Revenue Committee

Filed: 4/29/2004

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 2158

2     AMENDMENT NO. ______. Amend Senate Bill 2158 as follows:
 
3 on page 1, by replacing line 5 with the following:
4 "changing Sections 11-74.4-3 and 11-74.4-4 as follows:"; and
 
5 on page 42, immediately below line 1, by inserting the
6 following:
 
7     "(65 ILCS 5/11-74.4-4)  (from Ch. 24, par. 11-74.4-4)
8     Sec. 11-74.4-4. Municipal powers and duties; redevelopment
9 project areas. A municipality may:
10     (a) The changes made by this amendatory Act of the 91st
11 General Assembly do not apply to a municipality that, (i)
12 before the effective date of this amendatory Act of the 91st
13 General Assembly, has adopted an ordinance or resolution fixing
14 a time and place for a public hearing under Section 11-74.4-5
15 or (ii) before July 1, 1999, has adopted an ordinance or
16 resolution providing for a feasibility study under Section
17 11-74.4-4.1, but has not yet adopted an ordinance approving
18 redevelopment plans and redevelopment projects or designating
19 redevelopment project areas under this Section, until after
20 that municipality adopts an ordinance approving redevelopment
21 plans and redevelopment projects or designating redevelopment
22 project areas under this Section; thereafter the changes made
23 by this amendatory Act of the 91st General Assembly apply to

 

 

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1 the same extent that they apply to redevelopment plans and
2 redevelopment projects that were approved and redevelopment
3 projects that were designated before the effective date of this
4 amendatory Act of the 91st General Assembly.
5     By ordinance introduced in the governing body of the
6 municipality within 14 to 90 days from the completion of the
7 hearing specified in Section 11-74.4-5 approve redevelopment
8 plans and redevelopment projects, and designate redevelopment
9 project areas pursuant to notice and hearing required by this
10 Act. No redevelopment project area shall be designated unless a
11 plan and project are approved prior to the designation of such
12 area and such area shall include only those contiguous parcels
13 of real property and improvements thereon substantially
14 benefited by the proposed redevelopment project improvements.
15 Upon adoption of the ordinances, the municipality shall
16 forthwith transmit to the county clerk of the county or
17 counties within which the redevelopment project area is located
18 a certified copy of the ordinances, a legal description of the
19 redevelopment project area, a map of the redevelopment project
20 area, identification of the year that the county clerk shall
21 use for determining the total initial equalized assessed value
22 of the redevelopment project area consistent with subsection
23 (a) of Section 11-74.4-9, and a list of the parcel or tax
24 identification number of each parcel of property included in
25 the redevelopment project area.
26     (b) Make and enter into all contracts with property owners,
27 developers, tenants, overlapping taxing bodies, and others
28 necessary or incidental to the implementation and furtherance
29 of its redevelopment plan and project. Contract provisions
30 concerning loan repayment obligations in contracts Contracts
31 entered into on or after the effective date of this amendatory
32 Act of the 93rd General Assembly shall terminate no later than
33 the last to occur of the estimated dates of completion of the
34 redevelopment project and retirement of the obligations issued

 

 

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1 to finance redevelopment project costs as required by item (3)
2 of subsection (n) of Section 11-74.4-3. Payments received under
3 contracts entered into by the municipality prior to the
4 effective date of this amendatory Act of the 93rd General
5 Assembly that are received after the redevelopment project area
6 has been terminated by municipal ordinance shall be deposited
7 into a special fund of the municipality to be used for other
8 community redevelopment needs within the redevelopment project
9 area.
10     (c) Within a redevelopment project area, acquire by
11 purchase, donation, lease or eminent domain; own, convey,
12 lease, mortgage or dispose of land and other property, real or
13 personal, or rights or interests therein, and grant or acquire
14 licenses, easements and options with respect thereto, all in
15 the manner and at such price the municipality determines is
16 reasonably necessary to achieve the objectives of the
17 redevelopment plan and project. No conveyance, lease,
18 mortgage, disposition of land or other property owned by a
19 municipality, or agreement relating to the development of such
20 municipal property shall be made except upon the adoption of an
21 ordinance by the corporate authorities of the municipality.
22 Furthermore, no conveyance, lease, mortgage, or other
23 disposition of land owned by a municipality or agreement
24 relating to the development of such municipal property shall be
25 made without making public disclosure of the terms of the
26 disposition and all bids and proposals made in response to the
27 municipality's request. The procedures for obtaining such bids
28 and proposals shall provide reasonable opportunity for any
29 person to submit alternative proposals or bids.
30     (d) Within a redevelopment project area, clear any area by
31 demolition or removal of any existing buildings and structures.
32     (e) Within a redevelopment project area, renovate or
33 rehabilitate or construct any structure or building, as
34 permitted under this Act.

 

 

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1     (f) Install, repair, construct, reconstruct or relocate
2 streets, utilities and site improvements essential to the
3 preparation of the redevelopment area for use in accordance
4 with a redevelopment plan.
5     (g) Within a redevelopment project area, fix, charge and
6 collect fees, rents and charges for the use of any building or
7 property owned or leased by it or any part thereof, or facility
8 therein.
9     (h) Accept grants, guarantees and donations of property,
10 labor, or other things of value from a public or private source
11 for use within a project redevelopment area.
12     (i) Acquire and construct public facilities within a
13 redevelopment project area, as permitted under this Act.
14     (j) Incur project redevelopment costs and reimburse
15 developers who incur redevelopment project costs authorized by
16 a redevelopment agreement; provided, however, that on and after
17 the effective date of this amendatory Act of the 91st General
18 Assembly, no municipality shall incur redevelopment project
19 costs (except for planning costs and any other eligible costs
20 authorized by municipal ordinance or resolution that are
21 subsequently included in the redevelopment plan for the area
22 and are incurred by the municipality after the ordinance or
23 resolution is adopted) that are not consistent with the program
24 for accomplishing the objectives of the redevelopment plan as
25 included in that plan and approved by the municipality until
26 the municipality has amended the redevelopment plan as provided
27 elsewhere in this Act.
28     (k) Create a commission of not less than 5 or more than 15
29 persons to be appointed by the mayor or president of the
30 municipality with the consent of the majority of the governing
31 board of the municipality. Members of a commission appointed
32 after the effective date of this amendatory Act of 1987 shall
33 be appointed for initial terms of 1, 2, 3, 4 and 5 years,
34 respectively, in such numbers as to provide that the terms of

 

 

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1 not more than 1/3 of all such members shall expire in any one
2 year. Their successors shall be appointed for a term of 5
3 years. The commission, subject to approval of the corporate
4 authorities may exercise the powers enumerated in this Section.
5 The commission shall also have the power to hold the public
6 hearings required by this division and make recommendations to
7 the corporate authorities concerning the adoption of
8 redevelopment plans, redevelopment projects and designation of
9 redevelopment project areas.
10     (l) Make payment in lieu of taxes or a portion thereof to
11 taxing districts. If payments in lieu of taxes or a portion
12 thereof are made to taxing districts, those payments shall be
13 made to all districts within a project redevelopment area on a
14 basis which is proportional to the current collections of
15 revenue which each taxing district receives from real property
16 in the redevelopment project area.
17     (m) Exercise any and all other powers necessary to
18 effectuate the purposes of this Act.
19     (n) If any member of the corporate authority, a member of a
20 commission established pursuant to Section 11-74.4-4(k) of
21 this Act, or an employee or consultant of the municipality
22 involved in the planning and preparation of a redevelopment
23 plan, or project for a redevelopment project area or proposed
24 redevelopment project area, as defined in Sections
25 11-74.4-3(i) through (k) of this Act, owns or controls an
26 interest, direct or indirect, in any property included in any
27 redevelopment area, or proposed redevelopment area, he or she
28 shall disclose the same in writing to the clerk of the
29 municipality, and shall also so disclose the dates and terms
30 and conditions of any disposition of any such interest, which
31 disclosures shall be acknowledged by the corporate authorities
32 and entered upon the minute books of the corporate authorities.
33 If an individual holds such an interest then that individual
34 shall refrain from any further official involvement in regard

 

 

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1 to such redevelopment plan, project or area, from voting on any
2 matter pertaining to such redevelopment plan, project or area,
3 or communicating with other members concerning corporate
4 authorities, commission or employees concerning any matter
5 pertaining to said redevelopment plan, project or area.
6 Furthermore, no such member or employee shall acquire of any
7 interest direct, or indirect, in any property in a
8 redevelopment area or proposed redevelopment area after either
9 (a) such individual obtains knowledge of such plan, project or
10 area or (b) first public notice of such plan, project or area
11 pursuant to Section 11-74.4-6 of this Division, whichever
12 occurs first. For the purposes of this subsection, a property
13 interest acquired in a single parcel of property by a member of
14 the corporate authority, which property is used exclusively as
15 the member's primary residence, shall not be deemed to
16 constitute an interest in any property included in a
17 redevelopment area or proposed redevelopment area that was
18 established before December 31, 1989, but the member must
19 disclose the acquisition to the municipal clerk under the
20 provisions of this subsection. For the purposes of this
21 subsection, a month-to-month leasehold interest in a single
22 parcel of property by a member of the corporate authority shall
23 not be deemed to constitute an interest in any property
24 included in any redevelopment area or proposed redevelopment
25 area, but the member must disclose the interest to the
26 municipal clerk under the provisions of this subsection.
27     (o) Create a Tax Increment Economic Development Advisory
28 Committee to be appointed by the Mayor or President of the
29 municipality with the consent of the majority of the governing
30 board of the municipality, the members of which Committee shall
31 be appointed for initial terms of 1, 2, 3, 4 and 5 years
32 respectively, in such numbers as to provide that the terms of
33 not more than 1/3 of all such members shall expire in any one
34 year. Their successors shall be appointed for a term of 5

 

 

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1 years. The Committee shall have none of the powers enumerated
2 in this Section. The Committee shall serve in an advisory
3 capacity only. The Committee may advise the governing Board of
4 the municipality and other municipal officials regarding
5 development issues and opportunities within the redevelopment
6 project area or the area within the State Sales Tax Boundary.
7 The Committee may also promote and publicize development
8 opportunities in the redevelopment project area or the area
9 within the State Sales Tax Boundary.
10     (p) Municipalities may jointly undertake and perform
11 redevelopment plans and projects and utilize the provisions of
12 the Act wherever they have contiguous redevelopment project
13 areas or they determine to adopt tax increment financing with
14 respect to a redevelopment project area which includes
15 contiguous real property within the boundaries of the
16 municipalities, and in doing so, they may, by agreement between
17 municipalities, issue obligations, separately or jointly, and
18 expend revenues received under the Act for eligible expenses
19 anywhere within contiguous redevelopment project areas or as
20 otherwise permitted in the Act.
21     (q) Utilize revenues, other than State sales tax increment
22 revenues, received under this Act from one redevelopment
23 project area for eligible costs in another redevelopment
24 project area that is either contiguous to, or is separated only
25 by a public right of way from, the redevelopment project area
26 from which the revenues are received. Utilize tax increment
27 revenues for eligible costs that are received from a
28 redevelopment project area created under the Industrial Jobs
29 Recovery Law that is either contiguous to, or is separated only
30 by a public right of way from, the redevelopment project area
31 created under this Act which initially receives these revenues.
32 Utilize revenues, other than State sales tax increment
33 revenues, by transferring or loaning such revenues to a
34 redevelopment project area created under the Industrial Jobs

 

 

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1 Recovery Law that is either contiguous to, or separated only by
2 a public right of way from the redevelopment project area that
3 initially produced and received those revenues; and, if the
4 redevelopment project area (i) was established before the
5 effective date of this amendatory Act of the 91st General
6 Assembly and (ii) is located within a municipality with a
7 population of more than 100,000, utilize revenues or proceeds
8 of obligations authorized by Section 11-74.4-7 of this Act,
9 other than use or occupation tax revenues, to pay for any
10 redevelopment project costs as defined by subsection (q) of
11 Section 11-74.4-3 to the extent that the redevelopment project
12 costs involve public property that is either contiguous to, or
13 separated only by a public right of way from, a redevelopment
14 project area whether or not redevelopment project costs or the
15 source of payment for the costs are specifically set forth in
16 the redevelopment plan for the redevelopment project area.
17     (r) If no redevelopment project has been initiated in a
18 redevelopment project area within 7 years after the area was
19 designated by ordinance under subsection (a), the municipality
20 shall adopt an ordinance repealing the area's designation as a
21 redevelopment project area; provided, however, that if an area
22 received its designation more than 3 years before the effective
23 date of this amendatory Act of 1994 and no redevelopment
24 project has been initiated within 4 years after the effective
25 date of this amendatory Act of 1994, the municipality shall
26 adopt an ordinance repealing its designation as a redevelopment
27 project area. Initiation of a redevelopment project shall be
28 evidenced by either a signed redevelopment agreement or
29 expenditures on eligible redevelopment project costs
30 associated with a redevelopment project.
31 (Source: P.A. 92-16, eff. 6-28-01; 93-298, eff. 7-23-03.)".