Public Act 096-1136
 
HB4723 EnrolledLRB096 15650 HLH 30886 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 18-165 as follows:
 
    (35 ILCS 200/18-165)
    Sec. 18-165. Abatement of taxes.
    (a) Any taxing district, upon a majority vote of its
governing authority, may, after the determination of the
assessed valuation of its property, order the clerk of that
county to abate any portion of its taxes on the following types
of property:
        (1) Commercial and industrial.
            (A) The property of any commercial or industrial
        firm, including but not limited to the property of (i)
        any firm that is used for collecting, separating,
        storing, or processing recyclable materials, locating
        within the taxing district during the immediately
        preceding year from another state, territory, or
        country, or having been newly created within this State
        during the immediately preceding year, or expanding an
        existing facility, or (ii) any firm that is used for
        the generation and transmission of electricity
        locating within the taxing district during the
        immediately preceding year or expanding its presence
        within the taxing district during the immediately
        preceding year by construction of a new electric
        generating facility that uses natural gas as its fuel,
        or any firm that is used for production operations at a
        new, expanded, or reopened coal mine within the taxing
        district, that has been certified as a High Impact
        Business by the Illinois Department of Commerce and
        Economic Opportunity. The property of any firm used for
        the generation and transmission of electricity shall
        include all property of the firm used for transmission
        facilities as defined in Section 5.5 of the Illinois
        Enterprise Zone Act. The abatement shall not exceed a
        period of 10 years and the aggregate amount of abated
        taxes for all taxing districts combined shall not
        exceed $4,000,000.
            (A-5) Any property in the taxing district of a new
        electric generating facility, as defined in Section
        605-332 of the Department of Commerce and Economic
        Opportunity Law of the Civil Administrative Code of
        Illinois. The abatement shall not exceed a period of 10
        years. The abatement shall be subject to the following
        limitations:
                (i) if the equalized assessed valuation of the
            new electric generating facility is equal to or
            greater than $25,000,000 but less than
            $50,000,000, then the abatement may not exceed (i)
            over the entire term of the abatement, 5% of the
            taxing district's aggregate taxes from the new
            electric generating facility and (ii) in any one
            year of abatement, 20% of the taxing district's
            taxes from the new electric generating facility;
                (ii) if the equalized assessed valuation of
            the new electric generating facility is equal to or
            greater than $50,000,000 but less than
            $75,000,000, then the abatement may not exceed (i)
            over the entire term of the abatement, 10% of the
            taxing district's aggregate taxes from the new
            electric generating facility and (ii) in any one
            year of abatement, 35% of the taxing district's
            taxes from the new electric generating facility;
                (iii) if the equalized assessed valuation of
            the new electric generating facility is equal to or
            greater than $75,000,000 but less than
            $100,000,000, then the abatement may not exceed
            (i) over the entire term of the abatement, 20% of
            the taxing district's aggregate taxes from the new
            electric generating facility and (ii) in any one
            year of abatement, 50% of the taxing district's
            taxes from the new electric generating facility;
                (iv) if the equalized assessed valuation of
            the new electric generating facility is equal to or
            greater than $100,000,000 but less than
            $125,000,000, then the abatement may not exceed
            (i) over the entire term of the abatement, 30% of
            the taxing district's aggregate taxes from the new
            electric generating facility and (ii) in any one
            year of abatement, 60% of the taxing district's
            taxes from the new electric generating facility;
                (v) if the equalized assessed valuation of the
            new electric generating facility is equal to or
            greater than $125,000,000 but less than
            $150,000,000, then the abatement may not exceed
            (i) over the entire term of the abatement, 40% of
            the taxing district's aggregate taxes from the new
            electric generating facility and (ii) in any one
            year of abatement, 60% of the taxing district's
            taxes from the new electric generating facility;
                (vi) if the equalized assessed valuation of
            the new electric generating facility is equal to or
            greater than $150,000,000, then the abatement may
            not exceed (i) over the entire term of the
            abatement, 50% of the taxing district's aggregate
            taxes from the new electric generating facility
            and (ii) in any one year of abatement, 60% of the
            taxing district's taxes from the new electric
            generating facility.
            The abatement is not effective unless the owner of
        the new electric generating facility agrees to repay to
        the taxing district all amounts previously abated,
        together with interest computed at the rate and in the
        manner provided for delinquent taxes, in the event that
        the owner of the new electric generating facility
        closes the new electric generating facility before the
        expiration of the entire term of the abatement.
            The authorization of taxing districts to abate
        taxes under this subdivision (a)(1)(A-5) expires on
        January 1, 2010.
            (B) The property of any commercial or industrial
        development of at least 500 acres having been created
        within the taxing district. The abatement shall not
        exceed a period of 20 years and the aggregate amount of
        abated taxes for all taxing districts combined shall
        not exceed $12,000,000.
            (C) The property of any commercial or industrial
        firm currently located in the taxing district that
        expands a facility or its number of employees. The
        abatement shall not exceed a period of 10 years and the
        aggregate amount of abated taxes for all taxing
        districts combined shall not exceed $4,000,000. The
        abatement period may be renewed at the option of the
        taxing districts.
        (2) Horse racing. Any property in the taxing district
    which is used for the racing of horses and upon which
    capital improvements consisting of expansion, improvement
    or replacement of existing facilities have been made since
    July 1, 1987. The combined abatements for such property
    from all taxing districts in any county shall not exceed
    $5,000,000 annually and shall not exceed a period of 10
    years.
        (3) Auto racing. Any property designed exclusively for
    the racing of motor vehicles. Such abatement shall not
    exceed a period of 10 years.
        (4) Academic or research institute. The property of any
    academic or research institute in the taxing district that
    (i) is an exempt organization under paragraph (3) of
    Section 501(c) of the Internal Revenue Code, (ii) operates
    for the benefit of the public by actually and exclusively
    performing scientific research and making the results of
    the research available to the interested public on a
    non-discriminatory basis, and (iii) employs more than 100
    employees. An abatement granted under this paragraph shall
    be for at least 15 years and the aggregate amount of abated
    taxes for all taxing districts combined shall not exceed
    $5,000,000.
        (5) Housing for older persons. Any property in the
    taxing district that is devoted exclusively to affordable
    housing for older households. For purposes of this
    paragraph, "older households" means those households (i)
    living in housing provided under any State or federal
    program that the Department of Human Rights determines is
    specifically designed and operated to assist elderly
    persons and is solely occupied by persons 55 years of age
    or older and (ii) whose annual income does not exceed 80%
    of the area gross median income, adjusted for family size,
    as such gross income and median income are determined from
    time to time by the United States Department of Housing and
    Urban Development. The abatement shall not exceed a period
    of 15 years, and the aggregate amount of abated taxes for
    all taxing districts shall not exceed $3,000,000.
        (6) Historical society. For assessment years 1998
    through 2013 2008, the property of an historical society
    qualifying as an exempt organization under Section
    501(c)(3) of the federal Internal Revenue Code.
        (7) Recreational facilities. Any property in the
    taxing district (i) that is used for a municipal airport,
    (ii) that is subject to a leasehold assessment under
    Section 9-195 of this Code and (iii) which is sublet from a
    park district that is leasing the property from a
    municipality, but only if the property is used exclusively
    for recreational facilities or for parking lots used
    exclusively for those facilities. The abatement shall not
    exceed a period of 10 years.
        (8) Relocated corporate headquarters. If approval
    occurs within 5 years after the effective date of this
    amendatory Act of the 92nd General Assembly, any property
    or a portion of any property in a taxing district that is
    used by an eligible business for a corporate headquarters
    as defined in the Corporate Headquarters Relocation Act.
    Instead of an abatement under this paragraph (8), a taxing
    district may enter into an agreement with an eligible
    business to make annual payments to that eligible business
    in an amount not to exceed the property taxes paid directly
    or indirectly by that eligible business to the taxing
    district and any other taxing districts for premises
    occupied pursuant to a written lease and may make those
    payments without the need for an annual appropriation. No
    school district, however, may enter into an agreement with,
    or abate taxes for, an eligible business unless the
    municipality in which the corporate headquarters is
    located agrees to provide funding to the school district in
    an amount equal to the amount abated or paid by the school
    district as provided in this paragraph (8). Any abatement
    ordered or agreement entered into under this paragraph (8)
    may be effective for the entire term specified by the
    taxing district, except the term of the abatement or annual
    payments may not exceed 20 years.
        (9) United States Military Public/Private Residential
    Developments. Each building, structure, or other
    improvement designed, financed, constructed, renovated,
    managed, operated, or maintained after January 1, 2006
    under a "PPV Lease", as set forth under Division 14 of
    Article 10, and any such PPV Lease.
    (b) Upon a majority vote of its governing authority, any
municipality may, after the determination of the assessed
valuation of its property, order the county clerk to abate any
portion of its taxes on any property that is located within the
corporate limits of the municipality in accordance with Section
8-3-18 of the Illinois Municipal Code.
(Source: P.A. 93-270, eff. 7-22-03; 94-793, eff. 5-19-06;
94-974, eff. 6-30-06.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.