093_SB1937ham001











                                     LRB093 08848 BDD 17338 a

 1                    AMENDMENT TO SENATE BILL 1937

 2        AMENDMENT NO.     .  Amend Senate Bill 1937 by  replacing
 3    everything after the enacting clause with the following:

 4        "Section  5.   The State Finance Act is amended by adding
 5    Sections 5.595 and 6z-59 as follows:

 6        (30 ILCS 105/5.595 new)
 7        Sec. 5.595.  The Tax Recovery Fund.

 8        (30 ILCS 105/6z-59 new)
 9        Sec. 6z-59. The Tax Recovery Fund. There  is  created  in
10    the  State  treasury the Tax Recovery Fund.  Through December
11    31, 2010, all moneys received  from  the  rental,  authorized
12    under  Section  2705-555  of the Department of Transportation
13    Law of the Civil Administrative Code of  Illinois,  of  land,
14    buildings,  or  improvements on property held for development
15    of  an  airport  in  Will  County  by   the   Department   of
16    Transportation  shall  be remitted to the State Treasurer for
17    payment into the Tax Recovery Fund. Subject to appropriation,
18    the moneys in the Fund shall be expended with  the  following
19    priority:  (1)  to  compensate taxing districts for leasehold
20    taxes then (2) to the General Revenue  Fund  less  any  money
21    necessary  to  pay maintenance and repair costs for that real
 
                            -2-      LRB093 08848 BDD 17338 a
 1    property.  The  tax  compensation  shall  be  determined   in
 2    accordance  with Sections 9-195 and 15-55 of the Property Tax
 3    Code.  Expenditures  for  these  purposes  may  be  made   by
 4    Department  of  Transportation  without  regard to the fiscal
 5    year  in  which  tax  compensation  liability  and   property
 6    maintenance and repair costs were incurred. Unexpended moneys
 7    in  the  Fund  shall  not  be transferred or allocated by the
 8    Comptroller or Treasurer to any  other  fund  nor  shall  the
 9    Governor authorize the transfer or allocation of those moneys
10    to  any  other  fund.  After  December  31,  2010, all moneys
11    received from the rental, authorized under  Section  2705-555
12    of   the  Department  of  Transportation  Law  of  the  Civil
13    Administrative Code  of  Illinois,  of  land,  buildings,  or
14    improvements  on  property  held  for  the  development of an
15    airport in Will County by the  Department  of  Transportation
16    shall  not  be  remitted  to  the Tax Recovery Fund but shall
17    instead be paid to the  General  Revenue  Fund.  The  balance
18    remaining in the Tax Recovery Fund on December 31, 2010 shall
19    first   be   expended  to  compensate  taxing  districts  for
20    leasehold taxes for the 2010 tax assessment  year,  and  then
21    transferred  to  the  General Revenue Fund for the purpose of
22    debt service on State  bonds  issued  to  provide  funds  for
23    airport land acquisition in Will County.

24        Section 10.  The Property Tax Code is amended by changing
25    Section 15-55 as follows:

26        (35 ILCS 200/15-55)
27        Sec.  15-55.   State property.  All property belonging to
28    the State of Illinois is exempt. However,  the  State  agency
29    holding title shall file the certificate of ownership and use
30    required  by  Section  15-10,  together  with  a  copy of any
31    written lease or agreement, in effect  on  March  30  of  the
32    assessment  year, concerning parcels of 1 acre or more, or an
 
                            -3-      LRB093 08848 BDD 17338 a
 1    explanation of the terms of any oral  agreement  under  which
 2    the property is leased, subleased or rented.
 3        The  leased  property shall be assessed to the lessee and
 4    the taxes thereon extended and  billed  to  the  lessee,  and
 5    collected  in  the  same  manner as for property which is not
 6    exempt. The lessee shall be liable for the taxes and no  lien
 7    shall attach to the property of the State.
 8        For  the  purposes  of  this  Section,  the word "leases"
 9    includes licenses, franchises, operating agreements and other
10    arrangements under which private individuals, associations or
11    corporations are granted the right to  use  property  of  the
12    Illinois  State  Toll  Highway  Authority  and  includes  all
13    property  of  the  Authority used by others without regard to
14    the size of the leased parcel.
15        However, all property of  every  kind  belonging  to  the
16    State of Illinois, which is or may hereafter be leased to the
17    Illinois  Prairie  Path Corporation, shall be exempt from all
18    assessments, taxation or collection, despite  the  making  of
19    any such lease, if it is used for:
20             (a)  conservation,   nature   trail   or  any  other
21        charitable,  scientific,  educational   or   recreational
22        purposes  with  public  benefit, including the preserving
23        and aiding in the preservation of natural areas, objects,
24        flora, fauna or biotic communities;
25             (b)  the  establishment  of  footpaths,  trails  and
26        other protected areas;
27             (c)  the conservation of the proper use  of  natural
28        resources  or  the  promotion  of  the study of plant and
29        animal  communities  and  of  other  phases  of  ecology,
30        natural history and conservation;
31             (d)  the promotion of education  in  the  fields  of
32        nature, preservation and conservation; or
33             (e)  similar    public    recreational    activities
34        conducted by the Illinois Prairie Path Corporation.
 
                            -4-      LRB093 08848 BDD 17338 a
 1        No lien shall attach to the property of the State. No tax
 2    liability  shall  become  the obligation of or be enforceable
 3    against Illinois Prairie Path Corporation.
 4        However, the fair market  rent of  each  parcel  of  real
 5    property  in  Will  County owned by the State of Illinois for
 6    the purpose of developing an airport  by  the  Department  of
 7    Transportation  shall include the assessed value of leasehold
 8    tax. The lessee of each  parcel  of  real  property  in  Will
 9    County  owned  by  the  State  of Illinois for the purpose of
10    developing an airport by  the  Department  of  Transportation
11    shall  not  be liable for the taxes thereon. In order for the
12    State to compensate taxing districts for  the  leasehold  tax
13    under   this   paragraph   the   Will  County  Supervisor  of
14    Assessments shall certify, in writing, to the  Department  of
15    Transportation,  the  amount  of leasehold taxes extended for
16    the 2002 property tax year for each such exempt  parcel.  The
17    Department  of  Transportation  shall  pay to the Will County
18    Treasurer, from the Tax Recovery Fund, on or before July 1 of
19    each year, the amount of leasehold taxes for each such exempt
20    parcel  as  certified  by  the  Will  County  Supervisor   of
21    Assessments. The tax compensation shall terminate on December
22    31,  2010. It is the duty of the Department of Transportation
23    to file with the Office of  the  Will  County  Supervisor  of
24    Assessments  an  affidavit  stating  the termination date for
25    rental of each such parcel due to airport  construction.  The
26    affidavit  shall  include  the property identification number
27    for each such parcel. In no instance shall  tax  compensation
28    for  property owned by the State be deemed delinquent or bear
29    interest. In no instance shall a lien attach to the  property
30    of  the  State. In no instance shall the State be required to
31    pay leasehold tax compensation in excess of the Tax  Recovery
32    Fund's balance.
33        Public  Act  81-1026  applies to all leases or agreements
34    entered into or renewed on or after September 24, 1979.
 
                            -5-      LRB093 08848 BDD 17338 a
 1    (Source: P.A. 86-413; 88-455.)

 2        Section 99.  Effective date.  This Act takes effect  upon
 3    becoming law.".