101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB5426

 

Introduced , by Rep. Grant Wehrli

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/18-165
35 ILCS 200/18-185

    Amends the Property Tax Code to provide that a taxing district may order the county clerk to abate any portion of its taxes when its initial levy request has subsequently been found to be in excess of the funds required for that year. Provides that any such abatement shall be included in the district's aggregate extension base for purposes of the Property Tax Extension Limitation Law. Effective immediately.


LRB101 16158 HLH 65526 b

FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB5426LRB101 16158 HLH 65526 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Property Tax Code is amended by changing
5Sections 18-165 and 18-185 as follows:
 
6    (35 ILCS 200/18-165)
7    Sec. 18-165. Abatement of taxes.
8    (a) Any taxing district, upon a majority vote of its
9governing authority, may, after the determination of the
10assessed valuation of its property, order the clerk of that
11county to abate any portion of its taxes on the following types
12of property:
13        (1) Commercial and industrial.
14            (A) The property of any commercial or industrial
15        firm, including but not limited to the property of (i)
16        any firm that is used for collecting, separating,
17        storing, or processing recyclable materials, locating
18        within the taxing district during the immediately
19        preceding year from another state, territory, or
20        country, or having been newly created within this State
21        during the immediately preceding year, or expanding an
22        existing facility, or (ii) any firm that is used for
23        the generation and transmission of electricity

 

 

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1        locating within the taxing district during the
2        immediately preceding year or expanding its presence
3        within the taxing district during the immediately
4        preceding year by construction of a new electric
5        generating facility that uses natural gas as its fuel,
6        or any firm that is used for production operations at a
7        new, expanded, or reopened coal mine within the taxing
8        district, that has been certified as a High Impact
9        Business by the Illinois Department of Commerce and
10        Economic Opportunity. The property of any firm used for
11        the generation and transmission of electricity shall
12        include all property of the firm used for transmission
13        facilities as defined in Section 5.5 of the Illinois
14        Enterprise Zone Act. The abatement shall not exceed a
15        period of 10 years and the aggregate amount of abated
16        taxes for all taxing districts combined shall not
17        exceed $4,000,000.
18            (A-5) Any property in the taxing district of a new
19        electric generating facility, as defined in Section
20        605-332 of the Department of Commerce and Economic
21        Opportunity Law of the Civil Administrative Code of
22        Illinois. The abatement shall not exceed a period of 10
23        years. The abatement shall be subject to the following
24        limitations:
25                (i) if the equalized assessed valuation of the
26            new electric generating facility is equal to or

 

 

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1            greater than $25,000,000 but less than
2            $50,000,000, then the abatement may not exceed (i)
3            over the entire term of the abatement, 5% of the
4            taxing district's aggregate taxes from the new
5            electric generating facility and (ii) in any one
6            year of abatement, 20% of the taxing district's
7            taxes from the new electric generating facility;
8                (ii) if the equalized assessed valuation of
9            the new electric generating facility is equal to or
10            greater than $50,000,000 but less than
11            $75,000,000, then the abatement may not exceed (i)
12            over the entire term of the abatement, 10% of the
13            taxing district's aggregate taxes from the new
14            electric generating facility and (ii) in any one
15            year of abatement, 35% of the taxing district's
16            taxes from the new electric generating facility;
17                (iii) if the equalized assessed valuation of
18            the new electric generating facility is equal to or
19            greater than $75,000,000 but less than
20            $100,000,000, then the abatement may not exceed
21            (i) over the entire term of the abatement, 20% of
22            the taxing district's aggregate taxes from the new
23            electric generating facility and (ii) in any one
24            year of abatement, 50% of the taxing district's
25            taxes from the new electric generating facility;
26                (iv) if the equalized assessed valuation of

 

 

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1            the new electric generating facility is equal to or
2            greater than $100,000,000 but less than
3            $125,000,000, then the abatement may not exceed
4            (i) over the entire term of the abatement, 30% of
5            the taxing district's aggregate taxes from the new
6            electric generating facility and (ii) in any one
7            year of abatement, 60% of the taxing district's
8            taxes from the new electric generating facility;
9                (v) if the equalized assessed valuation of the
10            new electric generating facility is equal to or
11            greater than $125,000,000 but less than
12            $150,000,000, then the abatement may not exceed
13            (i) over the entire term of the abatement, 40% of
14            the taxing district's aggregate taxes from the new
15            electric generating facility and (ii) in any one
16            year of abatement, 60% of the taxing district's
17            taxes from the new electric generating facility;
18                (vi) if the equalized assessed valuation of
19            the new electric generating facility is equal to or
20            greater than $150,000,000, then the abatement may
21            not exceed (i) over the entire term of the
22            abatement, 50% of the taxing district's aggregate
23            taxes from the new electric generating facility
24            and (ii) in any one year of abatement, 60% of the
25            taxing district's taxes from the new electric
26            generating facility.

 

 

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1            The abatement is not effective unless the owner of
2        the new electric generating facility agrees to repay to
3        the taxing district all amounts previously abated,
4        together with interest computed at the rate and in the
5        manner provided for delinquent taxes, in the event that
6        the owner of the new electric generating facility
7        closes the new electric generating facility before the
8        expiration of the entire term of the abatement.
9            The authorization of taxing districts to abate
10        taxes under this subdivision (a)(1)(A-5) expires on
11        January 1, 2010.
12            (B) The property of any commercial or industrial
13        development of at least (i) 500 acres or (ii) 225 acres
14        in the case of a commercial or industrial development
15        that applies for and is granted designation as a High
16        Impact Business under paragraph (F) of item (3) of
17        subsection (a) of Section 5.5 of the Illinois
18        Enterprise Zone Act, having been created within the
19        taxing district. The abatement shall not exceed a
20        period of 20 years and the aggregate amount of abated
21        taxes for all taxing districts combined shall not
22        exceed $12,000,000.
23            (C) The property of any commercial or industrial
24        firm currently located in the taxing district that
25        expands a facility or its number of employees. The
26        abatement shall not exceed a period of 10 years and the

 

 

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1        aggregate amount of abated taxes for all taxing
2        districts combined shall not exceed $4,000,000. The
3        abatement period may be renewed at the option of the
4        taxing districts.
5        (2) Horse racing. Any property in the taxing district
6    which is used for the racing of horses and upon which
7    capital improvements consisting of expansion, improvement
8    or replacement of existing facilities have been made since
9    July 1, 1987. The combined abatements for such property
10    from all taxing districts in any county shall not exceed
11    $5,000,000 annually and shall not exceed a period of 10
12    years.
13        (3) Auto racing. Any property designed exclusively for
14    the racing of motor vehicles. Such abatement shall not
15    exceed a period of 10 years.
16        (4) Academic or research institute. The property of any
17    academic or research institute in the taxing district that
18    (i) is an exempt organization under paragraph (3) of
19    Section 501(c) of the Internal Revenue Code, (ii) operates
20    for the benefit of the public by actually and exclusively
21    performing scientific research and making the results of
22    the research available to the interested public on a
23    non-discriminatory basis, and (iii) employs more than 100
24    employees. An abatement granted under this paragraph shall
25    be for at least 15 years and the aggregate amount of abated
26    taxes for all taxing districts combined shall not exceed

 

 

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1    $5,000,000.
2        (5) Housing for older persons. Any property in the
3    taxing district that is devoted exclusively to affordable
4    housing for older households. For purposes of this
5    paragraph, "older households" means those households (i)
6    living in housing provided under any State or federal
7    program that the Department of Human Rights determines is
8    specifically designed and operated to assist elderly
9    persons and is solely occupied by persons 55 years of age
10    or older and (ii) whose annual income does not exceed 80%
11    of the area gross median income, adjusted for family size,
12    as such gross income and median income are determined from
13    time to time by the United States Department of Housing and
14    Urban Development. The abatement shall not exceed a period
15    of 15 years, and the aggregate amount of abated taxes for
16    all taxing districts shall not exceed $3,000,000.
17        (6) Historical society. For assessment years 1998
18    through 2018, the property of an historical society
19    qualifying as an exempt organization under Section
20    501(c)(3) of the federal Internal Revenue Code.
21        (7) Recreational facilities. Any property in the
22    taxing district (i) that is used for a municipal airport,
23    (ii) that is subject to a leasehold assessment under
24    Section 9-195 of this Code and (iii) which is sublet from a
25    park district that is leasing the property from a
26    municipality, but only if the property is used exclusively

 

 

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1    for recreational facilities or for parking lots used
2    exclusively for those facilities. The abatement shall not
3    exceed a period of 10 years.
4        (8) Relocated corporate headquarters. If approval
5    occurs within 5 years after the effective date of this
6    amendatory Act of the 92nd General Assembly, any property
7    or a portion of any property in a taxing district that is
8    used by an eligible business for a corporate headquarters
9    as defined in the Corporate Headquarters Relocation Act.
10    Instead of an abatement under this paragraph (8), a taxing
11    district may enter into an agreement with an eligible
12    business to make annual payments to that eligible business
13    in an amount not to exceed the property taxes paid directly
14    or indirectly by that eligible business to the taxing
15    district and any other taxing districts for premises
16    occupied pursuant to a written lease and may make those
17    payments without the need for an annual appropriation. No
18    school district, however, may enter into an agreement with,
19    or abate taxes for, an eligible business unless the
20    municipality in which the corporate headquarters is
21    located agrees to provide funding to the school district in
22    an amount equal to the amount abated or paid by the school
23    district as provided in this paragraph (8). Any abatement
24    ordered or agreement entered into under this paragraph (8)
25    may be effective for the entire term specified by the
26    taxing district, except the term of the abatement or annual

 

 

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1    payments may not exceed 20 years.
2        (9) United States Military Public/Private Residential
3    Developments. Each building, structure, or other
4    improvement designed, financed, constructed, renovated,
5    managed, operated, or maintained after January 1, 2006
6    under a "PPV Lease", as set forth under Division 14 of
7    Article 10, and any such PPV Lease.
8        (10) Property located in a business corridor that
9    qualifies for an abatement under Section 18-184.10.
10        (11) Under Section 11-15.4-25 of the Illinois
11    Municipal Code, property located within an urban
12    agricultural area that is used by a qualifying farmer for
13    processing, growing, raising, or otherwise producing
14    agricultural products.
15    (b) Upon a majority vote of its governing authority, any
16municipality may, after the determination of the assessed
17valuation of its property, order the county clerk to abate any
18portion of its taxes on any property that is located within the
19corporate limits of the municipality in accordance with Section
208-3-18 of the Illinois Municipal Code.
21    (c) Any taxing district may, upon a majority vote of its
22governing authority and after the determination of the assessed
23valuation of its property, order the clerk of that county to
24abate any portion of its taxes in any given year when the
25initial levy request for that year has subsequently been found
26to be in excess of the funds required for that year. In

 

 

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1counties subject to the Property Tax Extension Limitation Law,
2any such abatement of taxes under this subsection shall be
3included in the aggregate extension base for the subsequent tax
4year.
5(Source: P.A. 100-1133, eff. 1-1-19.)
 
6    (35 ILCS 200/18-185)
7    Sec. 18-185. Short title; definitions. This Division 5 may
8be cited as the Property Tax Extension Limitation Law. As used
9in this Division 5:
10    "Consumer Price Index" means the Consumer Price Index for
11All Urban Consumers for all items published by the United
12States Department of Labor.
13    "Extension limitation" means (a) the lesser of 5% or the
14percentage increase in the Consumer Price Index during the
1512-month calendar year preceding the levy year or (b) the rate
16of increase approved by voters under Section 18-205.
17    "Affected county" means a county of 3,000,000 or more
18inhabitants or a county contiguous to a county of 3,000,000 or
19more inhabitants.
20    "Taxing district" has the same meaning provided in Section
211-150, except as otherwise provided in this Section. For the
221991 through 1994 levy years only, "taxing district" includes
23only each non-home rule taxing district having the majority of
24its 1990 equalized assessed value within any county or counties
25contiguous to a county with 3,000,000 or more inhabitants.

 

 

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1Beginning with the 1995 levy year, "taxing district" includes
2only each non-home rule taxing district subject to this Law
3before the 1995 levy year and each non-home rule taxing
4district not subject to this Law before the 1995 levy year
5having the majority of its 1994 equalized assessed value in an
6affected county or counties. Beginning with the levy year in
7which this Law becomes applicable to a taxing district as
8provided in Section 18-213, "taxing district" also includes
9those taxing districts made subject to this Law as provided in
10Section 18-213.
11    "Aggregate extension" for taxing districts to which this
12Law applied before the 1995 levy year means the annual
13corporate extension for the taxing district and those special
14purpose extensions that are made annually for the taxing
15district, excluding special purpose extensions: (a) made for
16the taxing district to pay interest or principal on general
17obligation bonds that were approved by referendum; (b) made for
18any taxing district to pay interest or principal on general
19obligation bonds issued before October 1, 1991; (c) made for
20any taxing district to pay interest or principal on bonds
21issued to refund or continue to refund those bonds issued
22before October 1, 1991; (d) made for any taxing district to pay
23interest or principal on bonds issued to refund or continue to
24refund bonds issued after October 1, 1991 that were approved by
25referendum; (e) made for any taxing district to pay interest or
26principal on revenue bonds issued before October 1, 1991 for

 

 

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1payment of which a property tax levy or the full faith and
2credit of the unit of local government is pledged; however, a
3tax for the payment of interest or principal on those bonds
4shall be made only after the governing body of the unit of
5local government finds that all other sources for payment are
6insufficient to make those payments; (f) made for payments
7under a building commission lease when the lease payments are
8for the retirement of bonds issued by the commission before
9October 1, 1991, to pay for the building project; (g) made for
10payments due under installment contracts entered into before
11October 1, 1991; (h) made for payments of principal and
12interest on bonds issued under the Metropolitan Water
13Reclamation District Act to finance construction projects
14initiated before October 1, 1991; (i) made for payments of
15principal and interest on limited bonds, as defined in Section
163 of the Local Government Debt Reform Act, in an amount not to
17exceed the debt service extension base less the amount in items
18(b), (c), (e), and (h) of this definition for non-referendum
19obligations, except obligations initially issued pursuant to
20referendum; (j) made for payments of principal and interest on
21bonds issued under Section 15 of the Local Government Debt
22Reform Act; (k) made by a school district that participates in
23the Special Education District of Lake County, created by
24special education joint agreement under Section 10-22.31 of the
25School Code, for payment of the school district's share of the
26amounts required to be contributed by the Special Education

 

 

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1District of Lake County to the Illinois Municipal Retirement
2Fund under Article 7 of the Illinois Pension Code; the amount
3of any extension under this item (k) shall be certified by the
4school district to the county clerk; (l) made to fund expenses
5of providing joint recreational programs for persons with
6disabilities under Section 5-8 of the Park District Code or
7Section 11-95-14 of the Illinois Municipal Code; (m) made for
8temporary relocation loan repayment purposes pursuant to
9Sections 2-3.77 and 17-2.2d of the School Code; (n) made for
10payment of principal and interest on any bonds issued under the
11authority of Section 17-2.2d of the School Code; (o) made for
12contributions to a firefighter's pension fund created under
13Article 4 of the Illinois Pension Code, to the extent of the
14amount certified under item (5) of Section 4-134 of the
15Illinois Pension Code; and (p) made for road purposes in the
16first year after a township assumes the rights, powers, duties,
17assets, property, liabilities, obligations, and
18responsibilities of a road district abolished under the
19provisions of Section 6-133 of the Illinois Highway Code.
20    "Aggregate extension" for the taxing districts to which
21this Law did not apply before the 1995 levy year (except taxing
22districts subject to this Law in accordance with Section
2318-213) means the annual corporate extension for the taxing
24district and those special purpose extensions that are made
25annually for the taxing district, excluding special purpose
26extensions: (a) made for the taxing district to pay interest or

 

 

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1principal on general obligation bonds that were approved by
2referendum; (b) made for any taxing district to pay interest or
3principal on general obligation bonds issued before March 1,
41995; (c) made for any taxing district to pay interest or
5principal on bonds issued to refund or continue to refund those
6bonds issued before March 1, 1995; (d) made for any taxing
7district to pay interest or principal on bonds issued to refund
8or continue to refund bonds issued after March 1, 1995 that
9were approved by referendum; (e) made for any taxing district
10to pay interest or principal on revenue bonds issued before
11March 1, 1995 for payment of which a property tax levy or the
12full faith and credit of the unit of local government is
13pledged; however, a tax for the payment of interest or
14principal on those bonds shall be made only after the governing
15body of the unit of local government finds that all other
16sources for payment are insufficient to make those payments;
17(f) made for payments under a building commission lease when
18the lease payments are for the retirement of bonds issued by
19the commission before March 1, 1995 to pay for the building
20project; (g) made for payments due under installment contracts
21entered into before March 1, 1995; (h) made for payments of
22principal and interest on bonds issued under the Metropolitan
23Water Reclamation District Act to finance construction
24projects initiated before October 1, 1991; (h-4) made for
25stormwater management purposes by the Metropolitan Water
26Reclamation District of Greater Chicago under Section 12 of the

 

 

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1Metropolitan Water Reclamation District Act; (i) made for
2payments of principal and interest on limited bonds, as defined
3in Section 3 of the Local Government Debt Reform Act, in an
4amount not to exceed the debt service extension base less the
5amount in items (b), (c), and (e) of this definition for
6non-referendum obligations, except obligations initially
7issued pursuant to referendum and bonds described in subsection
8(h) of this definition; (j) made for payments of principal and
9interest on bonds issued under Section 15 of the Local
10Government Debt Reform Act; (k) made for payments of principal
11and interest on bonds authorized by Public Act 88-503 and
12issued under Section 20a of the Chicago Park District Act for
13aquarium or museum projects; (l) made for payments of principal
14and interest on bonds authorized by Public Act 87-1191 or
1593-601 and (i) issued pursuant to Section 21.2 of the Cook
16County Forest Preserve District Act, (ii) issued under Section
1742 of the Cook County Forest Preserve District Act for
18zoological park projects, or (iii) issued under Section 44.1 of
19the Cook County Forest Preserve District Act for botanical
20gardens projects; (m) made pursuant to Section 34-53.5 of the
21School Code, whether levied annually or not; (n) made to fund
22expenses of providing joint recreational programs for persons
23with disabilities under Section 5-8 of the Park District Code
24or Section 11-95-14 of the Illinois Municipal Code; (o) made by
25the Chicago Park District for recreational programs for persons
26with disabilities under subsection (c) of Section 7.06 of the

 

 

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1Chicago Park District Act; (p) made for contributions to a
2firefighter's pension fund created under Article 4 of the
3Illinois Pension Code, to the extent of the amount certified
4under item (5) of Section 4-134 of the Illinois Pension Code;
5(q) made by Ford Heights School District 169 under Section
617-9.02 of the School Code; and (r) made for the purpose of
7making employer contributions to the Public School Teachers'
8Pension and Retirement Fund of Chicago under Section 34-53 of
9the School Code.
10    "Aggregate extension" for all taxing districts to which
11this Law applies in accordance with Section 18-213, except for
12those taxing districts subject to paragraph (2) of subsection
13(e) of Section 18-213, means the annual corporate extension for
14the taxing district and those special purpose extensions that
15are made annually for the taxing district, excluding special
16purpose extensions: (a) made for the taxing district to pay
17interest or principal on general obligation bonds that were
18approved by referendum; (b) made for any taxing district to pay
19interest or principal on general obligation bonds issued before
20the date on which the referendum making this Law applicable to
21the taxing district is held; (c) made for any taxing district
22to pay interest or principal on bonds issued to refund or
23continue to refund those bonds issued before the date on which
24the referendum making this Law applicable to the taxing
25district is held; (d) made for any taxing district to pay
26interest or principal on bonds issued to refund or continue to

 

 

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1refund bonds issued after the date on which the referendum
2making this Law applicable to the taxing district is held if
3the bonds were approved by referendum after the date on which
4the referendum making this Law applicable to the taxing
5district is held; (e) made for any taxing district to pay
6interest or principal on revenue bonds issued before the date
7on which the referendum making this Law applicable to the
8taxing district is held for payment of which a property tax
9levy or the full faith and credit of the unit of local
10government is pledged; however, a tax for the payment of
11interest or principal on those bonds shall be made only after
12the governing body of the unit of local government finds that
13all other sources for payment are insufficient to make those
14payments; (f) made for payments under a building commission
15lease when the lease payments are for the retirement of bonds
16issued by the commission before the date on which the
17referendum making this Law applicable to the taxing district is
18held to pay for the building project; (g) made for payments due
19under installment contracts entered into before the date on
20which the referendum making this Law applicable to the taxing
21district is held; (h) made for payments of principal and
22interest on limited bonds, as defined in Section 3 of the Local
23Government Debt Reform Act, in an amount not to exceed the debt
24service extension base less the amount in items (b), (c), and
25(e) of this definition for non-referendum obligations, except
26obligations initially issued pursuant to referendum; (i) made

 

 

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1for payments of principal and interest on bonds issued under
2Section 15 of the Local Government Debt Reform Act; (j) made
3for a qualified airport authority to pay interest or principal
4on general obligation bonds issued for the purpose of paying
5obligations due under, or financing airport facilities
6required to be acquired, constructed, installed or equipped
7pursuant to, contracts entered into before March 1, 1996 (but
8not including any amendments to such a contract taking effect
9on or after that date); (k) made to fund expenses of providing
10joint recreational programs for persons with disabilities
11under Section 5-8 of the Park District Code or Section 11-95-14
12of the Illinois Municipal Code; (l) made for contributions to a
13firefighter's pension fund created under Article 4 of the
14Illinois Pension Code, to the extent of the amount certified
15under item (5) of Section 4-134 of the Illinois Pension Code;
16and (m) made for the taxing district to pay interest or
17principal on general obligation bonds issued pursuant to
18Section 19-3.10 of the School Code.
19    "Aggregate extension" for all taxing districts to which
20this Law applies in accordance with paragraph (2) of subsection
21(e) of Section 18-213 means the annual corporate extension for
22the taxing district and those special purpose extensions that
23are made annually for the taxing district, excluding special
24purpose extensions: (a) made for the taxing district to pay
25interest or principal on general obligation bonds that were
26approved by referendum; (b) made for any taxing district to pay

 

 

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1interest or principal on general obligation bonds issued before
2March 7, 1997 (the effective date of Public Act 89-718) this
3amendatory Act of 1997; (c) made for any taxing district to pay
4interest or principal on bonds issued to refund or continue to
5refund those bonds issued before March 7, 1997 (the effective
6date of Public Act 89-718) this amendatory Act of 1997; (d)
7made for any taxing district to pay interest or principal on
8bonds issued to refund or continue to refund bonds issued after
9March 7, 1997 (the effective date of Public Act 89-718) this
10amendatory Act of 1997 if the bonds were approved by referendum
11after March 7, 1997 (the effective date of Public Act 89-718)
12this amendatory Act of 1997; (e) made for any taxing district
13to pay interest or principal on revenue bonds issued before
14March 7, 1997 (the effective date of Public Act 89-718) this
15amendatory Act of 1997 for payment of which a property tax levy
16or the full faith and credit of the unit of local government is
17pledged; however, a tax for the payment of interest or
18principal on those bonds shall be made only after the governing
19body of the unit of local government finds that all other
20sources for payment are insufficient to make those payments;
21(f) made for payments under a building commission lease when
22the lease payments are for the retirement of bonds issued by
23the commission before March 7, 1997 (the effective date of
24Public Act 89-718) this amendatory Act of 1997 to pay for the
25building project; (g) made for payments due under installment
26contracts entered into before March 7, 1997 (the effective date

 

 

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1of Public Act 89-718) this amendatory Act of 1997; (h) made for
2payments of principal and interest on limited bonds, as defined
3in Section 3 of the Local Government Debt Reform Act, in an
4amount not to exceed the debt service extension base less the
5amount in items (b), (c), and (e) of this definition for
6non-referendum obligations, except obligations initially
7issued pursuant to referendum; (i) made for payments of
8principal and interest on bonds issued under Section 15 of the
9Local Government Debt Reform Act; (j) made for a qualified
10airport authority to pay interest or principal on general
11obligation bonds issued for the purpose of paying obligations
12due under, or financing airport facilities required to be
13acquired, constructed, installed or equipped pursuant to,
14contracts entered into before March 1, 1996 (but not including
15any amendments to such a contract taking effect on or after
16that date); (k) made to fund expenses of providing joint
17recreational programs for persons with disabilities under
18Section 5-8 of the Park District Code or Section 11-95-14 of
19the Illinois Municipal Code; and (l) made for contributions to
20a firefighter's pension fund created under Article 4 of the
21Illinois Pension Code, to the extent of the amount certified
22under item (5) of Section 4-134 of the Illinois Pension Code.
23    "Debt service extension base" means an amount equal to that
24portion of the extension for a taxing district for the 1994
25levy year, or for those taxing districts subject to this Law in
26accordance with Section 18-213, except for those subject to

 

 

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1paragraph (2) of subsection (e) of Section 18-213, for the levy
2year in which the referendum making this Law applicable to the
3taxing district is held, or for those taxing districts subject
4to this Law in accordance with paragraph (2) of subsection (e)
5of Section 18-213 for the 1996 levy year, constituting an
6extension for payment of principal and interest on bonds issued
7by the taxing district without referendum, but not including
8excluded non-referendum bonds. For park districts (i) that were
9first subject to this Law in 1991 or 1995 and (ii) whose
10extension for the 1994 levy year for the payment of principal
11and interest on bonds issued by the park district without
12referendum (but not including excluded non-referendum bonds)
13was less than 51% of the amount for the 1991 levy year
14constituting an extension for payment of principal and interest
15on bonds issued by the park district without referendum (but
16not including excluded non-referendum bonds), "debt service
17extension base" means an amount equal to that portion of the
18extension for the 1991 levy year constituting an extension for
19payment of principal and interest on bonds issued by the park
20district without referendum (but not including excluded
21non-referendum bonds). A debt service extension base
22established or increased at any time pursuant to any provision
23of this Law, except Section 18-212, shall be increased each
24year commencing with the later of (i) the 2009 levy year or
25(ii) the first levy year in which this Law becomes applicable
26to the taxing district, by the lesser of 5% or the percentage

 

 

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1increase in the Consumer Price Index during the 12-month
2calendar year preceding the levy year. The debt service
3extension base may be established or increased as provided
4under Section 18-212. "Excluded non-referendum bonds" means
5(i) bonds authorized by Public Act 88-503 and issued under
6Section 20a of the Chicago Park District Act for aquarium and
7museum projects; (ii) bonds issued under Section 15 of the
8Local Government Debt Reform Act; or (iii) refunding
9obligations issued to refund or to continue to refund
10obligations initially issued pursuant to referendum.
11    "Special purpose extensions" include, but are not limited
12to, extensions for levies made on an annual basis for
13unemployment and workers' compensation, self-insurance,
14contributions to pension plans, and extensions made pursuant to
15Section 6-601 of the Illinois Highway Code for a road
16district's permanent road fund whether levied annually or not.
17The extension for a special service area is not included in the
18aggregate extension.
19    "Aggregate extension base" means the taxing district's
20last preceding aggregate extension as adjusted under Sections
2118-135, 18-215, 18-230, and 18-206, plus the amount of any
22abatement granted in the last preceding levy year under
23subsection (c) of Section 18-165. An adjustment under Section
2418-135 shall be made for the 2007 levy year and all subsequent
25levy years whenever one or more counties within which a taxing
26district is located (i) used estimated valuations or rates when

 

 

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1extending taxes in the taxing district for the last preceding
2levy year that resulted in the over or under extension of
3taxes, or (ii) increased or decreased the tax extension for the
4last preceding levy year as required by Section 18-135(c).
5Whenever an adjustment is required under Section 18-135, the
6aggregate extension base of the taxing district shall be equal
7to the amount that the aggregate extension of the taxing
8district would have been for the last preceding levy year if
9either or both (i) actual, rather than estimated, valuations or
10rates had been used to calculate the extension of taxes for the
11last levy year, or (ii) the tax extension for the last
12preceding levy year had not been adjusted as required by
13subsection (c) of Section 18-135.
14    Notwithstanding any other provision of law, for levy year
152012, the aggregate extension base for West Northfield School
16District No. 31 in Cook County shall be $12,654,592.
17    "Levy year" has the same meaning as "year" under Section
181-155.
19    "New property" means (i) the assessed value, after final
20board of review or board of appeals action, of new improvements
21or additions to existing improvements on any parcel of real
22property that increase the assessed value of that real property
23during the levy year multiplied by the equalization factor
24issued by the Department under Section 17-30, (ii) the assessed
25value, after final board of review or board of appeals action,
26of real property not exempt from real estate taxation, which

 

 

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1real property was exempt from real estate taxation for any
2portion of the immediately preceding levy year, multiplied by
3the equalization factor issued by the Department under Section
417-30, including the assessed value, upon final stabilization
5of occupancy after new construction is complete, of any real
6property located within the boundaries of an otherwise or
7previously exempt military reservation that is intended for
8residential use and owned by or leased to a private corporation
9or other entity, (iii) in counties that classify in accordance
10with Section 4 of Article IX of the Illinois Constitution, an
11incentive property's additional assessed value resulting from
12a scheduled increase in the level of assessment as applied to
13the first year final board of review market value, and (iv) any
14increase in assessed value due to oil or gas production from an
15oil or gas well required to be permitted under the Hydraulic
16Fracturing Regulatory Act that was not produced in or accounted
17for during the previous levy year. In addition, the county
18clerk in a county containing a population of 3,000,000 or more
19shall include in the 1997 recovered tax increment value for any
20school district, any recovered tax increment value that was
21applicable to the 1995 tax year calculations.
22    "Qualified airport authority" means an airport authority
23organized under the Airport Authorities Act and located in a
24county bordering on the State of Wisconsin and having a
25population in excess of 200,000 and not greater than 500,000.
26    "Recovered tax increment value" means, except as otherwise

 

 

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1provided in this paragraph, the amount of the current year's
2equalized assessed value, in the first year after a
3municipality terminates the designation of an area as a
4redevelopment project area previously established under the
5Tax Increment Allocation Redevelopment Development Act in the
6Illinois Municipal Code, previously established under the
7Industrial Jobs Recovery Law in the Illinois Municipal Code,
8previously established under the Economic Development Project
9Area Tax Increment Act of 1995, or previously established under
10the Economic Development Area Tax Increment Allocation Act, of
11each taxable lot, block, tract, or parcel of real property in
12the redevelopment project area over and above the initial
13equalized assessed value of each property in the redevelopment
14project area. For the taxes which are extended for the 1997
15levy year, the recovered tax increment value for a non-home
16rule taxing district that first became subject to this Law for
17the 1995 levy year because a majority of its 1994 equalized
18assessed value was in an affected county or counties shall be
19increased if a municipality terminated the designation of an
20area in 1993 as a redevelopment project area previously
21established under the Tax Increment Allocation Redevelopment
22Development Act in the Illinois Municipal Code, previously
23established under the Industrial Jobs Recovery Law in the
24Illinois Municipal Code, or previously established under the
25Economic Development Area Tax Increment Allocation Act, by an
26amount equal to the 1994 equalized assessed value of each

 

 

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1taxable lot, block, tract, or parcel of real property in the
2redevelopment project area over and above the initial equalized
3assessed value of each property in the redevelopment project
4area. In the first year after a municipality removes a taxable
5lot, block, tract, or parcel of real property from a
6redevelopment project area established under the Tax Increment
7Allocation Redevelopment Development Act in the Illinois
8Municipal Code, the Industrial Jobs Recovery Law in the
9Illinois Municipal Code, or the Economic Development Area Tax
10Increment Allocation Act, "recovered tax increment value"
11means the amount of the current year's equalized assessed value
12of each taxable lot, block, tract, or parcel of real property
13removed from the redevelopment project area over and above the
14initial equalized assessed value of that real property before
15removal from the redevelopment project area.
16    Except as otherwise provided in this Section, "limiting
17rate" means a fraction the numerator of which is the last
18preceding aggregate extension base times an amount equal to one
19plus the extension limitation defined in this Section and the
20denominator of which is the current year's equalized assessed
21value of all real property in the territory under the
22jurisdiction of the taxing district during the prior levy year.
23For those taxing districts that reduced their aggregate
24extension for the last preceding levy year, except for school
25districts that reduced their extension for educational
26purposes pursuant to Section 18-206, the highest aggregate

 

 

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1extension in any of the last 3 preceding levy years shall be
2used for the purpose of computing the limiting rate. The
3denominator shall not include new property or the recovered tax
4increment value. If a new rate, a rate decrease, or a limiting
5rate increase has been approved at an election held after March
621, 2006, then (i) the otherwise applicable limiting rate shall
7be increased by the amount of the new rate or shall be reduced
8by the amount of the rate decrease, as the case may be, or (ii)
9in the case of a limiting rate increase, the limiting rate
10shall be equal to the rate set forth in the proposition
11approved by the voters for each of the years specified in the
12proposition, after which the limiting rate of the taxing
13district shall be calculated as otherwise provided. In the case
14of a taxing district that obtained referendum approval for an
15increased limiting rate on March 20, 2012, the limiting rate
16for tax year 2012 shall be the rate that generates the
17approximate total amount of taxes extendable for that tax year,
18as set forth in the proposition approved by the voters; this
19rate shall be the final rate applied by the county clerk for
20the aggregate of all capped funds of the district for tax year
212012.
22(Source: P.A. 99-143, eff. 7-27-15; 99-521, eff. 6-1-17;
23100-465, eff. 8-31-17; revised 8-12-19.)
 
24    Section 99. Effective date. This Act takes effect upon
25becoming law.