95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
HB5747

 

Introduced , by Rep. Dave Winters

 

SYNOPSIS AS INTRODUCED:
 
65 ILCS 5/8-11-20

    Amends the Illinois Municipal Code. Provides that certain economic incentive agreements entered into on or after the effective date of this amendatory Act shall not be in effect for more than 15 years.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1     AN ACT concerning local government.
 
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
 
4     Section 5. The Illinois Municipal Code is amended by
5 changing Section 8-11-20 as follows:
 
6     (65 ILCS 5/8-11-20)
7     Sec. 8-11-20. Economic incentive agreements. The corporate
8 authorities of a municipality may enter into an economic
9 incentive agreement relating to the development or
10 redevelopment of land within the corporate limits of the
11 municipality. Under this agreement, the municipality may agree
12 to share or rebate a portion of any retailers' occupation taxes
13 received by the municipality that were generated by the
14 development or redevelopment over a finite period of time,
15 provided that no agreement entered into under this Section on
16 or after the effective date of this amendatory Act of the 95th
17 General Assembly may be in effect for more than 15 years.
18 Before entering into the agreement authorized by this Section,
19 the corporate authorities shall make the following findings:
20     (1) If the property subject to the agreement is vacant:
21         (A) that the property has remained vacant for at least
22     one year, or
23         (B) that any building located on the property was

 

 

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1     demolished within the last year and that the building would
2     have qualified under finding (2) of this Section;
3     (2) If the property subject to the agreement is currently
4 developed:
5         (A) that the buildings on the property no longer comply
6     with current building codes, or
7         (B) that the buildings on the property have remained
8     less than significantly unoccupied or underutilized for a
9     period of at least one year;
10     (3) That the project is expected to create or retain job
11 opportunities within the municipality;
12     (4) That the project will serve to further the development
13 of adjacent areas;
14     (5) That without the agreement, the project would not be
15 possible;
16     (6) That the developer meets high standards of
17 creditworthiness and financial strength as demonstrated by one
18 or more of the following:
19         (A) corporate debenture ratings of BBB or higher by
20     Standard & Poor's Corporation or Baa or higher by Moody's
21     Investors Service, Inc.;
22         (B) a letter from a financial institution with assets
23     of $10,000,000 or more attesting to the financial strength
24     of the developer; or
25         (C) specific evidence of equity financing for not less
26     than 10% of the total project costs;

 

 

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1     (7) That the project will strengthen the commercial sector
2 of the municipality;
3     (8) That the project will enhance the tax base of the
4 municipality; and
5     (9) That the agreement is made in the best interest of the
6 municipality.
7 (Source: P.A. 92-263, eff. 8-7-01.)