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1 | AN ACT concerning revenue. | |||||||||||||||||||||||
2 | Be it enacted by the People of the State of Illinois, | |||||||||||||||||||||||
3 | represented in the General Assembly: | |||||||||||||||||||||||
4 | Section 5. The Illinois Governmental Ethics Act is amended | |||||||||||||||||||||||
5 | by adding Section 3A-55 as follows: | |||||||||||||||||||||||
6 | (5 ILCS 420/3A-55 new) | |||||||||||||||||||||||
7 | Sec. 3A-55. Exemption. Members of the Fairness in Property | |||||||||||||||||||||||
8 | Tax Foreclosure Task Force are, in their capacity as members | |||||||||||||||||||||||
9 | of the Fairness in Property Tax Foreclosure Task Force, exempt | |||||||||||||||||||||||
10 | from any training, disclosure, or filing requirements under | |||||||||||||||||||||||
11 | this Act. | |||||||||||||||||||||||
12 | Section 10. The State Officials and Employees Ethics Act | |||||||||||||||||||||||
13 | is amended by adding Section 99-15 as follows: | |||||||||||||||||||||||
14 | (5 ILCS 430/99-15 new) | |||||||||||||||||||||||
15 | Sec. 99-15. Exemption. The Fairness in Property Tax | |||||||||||||||||||||||
16 | Foreclosure Task Force are, in their capacity as members of | |||||||||||||||||||||||
17 | the Fairness in Property Tax Foreclosure Task Force, exempt | |||||||||||||||||||||||
18 | from any training, disclosure, or filing requirements under | |||||||||||||||||||||||
19 | this Act. | |||||||||||||||||||||||
20 | Section 15. The Illinois Housing Development Act is |
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1 | amended by adding Section 36 as follows: | ||||||
2 | (20 ILCS 3805/36 new) | ||||||
3 | Sec. 36. The Fairness in Property Tax Foreclosure Task | ||||||
4 | Force. | ||||||
5 | (a) The General Assembly finds that: | ||||||
6 | (1) homeownership has long been viewed as a foundation | ||||||
7 | for building wealth; | ||||||
8 | (2) for many Illinoisans, the equity in their home is | ||||||
9 | the single greatest asset they have; | ||||||
10 | (3) the loss of owner-occupied homes following the | ||||||
11 | annual tax sale results in a loss of home equity for | ||||||
12 | impacted households and negatively impacts the ability of | ||||||
13 | those households to build generational wealth; and | ||||||
14 | (4) the redemption process in Illinois can often be | ||||||
15 | complicated, confusing, and burdensome, resulting in the | ||||||
16 | loss of homeownership as well as the equity the homeowner | ||||||
17 | built up over time. | ||||||
18 | (b) The Fairness in Property Tax Foreclosure Task Force is | ||||||
19 | hereby created. The Task Force shall consist of the following | ||||||
20 | members: | ||||||
21 | (1) one member, who shall serve as co-chairperson of | ||||||
22 | the Task Force, appointed by the President of the Senate; | ||||||
23 | (2) one member, who shall serve as co-chairperson of | ||||||
24 | the Task Force, appointed by the Speaker of the House of | ||||||
25 | Representatives; |
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1 | (3) one member appointed by the Minority Leader of the | ||||||
2 | Senate; | ||||||
3 | (4) one member appointed by the Minority Leader of the | ||||||
4 | House of Representatives; | ||||||
5 | (5) the Attorney General or his or her designee; | ||||||
6 | (6) one member appointed by the Governor from a | ||||||
7 | statewide organization representing the interests of | ||||||
8 | assessors; | ||||||
9 | (7) one member appointed by the Governor from a | ||||||
10 | statewide organization that represents the interests of | ||||||
11 | municipalities; | ||||||
12 | (8) one member appointed by the Governor from a | ||||||
13 | statewide organization representing the interests of | ||||||
14 | realtors; | ||||||
15 | (9) one member appointed by the Governor from a | ||||||
16 | statewide organization that represents commercial bankers; | ||||||
17 | (10) one member appointed by the Governor from a | ||||||
18 | statewide organization that represents attorneys working | ||||||
19 | in the field of property title law; | ||||||
20 | (11) one member appointed by the Governor from a | ||||||
21 | statewide organization that represents the interests of | ||||||
22 | county clerks and recorders; | ||||||
23 | (12) one member appointed by the Governor from a | ||||||
24 | statewide organization that represents the interests of | ||||||
25 | county treasurers; | ||||||
26 | (13) one member appointed by the Governor from a |
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1 | statewide organization representing the interests of | ||||||
2 | circuit court clerks; | ||||||
3 | (14) one member appointed by the Governor from a | ||||||
4 | statewide organization representing the interests of | ||||||
5 | counties; | ||||||
6 | (15) up to 2 members, appointed by the co-chairpersons | ||||||
7 | of the Task Force, representing nonprofit affordable | ||||||
8 | housing organizations, housing counseling organizations, | ||||||
9 | or homeownership organizations; and | ||||||
10 | (16) up to 3 members, appointed by the co-chairpersons | ||||||
11 | of the Task Force, representing taxing districts, other | ||||||
12 | than municipalities, that contain a significant number of | ||||||
13 | properties that are included in the annual tax sale. | ||||||
14 | At the discretion of both of the co-chairpersons of the | ||||||
15 | Task Force, additional individuals may participate as | ||||||
16 | nonvoting members of the Task Force. | ||||||
17 | (c) Members of the Task Force shall be appointed no later | ||||||
18 | than 30 days after the effective date of this amendatory Act of | ||||||
19 | the 103rd General Assembly. If any members are not appointed | ||||||
20 | within that 30-day period, the appointing authority shall be | ||||||
21 | deemed to have waived the right to make that appointment. | ||||||
22 | Vacancies in the Task Force, other than a vacancy occurring | ||||||
23 | because of a waiver by the appointing authority under this | ||||||
24 | subsection, shall be filled by the original appointing | ||||||
25 | authority. | ||||||
26 | (d) Members of the Task Force shall serve without |
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1 | compensation but may be reimbursed for necessary expenses | ||||||
2 | incurred in connection with the Task Force. The Illinois | ||||||
3 | Housing Development Authority shall provide administrative | ||||||
4 | support to the Task Force as needed. | ||||||
5 | (e) The members of the Task Force are, in their capacity as | ||||||
6 | members of the Fairness in Property Tax Foreclosure Task | ||||||
7 | Force, exempt from any training, disclosure, or filing | ||||||
8 | requirements under the State Officials and Employees Ethics | ||||||
9 | Act, the Illinois Governmental Ethics Act, or any other | ||||||
10 | applicable State law or rule imposing training, disclosure, or | ||||||
11 | filing requirements. | ||||||
12 | (f) Once all of the members of the Task Force have been | ||||||
13 | appointed, other than members appointed under items (15) or | ||||||
14 | (16) of subsection (b) or members whose appointments have been | ||||||
15 | waived under subsection (c), the Task Force shall meet not | ||||||
16 | less than 4 times at the call of one or both of the | ||||||
17 | co-chairpersons to carry out the duties prescribed in this | ||||||
18 | Section. Members of the Task Force may attend those meetings | ||||||
19 | virtually. | ||||||
20 | (g) The Task Force shall study and make recommendations | ||||||
21 | concerning issues associated with property foreclosures due to | ||||||
22 | failure of the owner to pay property taxes. Those issues shall | ||||||
23 | include, but shall not be limited to: | ||||||
24 | (1) the recent decision of the United States Supreme | ||||||
25 | Court in Tyler v. Hennepin County , 598 U.S. 631, regarding | ||||||
26 | the retention of excess revenue by a government entity |
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1 | after the sale of property acquired following a tax sale | ||||||
2 | and foreclosure; | ||||||
3 | (2) the requirements of the Illinois and United States | ||||||
4 | Constitutions, especially with respect to due process and | ||||||
5 | takings, and the impact of those provisions on the | ||||||
6 | property tax sale process, including the sufficiency of | ||||||
7 | notice requirements to delinquent taxpayers and related | ||||||
8 | entities, such as lienholders and mortgagees, and | ||||||
9 | conditions under which the holder of the tax deed or any | ||||||
10 | subsequent owner is or should be entitled to retain excess | ||||||
11 | funds acquired through the sale of property that has been | ||||||
12 | acquired during a tax sale; | ||||||
13 | (3) the role of land bank authorities, mortgage | ||||||
14 | holders, and other lienholders and the rights of each in | ||||||
15 | the tax sale and foreclosure process; | ||||||
16 | (4) whether the tax lien foreclosure process is or | ||||||
17 | should be the same for both residential property and | ||||||
18 | commercial property or whether differences are necessary | ||||||
19 | or desirable; | ||||||
20 | (5) the rights of former owners, commercial lenders or | ||||||
21 | lienholders, and government entities when property has | ||||||
22 | been acquired for nonpayment of property taxes and the tax | ||||||
23 | deed grantee does not intend to sell the property; and | ||||||
24 | (6) the sufficiency of any current redemption periods | ||||||
25 | or statutes of limitations with respect to property tax | ||||||
26 | sales. |
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1 | The recommendations of the Task Force may, but need not | ||||||
2 | be, in the form of proposed legislation. | ||||||
3 | (g) A report detailing the Task Force's findings, | ||||||
4 | conclusions, and recommendations shall be filed with the | ||||||
5 | General Assembly, in accordance with Section 3.1 of the | ||||||
6 | General Assembly Organization Act, by no later than December | ||||||
7 | 30, 2024. The Task Force is dissolved upon submission of the | ||||||
8 | report. | ||||||
9 | (h) This Section is repealed on January 1, 2025. | ||||||
10 | Section 99. Effective date. This Act takes effect upon | ||||||
11 | becoming law. |