Rep. Frank J. Mautino

Filed: 4/5/2005

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 3850

2     AMENDMENT NO. ______. Amend House Bill 3850 by replacing
3 everything after the enacting clause with the following:
 
4     "Section 5. The Illinois Municipal Code is amended by
5 changing Sections 11-74.4-3 and 11-74.4-7 as follows:
 
6     (65 ILCS 5/11-74.4-3)  (from Ch. 24, par. 11-74.4-3)
7     Sec. 11-74.4-3. Definitions. The following terms, wherever
8 used or referred to in this Division 74.4 shall have the
9 following respective meanings, unless in any case a different
10 meaning clearly appears from the context.
11     (a) For any redevelopment project area that has been
12 designated pursuant to this Section by an ordinance adopted
13 prior to November 1, 1999 (the effective date of Public Act
14 91-478), "blighted area" shall have the meaning set forth in
15 this Section prior to that date.
16     On and after November 1, 1999, "blighted area" means any
17 improved or vacant area within the boundaries of a
18 redevelopment project area located within the territorial
19 limits of the municipality where:
20         (1) If improved, industrial, commercial, and
21     residential buildings or improvements are detrimental to
22     the public safety, health, or welfare because of a
23     combination of 5 or more of the following factors, each of
24     which is (i) present, with that presence documented, to a

 

 

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1     meaningful extent so that a municipality may reasonably
2     find that the factor is clearly present within the intent
3     of the Act and (ii) reasonably distributed throughout the
4     improved part of the redevelopment project area:
5             (A) Dilapidation. An advanced state of disrepair
6         or neglect of necessary repairs to the primary
7         structural components of buildings or improvements in
8         such a combination that a documented building
9         condition analysis determines that major repair is
10         required or the defects are so serious and so extensive
11         that the buildings must be removed.
12             (B) Obsolescence. The condition or process of
13         falling into disuse. Structures have become ill-suited
14         for the original use.
15             (C) Deterioration. With respect to buildings,
16         defects including, but not limited to, major defects in
17         the secondary building components such as doors,
18         windows, porches, gutters and downspouts, and fascia.
19         With respect to surface improvements, that the
20         condition of roadways, alleys, curbs, gutters,
21         sidewalks, off-street parking, and surface storage
22         areas evidence deterioration, including, but not
23         limited to, surface cracking, crumbling, potholes,
24         depressions, loose paving material, and weeds
25         protruding through paved surfaces.
26             (D) Presence of structures below minimum code
27         standards. All structures that do not meet the
28         standards of zoning, subdivision, building, fire, and
29         other governmental codes applicable to property, but
30         not including housing and property maintenance codes.
31             (E) Illegal use of individual structures. The use
32         of structures in violation of applicable federal,
33         State, or local laws, exclusive of those applicable to
34         the presence of structures below minimum code

 

 

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1         standards.
2             (F) Excessive vacancies. The presence of buildings
3         that are unoccupied or under-utilized and that
4         represent an adverse influence on the area because of
5         the frequency, extent, or duration of the vacancies.
6             (G) Lack of ventilation, light, or sanitary
7         facilities. The absence of adequate ventilation for
8         light or air circulation in spaces or rooms without
9         windows, or that require the removal of dust, odor,
10         gas, smoke, or other noxious airborne materials.
11         Inadequate natural light and ventilation means the
12         absence of skylights or windows for interior spaces or
13         rooms and improper window sizes and amounts by room
14         area to window area ratios. Inadequate sanitary
15         facilities refers to the absence or inadequacy of
16         garbage storage and enclosure, bathroom facilities,
17         hot water and kitchens, and structural inadequacies
18         preventing ingress and egress to and from all rooms and
19         units within a building.
20             (H) Inadequate utilities. Underground and overhead
21         utilities such as storm sewers and storm drainage,
22         sanitary sewers, water lines, and gas, telephone, and
23         electrical services that are shown to be inadequate.
24         Inadequate utilities are those that are: (i) of
25         insufficient capacity to serve the uses in the
26         redevelopment project area, (ii) deteriorated,
27         antiquated, obsolete, or in disrepair, or (iii)
28         lacking within the redevelopment project area.
29             (I) Excessive land coverage and overcrowding of
30         structures and community facilities. The
31         over-intensive use of property and the crowding of
32         buildings and accessory facilities onto a site.
33         Examples of problem conditions warranting the
34         designation of an area as one exhibiting excessive land

 

 

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1         coverage are: (i) the presence of buildings either
2         improperly situated on parcels or located on parcels of
3         inadequate size and shape in relation to present-day
4         standards of development for health and safety and (ii)
5         the presence of multiple buildings on a single parcel.
6         For there to be a finding of excessive land coverage,
7         these parcels must exhibit one or more of the following
8         conditions: insufficient provision for light and air
9         within or around buildings, increased threat of spread
10         of fire due to the close proximity of buildings, lack
11         of adequate or proper access to a public right-of-way,
12         lack of reasonably required off-street parking, or
13         inadequate provision for loading and service.
14             (J) Deleterious land use or layout. The existence
15         of incompatible land-use relationships, buildings
16         occupied by inappropriate mixed-uses, or uses
17         considered to be noxious, offensive, or unsuitable for
18         the surrounding area.
19             (K) Environmental clean-up. The proposed
20         redevelopment project area has incurred Illinois
21         Environmental Protection Agency or United States
22         Environmental Protection Agency remediation costs for,
23         or a study conducted by an independent consultant
24         recognized as having expertise in environmental
25         remediation has determined a need for, the clean-up of
26         hazardous waste, hazardous substances, or underground
27         storage tanks required by State or federal law,
28         provided that the remediation costs constitute a
29         material impediment to the development or
30         redevelopment of the redevelopment project area.
31             (L) Lack of community planning. The proposed
32         redevelopment project area was developed prior to or
33         without the benefit or guidance of a community plan.
34         This means that the development occurred prior to the

 

 

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1         adoption by the municipality of a comprehensive or
2         other community plan or that the plan was not followed
3         at the time of the area's development. This factor must
4         be documented by evidence of adverse or incompatible
5         land-use relationships, inadequate street layout,
6         improper subdivision, parcels of inadequate shape and
7         size to meet contemporary development standards, or
8         other evidence demonstrating an absence of effective
9         community planning.
10             (M) The total equalized assessed value of the
11         proposed redevelopment project area has declined for 3
12         of the last 5 calendar years prior to the year in which
13         the redevelopment project area is designated or is
14         increasing at an annual rate that is less than the
15         balance of the municipality for 3 of the last 5
16         calendar years for which information is available or is
17         increasing at an annual rate that is less than the
18         Consumer Price Index for All Urban Consumers published
19         by the United States Department of Labor or successor
20         agency for 3 of the last 5 calendar years prior to the
21         year in which the redevelopment project area is
22         designated.
23         (2) If vacant, the sound growth of the redevelopment
24     project area is impaired by a combination of 2 or more of
25     the following factors, each of which is (i) present, with
26     that presence documented, to a meaningful extent so that a
27     municipality may reasonably find that the factor is clearly
28     present within the intent of the Act and (ii) reasonably
29     distributed throughout the vacant part of the
30     redevelopment project area to which it pertains:
31             (A) Obsolete platting of vacant land that results
32         in parcels of limited or narrow size or configurations
33         of parcels of irregular size or shape that would be
34         difficult to develop on a planned basis and in a manner

 

 

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1         compatible with contemporary standards and
2         requirements, or platting that failed to create
3         rights-of-ways for streets or alleys or that created
4         inadequate right-of-way widths for streets, alleys, or
5         other public rights-of-way or that omitted easements
6         for public utilities.
7             (B) Diversity of ownership of parcels of vacant
8         land sufficient in number to retard or impede the
9         ability to assemble the land for development.
10             (C) Tax and special assessment delinquencies exist
11         or the property has been the subject of tax sales under
12         the Property Tax Code within the last 5 years.
13             (D) Deterioration of structures or site
14         improvements in neighboring areas adjacent to the
15         vacant land.
16             (E) The area has incurred Illinois Environmental
17         Protection Agency or United States Environmental
18         Protection Agency remediation costs for, or a study
19         conducted by an independent consultant recognized as
20         having expertise in environmental remediation has
21         determined a need for, the clean-up of hazardous waste,
22         hazardous substances, or underground storage tanks
23         required by State or federal law, provided that the
24         remediation costs constitute a material impediment to
25         the development or redevelopment of the redevelopment
26         project area.
27             (F) The total equalized assessed value of the
28         proposed redevelopment project area has declined for 3
29         of the last 5 calendar years prior to the year in which
30         the redevelopment project area is designated or is
31         increasing at an annual rate that is less than the
32         balance of the municipality for 3 of the last 5
33         calendar years for which information is available or is
34         increasing at an annual rate that is less than the

 

 

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1         Consumer Price Index for All Urban Consumers published
2         by the United States Department of Labor or successor
3         agency for 3 of the last 5 calendar years prior to the
4         year in which the redevelopment project area is
5         designated.
6         (3) If vacant, the sound growth of the redevelopment
7     project area is impaired by one of the following factors
8     that (i) is present, with that presence documented, to a
9     meaningful extent so that a municipality may reasonably
10     find that the factor is clearly present within the intent
11     of the Act and (ii) is reasonably distributed throughout
12     the vacant part of the redevelopment project area to which
13     it pertains:
14             (A) The area consists of one or more unused
15         quarries, mines, or strip mine ponds.
16             (B) The area consists of unused rail yards, rail
17         tracks, or railroad rights-of-way.
18             (C) The area, prior to its designation, is subject
19         to (i) chronic flooding that adversely impacts on real
20         property in the area as certified by a registered
21         professional engineer or appropriate regulatory agency
22         or (ii) surface water that discharges from all or a
23         part of the area and contributes to flooding within the
24         same watershed, but only if the redevelopment project
25         provides for facilities or improvements to contribute
26         to the alleviation of all or part of the flooding.
27             (D) The area consists of an unused or illegal
28         disposal site containing earth, stone, building
29         debris, or similar materials that were removed from
30         construction, demolition, excavation, or dredge sites.
31             (E) Prior to November 1, 1999, the area is not less
32         than 50 nor more than 100 acres and 75% of which is
33         vacant (notwithstanding that the area has been used for
34         commercial agricultural purposes within 5 years prior

 

 

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1         to the designation of the redevelopment project area),
2         and the area meets at least one of the factors itemized
3         in paragraph (1) of this subsection, the area has been
4         designated as a town or village center by ordinance or
5         comprehensive plan adopted prior to January 1, 1982,
6         and the area has not been developed for that designated
7         purpose.
8             (F) The area qualified as a blighted improved area
9         immediately prior to becoming vacant, unless there has
10         been substantial private investment in the immediately
11         surrounding area.
12     (b) For any redevelopment project area that has been
13 designated pursuant to this Section by an ordinance adopted
14 prior to November 1, 1999 (the effective date of Public Act
15 91-478), "conservation area" shall have the meaning set forth
16 in this Section prior to that date.
17     On and after November 1, 1999, "conservation area" means
18 any improved area within the boundaries of a redevelopment
19 project area located within the territorial limits of the
20 municipality in which 50% or more of the structures in the area
21 have an age of 35 years or more. Such an area is not yet a
22 blighted area but because of a combination of 3 or more of the
23 following factors is detrimental to the public safety, health,
24 morals or welfare and such an area may become a blighted area:
25         (1) Dilapidation. An advanced state of disrepair or
26     neglect of necessary repairs to the primary structural
27     components of buildings or improvements in such a
28     combination that a documented building condition analysis
29     determines that major repair is required or the defects are
30     so serious and so extensive that the buildings must be
31     removed.
32         (2) Obsolescence. The condition or process of falling
33     into disuse. Structures have become ill-suited for the
34     original use.

 

 

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1         (3) Deterioration. With respect to buildings, defects
2     including, but not limited to, major defects in the
3     secondary building components such as doors, windows,
4     porches, gutters and downspouts, and fascia. With respect
5     to surface improvements, that the condition of roadways,
6     alleys, curbs, gutters, sidewalks, off-street parking, and
7     surface storage areas evidence deterioration, including,
8     but not limited to, surface cracking, crumbling, potholes,
9     depressions, loose paving material, and weeds protruding
10     through paved surfaces.
11         (4) Presence of structures below minimum code
12     standards. All structures that do not meet the standards of
13     zoning, subdivision, building, fire, and other
14     governmental codes applicable to property, but not
15     including housing and property maintenance codes.
16         (5) Illegal use of individual structures. The use of
17     structures in violation of applicable federal, State, or
18     local laws, exclusive of those applicable to the presence
19     of structures below minimum code standards.
20         (6) Excessive vacancies. The presence of buildings
21     that are unoccupied or under-utilized and that represent an
22     adverse influence on the area because of the frequency,
23     extent, or duration of the vacancies.
24         (7) Lack of ventilation, light, or sanitary
25     facilities. The absence of adequate ventilation for light
26     or air circulation in spaces or rooms without windows, or
27     that require the removal of dust, odor, gas, smoke, or
28     other noxious airborne materials. Inadequate natural light
29     and ventilation means the absence or inadequacy of
30     skylights or windows for interior spaces or rooms and
31     improper window sizes and amounts by room area to window
32     area ratios. Inadequate sanitary facilities refers to the
33     absence or inadequacy of garbage storage and enclosure,
34     bathroom facilities, hot water and kitchens, and

 

 

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1     structural inadequacies preventing ingress and egress to
2     and from all rooms and units within a building.
3         (8) Inadequate utilities. Underground and overhead
4     utilities such as storm sewers and storm drainage, sanitary
5     sewers, water lines, and gas, telephone, and electrical
6     services that are shown to be inadequate. Inadequate
7     utilities are those that are: (i) of insufficient capacity
8     to serve the uses in the redevelopment project area, (ii)
9     deteriorated, antiquated, obsolete, or in disrepair, or
10     (iii) lacking within the redevelopment project area.
11         (9) Excessive land coverage and overcrowding of
12     structures and community facilities. The over-intensive
13     use of property and the crowding of buildings and accessory
14     facilities onto a site. Examples of problem conditions
15     warranting the designation of an area as one exhibiting
16     excessive land coverage are: the presence of buildings
17     either improperly situated on parcels or located on parcels
18     of inadequate size and shape in relation to present-day
19     standards of development for health and safety and the
20     presence of multiple buildings on a single parcel. For
21     there to be a finding of excessive land coverage, these
22     parcels must exhibit one or more of the following
23     conditions: insufficient provision for light and air
24     within or around buildings, increased threat of spread of
25     fire due to the close proximity of buildings, lack of
26     adequate or proper access to a public right-of-way, lack of
27     reasonably required off-street parking, or inadequate
28     provision for loading and service.
29         (10) Deleterious land use or layout. The existence of
30     incompatible land-use relationships, buildings occupied by
31     inappropriate mixed-uses, or uses considered to be
32     noxious, offensive, or unsuitable for the surrounding
33     area.
34         (11) Lack of community planning. The proposed

 

 

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1     redevelopment project area was developed prior to or
2     without the benefit or guidance of a community plan. This
3     means that the development occurred prior to the adoption
4     by the municipality of a comprehensive or other community
5     plan or that the plan was not followed at the time of the
6     area's development. This factor must be documented by
7     evidence of adverse or incompatible land-use
8     relationships, inadequate street layout, improper
9     subdivision, parcels of inadequate shape and size to meet
10     contemporary development standards, or other evidence
11     demonstrating an absence of effective community planning.
12         (12) The area has incurred Illinois Environmental
13     Protection Agency or United States Environmental
14     Protection Agency remediation costs for, or a study
15     conducted by an independent consultant recognized as
16     having expertise in environmental remediation has
17     determined a need for, the clean-up of hazardous waste,
18     hazardous substances, or underground storage tanks
19     required by State or federal law, provided that the
20     remediation costs constitute a material impediment to the
21     development or redevelopment of the redevelopment project
22     area.
23         (13) The total equalized assessed value of the proposed
24     redevelopment project area has declined for 3 of the last 5
25     calendar years for which information is available or is
26     increasing at an annual rate that is less than the balance
27     of the municipality for 3 of the last 5 calendar years for
28     which information is available or is increasing at an
29     annual rate that is less than the Consumer Price Index for
30     All Urban Consumers published by the United States
31     Department of Labor or successor agency for 3 of the last 5
32     calendar years for which information is available.
33     (c) "Industrial park" means an area in a blighted or
34 conservation area suitable for use by any manufacturing,

 

 

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1 industrial, research or transportation enterprise, of
2 facilities to include but not be limited to factories, mills,
3 processing plants, assembly plants, packing plants,
4 fabricating plants, industrial distribution centers,
5 warehouses, repair overhaul or service facilities, freight
6 terminals, research facilities, test facilities or railroad
7 facilities.
8     (d) "Industrial park conservation area" means an area
9 within the boundaries of a redevelopment project area located
10 within the territorial limits of a municipality that is a labor
11 surplus municipality or within 1 1/2 miles of the territorial
12 limits of a municipality that is a labor surplus municipality
13 if the area is annexed to the municipality; which area is zoned
14 as industrial no later than at the time the municipality by
15 ordinance designates the redevelopment project area, and which
16 area includes both vacant land suitable for use as an
17 industrial park and a blighted area or conservation area
18 contiguous to such vacant land.
19     (e) "Labor surplus municipality" means a municipality in
20 which, at any time during the 6 months before the municipality
21 by ordinance designates an industrial park conservation area,
22 the unemployment rate was over 6% and was also 100% or more of
23 the national average unemployment rate for that same time as
24 published in the United States Department of Labor Bureau of
25 Labor Statistics publication entitled "The Employment
26 Situation" or its successor publication. For the purpose of
27 this subsection, if unemployment rate statistics for the
28 municipality are not available, the unemployment rate in the
29 municipality shall be deemed to be the same as the unemployment
30 rate in the principal county in which the municipality is
31 located.
32     (f) "Municipality" shall mean a city, village or
33 incorporated town.
34     (g) "Initial Sales Tax Amounts" means the amount of taxes

 

 

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1 paid under the Retailers' Occupation Tax Act, Use Tax Act,
2 Service Use Tax Act, the Service Occupation Tax Act, the
3 Municipal Retailers' Occupation Tax Act, and the Municipal
4 Service Occupation Tax Act by retailers and servicemen on
5 transactions at places located in a State Sales Tax Boundary
6 during the calendar year 1985.
7     (g-1) "Revised Initial Sales Tax Amounts" means the amount
8 of taxes paid under the Retailers' Occupation Tax Act, Use Tax
9 Act, Service Use Tax Act, the Service Occupation Tax Act, the
10 Municipal Retailers' Occupation Tax Act, and the Municipal
11 Service Occupation Tax Act by retailers and servicemen on
12 transactions at places located within the State Sales Tax
13 Boundary revised pursuant to Section 11-74.4-8a(9) of this Act.
14     (h) "Municipal Sales Tax Increment" means an amount equal
15 to the increase in the aggregate amount of taxes paid to a
16 municipality from the Local Government Tax Fund arising from
17 sales by retailers and servicemen within the redevelopment
18 project area or State Sales Tax Boundary, as the case may be,
19 for as long as the redevelopment project area or State Sales
20 Tax Boundary, as the case may be, exist over and above the
21 aggregate amount of taxes as certified by the Illinois
22 Department of Revenue and paid under the Municipal Retailers'
23 Occupation Tax Act and the Municipal Service Occupation Tax Act
24 by retailers and servicemen, on transactions at places of
25 business located in the redevelopment project area or State
26 Sales Tax Boundary, as the case may be, during the base year
27 which shall be the calendar year immediately prior to the year
28 in which the municipality adopted tax increment allocation
29 financing. For purposes of computing the aggregate amount of
30 such taxes for base years occurring prior to 1985, the
31 Department of Revenue shall determine the Initial Sales Tax
32 Amounts for such taxes and deduct therefrom an amount equal to
33 4% of the aggregate amount of taxes per year for each year the
34 base year is prior to 1985, but not to exceed a total deduction

 

 

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1 of 12%. The amount so determined shall be known as the
2 "Adjusted Initial Sales Tax Amounts". For purposes of
3 determining the Municipal Sales Tax Increment, the Department
4 of Revenue shall for each period subtract from the amount paid
5 to the municipality from the Local Government Tax Fund arising
6 from sales by retailers and servicemen on transactions located
7 in the redevelopment project area or the State Sales Tax
8 Boundary, as the case may be, the certified Initial Sales Tax
9 Amounts, the Adjusted Initial Sales Tax Amounts or the Revised
10 Initial Sales Tax Amounts for the Municipal Retailers'
11 Occupation Tax Act and the Municipal Service Occupation Tax
12 Act. For the State Fiscal Year 1989, this calculation shall be
13 made by utilizing the calendar year 1987 to determine the tax
14 amounts received. For the State Fiscal Year 1990, this
15 calculation shall be made by utilizing the period from January
16 1, 1988, until September 30, 1988, to determine the tax amounts
17 received from retailers and servicemen pursuant to the
18 Municipal Retailers' Occupation Tax and the Municipal Service
19 Occupation Tax Act, which shall have deducted therefrom
20 nine-twelfths of the certified Initial Sales Tax Amounts, the
21 Adjusted Initial Sales Tax Amounts or the Revised Initial Sales
22 Tax Amounts as appropriate. For the State Fiscal Year 1991,
23 this calculation shall be made by utilizing the period from
24 October 1, 1988, to June 30, 1989, to determine the tax amounts
25 received from retailers and servicemen pursuant to the
26 Municipal Retailers' Occupation Tax and the Municipal Service
27 Occupation Tax Act which shall have deducted therefrom
28 nine-twelfths of the certified Initial Sales Tax Amounts,
29 Adjusted Initial Sales Tax Amounts or the Revised Initial Sales
30 Tax Amounts as appropriate. For every State Fiscal Year
31 thereafter, the applicable period shall be the 12 months
32 beginning July 1 and ending June 30 to determine the tax
33 amounts received which shall have deducted therefrom the
34 certified Initial Sales Tax Amounts, the Adjusted Initial Sales

 

 

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1 Tax Amounts or the Revised Initial Sales Tax Amounts, as the
2 case may be.
3     (i) "Net State Sales Tax Increment" means the sum of the
4 following: (a) 80% of the first $100,000 of State Sales Tax
5 Increment annually generated within a State Sales Tax Boundary;
6 (b) 60% of the amount in excess of $100,000 but not exceeding
7 $500,000 of State Sales Tax Increment annually generated within
8 a State Sales Tax Boundary; and (c) 40% of all amounts in
9 excess of $500,000 of State Sales Tax Increment annually
10 generated within a State Sales Tax Boundary. If, however, a
11 municipality established a tax increment financing district in
12 a county with a population in excess of 3,000,000 before
13 January 1, 1986, and the municipality entered into a contract
14 or issued bonds after January 1, 1986, but before December 31,
15 1986, to finance redevelopment project costs within a State
16 Sales Tax Boundary, then the Net State Sales Tax Increment
17 means, for the fiscal years beginning July 1, 1990, and July 1,
18 1991, 100% of the State Sales Tax Increment annually generated
19 within a State Sales Tax Boundary; and notwithstanding any
20 other provision of this Act, for those fiscal years the
21 Department of Revenue shall distribute to those municipalities
22 100% of their Net State Sales Tax Increment before any
23 distribution to any other municipality and regardless of
24 whether or not those other municipalities will receive 100% of
25 their Net State Sales Tax Increment. For Fiscal Year 1999, and
26 every year thereafter until the year 2007, for any municipality
27 that has not entered into a contract or has not issued bonds
28 prior to June 1, 1988 to finance redevelopment project costs
29 within a State Sales Tax Boundary, the Net State Sales Tax
30 Increment shall be calculated as follows: By multiplying the
31 Net State Sales Tax Increment by 90% in the State Fiscal Year
32 1999; 80% in the State Fiscal Year 2000; 70% in the State
33 Fiscal Year 2001; 60% in the State Fiscal Year 2002; 50% in the
34 State Fiscal Year 2003; 40% in the State Fiscal Year 2004; 30%

 

 

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1 in the State Fiscal Year 2005; 20% in the State Fiscal Year
2 2006; and 10% in the State Fiscal Year 2007. No payment shall
3 be made for State Fiscal Year 2008 and thereafter.
4     Municipalities that issued bonds in connection with a
5 redevelopment project in a redevelopment project area within
6 the State Sales Tax Boundary prior to July 29, 1991, or that
7 entered into contracts in connection with a redevelopment
8 project in a redevelopment project area before June 1, 1988,
9 shall continue to receive their proportional share of the
10 Illinois Tax Increment Fund distribution until the date on
11 which the redevelopment project is completed or terminated. If,
12 however, a municipality that issued bonds in connection with a
13 redevelopment project in a redevelopment project area within
14 the State Sales Tax Boundary prior to July 29, 1991 retires the
15 bonds prior to June 30, 2007 or a municipality that entered
16 into contracts in connection with a redevelopment project in a
17 redevelopment project area before June 1, 1988 completes the
18 contracts prior to June 30, 2007, then so long as the
19 redevelopment project is not completed or is not terminated,
20 the Net State Sales Tax Increment shall be calculated,
21 beginning on the date on which the bonds are retired or the
22 contracts are completed, as follows: By multiplying the Net
23 State Sales Tax Increment by 60% in the State Fiscal Year 2002;
24 50% in the State Fiscal Year 2003; 40% in the State Fiscal Year
25 2004; 30% in the State Fiscal Year 2005; 20% in the State
26 Fiscal Year 2006; and 10% in the State Fiscal Year 2007. No
27 payment shall be made for State Fiscal Year 2008 and
28 thereafter. Refunding of any bonds issued prior to July 29,
29 1991, shall not alter the Net State Sales Tax Increment.
30     (j) "State Utility Tax Increment Amount" means an amount
31 equal to the aggregate increase in State electric and gas tax
32 charges imposed on owners and tenants, other than residential
33 customers, of properties located within the redevelopment
34 project area under Section 9-222 of the Public Utilities Act,

 

 

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1 over and above the aggregate of such charges as certified by
2 the Department of Revenue and paid by owners and tenants, other
3 than residential customers, of properties within the
4 redevelopment project area during the base year, which shall be
5 the calendar year immediately prior to the year of the adoption
6 of the ordinance authorizing tax increment allocation
7 financing.
8     (k) "Net State Utility Tax Increment" means the sum of the
9 following: (a) 80% of the first $100,000 of State Utility Tax
10 Increment annually generated by a redevelopment project area;
11 (b) 60% of the amount in excess of $100,000 but not exceeding
12 $500,000 of the State Utility Tax Increment annually generated
13 by a redevelopment project area; and (c) 40% of all amounts in
14 excess of $500,000 of State Utility Tax Increment annually
15 generated by a redevelopment project area. For the State Fiscal
16 Year 1999, and every year thereafter until the year 2007, for
17 any municipality that has not entered into a contract or has
18 not issued bonds prior to June 1, 1988 to finance redevelopment
19 project costs within a redevelopment project area, the Net
20 State Utility Tax Increment shall be calculated as follows: By
21 multiplying the Net State Utility Tax Increment by 90% in the
22 State Fiscal Year 1999; 80% in the State Fiscal Year 2000; 70%
23 in the State Fiscal Year 2001; 60% in the State Fiscal Year
24 2002; 50% in the State Fiscal Year 2003; 40% in the State
25 Fiscal Year 2004; 30% in the State Fiscal Year 2005; 20% in the
26 State Fiscal Year 2006; and 10% in the State Fiscal Year 2007.
27 No payment shall be made for the State Fiscal Year 2008 and
28 thereafter.
29     Municipalities that issue bonds in connection with the
30 redevelopment project during the period from June 1, 1988 until
31 3 years after the effective date of this Amendatory Act of 1988
32 shall receive the Net State Utility Tax Increment, subject to
33 appropriation, for 15 State Fiscal Years after the issuance of
34 such bonds. For the 16th through the 20th State Fiscal Years

 

 

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1 after issuance of the bonds, the Net State Utility Tax
2 Increment shall be calculated as follows: By multiplying the
3 Net State Utility Tax Increment by 90% in year 16; 80% in year
4 17; 70% in year 18; 60% in year 19; and 50% in year 20.
5 Refunding of any bonds issued prior to June 1, 1988, shall not
6 alter the revised Net State Utility Tax Increment payments set
7 forth above.
8     (l) "Obligations" mean bonds, loans, debentures, notes,
9 special certificates or other evidence of indebtedness issued
10 by the municipality to carry out a redevelopment project or to
11 refund outstanding obligations.
12     (m) "Payment in lieu of taxes" means those estimated tax
13 revenues from real property in a redevelopment project area
14 derived from real property that has been acquired by a
15 municipality which according to the redevelopment project or
16 plan is to be used for a private use which taxing districts
17 would have received had a municipality not acquired the real
18 property and adopted tax increment allocation financing and
19 which would result from levies made after the time of the
20 adoption of tax increment allocation financing to the time the
21 current equalized value of real property in the redevelopment
22 project area exceeds the total initial equalized value of real
23 property in said area.
24     (n) "Redevelopment plan" means the comprehensive program
25 of the municipality for development or redevelopment intended
26 by the payment of redevelopment project costs to reduce or
27 eliminate those conditions the existence of which qualified the
28 redevelopment project area as a "blighted area" or
29 "conservation area" or combination thereof or "industrial park
30 conservation area," and thereby to enhance the tax bases of the
31 taxing districts which extend into the redevelopment project
32 area. On and after November 1, 1999 (the effective date of
33 Public Act 91-478), no redevelopment plan may be approved or
34 amended that includes the development of vacant land (i) with a

 

 

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1 golf course and related clubhouse and other facilities or (ii)
2 designated by federal, State, county, or municipal government
3 as public land for outdoor recreational activities or for
4 nature preserves and used for that purpose within 5 years prior
5 to the adoption of the redevelopment plan. For the purpose of
6 this subsection, "recreational activities" is limited to mean
7 camping and hunting. Each redevelopment plan shall set forth in
8 writing the program to be undertaken to accomplish the
9 objectives and shall include but not be limited to:
10         (A) an itemized list of estimated redevelopment
11     project costs;
12         (B) evidence indicating that the redevelopment project
13     area on the whole has not been subject to growth and
14     development through investment by private enterprise;
15         (C) an assessment of any financial impact of the
16     redevelopment project area on or any increased demand for
17     services from any taxing district affected by the plan and
18     any program to address such financial impact or increased
19     demand;
20         (D) the sources of funds to pay costs;
21         (E) the nature and term of the obligations to be
22     issued;
23         (F) the most recent equalized assessed valuation of the
24     redevelopment project area;
25         (G) an estimate as to the equalized assessed valuation
26     after redevelopment and the general land uses to apply in
27     the redevelopment project area;
28         (H) a commitment to fair employment practices and an
29     affirmative action plan;
30         (I) if it concerns an industrial park conservation
31     area, the plan shall also include a general description of
32     any proposed developer, user and tenant of any property, a
33     description of the type, structure and general character of
34     the facilities to be developed, a description of the type,

 

 

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1     class and number of new employees to be employed in the
2     operation of the facilities to be developed; and
3         (J) if property is to be annexed to the municipality,
4     the plan shall include the terms of the annexation
5     agreement.
6     The provisions of items (B) and (C) of this subsection (n)
7 shall not apply to a municipality that before March 14, 1994
8 (the effective date of Public Act 88-537) had fixed, either by
9 its corporate authorities or by a commission designated under
10 subsection (k) of Section 11-74.4-4, a time and place for a
11 public hearing as required by subsection (a) of Section
12 11-74.4-5. No redevelopment plan shall be adopted unless a
13 municipality complies with all of the following requirements:
14         (1) The municipality finds that the redevelopment
15     project area on the whole has not been subject to growth
16     and development through investment by private enterprise
17     and would not reasonably be anticipated to be developed
18     without the adoption of the redevelopment plan.
19         (2) The municipality finds that the redevelopment plan
20     and project conform to the comprehensive plan for the
21     development of the municipality as a whole, or, for
22     municipalities with a population of 100,000 or more,
23     regardless of when the redevelopment plan and project was
24     adopted, the redevelopment plan and project either: (i)
25     conforms to the strategic economic development or
26     redevelopment plan issued by the designated planning
27     authority of the municipality, or (ii) includes land uses
28     that have been approved by the planning commission of the
29     municipality.
30         (3) The redevelopment plan establishes the estimated
31     dates of completion of the redevelopment project and
32     retirement of obligations issued to finance redevelopment
33     project costs. Those dates shall not be later than December
34     31 of the year in which the payment to the municipal

 

 

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1     treasurer as provided in subsection (b) of Section
2     11-74.4-8 of this Act is to be made with respect to ad
3     valorem taxes levied in the twenty-third calendar year
4     after the year in which the ordinance approving the
5     redevelopment project area is adopted if the ordinance was
6     adopted on or after January 15, 1981, and not later than
7     December 31 of the year in which the payment to the
8     municipal treasurer as provided in subsection (b) of
9     Section 11-74.4-8 of this Act is to be made with respect to
10     ad valorem taxes levied in the thirty-fifth calendar year
11     after the year in which the ordinance approving the
12     redevelopment project area is adopted:
13             (A) if the ordinance was adopted before January 15,
14         1981, or
15             (B) if the ordinance was adopted in December 1983,
16         April 1984, July 1985, or December 1989, or
17             (C) if the ordinance was adopted in December 1987
18         and the redevelopment project is located within one
19         mile of Midway Airport, or
20             (D) if the ordinance was adopted before January 1,
21         1987 by a municipality in Mason County, or
22             (E) if the municipality is subject to the Local
23         Government Financial Planning and Supervision Act or
24         the Financially Distressed City Law, or
25             (F) if the ordinance was adopted in December 1984
26         by the Village of Rosemont, or
27             (G) if the ordinance was adopted on December 31,
28         1986 by a municipality located in Clinton County for
29         which at least $250,000 of tax increment bonds were
30         authorized on June 17, 1997, or if the ordinance was
31         adopted on December 31, 1986 by a municipality with a
32         population in 1990 of less than 3,600 that is located
33         in a county with a population in 1990 of less than
34         34,000 and for which at least $250,000 of tax increment

 

 

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1         bonds were authorized on June 17, 1997, or
2             (H) if the ordinance was adopted on October 5, 1982
3         by the City of Kankakee, or if the ordinance was
4         adopted on December 29, 1986 by East St. Louis, or
5             (I) if the ordinance was adopted on November 12,
6         1991 by the Village of Sauget, or
7             (J) if the ordinance was adopted on February 11,
8         1985 by the City of Rock Island, or
9             (K) if the ordinance was adopted before December
10         18, 1986 by the City of Moline, or
11             (L) if the ordinance was adopted in September 1988
12         by Sauk Village, or
13             (M) if the ordinance was adopted in October 1993 by
14         Sauk Village, or
15             (N) if the ordinance was adopted on December 29,
16         1986 by the City of Galva, or
17             (O) if the ordinance was adopted in March 1991 by
18         the City of Centreville, or
19             (P) if the ordinance was adopted on January 23,
20         1991 by the City of East St. Louis, or
21             (Q) if the ordinance was adopted on December 22,
22         1986 by the City of Aledo, or
23             (R) if the ordinance was adopted on February 5,
24         1990 by the City of Clinton, or
25             (S) if the ordinance was adopted on September 6,
26         1994 by the City of Freeport, or
27             (T) if the ordinance was adopted on December 22,
28         1986 by the City of Tuscola, or
29             (U) if the ordinance was adopted on December 23,
30         1986 by the City of Sparta, or
31             (V) if the ordinance was adopted on December 23,
32         1986 by the City of Beardstown, or
33             (W) if the ordinance was adopted on April 27, 1981,
34         October 21, 1985, or December 30, 1986 by the City of

 

 

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1         Belleville, or
2             (X) if the ordinance was adopted on December 29,
3         1986 by the City of Collinsville, or
4             (Y) if the ordinance was adopted on September 14,
5         1994 by the City of Alton, or
6             (Z) if the ordinance was adopted on November 11,
7         1996 by the City of Lexington, or
8             (AA) if the ordinance was adopted on November 5,
9         1984 by the City of LeRoy, or
10             (BB) if the ordinance was adopted on April 3, 1991
11         or June 3, 1992 by the City of Markham, or
12             (CC) if the ordinance was adopted on November 11,
13         1986 by the City of Pekin, or
14             (DD) (CC) if the ordinance was adopted on December
15         15, 1981 by the City of Champaign, or
16             (EE) (CC) if the ordinance was adopted on December
17         15, 1986 by the City of Urbana, or
18             (FF) (CC) if the ordinance was adopted on December
19         15, 1986 by the Village of Heyworth, or
20             (GG) (CC) if the ordinance was adopted on February
21         24, 1992 by the Village of Heyworth, or
22             (HH) (CC) if the ordinance was adopted on March 16,
23         1995 by the Village of Heyworth, or
24             (II) (CC) if the ordinance was adopted on December
25         23, 1986 by the Town of Cicero, or
26             (JJ) (CC) if the ordinance was adopted on December
27         30, 1986 by the City of Effingham, or
28             (KK) (CC) if the ordinance was adopted on May 9,
29         1991 by the Village of Tilton, or
30             (LL) (CC) if the ordinance was adopted on October
31         20, 1986 by the City of Elmhurst, or
32             (MM) (CC) if the ordinance was adopted on January
33         19, 1988 by the City of Waukegan, or
34             (NN) (DD) if the ordinance was adopted on September

 

 

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1         21, 1998 by the City of Waukegan, or .
2             (OO) if the ordinance was adopted on December 31,
3         1986 by the City of Oglesby, or
4             (PP) if the ordinance was adopted on December 29,
5         1993 by the City of Ottawa.
6         However, for redevelopment project areas for which
7     bonds were issued before July 29, 1991, or for which
8     contracts were entered into before June 1, 1988, in
9     connection with a redevelopment project in the area within
10     the State Sales Tax Boundary, the estimated dates of
11     completion of the redevelopment project and retirement of
12     obligations to finance redevelopment project costs may be
13     extended by municipal ordinance to December 31, 2013. The
14     termination procedures of subsection (b) of Section
15     11-74.4-8 are not required for these redevelopment project
16     areas in 2009 but are required in 2013. The extension
17     allowed by this amendatory Act of 1993 shall not apply to
18     real property tax increment allocation financing under
19     Section 11-74.4-8.
20         A municipality may by municipal ordinance amend an
21     existing redevelopment plan to conform to this paragraph
22     (3) as amended by Public Act 91-478, which municipal
23     ordinance may be adopted without further hearing or notice
24     and without complying with the procedures provided in this
25     Act pertaining to an amendment to or the initial approval
26     of a redevelopment plan and project and designation of a
27     redevelopment project area.
28         Those dates, for purposes of real property tax
29     increment allocation financing pursuant to Section
30     11-74.4-8 only, shall be not more than 35 years for
31     redevelopment project areas that were adopted on or after
32     December 16, 1986 and for which at least $8 million worth
33     of municipal bonds were authorized on or after December 19,
34     1989 but before January 1, 1990; provided that the

 

 

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1     municipality elects to extend the life of the redevelopment
2     project area to 35 years by the adoption of an ordinance
3     after at least 14 but not more than 30 days' written notice
4     to the taxing bodies, that would otherwise constitute the
5     joint review board for the redevelopment project area,
6     before the adoption of the ordinance.
7         Those dates, for purposes of real property tax
8     increment allocation financing pursuant to Section
9     11-74.4-8 only, shall be not more than 35 years for
10     redevelopment project areas that were established on or
11     after December 1, 1981 but before January 1, 1982 and for
12     which at least $1,500,000 worth of tax increment revenue
13     bonds were authorized on or after September 30, 1990 but
14     before July 1, 1991; provided that the municipality elects
15     to extend the life of the redevelopment project area to 35
16     years by the adoption of an ordinance after at least 14 but
17     not more than 30 days' written notice to the taxing bodies,
18     that would otherwise constitute the joint review board for
19     the redevelopment project area, before the adoption of the
20     ordinance.
21         (3.5) The municipality finds, in the case of an
22     industrial park conservation area, also that the
23     municipality is a labor surplus municipality and that the
24     implementation of the redevelopment plan will reduce
25     unemployment, create new jobs and by the provision of new
26     facilities enhance the tax base of the taxing districts
27     that extend into the redevelopment project area.
28         (4) If any incremental revenues are being utilized
29     under Section 8(a)(1) or 8(a)(2) of this Act in
30     redevelopment project areas approved by ordinance after
31     January 1, 1986, the municipality finds: (a) that the
32     redevelopment project area would not reasonably be
33     developed without the use of such incremental revenues, and
34     (b) that such incremental revenues will be exclusively

 

 

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1     utilized for the development of the redevelopment project
2     area.
3         (5) If the redevelopment plan will not result in
4     displacement of residents from 10 or more inhabited
5     residential units, and the municipality certifies in the
6     plan that such displacement will not result from the plan,
7     a housing impact study need not be performed. If, however,
8     the redevelopment plan would result in the displacement of
9     residents from 10 or more inhabited residential units, or
10     if the redevelopment project area contains 75 or more
11     inhabited residential units and no certification is made,
12     then the municipality shall prepare, as part of the
13     separate feasibility report required by subsection (a) of
14     Section 11-74.4-5, a housing impact study.
15         Part I of the housing impact study shall include (i)
16     data as to whether the residential units are single family
17     or multi-family units, (ii) the number and type of rooms
18     within the units, if that information is available, (iii)
19     whether the units are inhabited or uninhabited, as
20     determined not less than 45 days before the date that the
21     ordinance or resolution required by subsection (a) of
22     Section 11-74.4-5 is passed, and (iv) data as to the racial
23     and ethnic composition of the residents in the inhabited
24     residential units. The data requirement as to the racial
25     and ethnic composition of the residents in the inhabited
26     residential units shall be deemed to be fully satisfied by
27     data from the most recent federal census.
28         Part II of the housing impact study shall identify the
29     inhabited residential units in the proposed redevelopment
30     project area that are to be or may be removed. If inhabited
31     residential units are to be removed, then the housing
32     impact study shall identify (i) the number and location of
33     those units that will or may be removed, (ii) the
34     municipality's plans for relocation assistance for those

 

 

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1     residents in the proposed redevelopment project area whose
2     residences are to be removed, (iii) the availability of
3     replacement housing for those residents whose residences
4     are to be removed, and shall identify the type, location,
5     and cost of the housing, and (iv) the type and extent of
6     relocation assistance to be provided.
7         (6) On and after November 1, 1999, the housing impact
8     study required by paragraph (5) shall be incorporated in
9     the redevelopment plan for the redevelopment project area.
10         (7) On and after November 1, 1999, no redevelopment
11     plan shall be adopted, nor an existing plan amended, nor
12     shall residential housing that is occupied by households of
13     low-income and very low-income persons in currently
14     existing redevelopment project areas be removed after
15     November 1, 1999 unless the redevelopment plan provides,
16     with respect to inhabited housing units that are to be
17     removed for households of low-income and very low-income
18     persons, affordable housing and relocation assistance not
19     less than that which would be provided under the federal
20     Uniform Relocation Assistance and Real Property
21     Acquisition Policies Act of 1970 and the regulations under
22     that Act, including the eligibility criteria. Affordable
23     housing may be either existing or newly constructed
24     housing. For purposes of this paragraph (7), "low-income
25     households", "very low-income households", and "affordable
26     housing" have the meanings set forth in the Illinois
27     Affordable Housing Act. The municipality shall make a good
28     faith effort to ensure that this affordable housing is
29     located in or near the redevelopment project area within
30     the municipality.
31         (8) On and after November 1, 1999, if, after the
32     adoption of the redevelopment plan for the redevelopment
33     project area, any municipality desires to amend its
34     redevelopment plan to remove more inhabited residential

 

 

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1     units than specified in its original redevelopment plan,
2     that change shall be made in accordance with the procedures
3     in subsection (c) of Section 11-74.4-5.
4         (9) For redevelopment project areas designated prior
5     to November 1, 1999, the redevelopment plan may be amended
6     without further joint review board meeting or hearing,
7     provided that the municipality shall give notice of any
8     such changes by mail to each affected taxing district and
9     registrant on the interested party registry, to authorize
10     the municipality to expend tax increment revenues for
11     redevelopment project costs defined by paragraphs (5) and
12     (7.5), subparagraphs (E) and (F) of paragraph (11), and
13     paragraph (11.5) of subsection (q) of Section 11-74.4-3, so
14     long as the changes do not increase the total estimated
15     redevelopment project costs set out in the redevelopment
16     plan by more than 5% after adjustment for inflation from
17     the date the plan was adopted.
18     (o) "Redevelopment project" means any public and private
19 development project in furtherance of the objectives of a
20 redevelopment plan. On and after November 1, 1999 (the
21 effective date of Public Act 91-478), no redevelopment plan may
22 be approved or amended that includes the development of vacant
23 land (i) with a golf course and related clubhouse and other
24 facilities or (ii) designated by federal, State, county, or
25 municipal government as public land for outdoor recreational
26 activities or for nature preserves and used for that purpose
27 within 5 years prior to the adoption of the redevelopment plan.
28 For the purpose of this subsection, "recreational activities"
29 is limited to mean camping and hunting.
30     (p) "Redevelopment project area" means an area designated
31 by the municipality, which is not less in the aggregate than 1
32 1/2 acres and in respect to which the municipality has made a
33 finding that there exist conditions which cause the area to be
34 classified as an industrial park conservation area or a

 

 

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1 blighted area or a conservation area, or a combination of both
2 blighted areas and conservation areas.
3     (q) "Redevelopment project costs" mean and include the sum
4 total of all reasonable or necessary costs incurred or
5 estimated to be incurred, and any such costs incidental to a
6 redevelopment plan and a redevelopment project. Such costs
7 include, without limitation, the following:
8         (1) Costs of studies, surveys, development of plans,
9     and specifications, implementation and administration of
10     the redevelopment plan including but not limited to staff
11     and professional service costs for architectural,
12     engineering, legal, financial, planning or other services,
13     provided however that no charges for professional services
14     may be based on a percentage of the tax increment
15     collected; except that on and after November 1, 1999 (the
16     effective date of Public Act 91-478), no contracts for
17     professional services, excluding architectural and
18     engineering services, may be entered into if the terms of
19     the contract extend beyond a period of 3 years. In
20     addition, "redevelopment project costs" shall not include
21     lobbying expenses. After consultation with the
22     municipality, each tax increment consultant or advisor to a
23     municipality that plans to designate or has designated a
24     redevelopment project area shall inform the municipality
25     in writing of any contracts that the consultant or advisor
26     has entered into with entities or individuals that have
27     received, or are receiving, payments financed by tax
28     increment revenues produced by the redevelopment project
29     area with respect to which the consultant or advisor has
30     performed, or will be performing, service for the
31     municipality. This requirement shall be satisfied by the
32     consultant or advisor before the commencement of services
33     for the municipality and thereafter whenever any other
34     contracts with those individuals or entities are executed

 

 

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1     by the consultant or advisor;
2         (1.5) After July 1, 1999, annual administrative costs
3     shall not include general overhead or administrative costs
4     of the municipality that would still have been incurred by
5     the municipality if the municipality had not designated a
6     redevelopment project area or approved a redevelopment
7     plan;
8         (1.6) The cost of marketing sites within the
9     redevelopment project area to prospective businesses,
10     developers, and investors;
11         (2) Property assembly costs, including but not limited
12     to acquisition of land and other property, real or
13     personal, or rights or interests therein, demolition of
14     buildings, site preparation, site improvements that serve
15     as an engineered barrier addressing ground level or below
16     ground environmental contamination, including, but not
17     limited to parking lots and other concrete or asphalt
18     barriers, and the clearing and grading of land;
19         (3) Costs of rehabilitation, reconstruction or repair
20     or remodeling of existing public or private buildings,
21     fixtures, and leasehold improvements; and the cost of
22     replacing an existing public building if pursuant to the
23     implementation of a redevelopment project the existing
24     public building is to be demolished to use the site for
25     private investment or devoted to a different use requiring
26     private investment;
27         (4) Costs of the construction of public works or
28     improvements, except that on and after November 1, 1999,
29     redevelopment project costs shall not include the cost of
30     constructing a new municipal public building principally
31     used to provide offices, storage space, or conference
32     facilities or vehicle storage, maintenance, or repair for
33     administrative, public safety, or public works personnel
34     and that is not intended to replace an existing public

 

 

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1     building as provided under paragraph (3) of subsection (q)
2     of Section 11-74.4-3 unless either (i) the construction of
3     the new municipal building implements a redevelopment
4     project that was included in a redevelopment plan that was
5     adopted by the municipality prior to November 1, 1999 or
6     (ii) the municipality makes a reasonable determination in
7     the redevelopment plan, supported by information that
8     provides the basis for that determination, that the new
9     municipal building is required to meet an increase in the
10     need for public safety purposes anticipated to result from
11     the implementation of the redevelopment plan;
12         (5) Costs of job training and retraining projects,
13     including the cost of "welfare to work" programs
14     implemented by businesses located within the redevelopment
15     project area;
16         (6) Financing costs, including but not limited to all
17     necessary and incidental expenses related to the issuance
18     of obligations and which may include payment of interest on
19     any obligations issued hereunder including interest
20     accruing during the estimated period of construction of any
21     redevelopment project for which such obligations are
22     issued and for not exceeding 36 months thereafter and
23     including reasonable reserves related thereto;
24         (7) To the extent the municipality by written agreement
25     accepts and approves the same, all or a portion of a taxing
26     district's capital costs resulting from the redevelopment
27     project necessarily incurred or to be incurred within a
28     taxing district in furtherance of the objectives of the
29     redevelopment plan and project.
30         (7.5) For redevelopment project areas designated (or
31     redevelopment project areas amended to add or increase the
32     number of tax-increment-financing assisted housing units)
33     on or after November 1, 1999, an elementary, secondary, or
34     unit school district's increased costs attributable to

 

 

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1     assisted housing units located within the redevelopment
2     project area for which the developer or redeveloper
3     receives financial assistance through an agreement with
4     the municipality or because the municipality incurs the
5     cost of necessary infrastructure improvements within the
6     boundaries of the assisted housing sites necessary for the
7     completion of that housing as authorized by this Act, and
8     which costs shall be paid by the municipality from the
9     Special Tax Allocation Fund when the tax increment revenue
10     is received as a result of the assisted housing units and
11     shall be calculated annually as follows:
12             (A) for foundation districts, excluding any school
13         district in a municipality with a population in excess
14         of 1,000,000, by multiplying the district's increase
15         in attendance resulting from the net increase in new
16         students enrolled in that school district who reside in
17         housing units within the redevelopment project area
18         that have received financial assistance through an
19         agreement with the municipality or because the
20         municipality incurs the cost of necessary
21         infrastructure improvements within the boundaries of
22         the housing sites necessary for the completion of that
23         housing as authorized by this Act since the designation
24         of the redevelopment project area by the most recently
25         available per capita tuition cost as defined in Section
26         10-20.12a of the School Code less any increase in
27         general State aid as defined in Section 18-8.05 of the
28         School Code attributable to these added new students
29         subject to the following annual limitations:
30                 (i) for unit school districts with a district
31             average 1995-96 Per Capita Tuition Charge of less
32             than $5,900, no more than 25% of the total amount
33             of property tax increment revenue produced by
34             those housing units that have received tax

 

 

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1             increment finance assistance under this Act;
2                 (ii) for elementary school districts with a
3             district average 1995-96 Per Capita Tuition Charge
4             of less than $5,900, no more than 17% of the total
5             amount of property tax increment revenue produced
6             by those housing units that have received tax
7             increment finance assistance under this Act; and
8                 (iii) for secondary school districts with a
9             district average 1995-96 Per Capita Tuition Charge
10             of less than $5,900, no more than 8% of the total
11             amount of property tax increment revenue produced
12             by those housing units that have received tax
13             increment finance assistance under this Act.
14             (B) For alternate method districts, flat grant
15         districts, and foundation districts with a district
16         average 1995-96 Per Capita Tuition Charge equal to or
17         more than $5,900, excluding any school district with a
18         population in excess of 1,000,000, by multiplying the
19         district's increase in attendance resulting from the
20         net increase in new students enrolled in that school
21         district who reside in housing units within the
22         redevelopment project area that have received
23         financial assistance through an agreement with the
24         municipality or because the municipality incurs the
25         cost of necessary infrastructure improvements within
26         the boundaries of the housing sites necessary for the
27         completion of that housing as authorized by this Act
28         since the designation of the redevelopment project
29         area by the most recently available per capita tuition
30         cost as defined in Section 10-20.12a of the School Code
31         less any increase in general state aid as defined in
32         Section 18-8.05 of the School Code attributable to
33         these added new students subject to the following
34         annual limitations:

 

 

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1                 (i) for unit school districts, no more than 40%
2             of the total amount of property tax increment
3             revenue produced by those housing units that have
4             received tax increment finance assistance under
5             this Act;
6                 (ii) for elementary school districts, no more
7             than 27% of the total amount of property tax
8             increment revenue produced by those housing units
9             that have received tax increment finance
10             assistance under this Act; and
11                 (iii) for secondary school districts, no more
12             than 13% of the total amount of property tax
13             increment revenue produced by those housing units
14             that have received tax increment finance
15             assistance under this Act.
16             (C) For any school district in a municipality with
17         a population in excess of 1,000,000, the following
18         restrictions shall apply to the reimbursement of
19         increased costs under this paragraph (7.5):
20                 (i) no increased costs shall be reimbursed
21             unless the school district certifies that each of
22             the schools affected by the assisted housing
23             project is at or over its student capacity;
24                 (ii) the amount reimbursable shall be reduced
25             by the value of any land donated to the school
26             district by the municipality or developer, and by
27             the value of any physical improvements made to the
28             schools by the municipality or developer; and
29                 (iii) the amount reimbursed may not affect
30             amounts otherwise obligated by the terms of any
31             bonds, notes, or other funding instruments, or the
32             terms of any redevelopment agreement.
33         Any school district seeking payment under this
34         paragraph (7.5) shall, after July 1 and before

 

 

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1         September 30 of each year, provide the municipality
2         with reasonable evidence to support its claim for
3         reimbursement before the municipality shall be
4         required to approve or make the payment to the school
5         district. If the school district fails to provide the
6         information during this period in any year, it shall
7         forfeit any claim to reimbursement for that year.
8         School districts may adopt a resolution waiving the
9         right to all or a portion of the reimbursement
10         otherwise required by this paragraph (7.5). By
11         acceptance of this reimbursement the school district
12         waives the right to directly or indirectly set aside,
13         modify, or contest in any manner the establishment of
14         the redevelopment project area or projects;
15         (7.7) For redevelopment project areas designated (or
16     redevelopment project areas amended to add or increase the
17     number of tax-increment-financing assisted housing units)
18     on or after January 1, 2005 (the effective date of Public
19     Act 93-961) this amendatory Act of the 93rd General
20     Assembly, a public library district's increased costs
21     attributable to assisted housing units located within the
22     redevelopment project area for which the developer or
23     redeveloper receives financial assistance through an
24     agreement with the municipality or because the
25     municipality incurs the cost of necessary infrastructure
26     improvements within the boundaries of the assisted housing
27     sites necessary for the completion of that housing as
28     authorized by this Act shall be paid to the library
29     district by the municipality from the Special Tax
30     Allocation Fund when the tax increment revenue is received
31     as a result of the assisted housing units. This paragraph
32     (7.7) applies only if (i) the library district is located
33     in a county that is subject to the Property Tax Extension
34     Limitation Law or (ii) the library district is not located

 

 

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1     in a county that is subject to the Property Tax Extension
2     Limitation Law but the district is prohibited by any other
3     law from increasing its tax levy rate without a prior voter
4     referendum.
5         The amount paid to a library district under this
6     paragraph (7.7) shall be calculated by multiplying (i) the
7     net increase in the number of persons eligible to obtain a
8     library card in that district who reside in housing units
9     within the redevelopment project area that have received
10     financial assistance through an agreement with the
11     municipality or because the municipality incurs the cost of
12     necessary infrastructure improvements within the
13     boundaries of the housing sites necessary for the
14     completion of that housing as authorized by this Act since
15     the designation of the redevelopment project area by (ii)
16     the per-patron cost of providing library services so long
17     as it does not exceed $120. The per-patron cost shall be
18     the Total Operating Expenditures Per Capita as stated in
19     the most recent Illinois Public Library Statistics
20     produced by the Library Research Center at the University
21     of Illinois. The municipality may deduct from the amount
22     that it must pay to a library district under this paragraph
23     any amount that it has voluntarily paid to the library
24     district from the tax increment revenue. The amount paid to
25     a library district under this paragraph (7.7) shall be no
26     more than 2% of the amount produced by the assisted housing
27     units and deposited into the Special Tax Allocation Fund.
28         A library district is not eligible for any payment
29     under this paragraph (7.7) unless the library district has
30     experienced an increase in the number of patrons from the
31     municipality that created the tax-increment-financing
32     district since the designation of the redevelopment
33     project area.
34         Any library district seeking payment under this

 

 

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1     paragraph (7.7) shall, after July 1 and before September 30
2     of each year, provide the municipality with convincing
3     evidence to support its claim for reimbursement before the
4     municipality shall be required to approve or make the
5     payment to the library district. If the library district
6     fails to provide the information during this period in any
7     year, it shall forfeit any claim to reimbursement for that
8     year. Library districts may adopt a resolution waiving the
9     right to all or a portion of the reimbursement otherwise
10     required by this paragraph (7.7). By acceptance of such
11     reimbursement, the library district shall forfeit any
12     right to directly or indirectly set aside, modify, or
13     contest in any manner whatsoever the establishment of the
14     redevelopment project area or projects;
15         (8) Relocation costs to the extent that a municipality
16     determines that relocation costs shall be paid or is
17     required to make payment of relocation costs by federal or
18     State law or in order to satisfy subparagraph (7) of
19     subsection (n);
20         (9) Payment in lieu of taxes;
21         (10) Costs of job training, retraining, advanced
22     vocational education or career education, including but
23     not limited to courses in occupational, semi-technical or
24     technical fields leading directly to employment, incurred
25     by one or more taxing districts, provided that such costs
26     (i) are related to the establishment and maintenance of
27     additional job training, advanced vocational education or
28     career education programs for persons employed or to be
29     employed by employers located in a redevelopment project
30     area; and (ii) when incurred by a taxing district or taxing
31     districts other than the municipality, are set forth in a
32     written agreement by or among the municipality and the
33     taxing district or taxing districts, which agreement
34     describes the program to be undertaken, including but not

 

 

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1     limited to the number of employees to be trained, a
2     description of the training and services to be provided,
3     the number and type of positions available or to be
4     available, itemized costs of the program and sources of
5     funds to pay for the same, and the term of the agreement.
6     Such costs include, specifically, the payment by community
7     college districts of costs pursuant to Sections 3-37, 3-38,
8     3-40 and 3-40.1 of the Public Community College Act and by
9     school districts of costs pursuant to Sections 10-22.20a
10     and 10-23.3a of The School Code;
11         (11) Interest cost incurred by a redeveloper related to
12     the construction, renovation or rehabilitation of a
13     redevelopment project provided that:
14             (A) such costs are to be paid directly from the
15         special tax allocation fund established pursuant to
16         this Act;
17             (B) such payments in any one year may not exceed
18         30% of the annual interest costs incurred by the
19         redeveloper with regard to the redevelopment project
20         during that year;
21             (C) if there are not sufficient funds available in
22         the special tax allocation fund to make the payment
23         pursuant to this paragraph (11) then the amounts so due
24         shall accrue and be payable when sufficient funds are
25         available in the special tax allocation fund;
26             (D) the total of such interest payments paid
27         pursuant to this Act may not exceed 30% of the total
28         (i) cost paid or incurred by the redeveloper for the
29         redevelopment project plus (ii) redevelopment project
30         costs excluding any property assembly costs and any
31         relocation costs incurred by a municipality pursuant
32         to this Act; and
33             (E) the cost limits set forth in subparagraphs (B)
34         and (D) of paragraph (11) shall be modified for the

 

 

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1         financing of rehabilitated or new housing units for
2         low-income households and very low-income households,
3         as defined in Section 3 of the Illinois Affordable
4         Housing Act. The percentage of 75% shall be substituted
5         for 30% in subparagraphs (B) and (D) of paragraph (11).
6             (F) Instead of the eligible costs provided by
7         subparagraphs (B) and (D) of paragraph (11), as
8         modified by this subparagraph, and notwithstanding any
9         other provisions of this Act to the contrary, the
10         municipality may pay from tax increment revenues up to
11         50% of the cost of construction of new housing units to
12         be occupied by low-income households and very
13         low-income households as defined in Section 3 of the
14         Illinois Affordable Housing Act. The cost of
15         construction of those units may be derived from the
16         proceeds of bonds issued by the municipality under this
17         Act or other constitutional or statutory authority or
18         from other sources of municipal revenue that may be
19         reimbursed from tax increment revenues or the proceeds
20         of bonds issued to finance the construction of that
21         housing.
22             The eligible costs provided under this
23         subparagraph (F) of paragraph (11) shall be an eligible
24         cost for the construction, renovation, and
25         rehabilitation of all low and very low-income housing
26         units, as defined in Section 3 of the Illinois
27         Affordable Housing Act, within the redevelopment
28         project area. If the low and very low-income units are
29         part of a residential redevelopment project that
30         includes units not affordable to low and very
31         low-income households, only the low and very
32         low-income units shall be eligible for benefits under
33         subparagraph (F) of paragraph (11). The standards for
34         maintaining the occupancy by low-income households and

 

 

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1         very low-income households, as defined in Section 3 of
2         the Illinois Affordable Housing Act, of those units
3         constructed with eligible costs made available under
4         the provisions of this subparagraph (F) of paragraph
5         (11) shall be established by guidelines adopted by the
6         municipality. The responsibility for annually
7         documenting the initial occupancy of the units by
8         low-income households and very low-income households,
9         as defined in Section 3 of the Illinois Affordable
10         Housing Act, shall be that of the then current owner of
11         the property. For ownership units, the guidelines will
12         provide, at a minimum, for a reasonable recapture of
13         funds, or other appropriate methods designed to
14         preserve the original affordability of the ownership
15         units. For rental units, the guidelines will provide,
16         at a minimum, for the affordability of rent to low and
17         very low-income households. As units become available,
18         they shall be rented to income-eligible tenants. The
19         municipality may modify these guidelines from time to
20         time; the guidelines, however, shall be in effect for
21         as long as tax increment revenue is being used to pay
22         for costs associated with the units or for the
23         retirement of bonds issued to finance the units or for
24         the life of the redevelopment project area, whichever
25         is later.
26         (11.5) If the redevelopment project area is located
27     within a municipality with a population of more than
28     100,000, the cost of day care services for children of
29     employees from low-income families working for businesses
30     located within the redevelopment project area and all or a
31     portion of the cost of operation of day care centers
32     established by redevelopment project area businesses to
33     serve employees from low-income families working in
34     businesses located in the redevelopment project area. For

 

 

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1     the purposes of this paragraph, "low-income families"
2     means families whose annual income does not exceed 80% of
3     the municipal, county, or regional median income, adjusted
4     for family size, as the annual income and municipal,
5     county, or regional median income are determined from time
6     to time by the United States Department of Housing and
7     Urban Development.
8         (12) Unless explicitly stated herein the cost of
9     construction of new privately-owned buildings shall not be
10     an eligible redevelopment project cost.
11         (13) After November 1, 1999 (the effective date of
12     Public Act 91-478), none of the redevelopment project costs
13     enumerated in this subsection shall be eligible
14     redevelopment project costs if those costs would provide
15     direct financial support to a retail entity initiating
16     operations in the redevelopment project area while
17     terminating operations at another Illinois location within
18     10 miles of the redevelopment project area but outside the
19     boundaries of the redevelopment project area municipality.
20     For purposes of this paragraph, termination means a closing
21     of a retail operation that is directly related to the
22     opening of the same operation or like retail entity owned
23     or operated by more than 50% of the original ownership in a
24     redevelopment project area, but it does not mean closing an
25     operation for reasons beyond the control of the retail
26     entity, as documented by the retail entity, subject to a
27     reasonable finding by the municipality that the current
28     location contained inadequate space, had become
29     economically obsolete, or was no longer a viable location
30     for the retailer or serviceman.
31     If a special service area has been established pursuant to
32 the Special Service Area Tax Act or Special Service Area Tax
33 Law, then any tax increment revenues derived from the tax
34 imposed pursuant to the Special Service Area Tax Act or Special

 

 

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1 Service Area Tax Law may be used within the redevelopment
2 project area for the purposes permitted by that Act or Law as
3 well as the purposes permitted by this Act.
4     (r) "State Sales Tax Boundary" means the redevelopment
5 project area or the amended redevelopment project area
6 boundaries which are determined pursuant to subsection (9) of
7 Section 11-74.4-8a of this Act. The Department of Revenue shall
8 certify pursuant to subsection (9) of Section 11-74.4-8a the
9 appropriate boundaries eligible for the determination of State
10 Sales Tax Increment.
11     (s) "State Sales Tax Increment" means an amount equal to
12 the increase in the aggregate amount of taxes paid by retailers
13 and servicemen, other than retailers and servicemen subject to
14 the Public Utilities Act, on transactions at places of business
15 located within a State Sales Tax Boundary pursuant to the
16 Retailers' Occupation Tax Act, the Use Tax Act, the Service Use
17 Tax Act, and the Service Occupation Tax Act, except such
18 portion of such increase that is paid into the State and Local
19 Sales Tax Reform Fund, the Local Government Distributive Fund,
20 the Local Government Tax Fund and the County and Mass Transit
21 District Fund, for as long as State participation exists, over
22 and above the Initial Sales Tax Amounts, Adjusted Initial Sales
23 Tax Amounts or the Revised Initial Sales Tax Amounts for such
24 taxes as certified by the Department of Revenue and paid under
25 those Acts by retailers and servicemen on transactions at
26 places of business located within the State Sales Tax Boundary
27 during the base year which shall be the calendar year
28 immediately prior to the year in which the municipality adopted
29 tax increment allocation financing, less 3.0% of such amounts
30 generated under the Retailers' Occupation Tax Act, Use Tax Act
31 and Service Use Tax Act and the Service Occupation Tax Act,
32 which sum shall be appropriated to the Department of Revenue to
33 cover its costs of administering and enforcing this Section.
34 For purposes of computing the aggregate amount of such taxes

 

 

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1 for base years occurring prior to 1985, the Department of
2 Revenue shall compute the Initial Sales Tax Amount for such
3 taxes and deduct therefrom an amount equal to 4% of the
4 aggregate amount of taxes per year for each year the base year
5 is prior to 1985, but not to exceed a total deduction of 12%.
6 The amount so determined shall be known as the "Adjusted
7 Initial Sales Tax Amount". For purposes of determining the
8 State Sales Tax Increment the Department of Revenue shall for
9 each period subtract from the tax amounts received from
10 retailers and servicemen on transactions located in the State
11 Sales Tax Boundary, the certified Initial Sales Tax Amounts,
12 Adjusted Initial Sales Tax Amounts or Revised Initial Sales Tax
13 Amounts for the Retailers' Occupation Tax Act, the Use Tax Act,
14 the Service Use Tax Act and the Service Occupation Tax Act. For
15 the State Fiscal Year 1989 this calculation shall be made by
16 utilizing the calendar year 1987 to determine the tax amounts
17 received. For the State Fiscal Year 1990, this calculation
18 shall be made by utilizing the period from January 1, 1988,
19 until September 30, 1988, to determine the tax amounts received
20 from retailers and servicemen, which shall have deducted
21 therefrom nine-twelfths of the certified Initial Sales Tax
22 Amounts, Adjusted Initial Sales Tax Amounts or the Revised
23 Initial Sales Tax Amounts as appropriate. For the State Fiscal
24 Year 1991, this calculation shall be made by utilizing the
25 period from October 1, 1988, until June 30, 1989, to determine
26 the tax amounts received from retailers and servicemen, which
27 shall have deducted therefrom nine-twelfths of the certified
28 Initial State Sales Tax Amounts, Adjusted Initial Sales Tax
29 Amounts or the Revised Initial Sales Tax Amounts as
30 appropriate. For every State Fiscal Year thereafter, the
31 applicable period shall be the 12 months beginning July 1 and
32 ending on June 30, to determine the tax amounts received which
33 shall have deducted therefrom the certified Initial Sales Tax
34 Amounts, Adjusted Initial Sales Tax Amounts or the Revised

 

 

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1 Initial Sales Tax Amounts. Municipalities intending to receive
2 a distribution of State Sales Tax Increment must report a list
3 of retailers to the Department of Revenue by October 31, 1988
4 and by July 31, of each year thereafter.
5     (t) "Taxing districts" means counties, townships, cities
6 and incorporated towns and villages, school, road, park,
7 sanitary, mosquito abatement, forest preserve, public health,
8 fire protection, river conservancy, tuberculosis sanitarium
9 and any other municipal corporations or districts with the
10 power to levy taxes.
11     (u) "Taxing districts' capital costs" means those costs of
12 taxing districts for capital improvements that are found by the
13 municipal corporate authorities to be necessary and directly
14 result from the redevelopment project.
15     (v) As used in subsection (a) of Section 11-74.4-3 of this
16 Act, "vacant land" means any parcel or combination of parcels
17 of real property without industrial, commercial, and
18 residential buildings which has not been used for commercial
19 agricultural purposes within 5 years prior to the designation
20 of the redevelopment project area, unless the parcel is
21 included in an industrial park conservation area or the parcel
22 has been subdivided; provided that if the parcel was part of a
23 larger tract that has been divided into 3 or more smaller
24 tracts that were accepted for recording during the period from
25 1950 to 1990, then the parcel shall be deemed to have been
26 subdivided, and all proceedings and actions of the municipality
27 taken in that connection with respect to any previously
28 approved or designated redevelopment project area or amended
29 redevelopment project area are hereby validated and hereby
30 declared to be legally sufficient for all purposes of this Act.
31 For purposes of this Section and only for land subject to the
32 subdivision requirements of the Plat Act, land is subdivided
33 when the original plat of the proposed Redevelopment Project
34 Area or relevant portion thereof has been properly certified,

 

 

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1 acknowledged, approved, and recorded or filed in accordance
2 with the Plat Act and a preliminary plat, if any, for any
3 subsequent phases of the proposed Redevelopment Project Area or
4 relevant portion thereof has been properly approved and filed
5 in accordance with the applicable ordinance of the
6 municipality.
7     (w) "Annual Total Increment" means the sum of each
8 municipality's annual Net Sales Tax Increment and each
9 municipality's annual Net Utility Tax Increment. The ratio of
10 the Annual Total Increment of each municipality to the Annual
11 Total Increment for all municipalities, as most recently
12 calculated by the Department, shall determine the proportional
13 shares of the Illinois Tax Increment Fund to be distributed to
14 each municipality.
15 (Source: P.A. 92-263, eff. 8-7-01; 92-406, eff. 1-1-02; 92-624,
16 eff. 7-11-02; 92-651, eff. 7-11-02; 93-298, eff. 7-23-03;
17 93-708, eff. 1-1-05; 93-747, eff. 7-15-04; 93-924, eff.
18 8-12-04; 93-961, eff. 1-1-05; 93-983, eff. 8-23-04; 93-984,
19 eff. 8-23-04; 93-985, eff. 8-23-04; 93-986, eff. 8-23-04;
20 93-987, eff. 8-23-04; 93-995, eff. 8-23-04; 93-1024, eff.
21 8-25-04; 93-1076, eff. 1-18-05; revised 1-25-05.)
 
22     (65 ILCS 5/11-74.4-7)  (from Ch. 24, par. 11-74.4-7)
23     Sec. 11-74.4-7. Obligations secured by the special tax
24 allocation fund set forth in Section 11-74.4-8 for the
25 redevelopment project area may be issued to provide for
26 redevelopment project costs. Such obligations, when so issued,
27 shall be retired in the manner provided in the ordinance
28 authorizing the issuance of such obligations by the receipts of
29 taxes levied as specified in Section 11-74.4-9 against the
30 taxable property included in the area, by revenues as specified
31 by Section 11-74.4-8a and other revenue designated by the
32 municipality. A municipality may in the ordinance pledge all or
33 any part of the funds in and to be deposited in the special tax

 

 

09400HB3850ham001 - 46 - LRB094 11541 BDD 44263 a

1 allocation fund created pursuant to Section 11-74.4-8 to the
2 payment of the redevelopment project costs and obligations. Any
3 pledge of funds in the special tax allocation fund shall
4 provide for distribution to the taxing districts and to the
5 Illinois Department of Revenue of moneys not required, pledged,
6 earmarked, or otherwise designated for payment and securing of
7 the obligations and anticipated redevelopment project costs
8 and such excess funds shall be calculated annually and deemed
9 to be "surplus" funds. In the event a municipality only applies
10 or pledges a portion of the funds in the special tax allocation
11 fund for the payment or securing of anticipated redevelopment
12 project costs or of obligations, any such funds remaining in
13 the special tax allocation fund after complying with the
14 requirements of the application or pledge, shall also be
15 calculated annually and deemed "surplus" funds. All surplus
16 funds in the special tax allocation fund shall be distributed
17 annually within 180 days after the close of the municipality's
18 fiscal year by being paid by the municipal treasurer to the
19 County Collector, to the Department of Revenue and to the
20 municipality in direct proportion to the tax incremental
21 revenue received as a result of an increase in the equalized
22 assessed value of property in the redevelopment project area,
23 tax incremental revenue received from the State and tax
24 incremental revenue received from the municipality, but not to
25 exceed as to each such source the total incremental revenue
26 received from that source. The County Collector shall
27 thereafter make distribution to the respective taxing
28 districts in the same manner and proportion as the most recent
29 distribution by the county collector to the affected districts
30 of real property taxes from real property in the redevelopment
31 project area.
32     Without limiting the foregoing in this Section, the
33 municipality may in addition to obligations secured by the
34 special tax allocation fund pledge for a period not greater

 

 

09400HB3850ham001 - 47 - LRB094 11541 BDD 44263 a

1 than the term of the obligations towards payment of such
2 obligations any part or any combination of the following: (a)
3 net revenues of all or part of any redevelopment project; (b)
4 taxes levied and collected on any or all property in the
5 municipality; (c) the full faith and credit of the
6 municipality; (d) a mortgage on part or all of the
7 redevelopment project; or (e) any other taxes or anticipated
8 receipts that the municipality may lawfully pledge.
9     Such obligations may be issued in one or more series
10 bearing interest at such rate or rates as the corporate
11 authorities of the municipality shall determine by ordinance.
12 Such obligations shall bear such date or dates, mature at such
13 time or times not exceeding 20 years from their respective
14 dates, be in such denomination, carry such registration
15 privileges, be executed in such manner, be payable in such
16 medium of payment at such place or places, contain such
17 covenants, terms and conditions, and be subject to redemption
18 as such ordinance shall provide. Obligations issued pursuant to
19 this Act may be sold at public or private sale at such price as
20 shall be determined by the corporate authorities of the
21 municipalities. No referendum approval of the electors shall be
22 required as a condition to the issuance of obligations pursuant
23 to this Division except as provided in this Section.
24     In the event the municipality authorizes issuance of
25 obligations pursuant to the authority of this Division secured
26 by the full faith and credit of the municipality, which
27 obligations are other than obligations which may be issued
28 under home rule powers provided by Article VII, Section 6 of
29 the Illinois Constitution, or pledges taxes pursuant to (b) or
30 (c) of the second paragraph of this section, the ordinance
31 authorizing the issuance of such obligations or pledging such
32 taxes shall be published within 10 days after such ordinance
33 has been passed in one or more newspapers, with general
34 circulation within such municipality. The publication of the

 

 

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1 ordinance shall be accompanied by a notice of (1) the specific
2 number of voters required to sign a petition requesting the
3 question of the issuance of such obligations or pledging taxes
4 to be submitted to the electors; (2) the time in which such
5 petition must be filed; and (3) the date of the prospective
6 referendum. The municipal clerk shall provide a petition form
7 to any individual requesting one.
8     If no petition is filed with the municipal clerk, as
9 hereinafter provided in this Section, within 30 days after the
10 publication of the ordinance, the ordinance shall be in effect.
11 But, if within that 30 day period a petition is filed with the
12 municipal clerk, signed by electors in the municipality
13 numbering 10% or more of the number of registered voters in the
14 municipality, asking that the question of issuing obligations
15 using full faith and credit of the municipality as security for
16 the cost of paying for redevelopment project costs, or of
17 pledging taxes for the payment of such obligations, or both, be
18 submitted to the electors of the municipality, the corporate
19 authorities of the municipality shall call a special election
20 in the manner provided by law to vote upon that question, or,
21 if a general, State or municipal election is to be held within
22 a period of not less than 30 or more than 90 days from the date
23 such petition is filed, shall submit the question at the next
24 general, State or municipal election. If it appears upon the
25 canvass of the election by the corporate authorities that a
26 majority of electors voting upon the question voted in favor
27 thereof, the ordinance shall be in effect, but if a majority of
28 the electors voting upon the question are not in favor thereof,
29 the ordinance shall not take effect.
30     The ordinance authorizing the obligations may provide that
31 the obligations shall contain a recital that they are issued
32 pursuant to this Division, which recital shall be conclusive
33 evidence of their validity and of the regularity of their
34 issuance.

 

 

09400HB3850ham001 - 49 - LRB094 11541 BDD 44263 a

1     In the event the municipality authorizes issuance of
2 obligations pursuant to this Section secured by the full faith
3 and credit of the municipality, the ordinance authorizing the
4 obligations may provide for the levy and collection of a direct
5 annual tax upon all taxable property within the municipality
6 sufficient to pay the principal thereof and interest thereon as
7 it matures, which levy may be in addition to and exclusive of
8 the maximum of all other taxes authorized to be levied by the
9 municipality, which levy, however, shall be abated to the
10 extent that monies from other sources are available for payment
11 of the obligations and the municipality certifies the amount of
12 said monies available to the county clerk.
13     A certified copy of such ordinance shall be filed with the
14 county clerk of each county in which any portion of the
15 municipality is situated, and shall constitute the authority
16 for the extension and collection of the taxes to be deposited
17 in the special tax allocation fund.
18     A municipality may also issue its obligations to refund in
19 whole or in part, obligations theretofore issued by such
20 municipality under the authority of this Act, whether at or
21 prior to maturity, provided however, that the last maturity of
22 the refunding obligations shall not be expressed to mature
23 later than December 31 of the year in which the payment to the
24 municipal treasurer as provided in subsection (b) of Section
25 11-74.4-8 of this Act is to be made with respect to ad valorem
26 taxes levied in the twenty-third calendar year after the year
27 in which the ordinance approving the redevelopment project area
28 is adopted if the ordinance was adopted on or after January 15,
29 1981, and not later than December 31 of the year in which the
30 payment to the municipal treasurer as provided in subsection
31 (b) of Section 11-74.4-8 of this Act is to be made with respect
32 to ad valorem taxes levied in the thirty-fifth calendar year
33 after the year in which the ordinance approving the
34 redevelopment project area is adopted (A) if the ordinance was

 

 

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1 adopted before January 15, 1981, or (B) if the ordinance was
2 adopted in December 1983, April 1984, July 1985, or December
3 1989, or (C) if the ordinance was adopted in December, 1987 and
4 the redevelopment project is located within one mile of Midway
5 Airport, or (D) if the ordinance was adopted before January 1,
6 1987 by a municipality in Mason County, or (E) if the
7 municipality is subject to the Local Government Financial
8 Planning and Supervision Act or the Financially Distressed City
9 Law, or (F) if the ordinance was adopted in December 1984 by
10 the Village of Rosemont, or (G) if the ordinance was adopted on
11 December 31, 1986 by a municipality located in Clinton County
12 for which at least $250,000 of tax increment bonds were
13 authorized on June 17, 1997, or if the ordinance was adopted on
14 December 31, 1986 by a municipality with a population in 1990
15 of less than 3,600 that is located in a county with a
16 population in 1990 of less than 34,000 and for which at least
17 $250,000 of tax increment bonds were authorized on June 17,
18 1997, or (H) if the ordinance was adopted on October 5, 1982 by
19 the City of Kankakee, or (I) if the ordinance was adopted on
20 December 29, 1986 by East St. Louis, or if the ordinance was
21 adopted on November 12, 1991 by the Village of Sauget, or (J)
22 if the ordinance was adopted on February 11, 1985 by the City
23 of Rock Island, or (K) if the ordinance was adopted before
24 December 18, 1986 by the City of Moline, or (L) if the
25 ordinance was adopted in September 1988 by Sauk Village, or (M)
26 if the ordinance was adopted in October 1993 by Sauk Village,
27 or (N) if the ordinance was adopted on December 29, 1986 by the
28 City of Galva, or (O) if the ordinance was adopted in March
29 1991 by the City of Centreville, or (P) if the ordinance was
30 adopted on January 23, 1991 by the City of East St. Louis, or
31 (Q) if the ordinance was adopted on December 22, 1986 by the
32 City of Aledo, or (R) if the ordinance was adopted on February
33 5, 1990 by the City of Clinton, or (S) if the ordinance was
34 adopted on September 6, 1994 by the City of Freeport, or (T) if

 

 

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1 the ordinance was adopted on December 22, 1986 by the City of
2 Tuscola, or (U) if the ordinance was adopted on December 23,
3 1986 by the City of Sparta, or (V) if the ordinance was adopted
4 on December 23, 1986 by the City of Beardstown, or (W) if the
5 ordinance was adopted on April 27, 1981, October 21, 1985, or
6 December 30, 1986 by the City of Belleville, or (X) if the
7 ordinance was adopted on December 29, 1986 by the City of
8 Collinsville, or (Y) if the ordinance was adopted on September
9 14, 1994 by the City of Alton, or (Z) if the ordinance was
10 adopted on November 11, 1996 by the City of Lexington, or (AA)
11 if the ordinance was adopted on November 5, 1984 by the City of
12 LeRoy, or (BB) if the ordinance was adopted on April 3, 1991 or
13 June 3, 1992 by the City of Markham, or (CC) if the ordinance
14 was adopted on November 11, 1986 by the City of Pekin, or (DD)
15 (CC) if the ordinance was adopted on December 15, 1981 by the
16 City of Champaign, or (EE) (CC) if the ordinance was adopted on
17 December 15, 1986 by the City of Urbana, or (FF) (CC) if the
18 ordinance was adopted on December 15, 1986 by the Village of
19 Heyworth, or (GG) (CC) if the ordinance was adopted on February
20 24, 1992 by the Village of Heyworth, or (HH) (CC) if the
21 ordinance was adopted on March 16, 1995 by the Village of
22 Heyworth, or (II) (CC) if the ordinance was adopted on December
23 23, 1986 by the Town of Cicero, or (JJ) (CC) if the ordinance
24 was adopted on December 30, 1986 by the City of Effingham, or
25 (KK) (CC) if the ordinance was adopted on May 9, 1991 by the
26 Village of Tilton, or (LL) (CC) if the ordinance was adopted on
27 October 20, 1986 by the City of Elmhurst, or (MM) (CC) if the
28 ordinance was adopted on January 19, 1988 by the City of
29 Waukegan, or (NN) (DD) if the ordinance was adopted on
30 September 21, 1998 by the City of Waukegan, or (OO) if the
31 ordinance was adopted on December 31, 1986 by the City of
32 Oglesby, or (PP) if the ordinance was adopted on December 29,
33 1993 by the City of Ottawa and, for redevelopment project areas
34 for which bonds were issued before July 29, 1991, in connection

 

 

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1 with a redevelopment project in the area within the State Sales
2 Tax Boundary and which were extended by municipal ordinance
3 under subsection (n) of Section 11-74.4-3, the last maturity of
4 the refunding obligations shall not be expressed to mature
5 later than the date on which the redevelopment project area is
6 terminated or December 31, 2013, whichever date occurs first.
7     In the event a municipality issues obligations under home
8 rule powers or other legislative authority the proceeds of
9 which are pledged to pay for redevelopment project costs, the
10 municipality may, if it has followed the procedures in
11 conformance with this division, retire said obligations from
12 funds in the special tax allocation fund in amounts and in such
13 manner as if such obligations had been issued pursuant to the
14 provisions of this division.
15     All obligations heretofore or hereafter issued pursuant to
16 this Act shall not be regarded as indebtedness of the
17 municipality issuing such obligations or any other taxing
18 district for the purpose of any limitation imposed by law.
19 (Source: P.A. 92-263, eff. 8-7-01; 92-406, eff. 1-1-02; 92-624,
20 eff. 7-11-02; 92-651, eff. 7-11-02; 93-298, eff. 7-23-03;
21 93-708, eff. 1-1-05; 93-747, eff. 7-15-04; 93-924, eff.
22 8-12-04; 93-983, eff. 8-23-04; 93-984, eff. 8-23-04; 93-985,
23 eff. 8-23-04; 93-986, eff. 8-23-04; 93-987, eff. 8-23-04;
24 93-995, eff. 8-23-04; 93-1024, eff. 8-25-04; 93-1076, eff.
25 1-18-05; revised 1-25-05.)
 
26     Section 99. Effective date. This Act takes effect upon
27 becoming law.".