102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB3888

 

Introduced 2/22/2021, by Rep. Debbie Meyers-Martin

 

SYNOPSIS AS INTRODUCED:
 
35 ILCS 200/1-50.1 new
35 ILCS 200/9-145
35 ILCS 200/9-155

    Amends the Property Tax Code. Provides that, for the 2022 taxable year and thereafter, in all counties, property shall be valued at the lesser of (i) its base year value, compounded annually since the base year by an inflation factor, which shall be the percentage change for the prior calendar year in the Consumer Price Index, but not to exceed 2% of the prior year's value, plus the value of any improvements to the property, and (ii) its full cash value, as defined in Section 1-50, taking into account reductions in value due to damage, destruction, depreciation, obsolescence, removal of property, or other factors causing a decline in value. Provides that "base value" means the higher of (i) the amount for which the property was last sold at an arms-length transaction or (ii) the fair cash value of the property as of the date of its last change of ownership. Effective immediately.


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

 

 

A BILL FOR

 

HB3888LRB102 12643 HLH 17982 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 9-145 and 9-155 and by adding Section 1-50.1 as
6follows:
 
7    (35 ILCS 200/1-50.1 new)
8    Sec. 1-50.1. Base value; base year. "Base value" means the
9higher of (i) the amount for which the property was last sold
10at an arms-length transaction or (ii) the fair cash value of
11the property as of the date of its last change of ownership; if
12the property is newly-constructed, then "base value" means the
13fair cash value of the property on the date on which new
14construction is completed, or, if uncompleted, on the first
15day of the taxable year.
16    "Base year" means the year in which the property last had a
17change of ownership.
 
18    (35 ILCS 200/9-145)
19    Sec. 9-145. Statutory level of assessment.
20    (a) For taxable years prior to 2022, except Except in
21counties with more than 200,000 inhabitants which classify
22property for purposes of taxation, property shall be valued as

 

 

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1follows:
2        (a) Each tract or lot of property shall be valued at 33
3    1/3% of its fair cash value.
4        (b) Each taxable leasehold estate shall be valued at
5    33 1/3% of its fair cash value.
6        (c) Each building or structure which is located on the
7    right of way of any canal, railroad or other company
8    leased or granted to another company or person for a term
9    of years, shall be valued at 33 1/3% of its fair cash
10    value.
11        (d) Any property on which there is a coal or other
12    mine, or stone or other quarry, shall be valued at 33 1/3%
13    of its fair cash value. Oil, gas and other minerals,
14    except coal, shall have value and be assessed separately
15    at 33 1/3% of the fair cash value of such oil, gas and
16    other minerals. Coal shall be assessed separately at 33
17    1/3% of the coal reserve economic value, as provided in
18    Sections 10-170 through 10-200.
19        (e) In the assessment of property encumbered by public
20    easement, any depreciation occasioned by such easement
21    shall be deducted in the valuation of such property. Any
22    property dedicated as a nature preserve or as a nature
23    preserve buffer under the Illinois Natural Areas
24    Preservation Act, for the purposes of this paragraph, is
25    encumbered by a public easement and shall be depreciated
26    for assessment purposes to a level at which its valuation

 

 

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1    shall be $1 per acre or portion thereof.
2    This Section is subject to and modified by Sections 10-110
3through 10-140 and 11-5 through 11-65.
4    (b) Notwithstanding any other provision of law, for the
52022 taxable year and thereafter, in all counties, property
6shall be valued at the lesser of (i) its base year value,
7compounded annually since the base year by an inflation
8factor, which shall be the percentage change for the prior
9calendar year in the Consumer Price Index for All Urban
10Consumers as determined by the United States Department of
11Labor, but not to exceed 2% of the prior year's value, plus the
12value of any improvements to the property, and (ii) its full
13cash value, as defined in Section 1-50, taking into account
14reductions in value due to damage, destruction, depreciation,
15obsolescence, removal of property, or other factors causing a
16decline in value.
17(Source: P.A. 91-497, eff. 1-1-00.)
 
18    (35 ILCS 200/9-155)
19    Sec. 9-155. Valuation in general assessment years. On or
20before June 1 in each general assessment year in all counties
21with less than 3,000,000 inhabitants, and as soon as he or she
22reasonably can in each general assessment year in counties
23with 3,000,000 or more inhabitants, or if any such county is
24divided into assessment districts as provided in Sections
259-215 through 9-225, as soon as he or she reasonably can in

 

 

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1each general assessment year in those districts, the assessor,
2in person or by deputy, shall actually view and determine as
3near as practicable the value of each property listed for
4taxation as of January 1 of that year, or as provided in
5Section 9-180, and assess the property as provided in Section
69-145 at 33 1/3% of its fair cash value, or in accordance with
7Sections 10-110 through 10-140 and 10-170 through 10-200, or
8in accordance with a county ordinance adopted under Section 4
9of Article IX of the Constitution of Illinois. The assessor or
10deputy shall set down, in the books furnished for that purpose
11the assessed valuation of properties in one column, the
12assessed value of improvements in another, and the total
13valuation in a separate column.
14(Source: P.A. 86-1481; 87-1189; 88-455.)
 
15    Section 99. Effective date. This Act takes effect upon
16becoming law.