Effective date. This Act takes effect upon
becoming law.