HB5612 104TH GENERAL ASSEMBLY

LRB104 20415 HLH 33879 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB5612

Introduced 2/13/2026, by Rep. Travis Weaver

SYNOPSIS AS INTRODUCED:

30 ILCS 105/5.1038 new
105 ILCS 5/2-3.214 new

Amends the School Code. Provides that the State Board of Education shall establish and administer a program to award property tax relief grants to school districts in this State. Provides that, in exchange for receiving a grant, a school district's maximum aggregate property tax extension for the taxable year may not exceed its adjusted maximum aggregate property tax extension for that taxable year. Amends the State Finance Act to create the Education Property Tax Relief Fund.

A BILL FOR

AN ACT concerning revenue.

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 Section 5.1038 as follows:

(30 ILCS 105/5.1038 new)

Sec. 5.1038. The Education Property Tax Relief Fund.

Section 10. The School Code is amended by adding Section 2-3.214 as follows:

(105 ILCS 5/2-3.214 new)

Sec. 2-3.214. School district property tax relief grant program.

(a) As used in this Section:

"Adjusted maximum aggregate property tax extension" means the highest aggregate property tax extension that a school district is authorized by law to levy, without regard to this Section, for the taxable year for which the adjusted maximum aggregate property tax extension is calculated, minus the grant amount received by the school district for the fiscal year that ends during the taxable year for which the adjusted maximum aggregate property tax extension is calculated.

"Aggregate property tax extension" means the annual corporate extension for the school district and those special purpose extensions that are made annually for a school district.

"Taxable year" means the calendar year during which property taxes payable in the next succeeding year are levied.

(b) For State fiscal year 2030 and each State fiscal year thereafter, the State Board of Education shall establish and administer a program to award property tax relief grants to school districts in this State. In exchange for receiving a grant under this Section, a school district's maximum aggregate property tax extension for the taxable year that begins on January 1 of the fiscal year for which the grant is awarded may not exceed its adjusted maximum aggregate property tax extension for that taxable year. Grants shall be awarded from moneys appropriated for that purpose from the Education Property Tax Relief Fund created in subsection (c). Moneys awarded to school districts under this Section shall be distributed pro rata on a per-pupil average daily attendance basis, as reported in the school district report card for the immediately preceding school year under Section 10-17a.

(c) The Education Property Tax Relief Fund is created as a special fund in the State treasury. By September 1, 2030, and by September 1 of each year thereafter, the Governor's Office of Management and Budget shall certify to the State Comptroller and the State Treasurer an amount equal to $600,000,000 in each of the State fiscal years 2030 through 2033 and $1,700,000,000 in fiscal year 2034 and every fiscal year thereafter. Upon receiving the certified amount from the Governor's Office of Management and Budget, the State Comptroller shall order transferred and the State Treasurer shall transfer the certified amount from the General Revenue Fund to the Education Property Tax Relief Fund. Any unexpended amounts remaining in the Education Property Tax Relief Fund on the last day of the fiscal year shall be transferred from the Education Property Tax Relief Fund to the General Revenue Fund.