102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB3391

 

Introduced 2/22/2021, by Rep. Tom Weber

 

SYNOPSIS AS INTRODUCED:
 
See Index

    Creates the Taxpayer Protection Act. Provides that, on and after the effective date of the Act, for bonds or incurred debt issued through a referendum by a unit of local government or school district, the bonds or incurred debt shall not be extended or reissued unless authorized by a referendum. Provides that a unit of local government or school district shall not submit the question concerning the extension or reissuance of a bond or incurring debt to voters in a referendum until at least one year has passed since the retirement of the bond or debt approved by a referendum. Provides that, on and after the effective date of the Act, a unit of local government or school district shall not submit a question concerning the issuance of a bond or incurring debt to the voters in a referendum until at least one year has passed since that unit or district last proposed a question or proposition concerning the issuance of bonds or incurring debt in a referendum. Limits home rule powers. Amends the Property Tax Code. Provides that there shall not be a service extension base annual increase unless increased by referendum. Amends the School Code. Provides that no later than 30 days before a school district submits to the voters of that district a question on whether to issue bonds or increase the school district's property tax rate, the school district must send informational material to each resident of voting age in the school district; defines "informational material". Specifies what must be included in the informational material Effective immediately.


LRB102 14638 HLH 19991 b

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

 

 

A BILL FOR

 

HB3391LRB102 14638 HLH 19991 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Taxpayer Protection Act.
 
6    Section 5. Purpose. The purpose of this Act is to address
7the following items:
8        (1) To ensure that bonds or debts authorized by
9    referendums cannot be renewed.
10        (2) To require all governmental agencies to allow one
11    year between one referendum bond ending and one referendum
12    bond starting to allow taxpayers to see how bonds affect
13    their taxes and the savings they would incur if there was
14    not a bond.
 
15    Section 10. Definitions. As used in this Act:
16    "Bond" has the meaning given to that term in the Local
17Government Debt Reform Act.
18    "Governmental unit" means a unit of local government or
19school district.
 
20    Section 15. Issuance of bonds or incurring debt by
21referendum; one-year wait.

 

 

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1    (a) Notwithstanding any other provision of law, on and
2after the effective date of this Act, for bonds or incurred
3debt issued through a referendum by a governmental unit, the
4bonds or incurred debt shall not be extended or reissued
5unless authorized by a separate referendum. A government unit
6shall not submit the question concerning the extension or
7reissuance of a bond or incurring debt to voters in a
8referendum until at least one year has passed since the
9retirement of the bond or incurred debt approved by a
10referendum.
11    (b) Notwithstanding any other provision of law, on and
12after the effective date of this Act, a government unit shall
13not submit a question concerning the issuance of a bond or
14incurring debt to the voters in a referendum until at least one
15year has passed since that government unit last proposed a
16question or proposition concerning the issuance of bonds or
17incurring debt in a referendum.
 
18    Section 20. Home rule. The regulation of issuing,
19incurring, extending, or reissuing bonds and debt as contained
20in this Act are exclusive powers and functions of the State. A
21home rule unit may not regulate such matters. This Act is a
22denial and limitation of home rule powers and functions under
23subsection (h) of Section 6 of Article VII of the Illinois
24Constitution.
 

 

 

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1    Section 90. The Property Tax Code is amended by changing
2Sections 18-185 and 18-212 as follows:
 
3    (35 ILCS 200/18-185)
4    Sec. 18-185. Short title; definitions. This Division 5
5may be cited as the Property Tax Extension Limitation Law. As
6used in this Division 5:
7    "Consumer Price Index" means the Consumer Price Index for
8All Urban Consumers for all items published by the United
9States Department of Labor.
10    "Extension limitation" means (a) the lesser of 5% or the
11percentage increase in the Consumer Price Index during the
1212-month calendar year preceding the levy year or (b) the rate
13of increase approved by voters under Section 18-205.
14    "Affected county" means a county of 3,000,000 or more
15inhabitants or a county contiguous to a county of 3,000,000 or
16more inhabitants.
17    "Taxing district" has the same meaning provided in Section
181-150, except as otherwise provided in this Section. For the
191991 through 1994 levy years only, "taxing district" includes
20only each non-home rule taxing district having the majority of
21its 1990 equalized assessed value within any county or
22counties contiguous to a county with 3,000,000 or more
23inhabitants. Beginning with the 1995 levy year, "taxing
24district" includes only each non-home rule taxing district
25subject to this Law before the 1995 levy year and each non-home

 

 

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1rule taxing district not subject to this Law before the 1995
2levy year having the majority of its 1994 equalized assessed
3value in an affected county or counties. Beginning with the
4levy year in which this Law becomes applicable to a taxing
5district as provided in Section 18-213, "taxing district" also
6includes those taxing districts made subject to this Law as
7provided in Section 18-213.
8    "Aggregate extension" for taxing districts to which this
9Law applied before the 1995 levy year means the annual
10corporate extension for the taxing district and those special
11purpose extensions that are made annually for the taxing
12district, excluding special purpose extensions: (a) made for
13the taxing district to pay interest or principal on general
14obligation bonds that were approved by referendum; (b) made
15for any taxing district to pay interest or principal on
16general obligation bonds issued before October 1, 1991; (c)
17made for any taxing district to pay interest or principal on
18bonds issued to refund or continue to refund those bonds
19issued before October 1, 1991; (d) made for any taxing
20district to pay interest or principal on bonds issued to
21refund or continue to refund bonds issued after October 1,
221991 that were approved by referendum; (e) made for any taxing
23district to pay interest or principal on revenue bonds issued
24before October 1, 1991 for payment of which a property tax levy
25or the full faith and credit of the unit of local government is
26pledged; however, a tax for the payment of interest or

 

 

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1principal on those bonds shall be made only after the
2governing body of the unit of local government finds that all
3other sources for payment are insufficient to make those
4payments; (f) made for payments under a building commission
5lease when the lease payments are for the retirement of bonds
6issued by the commission before October 1, 1991, to pay for the
7building project; (g) made for payments due under installment
8contracts entered into before October 1, 1991; (h) made for
9payments of principal and interest on bonds issued under the
10Metropolitan Water Reclamation District Act to finance
11construction projects initiated before October 1, 1991; (i)
12made for payments of principal and interest on limited bonds,
13as defined in Section 3 of the Local Government Debt Reform
14Act, in an amount not to exceed the debt service extension base
15less the amount in items (b), (c), (e), and (h) of this
16definition for non-referendum obligations, except obligations
17initially issued pursuant to referendum; (j) made for payments
18of principal and interest on bonds issued under Section 15 of
19the Local Government Debt Reform Act; (k) made by a school
20district that participates in the Special Education District
21of Lake County, created by special education joint agreement
22under Section 10-22.31 of the School Code, for payment of the
23school district's share of the amounts required to be
24contributed by the Special Education District of Lake County
25to the Illinois Municipal Retirement Fund under Article 7 of
26the Illinois Pension Code; the amount of any extension under

 

 

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1this item (k) shall be certified by the school district to the
2county clerk; (l) made to fund expenses of providing joint
3recreational programs for persons with disabilities under
4Section 5-8 of the Park District Code or Section 11-95-14 of
5the Illinois Municipal Code; (m) made for temporary relocation
6loan repayment purposes pursuant to Sections 2-3.77 and
717-2.2d of the School Code; (n) made for payment of principal
8and interest on any bonds issued under the authority of
9Section 17-2.2d of the School Code; (o) made for contributions
10to a firefighter's pension fund created under Article 4 of the
11Illinois Pension Code, to the extent of the amount certified
12under item (5) of Section 4-134 of the Illinois Pension Code;
13and (p) made for road purposes in the first year after a
14township assumes the rights, powers, duties, assets, property,
15liabilities, obligations, and responsibilities of a road
16district abolished under the provisions of Section 6-133 of
17the Illinois Highway Code.
18    "Aggregate extension" for the taxing districts to which
19this Law did not apply before the 1995 levy year (except taxing
20districts subject to this Law in accordance with Section
2118-213) means the annual corporate extension for the taxing
22district and those special purpose extensions that are made
23annually for the taxing district, excluding special purpose
24extensions: (a) made for the taxing district to pay interest
25or principal on general obligation bonds that were approved by
26referendum; (b) made for any taxing district to pay interest

 

 

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1or principal on general obligation bonds issued before March
21, 1995; (c) made for any taxing district to pay interest or
3principal on bonds issued to refund or continue to refund
4those bonds issued before March 1, 1995; (d) made for any
5taxing district to pay interest or principal on bonds issued
6to refund or continue to refund bonds issued after March 1,
71995 that were approved by referendum; (e) made for any taxing
8district to pay interest or principal on revenue bonds issued
9before March 1, 1995 for payment of which a property tax levy
10or the full faith and credit of the unit of local government is
11pledged; however, a tax for the payment of interest or
12principal on those bonds shall be made only after the
13governing body of the unit of local government finds that all
14other sources for payment are insufficient to make those
15payments; (f) made for payments under a building commission
16lease when the lease payments are for the retirement of bonds
17issued by the commission before March 1, 1995 to pay for the
18building project; (g) made for payments due under installment
19contracts entered into before March 1, 1995; (h) made for
20payments of principal and interest on bonds issued under the
21Metropolitan Water Reclamation District Act to finance
22construction projects initiated before October 1, 1991; (h-4)
23made for stormwater management purposes by the Metropolitan
24Water Reclamation District of Greater Chicago under Section 12
25of the Metropolitan Water Reclamation District Act; (i) made
26for payments of principal and interest on limited bonds, as

 

 

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1defined in Section 3 of the Local Government Debt Reform Act,
2in an amount not to exceed the debt service extension base less
3the amount in items (b), (c), and (e) of this definition for
4non-referendum obligations, except obligations initially
5issued pursuant to referendum and bonds described in
6subsection (h) of this definition; (j) made for payments of
7principal and interest on bonds issued under Section 15 of the
8Local Government Debt Reform Act; (k) made for payments of
9principal and interest on bonds authorized by Public Act
1088-503 and issued under Section 20a of the Chicago Park
11District Act for aquarium or museum projects; (l) made for
12payments of principal and interest on bonds authorized by
13Public Act 87-1191 or 93-601 and (i) issued pursuant to
14Section 21.2 of the Cook County Forest Preserve District Act,
15(ii) issued under Section 42 of the Cook County Forest
16Preserve District Act for zoological park projects, or (iii)
17issued under Section 44.1 of the Cook County Forest Preserve
18District Act for botanical gardens projects; (m) made pursuant
19to Section 34-53.5 of the School Code, whether levied annually
20or not; (n) made to fund expenses of providing joint
21recreational programs for persons with disabilities under
22Section 5-8 of the Park District Code or Section 11-95-14 of
23the Illinois Municipal Code; (o) made by the Chicago Park
24District for recreational programs for persons with
25disabilities under subsection (c) of Section 7.06 of the
26Chicago Park District Act; (p) made for contributions to a

 

 

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1firefighter's pension fund created under Article 4 of the
2Illinois Pension Code, to the extent of the amount certified
3under item (5) of Section 4-134 of the Illinois Pension Code;
4(q) made by Ford Heights School District 169 under Section
517-9.02 of the School Code; and (r) made for the purpose of
6making employer contributions to the Public School Teachers'
7Pension and Retirement Fund of Chicago under Section 34-53 of
8the School Code.
9    "Aggregate extension" for all taxing districts to which
10this Law applies in accordance with Section 18-213, except for
11those taxing districts subject to paragraph (2) of subsection
12(e) of Section 18-213, means the annual corporate extension
13for the taxing district and those special purpose extensions
14that are made annually for the taxing district, excluding
15special purpose extensions: (a) made for the taxing district
16to pay interest or principal on general obligation bonds that
17were approved by referendum; (b) made for any taxing district
18to pay interest or principal on general obligation bonds
19issued before the date on which the referendum making this Law
20applicable to the taxing district is held; (c) made for any
21taxing district to pay interest or principal on bonds issued
22to refund or continue to refund those bonds issued before the
23date on which the referendum making this Law applicable to the
24taxing district is held; (d) made for any taxing district to
25pay interest or principal on bonds issued to refund or
26continue to refund bonds issued after the date on which the

 

 

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

 

 

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1bonds issued under Section 15 of the Local Government Debt
2Reform Act; (j) made for a qualified airport authority to pay
3interest or principal on general obligation bonds issued for
4the purpose of paying obligations due under, or financing
5airport facilities required to be acquired, constructed,
6installed or equipped pursuant to, contracts entered into
7before March 1, 1996 (but not including any amendments to such
8a contract taking effect on or after that date); (k) made to
9fund expenses of providing joint recreational programs for
10persons with disabilities under Section 5-8 of the Park
11District Code or Section 11-95-14 of the Illinois Municipal
12Code; (l) made for contributions to a firefighter's pension
13fund created under Article 4 of the Illinois Pension Code, to
14the extent of the amount certified under item (5) of Section
154-134 of the Illinois Pension Code; and (m) made for the taxing
16district to pay interest or principal on general obligation
17bonds issued pursuant to Section 19-3.10 of the School Code.
18    "Aggregate extension" for all taxing districts to which
19this Law applies in accordance with paragraph (2) of
20subsection (e) of Section 18-213 means the annual corporate
21extension for the taxing district and those special purpose
22extensions that are made annually for the taxing district,
23excluding special purpose extensions: (a) made for the taxing
24district to pay interest or principal on general obligation
25bonds that were approved by referendum; (b) made for any
26taxing district to pay interest or principal on general

 

 

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1obligation bonds issued before March 7, 1997 (the effective
2date of Public Act 89-718) this amendatory Act of 1997; (c)
3made for any taxing district to pay interest or principal on
4bonds issued to refund or continue to refund those bonds
5issued before March 7, 1997 (the effective date of Public Act
689-718) this amendatory Act of 1997; (d) made for any taxing
7district to pay interest or principal on bonds issued to
8refund or continue to refund bonds issued after March 7, 1997
9(the effective date of Public Act 89-718) this amendatory Act
10of 1997 if the bonds were approved by referendum after March 7,
111997 (the effective date of Public Act 89-718) this amendatory
12Act of 1997; (e) made for any taxing district to pay interest
13or principal on revenue bonds issued before March 7, 1997 (the
14effective date of Public Act 89-718) this amendatory Act of
151997 for payment of which a property tax levy or the full faith
16and credit of the unit of local government is pledged;
17however, a tax for the payment of interest or principal on
18those bonds shall be made only after the governing body of the
19unit of local government finds that all other sources for
20payment are insufficient to make those payments; (f) made for
21payments under a building commission lease when the lease
22payments are for the retirement of bonds issued by the
23commission before March 7, 1997 (the effective date of Public
24Act 89-718) this amendatory Act of 1997 to pay for the building
25project; (g) made for payments due under installment contracts
26entered into before March 7, 1997 (the effective date of

 

 

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1Public Act 89-718) this amendatory Act of 1997; (h) made for
2payments of principal and interest on limited bonds, as
3defined in Section 3 of the Local Government Debt Reform Act,
4in an amount not to exceed the debt service extension base less
5the amount 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
24that portion of the extension for a taxing district for the
251994 levy year, or for those taxing districts subject to this
26Law in accordance with Section 18-213, except for those

 

 

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1subject to paragraph (2) of subsection (e) of Section 18-213,
2for the levy year in which the referendum making this Law
3applicable to the taxing district is held, or for those taxing
4districts subject to this Law in accordance with paragraph (2)
5of subsection (e) of Section 18-213 for the 1996 levy year,
6constituting an extension for payment of principal and
7interest on bonds issued by the taxing district without
8referendum, but not including excluded non-referendum bonds.
9For park districts (i) that were first subject to this Law in
101991 or 1995 and (ii) whose extension for the 1994 levy year
11for the payment of principal and interest on bonds issued by
12the park district without referendum (but not including
13excluded non-referendum bonds) was less than 51% of the amount
14for the 1991 levy year constituting an extension for payment
15of principal and interest on bonds issued by the park district
16without referendum (but not including excluded non-referendum
17bonds), "debt service extension base" means an amount equal to
18that portion of the extension for the 1991 levy year
19constituting an extension for payment of principal and
20interest on bonds issued by the park district without
21referendum (but not including excluded non-referendum bonds).
22A debt service extension base established or increased at any
23time pursuant to any provision of this Law, except Section
2418-212, shall be increased each year commencing with the later
25of: (i) the 2009 levy year; or (ii) the first levy year in
26which this Law becomes applicable to the taxing district, by

 

 

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1(A) prior to the effective date of this amendatory Act of the
2102nd General Assembly, the lesser of 5% or the percentage
3increase in the Consumer Price Index during the 12-month
4calendar year preceding the levy year, and (B) on and after the
5effective date of this amendatory Act of the 102nd General
6Assembly, 0% or the rate of increase approved by the voters
7under Section 18-212. The debt service extension base may be
8established or increased as provided under Section 18-212.
9"Excluded non-referendum bonds" means (i) bonds authorized by
10Public Act 88-503 and issued under Section 20a of the Chicago
11Park District Act for aquarium and museum projects; (ii) bonds
12issued under Section 15 of the Local Government Debt Reform
13Act; or (iii) refunding obligations issued to refund or to
14continue to refund obligations initially issued pursuant to
15referendum.
16    "Special purpose extensions" include, but are not limited
17to, extensions for levies made on an annual basis for
18unemployment and workers' compensation, self-insurance,
19contributions to pension plans, and extensions made pursuant
20to Section 6-601 of the Illinois Highway Code for a road
21district's permanent road fund whether levied annually or not.
22The extension for a special service area is not included in the
23aggregate extension.
24    "Aggregate extension base" means the taxing district's
25last preceding aggregate extension as adjusted under Sections
2618-135, 18-215, 18-230, and 18-206. An adjustment under

 

 

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1Section 18-135 shall be made for the 2007 levy year and all
2subsequent levy years whenever one or more counties within
3which a taxing district is located (i) used estimated
4valuations or rates when extending taxes in the taxing
5district for the last preceding levy year that resulted in the
6over or under extension of taxes, or (ii) increased or
7decreased the tax extension for the last preceding levy year
8as required by Section 18-135(c). Whenever an adjustment is
9required under Section 18-135, the aggregate extension base of
10the taxing district shall be equal to the amount that the
11aggregate extension of the taxing district would have been for
12the last preceding levy year if either or both (i) actual,
13rather than estimated, valuations or rates had been used to
14calculate the extension of taxes for the last levy year, or
15(ii) the tax extension for the last preceding levy year had not
16been adjusted as required by subsection (c) of Section 18-135.
17    Notwithstanding any other provision of law, for levy year
182012, the aggregate extension base for West Northfield School
19District No. 31 in Cook County shall be $12,654,592.
20    "Levy year" has the same meaning as "year" under Section
211-155.
22    "New property" means (i) the assessed value, after final
23board of review or board of appeals action, of new
24improvements or additions to existing improvements on any
25parcel of real property that increase the assessed value of
26that real property during the levy year multiplied by the

 

 

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1equalization factor issued by the Department under Section
217-30, (ii) the assessed value, after final board of review or
3board of appeals action, of real property not exempt from real
4estate taxation, which real property was exempt from real
5estate taxation for any portion of the immediately preceding
6levy year, multiplied by the equalization factor issued by the
7Department under Section 17-30, including the assessed value,
8upon final stabilization of occupancy after new construction
9is complete, of any real property located within the
10boundaries of an otherwise or previously exempt military
11reservation that is intended for residential use and owned by
12or leased to a private corporation or other entity, (iii) in
13counties that classify in accordance with Section 4 of Article
14IX of the Illinois Constitution, an incentive property's
15additional assessed value resulting from a scheduled increase
16in the level of assessment as applied to the first year final
17board of review market value, and (iv) any increase in
18assessed value due to oil or gas production from an oil or gas
19well required to be permitted under the Hydraulic Fracturing
20Regulatory Act that was not produced in or accounted for
21during the previous levy year. In addition, the county clerk
22in a county containing a population of 3,000,000 or more shall
23include in the 1997 recovered tax increment value for any
24school district, any recovered tax increment value that was
25applicable to the 1995 tax year calculations.
26    "Qualified airport authority" means an airport authority

 

 

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1organized under the Airport Authorities Act and located in a
2county bordering on the State of Wisconsin and having a
3population in excess of 200,000 and not greater than 500,000.
4    "Recovered tax increment value" means, except as otherwise
5provided in this paragraph, the amount of the current year's
6equalized assessed value, in the first year after a
7municipality terminates the designation of an area as a
8redevelopment project area previously established under the
9Tax Increment Allocation Redevelopment Development Act in the
10Illinois Municipal Code, previously established under the
11Industrial Jobs Recovery Law in the Illinois Municipal Code,
12previously established under the Economic Development Project
13Area Tax Increment Act of 1995, or previously established
14under the Economic Development Area Tax Increment Allocation
15Act, of each taxable lot, block, tract, or parcel of real
16property in the redevelopment project area over and above the
17initial equalized assessed value of each property in the
18redevelopment project area. For the taxes which are extended
19for the 1997 levy year, the recovered tax increment value for a
20non-home rule taxing district that first became subject to
21this Law for the 1995 levy year because a majority of its 1994
22equalized assessed value was in an affected county or counties
23shall be increased if a municipality terminated the
24designation of an area in 1993 as a redevelopment project area
25previously established under the Tax Increment Allocation
26Redevelopment Development Act in the Illinois Municipal Code,

 

 

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1previously established under the Industrial Jobs Recovery Law
2in the Illinois Municipal Code, or previously established
3under the Economic Development Area Tax Increment Allocation
4Act, by an amount equal to the 1994 equalized assessed value of
5each taxable lot, block, tract, or parcel of real property in
6the redevelopment project area over and above the initial
7equalized assessed value of each property in the redevelopment
8project area. In the first year after a municipality removes a
9taxable lot, block, tract, or parcel of real property from a
10redevelopment project area established under the Tax Increment
11Allocation Redevelopment Development Act in the Illinois
12Municipal Code, the Industrial Jobs Recovery Law in the
13Illinois Municipal Code, or the Economic Development Area Tax
14Increment Allocation Act, "recovered tax increment value"
15means the amount of the current year's equalized assessed
16value of each taxable lot, block, tract, or parcel of real
17property removed from the redevelopment project area over and
18above the initial equalized assessed value of that real
19property before removal from the redevelopment project area.
20    Except as otherwise provided in this Section, "limiting
21rate" means a fraction the numerator of which is the last
22preceding aggregate extension base times an amount equal to
23one plus the extension limitation defined in this Section and
24the denominator of which is the current year's equalized
25assessed value of all real property in the territory under the
26jurisdiction of the taxing district during the prior levy

 

 

HB3391- 20 -LRB102 14638 HLH 19991 b

1year. For those taxing districts that reduced their aggregate
2extension for the last preceding levy year, except for school
3districts that reduced their extension for educational
4purposes pursuant to Section 18-206, the highest aggregate
5extension in any of the last 3 preceding levy years shall be
6used for the purpose of computing the limiting rate. The
7denominator shall not include new property or the recovered
8tax increment value. If a new rate, a rate decrease, or a
9limiting rate increase has been approved at an election held
10after March 21, 2006, then (i) the otherwise applicable
11limiting rate shall be increased by the amount of the new rate
12or shall be reduced by the amount of the rate decrease, as the
13case may be, or (ii) in the case of a limiting rate increase,
14the limiting rate shall be equal to the rate set forth in the
15proposition approved by the voters for each of the years
16specified in the proposition, after which the limiting rate of
17the taxing district shall be calculated as otherwise provided.
18In the case of a taxing district that obtained referendum
19approval for an increased limiting rate on March 20, 2012, the
20limiting rate for tax year 2012 shall be the rate that
21generates the approximate total amount of taxes extendable for
22that tax year, as set forth in the proposition approved by the
23voters; this rate shall be the final rate applied by the county
24clerk for the aggregate of all capped funds of the district for
25tax year 2012.
26(Source: P.A. 99-143, eff. 7-27-15; 99-521, eff. 6-1-17;

 

 

HB3391- 21 -LRB102 14638 HLH 19991 b

1100-465, eff. 8-31-17; revised 8-12-19.)
 
2    (35 ILCS 200/18-212)
3    Sec. 18-212. Referendum on debt service extension base. A
4taxing district may establish or increase its debt service
5extension base if (i) that taxing district holds a referendum
6before the date on which the levy must be filed with the county
7clerk of the county or counties in which the taxing district is
8situated and (ii) a majority of voters voting on the issue
9approves the establishment of or increase in the debt service
10extension base. A debt service extension base established or
11increased by a referendum held pursuant to this Section after
12February 2, 2010 and prior to the effective date of this
13amendatory Act of the 102nd General Assembly, shall be
14increased each year, commencing with the first levy year
15beginning after the date of the referendum, by the lesser of 5%
16or the percentage increase in the Consumer Price Index during
17the 12-month calendar year preceding the levy year if the
18optional language concerning the annual increase is included
19in the question submitted to the electors of the taxing
20district. On and after the effective date of this amendatory
21Act of the 102nd General Assembly, the date service extension
22base annual increase amount shall be 0% or the rate of increase
23approved by the voters under this Section. Referenda under
24this Section shall be conducted at a regularly scheduled
25election in accordance with the Election Code. The governing

 

 

HB3391- 22 -LRB102 14638 HLH 19991 b

1body of the taxing district shall certify the question to the
2proper election authorities who shall submit the question to
3the electors of the taxing district in substantially the
4following form:
5    "Shall the debt service extension base under the Property
6    Tax Extension Limitation Law for ... (taxing district
7    name) ... for payment of principal and interest on limited
8    bonds be .... ((established at $ ....) . (or) (increased
9    from $ .... to $ ....)) .. for the ..... levy year and all
10    subsequent levy years (optional language: , such debt
11    service extension base to be increased each year by the
12    lesser of 5% or the percentage increase in the Consumer
13    Price Index during the 12-month calendar year preceding
14    the levy year)?"
15    Votes on the question shall be recorded as "Yes" or "No".
16    If a majority of voters voting on the issue approves the
17establishment of or increase in the debt service extension
18base, the establishment of or increase in the debt service
19extension base shall be applicable for the levy years
20specified.
21(Source: P.A. 96-1202, eff. 7-22-10.)
 
22    Section 95. The School Code is amended by adding Sections
2317-3.4a and 34-52.5 as follows:
 
24    (105 ILCS 5/17-3.4a new)

 

 

HB3391- 23 -LRB102 14638 HLH 19991 b

1    Sec. 17-3.4a. Tax increase; informational material.
2    (a) In this Section, "informational material" means a
3one-page fact sheet distributed via U.S. mail to all residents
4of a school district. A school district may determine the form
5of the fact sheet.
6    (b) No later than 30 days before a school district submits
7to the voters of that district a question on whether to issue
8bonds or increase the school district's property tax rate, the
9school district must send informational material to each
10resident of voting age in the school district. The
11informational material must include all of the following, if
12applicable:
13        (1) A description of the project for which the bonds
14    will be issued.
15        (2) A description of the estimated expenditures
16    associated with the increase in the property tax rate.
17        (3) An estimate of the number of years during which
18    the bonds will be outstanding.
19        (4) An estimate of the total debt service to be paid on
20    the bonds, including principal, interest, and the costs of
21    issuing the bonds.
22        (5) All potential outcomes related to the property
23    taxes of a median-priced house in the district for both if
24    the referendum passes and if the referendum fails.
 
25    (105 ILCS 5/34-52.5 new)

 

 

HB3391- 24 -LRB102 14638 HLH 19991 b

1    Sec. 34-52.5. Tax increase; informational material.
2    (a) In this Section, "informational material" means a
3one-page fact sheet distributed via U.S. mail to all residents
4of the school district. The school district may determine the
5form of the fact sheet.
6    (b) No later than 30 days before the school district
7submits to the voters of the district a question on whether to
8issue bonds or increase the school district's property tax
9rate, the school district must send informational material to
10each resident of voting age in the school district. The
11informational material must include all of the following, if
12applicable:
13        (1) A description of the project for which the bonds
14    will be issued.
15        (2) A description of the estimated expenditures
16    associated with the increase in the property tax rate.
17        (3) An estimate of the number of years during which
18    the bonds will be outstanding.
19        (4) An estimate of the total debt service to be paid on
20    the bonds, including principal, interest, and the costs of
21    issuing the bonds.
22        (5) All potential outcomes related to the property
23    taxes of a median-priced house in the district for both if
24    the referendum passes and if the referendum fails.
 
25    Section 99. Effective date. This Act takes effect upon
26becoming law.

 

 

HB3391- 25 -LRB102 14638 HLH 19991 b

1 INDEX
2 Statutes amended in order of appearance
3    New Act
4    35 ILCS 200/18-185
5    35 ILCS 200/18-212
6    105 ILCS 5/17-3.4a new
7    105 ILCS 5/34-52.5 new