Rep. Cynthia Soto

Filed: 3/7/2011

 

 


 

 


 
09700HB1976ham001LRB097 09108 KMW 51502 a

1
AMENDMENT TO HOUSE BILL 1976

2    AMENDMENT NO. ______. Amend House Bill 1976 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Illinois Municipal Code is amended by
5changing Section 11-74.4-3 and 11-74.4-4 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
8used or referred to in this Division 74.4 shall have the
9following respective meanings, unless in any case a different
10meaning clearly appears from the context.
11    (a) For any redevelopment project area that has been
12designated pursuant to this Section by an ordinance adopted
13prior to November 1, 1999 (the effective date of Public Act
1491-478), "blighted area" shall have the meaning set forth in
15this Section prior to that date.
16    On and after November 1, 1999, "blighted area" means any

 

 

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1improved or vacant area within the boundaries of a
2redevelopment project area located within the territorial
3limits of the municipality where:
4        (1) If improved, industrial, commercial, and
5    residential buildings or improvements are detrimental to
6    the public safety, health, or welfare because of a
7    combination of 5 or more of the following factors, each of
8    which is (i) 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) reasonably distributed throughout the
12    improved part of the redevelopment project area:
13            (A) Dilapidation. An advanced state of disrepair
14        or neglect of necessary repairs to the primary
15        structural components of buildings or improvements in
16        such a combination that a documented building
17        condition analysis determines that major repair is
18        required or the defects are so serious and so extensive
19        that the buildings must be removed.
20            (B) Obsolescence. The condition or process of
21        falling into disuse. Structures have become ill-suited
22        for the original use.
23            (C) Deterioration. With respect to buildings,
24        defects including, but not limited to, major defects in
25        the secondary building components such as doors,
26        windows, porches, gutters and downspouts, and fascia.

 

 

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1        With respect to surface improvements, that the
2        condition of roadways, alleys, curbs, gutters,
3        sidewalks, off-street parking, and surface storage
4        areas evidence deterioration, including, but not
5        limited to, surface cracking, crumbling, potholes,
6        depressions, loose paving material, and weeds
7        protruding through paved surfaces.
8            (D) Presence of structures below minimum code
9        standards. All structures that do not meet the
10        standards of zoning, subdivision, building, fire, and
11        other governmental codes applicable to property, but
12        not including housing and property maintenance codes.
13            (E) Illegal use of individual structures. The use
14        of structures in violation of applicable federal,
15        State, or local laws, exclusive of those applicable to
16        the presence of structures below minimum code
17        standards.
18            (F) Excessive vacancies. The presence of buildings
19        that are unoccupied or under-utilized and that
20        represent an adverse influence on the area because of
21        the frequency, extent, or duration of the vacancies.
22            (G) Lack of ventilation, light, or sanitary
23        facilities. The absence of adequate ventilation for
24        light or air circulation in spaces or rooms without
25        windows, or that require the removal of dust, odor,
26        gas, smoke, or other noxious airborne materials.

 

 

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1        Inadequate natural light and ventilation means the
2        absence of skylights or windows for interior spaces or
3        rooms and improper window sizes and amounts by room
4        area to window area ratios. Inadequate sanitary
5        facilities refers to the absence or inadequacy of
6        garbage storage and enclosure, bathroom facilities,
7        hot water and kitchens, and structural inadequacies
8        preventing ingress and egress to and from all rooms and
9        units within a building.
10            (H) Inadequate utilities. Underground and overhead
11        utilities such as storm sewers and storm drainage,
12        sanitary sewers, water lines, and gas, telephone, and
13        electrical services that are shown to be inadequate.
14        Inadequate utilities are those that are: (i) of
15        insufficient capacity to serve the uses in the
16        redevelopment project area, (ii) deteriorated,
17        antiquated, obsolete, or in disrepair, or (iii)
18        lacking within the redevelopment project area.
19            (I) Excessive land coverage and overcrowding of
20        structures and community facilities. The
21        over-intensive use of property and the crowding of
22        buildings and accessory facilities onto a site.
23        Examples of problem conditions warranting the
24        designation of an area as one exhibiting excessive land
25        coverage are: (i) the presence of buildings either
26        improperly situated on parcels or located on parcels of

 

 

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1        inadequate size and shape in relation to present-day
2        standards of development for health and safety and (ii)
3        the presence of multiple buildings on a single parcel.
4        For there to be a finding of excessive land coverage,
5        these parcels must exhibit one or more of the following
6        conditions: insufficient provision for light and air
7        within or around buildings, increased threat of spread
8        of fire due to the close proximity of buildings, lack
9        of adequate or proper access to a public right-of-way,
10        lack of reasonably required off-street parking, or
11        inadequate provision for loading and service.
12            (J) Deleterious land use or layout. The existence
13        of incompatible land-use relationships, buildings
14        occupied by inappropriate mixed-uses, or uses
15        considered to be noxious, offensive, or unsuitable for
16        the surrounding area.
17            (K) Environmental clean-up. The proposed
18        redevelopment project area has incurred Illinois
19        Environmental Protection Agency or United States
20        Environmental Protection Agency remediation costs for,
21        or a study conducted by an independent consultant
22        recognized as having expertise in environmental
23        remediation has determined a need for, the clean-up of
24        hazardous waste, hazardous substances, or underground
25        storage tanks required by State or federal law,
26        provided that the remediation costs constitute a

 

 

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1        material impediment to the development or
2        redevelopment of the redevelopment project area.
3            (L) Lack of community planning. The proposed
4        redevelopment project area was developed prior to or
5        without the benefit or guidance of a community plan.
6        This means that the development occurred prior to the
7        adoption by the municipality of a comprehensive or
8        other community plan or that the plan was not followed
9        at the time of the area's development. This factor must
10        be documented by evidence of adverse or incompatible
11        land-use relationships, inadequate street layout,
12        improper subdivision, parcels of inadequate shape and
13        size to meet contemporary development standards, or
14        other evidence demonstrating an absence of effective
15        community planning.
16            (M) The total equalized assessed value of the
17        proposed redevelopment project area has declined for 3
18        of the last 5 calendar years prior to the year in which
19        the redevelopment project area is designated or is
20        increasing at an annual rate that is less than the
21        balance of the municipality for 3 of the last 5
22        calendar years for which information is available or is
23        increasing at an annual rate that is less than the
24        Consumer Price Index for All Urban Consumers published
25        by the United States Department of Labor or successor
26        agency for 3 of the last 5 calendar years prior to the

 

 

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1        year in which the redevelopment project area is
2        designated.
3        (2) If vacant, the sound growth of the redevelopment
4    project area is impaired by a combination of 2 or more of
5    the following factors, each of which is (i) present, with
6    that presence documented, to a meaningful extent so that a
7    municipality may reasonably find that the factor is clearly
8    present within the intent of the Act and (ii) reasonably
9    distributed throughout the vacant part of the
10    redevelopment project area to which it pertains:
11            (A) Obsolete platting of vacant land that results
12        in parcels of limited or narrow size or configurations
13        of parcels of irregular size or shape that would be
14        difficult to develop on a planned basis and in a manner
15        compatible with contemporary standards and
16        requirements, or platting that failed to create
17        rights-of-ways for streets or alleys or that created
18        inadequate right-of-way widths for streets, alleys, or
19        other public rights-of-way or that omitted easements
20        for public utilities.
21            (B) Diversity of ownership of parcels of vacant
22        land sufficient in number to retard or impede the
23        ability to assemble the land for development.
24            (C) Tax and special assessment delinquencies exist
25        or the property has been the subject of tax sales under
26        the Property Tax Code within the last 5 years.

 

 

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1            (D) Deterioration of structures or site
2        improvements in neighboring areas adjacent to the
3        vacant land.
4            (E) The area has incurred Illinois Environmental
5        Protection Agency or United States Environmental
6        Protection Agency remediation costs for, or a study
7        conducted by an independent consultant recognized as
8        having expertise in environmental remediation has
9        determined a need for, the clean-up of hazardous waste,
10        hazardous substances, or underground storage tanks
11        required by State or federal law, provided that the
12        remediation costs constitute a material impediment to
13        the development or redevelopment of the redevelopment
14        project area.
15            (F) The total equalized assessed value of the
16        proposed redevelopment project area has declined for 3
17        of the last 5 calendar years prior to the year in which
18        the redevelopment project area is designated or is
19        increasing at an annual rate that is less than the
20        balance of the municipality for 3 of the last 5
21        calendar years for which information is available or is
22        increasing at an annual rate that is less than the
23        Consumer Price Index for All Urban Consumers published
24        by the United States Department of Labor or successor
25        agency for 3 of the last 5 calendar years prior to the
26        year in which the redevelopment project area is

 

 

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1        designated.
2        (3) If vacant, the sound growth of the redevelopment
3    project area is impaired by one of the following factors
4    that (i) is present, with that presence documented, to a
5    meaningful extent so that a municipality may reasonably
6    find that the factor is clearly present within the intent
7    of the Act and (ii) is reasonably distributed throughout
8    the vacant part of the redevelopment project area to which
9    it pertains:
10            (A) The area consists of one or more unused
11        quarries, mines, or strip mine ponds.
12            (B) The area consists of unused rail yards, rail
13        tracks, or railroad rights-of-way.
14            (C) The area, prior to its designation, is subject
15        to (i) chronic flooding that adversely impacts on real
16        property in the area as certified by a registered
17        professional engineer or appropriate regulatory agency
18        or (ii) surface water that discharges from all or a
19        part of the area and contributes to flooding within the
20        same watershed, but only if the redevelopment project
21        provides for facilities or improvements to contribute
22        to the alleviation of all or part of the flooding.
23            (D) The area consists of an unused or illegal
24        disposal site containing earth, stone, building
25        debris, or similar materials that were removed from
26        construction, demolition, excavation, or dredge sites.

 

 

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1            (E) Prior to November 1, 1999, the area is not less
2        than 50 nor more than 100 acres and 75% of which is
3        vacant (notwithstanding that the area has been used for
4        commercial agricultural purposes within 5 years prior
5        to the designation of the redevelopment project area),
6        and the area meets at least one of the factors itemized
7        in paragraph (1) of this subsection, the area has been
8        designated as a town or village center by ordinance or
9        comprehensive plan adopted prior to January 1, 1982,
10        and the area has not been developed for that designated
11        purpose.
12            (F) The area qualified as a blighted improved area
13        immediately prior to becoming vacant, unless there has
14        been substantial private investment in the immediately
15        surrounding area.
16    (b) For any redevelopment project area that has been
17designated pursuant to this Section by an ordinance adopted
18prior to November 1, 1999 (the effective date of Public Act
1991-478), "conservation area" shall have the meaning set forth
20in this Section prior to that date.
21    On and after November 1, 1999, "conservation area" means
22any improved area within the boundaries of a redevelopment
23project area located within the territorial limits of the
24municipality in which 50% or more of the structures in the area
25have an age of 35 years or more. Such an area is not yet a
26blighted area but because of a combination of 3 or more of the

 

 

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1following factors is detrimental to the public safety, health,
2morals or welfare and such an area may become a blighted area:
3        (1) Dilapidation. An advanced state of disrepair or
4    neglect of necessary repairs to the primary structural
5    components of buildings or improvements in such a
6    combination that a documented building condition analysis
7    determines that major repair is required or the defects are
8    so serious and so extensive that the buildings must be
9    removed.
10        (2) Obsolescence. The condition or process of falling
11    into disuse. Structures have become ill-suited for the
12    original use.
13        (3) Deterioration. With respect to buildings, defects
14    including, but not limited to, major defects in the
15    secondary building components such as doors, windows,
16    porches, gutters and downspouts, and fascia. With respect
17    to surface improvements, that the condition of roadways,
18    alleys, curbs, gutters, sidewalks, off-street parking, and
19    surface storage areas evidence deterioration, including,
20    but not limited to, surface cracking, crumbling, potholes,
21    depressions, loose paving material, and weeds protruding
22    through paved surfaces.
23        (4) Presence of structures below minimum code
24    standards. All structures that do not meet the standards of
25    zoning, subdivision, building, fire, and other
26    governmental codes applicable to property, but not

 

 

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1    including housing and property maintenance codes.
2        (5) Illegal use of individual structures. The use of
3    structures in violation of applicable federal, State, or
4    local laws, exclusive of those applicable to the presence
5    of structures below minimum code standards.
6        (6) Excessive vacancies. The presence of buildings
7    that are unoccupied or under-utilized and that represent an
8    adverse influence on the area because of the frequency,
9    extent, or duration of the vacancies.
10        (7) Lack of ventilation, light, or sanitary
11    facilities. The absence of adequate ventilation for light
12    or air circulation in spaces or rooms without windows, or
13    that require the removal of dust, odor, gas, smoke, or
14    other noxious airborne materials. Inadequate natural light
15    and ventilation means the absence or inadequacy of
16    skylights or windows for interior spaces or rooms and
17    improper window sizes and amounts by room area to window
18    area ratios. Inadequate sanitary facilities refers to the
19    absence or inadequacy of garbage storage and enclosure,
20    bathroom facilities, hot water and kitchens, and
21    structural inadequacies preventing ingress and egress to
22    and from all rooms and units within a building.
23        (8) Inadequate utilities. Underground and overhead
24    utilities such as storm sewers and storm drainage, sanitary
25    sewers, water lines, and gas, telephone, and electrical
26    services that are shown to be inadequate. Inadequate

 

 

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

 

 

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1    area.
2        (11) Lack of community planning. The proposed
3    redevelopment project area was developed prior to or
4    without the benefit or guidance of a community plan. This
5    means that the development occurred prior to the adoption
6    by the municipality of a comprehensive or other community
7    plan or that the plan was not followed at the time of the
8    area's development. This factor must be documented by
9    evidence of adverse or incompatible land-use
10    relationships, inadequate street layout, improper
11    subdivision, parcels of inadequate shape and size to meet
12    contemporary development standards, or other evidence
13    demonstrating an absence of effective community planning.
14        (12) The area has incurred Illinois Environmental
15    Protection Agency or United States Environmental
16    Protection Agency remediation costs for, or a study
17    conducted by an independent consultant recognized as
18    having expertise in environmental remediation has
19    determined a need for, the clean-up of hazardous waste,
20    hazardous substances, or underground storage tanks
21    required by State or federal law, provided that the
22    remediation costs constitute a material impediment to the
23    development or redevelopment of the redevelopment project
24    area.
25        (13) The total equalized assessed value of the proposed
26    redevelopment project area has declined for 3 of the last 5

 

 

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1    calendar years for which information is available or is
2    increasing at an annual rate that is less than the balance
3    of the municipality for 3 of the last 5 calendar years for
4    which information is available or is increasing at an
5    annual rate that is less than the Consumer Price Index for
6    All Urban Consumers published by the United States
7    Department of Labor or successor agency for 3 of the last 5
8    calendar years for which information is available.
9    (c) "Industrial park" means an area in a blighted or
10conservation area suitable for use by any manufacturing,
11industrial, research or transportation enterprise, of
12facilities to include but not be limited to factories, mills,
13processing plants, assembly plants, packing plants,
14fabricating plants, industrial distribution centers,
15warehouses, repair overhaul or service facilities, freight
16terminals, research facilities, test facilities or railroad
17facilities.
18    (d) "Industrial park conservation area" means an area
19within the boundaries of a redevelopment project area located
20within the territorial limits of a municipality that is a labor
21surplus municipality or within 1 1/2 miles of the territorial
22limits of a municipality that is a labor surplus municipality
23if the area is annexed to the municipality; which area is zoned
24as industrial no later than at the time the municipality by
25ordinance designates the redevelopment project area, and which
26area includes both vacant land suitable for use as an

 

 

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1industrial park and a blighted area or conservation area
2contiguous to such vacant land.
3    (e) "Labor surplus municipality" means a municipality in
4which, at any time during the 6 months before the municipality
5by ordinance designates an industrial park conservation area,
6the unemployment rate was over 6% and was also 100% or more of
7the national average unemployment rate for that same time as
8published in the United States Department of Labor Bureau of
9Labor Statistics publication entitled "The Employment
10Situation" or its successor publication. For the purpose of
11this subsection, if unemployment rate statistics for the
12municipality are not available, the unemployment rate in the
13municipality shall be deemed to be the same as the unemployment
14rate in the principal county in which the municipality is
15located.
16    (f) "Municipality" shall mean a city, village,
17incorporated town, or a township that is located in the
18unincorporated portion of a county with 3 million or more
19inhabitants, if the county adopted an ordinance that approved
20the township's redevelopment plan.
21    (g) "Initial Sales Tax Amounts" means the amount of taxes
22paid under the Retailers' Occupation Tax Act, Use Tax Act,
23Service Use Tax Act, the Service Occupation Tax Act, the
24Municipal Retailers' Occupation Tax Act, and the Municipal
25Service Occupation Tax Act by retailers and servicemen on
26transactions at places located in a State Sales Tax Boundary

 

 

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1during the calendar year 1985.
2    (g-1) "Revised Initial Sales Tax Amounts" means the amount
3of taxes paid under the Retailers' Occupation Tax Act, Use Tax
4Act, Service Use Tax Act, the Service Occupation Tax Act, the
5Municipal Retailers' Occupation Tax Act, and the Municipal
6Service Occupation Tax Act by retailers and servicemen on
7transactions at places located within the State Sales Tax
8Boundary revised pursuant to Section 11-74.4-8a(9) of this Act.
9    (h) "Municipal Sales Tax Increment" means an amount equal
10to the increase in the aggregate amount of taxes paid to a
11municipality from the Local Government Tax Fund arising from
12sales by retailers and servicemen within the redevelopment
13project area or State Sales Tax Boundary, as the case may be,
14for as long as the redevelopment project area or State Sales
15Tax Boundary, as the case may be, exist over and above the
16aggregate amount of taxes as certified by the Illinois
17Department of Revenue and paid under the Municipal Retailers'
18Occupation Tax Act and the Municipal Service Occupation Tax Act
19by retailers and servicemen, on transactions at places of
20business located in the redevelopment project area or State
21Sales Tax Boundary, as the case may be, during the base year
22which shall be the calendar year immediately prior to the year
23in which the municipality adopted tax increment allocation
24financing. For purposes of computing the aggregate amount of
25such taxes for base years occurring prior to 1985, the
26Department of Revenue shall determine the Initial Sales Tax

 

 

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1Amounts for such taxes and deduct therefrom an amount equal to
24% of the aggregate amount of taxes per year for each year the
3base year is prior to 1985, but not to exceed a total deduction
4of 12%. The amount so determined shall be known as the
5"Adjusted Initial Sales Tax Amounts". For purposes of
6determining the Municipal Sales Tax Increment, the Department
7of Revenue shall for each period subtract from the amount paid
8to the municipality from the Local Government Tax Fund arising
9from sales by retailers and servicemen on transactions located
10in the redevelopment project area or the State Sales Tax
11Boundary, as the case may be, the certified Initial Sales Tax
12Amounts, the Adjusted Initial Sales Tax Amounts or the Revised
13Initial Sales Tax Amounts for the Municipal Retailers'
14Occupation Tax Act and the Municipal Service Occupation Tax
15Act. For the State Fiscal Year 1989, this calculation shall be
16made by utilizing the calendar year 1987 to determine the tax
17amounts received. For the State Fiscal Year 1990, this
18calculation shall be made by utilizing the period from January
191, 1988, until September 30, 1988, to determine the tax amounts
20received from retailers and servicemen pursuant to the
21Municipal Retailers' Occupation Tax and the Municipal Service
22Occupation Tax Act, which shall have deducted therefrom
23nine-twelfths of the certified Initial Sales Tax Amounts, the
24Adjusted Initial Sales Tax Amounts or the Revised Initial Sales
25Tax Amounts as appropriate. For the State Fiscal Year 1991,
26this calculation shall be made by utilizing the period from

 

 

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1October 1, 1988, to June 30, 1989, to determine the tax amounts
2received from retailers and servicemen pursuant to the
3Municipal Retailers' Occupation Tax and the Municipal Service
4Occupation Tax Act which shall have deducted therefrom
5nine-twelfths of the certified Initial Sales Tax Amounts,
6Adjusted Initial Sales Tax Amounts or the Revised Initial Sales
7Tax Amounts as appropriate. For every State Fiscal Year
8thereafter, the applicable period shall be the 12 months
9beginning July 1 and ending June 30 to determine the tax
10amounts received which shall have deducted therefrom the
11certified Initial Sales Tax Amounts, the Adjusted Initial Sales
12Tax Amounts or the Revised Initial Sales Tax Amounts, as the
13case may be.
14    (i) "Net State Sales Tax Increment" means the sum of the
15following: (a) 80% of the first $100,000 of State Sales Tax
16Increment annually generated within a State Sales Tax Boundary;
17(b) 60% of the amount in excess of $100,000 but not exceeding
18$500,000 of State Sales Tax Increment annually generated within
19a State Sales Tax Boundary; and (c) 40% of all amounts in
20excess of $500,000 of State Sales Tax Increment annually
21generated within a State Sales Tax Boundary. If, however, a
22municipality established a tax increment financing district in
23a county with a population in excess of 3,000,000 before
24January 1, 1986, and the municipality entered into a contract
25or issued bonds after January 1, 1986, but before December 31,
261986, to finance redevelopment project costs within a State

 

 

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1Sales Tax Boundary, then the Net State Sales Tax Increment
2means, for the fiscal years beginning July 1, 1990, and July 1,
31991, 100% of the State Sales Tax Increment annually generated
4within a State Sales Tax Boundary; and notwithstanding any
5other provision of this Act, for those fiscal years the
6Department of Revenue shall distribute to those municipalities
7100% of their Net State Sales Tax Increment before any
8distribution to any other municipality and regardless of
9whether or not those other municipalities will receive 100% of
10their Net State Sales Tax Increment. For Fiscal Year 1999, and
11every year thereafter until the year 2007, for any municipality
12that has not entered into a contract or has not issued bonds
13prior to June 1, 1988 to finance redevelopment project costs
14within a State Sales Tax Boundary, the Net State Sales Tax
15Increment shall be calculated as follows: By multiplying the
16Net State Sales Tax Increment by 90% in the State Fiscal Year
171999; 80% in the State Fiscal Year 2000; 70% in the State
18Fiscal Year 2001; 60% in the State Fiscal Year 2002; 50% in the
19State Fiscal Year 2003; 40% in the State Fiscal Year 2004; 30%
20in the State Fiscal Year 2005; 20% in the State Fiscal Year
212006; and 10% in the State Fiscal Year 2007. No payment shall
22be made for State Fiscal Year 2008 and thereafter.
23    Municipalities that issued bonds in connection with a
24redevelopment project in a redevelopment project area within
25the State Sales Tax Boundary prior to July 29, 1991, or that
26entered into contracts in connection with a redevelopment

 

 

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1project in a redevelopment project area before June 1, 1988,
2shall continue to receive their proportional share of the
3Illinois Tax Increment Fund distribution until the date on
4which the redevelopment project is completed or terminated. If,
5however, a municipality that issued bonds in connection with a
6redevelopment project in a redevelopment project area within
7the State Sales Tax Boundary prior to July 29, 1991 retires the
8bonds prior to June 30, 2007 or a municipality that entered
9into contracts in connection with a redevelopment project in a
10redevelopment project area before June 1, 1988 completes the
11contracts prior to June 30, 2007, then so long as the
12redevelopment project is not completed or is not terminated,
13the Net State Sales Tax Increment shall be calculated,
14beginning on the date on which the bonds are retired or the
15contracts are completed, as follows: By multiplying the Net
16State Sales Tax Increment by 60% in the State Fiscal Year 2002;
1750% in the State Fiscal Year 2003; 40% in the State Fiscal Year
182004; 30% in the State Fiscal Year 2005; 20% in the State
19Fiscal Year 2006; and 10% in the State Fiscal Year 2007. No
20payment shall be made for State Fiscal Year 2008 and
21thereafter. Refunding of any bonds issued prior to July 29,
221991, shall not alter the Net State Sales Tax Increment.
23    (j) "State Utility Tax Increment Amount" means an amount
24equal to the aggregate increase in State electric and gas tax
25charges imposed on owners and tenants, other than residential
26customers, of properties located within the redevelopment

 

 

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1project area under Section 9-222 of the Public Utilities Act,
2over and above the aggregate of such charges as certified by
3the Department of Revenue and paid by owners and tenants, other
4than residential customers, of properties within the
5redevelopment project area during the base year, which shall be
6the calendar year immediately prior to the year of the adoption
7of the ordinance authorizing tax increment allocation
8financing.
9    (k) "Net State Utility Tax Increment" means the sum of the
10following: (a) 80% of the first $100,000 of State Utility Tax
11Increment annually generated by a redevelopment project area;
12(b) 60% of the amount in excess of $100,000 but not exceeding
13$500,000 of the State Utility Tax Increment annually generated
14by a redevelopment project area; and (c) 40% of all amounts in
15excess of $500,000 of State Utility Tax Increment annually
16generated by a redevelopment project area. For the State Fiscal
17Year 1999, and every year thereafter until the year 2007, for
18any municipality that has not entered into a contract or has
19not issued bonds prior to June 1, 1988 to finance redevelopment
20project costs within a redevelopment project area, the Net
21State Utility Tax Increment shall be calculated as follows: By
22multiplying the Net State Utility Tax Increment by 90% in the
23State Fiscal Year 1999; 80% in the State Fiscal Year 2000; 70%
24in the State Fiscal Year 2001; 60% in the State Fiscal Year
252002; 50% in the State Fiscal Year 2003; 40% in the State
26Fiscal Year 2004; 30% in the State Fiscal Year 2005; 20% in the

 

 

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1State Fiscal Year 2006; and 10% in the State Fiscal Year 2007.
2No payment shall be made for the State Fiscal Year 2008 and
3thereafter.
4    Municipalities that issue bonds in connection with the
5redevelopment project during the period from June 1, 1988 until
63 years after the effective date of this Amendatory Act of 1988
7shall receive the Net State Utility Tax Increment, subject to
8appropriation, for 15 State Fiscal Years after the issuance of
9such bonds. For the 16th through the 20th State Fiscal Years
10after issuance of the bonds, the Net State Utility Tax
11Increment shall be calculated as follows: By multiplying the
12Net State Utility Tax Increment by 90% in year 16; 80% in year
1317; 70% in year 18; 60% in year 19; and 50% in year 20.
14Refunding of any bonds issued prior to June 1, 1988, shall not
15alter the revised Net State Utility Tax Increment payments set
16forth above.
17    (l) "Obligations" mean bonds, loans, debentures, notes,
18special certificates or other evidence of indebtedness issued
19by the municipality to carry out a redevelopment project or to
20refund outstanding obligations.
21    (m) "Payment in lieu of taxes" means those estimated tax
22revenues from real property in a redevelopment project area
23derived from real property that has been acquired by a
24municipality which according to the redevelopment project or
25plan is to be used for a private use which taxing districts
26would have received had a municipality not acquired the real

 

 

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1property and adopted tax increment allocation financing and
2which would result from levies made after the time of the
3adoption of tax increment allocation financing to the time the
4current equalized value of real property in the redevelopment
5project area exceeds the total initial equalized value of real
6property in said area.
7    (n) "Redevelopment plan" means the comprehensive program
8of the municipality for development or redevelopment intended
9by the payment of redevelopment project costs to reduce or
10eliminate those conditions the existence of which qualified the
11redevelopment project area as a "blighted area" or
12"conservation area" or combination thereof or "industrial park
13conservation area," and thereby to enhance the tax bases of the
14taxing districts which extend into the redevelopment project
15area. On and after November 1, 1999 (the effective date of
16Public Act 91-478), no redevelopment plan may be approved or
17amended that includes the development of vacant land (i) with a
18golf course and related clubhouse and other facilities or (ii)
19designated by federal, State, county, or municipal government
20as public land for outdoor recreational activities or for
21nature preserves and used for that purpose within 5 years prior
22to the adoption of the redevelopment plan. For the purpose of
23this subsection, "recreational activities" is limited to mean
24camping and hunting. Each redevelopment plan shall set forth in
25writing the program to be undertaken to accomplish the
26objectives and shall include but not be limited to:

 

 

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1        (A) an itemized list of estimated redevelopment
2    project costs;
3        (B) evidence indicating that the redevelopment project
4    area on the whole has not been subject to growth and
5    development through investment by private enterprise;
6        (C) an assessment of any financial impact of the
7    redevelopment project area on or any increased demand for
8    services from any taxing district affected by the plan and
9    any program to address such financial impact or increased
10    demand;
11        (D) the sources of funds to pay costs;
12        (E) the nature and term of the obligations to be
13    issued;
14        (F) the most recent equalized assessed valuation of the
15    redevelopment project area;
16        (G) an estimate as to the equalized assessed valuation
17    after redevelopment and the general land uses to apply in
18    the redevelopment project area;
19        (H) a commitment to fair employment practices and an
20    affirmative action plan;
21        (I) if it concerns an industrial park conservation
22    area, the plan shall also include a general description of
23    any proposed developer, user and tenant of any property, a
24    description of the type, structure and general character of
25    the facilities to be developed, a description of the type,
26    class and number of new employees to be employed in the

 

 

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1    operation of the facilities to be developed; and
2        (J) if property is to be annexed to the municipality,
3    the plan shall include the terms of the annexation
4    agreement.
5    The provisions of items (B) and (C) of this subsection (n)
6shall not apply to a municipality that before March 14, 1994
7(the effective date of Public Act 88-537) had fixed, either by
8its corporate authorities or by a commission designated under
9subsection (k) of Section 11-74.4-4, a time and place for a
10public hearing as required by subsection (a) of Section
1111-74.4-5. No redevelopment plan shall be adopted unless a
12municipality complies with all of the following requirements:
13        (1) The municipality finds that the redevelopment
14    project area on the whole has not been subject to growth
15    and development through investment by private enterprise
16    and would not reasonably be anticipated to be developed
17    without the adoption of the redevelopment plan.
18        (2) The municipality finds that the redevelopment plan
19    and project conform to the comprehensive plan for the
20    development of the municipality as a whole, or, for
21    municipalities with a population of 100,000 or more,
22    regardless of when the redevelopment plan and project was
23    adopted, the redevelopment plan and project either: (i)
24    conforms to the strategic economic development or
25    redevelopment plan issued by the designated planning
26    authority of the municipality, or (ii) includes land uses

 

 

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1    that have been approved by the planning commission of the
2    municipality.
3        (3) The redevelopment plan establishes the estimated
4    dates of completion of the redevelopment project and
5    retirement of obligations issued to finance redevelopment
6    project costs. Those dates may not be later than the dates
7    set forth under Section 11-74.4-3.5.
8        A municipality may by municipal ordinance amend an
9    existing redevelopment plan to conform to this paragraph
10    (3) as amended by Public Act 91-478, which municipal
11    ordinance may be adopted without further hearing or notice
12    and without complying with the procedures provided in this
13    Act pertaining to an amendment to or the initial approval
14    of a redevelopment plan and project and designation of a
15    redevelopment project area.
16        (3.5) The municipality finds, in the case of an
17    industrial park conservation area, also that the
18    municipality is a labor surplus municipality and that the
19    implementation of the redevelopment plan will reduce
20    unemployment, create new jobs and by the provision of new
21    facilities enhance the tax base of the taxing districts
22    that extend into the redevelopment project area.
23        (4) If any incremental revenues are being utilized
24    under Section 8(a)(1) or 8(a)(2) of this Act in
25    redevelopment project areas approved by ordinance after
26    January 1, 1986, the municipality finds: (a) that the

 

 

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1    redevelopment project area would not reasonably be
2    developed without the use of such incremental revenues, and
3    (b) that such incremental revenues will be exclusively
4    utilized for the development of the redevelopment project
5    area.
6        (5) If the redevelopment plan will not result in
7    displacement of residents from 10 or more inhabited
8    residential units, and the municipality certifies in the
9    plan that such displacement will not result from the plan,
10    a housing impact study need not be performed. If, however,
11    the redevelopment plan would result in the displacement of
12    residents from 10 or more inhabited residential units, or
13    if the redevelopment project area contains 75 or more
14    inhabited residential units and no certification is made,
15    then the municipality shall prepare, as part of the
16    separate feasibility report required by subsection (a) of
17    Section 11-74.4-5, a housing impact study.
18        Part I of the housing impact study shall include (i)
19    data as to whether the residential units are single family
20    or multi-family units, (ii) the number and type of rooms
21    within the units, if that information is available, (iii)
22    whether the units are inhabited or uninhabited, as
23    determined not less than 45 days before the date that the
24    ordinance or resolution required by subsection (a) of
25    Section 11-74.4-5 is passed, and (iv) data as to the racial
26    and ethnic composition of the residents in the inhabited

 

 

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1    residential units. The data requirement as to the racial
2    and ethnic composition of the residents in the inhabited
3    residential units shall be deemed to be fully satisfied by
4    data from the most recent federal census.
5        Part II of the housing impact study shall identify the
6    inhabited residential units in the proposed redevelopment
7    project area that are to be or may be removed. If inhabited
8    residential units are to be removed, then the housing
9    impact study shall identify (i) the number and location of
10    those units that will or may be removed, (ii) the
11    municipality's plans for relocation assistance for those
12    residents in the proposed redevelopment project area whose
13    residences are to be removed, (iii) the availability of
14    replacement housing for those residents whose residences
15    are to be removed, and shall identify the type, location,
16    and cost of the housing, and (iv) the type and extent of
17    relocation assistance to be provided.
18        (6) On and after November 1, 1999, the housing impact
19    study required by paragraph (5) shall be incorporated in
20    the redevelopment plan for the redevelopment project area.
21        (7) On and after November 1, 1999, no redevelopment
22    plan shall be adopted, nor an existing plan amended, nor
23    shall residential housing that is occupied by households of
24    low-income and very low-income persons in currently
25    existing redevelopment project areas be removed after
26    November 1, 1999 unless the redevelopment plan provides,

 

 

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1    with respect to inhabited housing units that are to be
2    removed for households of low-income and very low-income
3    persons, affordable housing and relocation assistance not
4    less than that which would be provided under the federal
5    Uniform Relocation Assistance and Real Property
6    Acquisition Policies Act of 1970 and the regulations under
7    that Act, including the eligibility criteria. Affordable
8    housing may be either existing or newly constructed
9    housing. For purposes of this paragraph (7), "low-income
10    households", "very low-income households", and "affordable
11    housing" have the meanings set forth in the Illinois
12    Affordable Housing Act. The municipality shall make a good
13    faith effort to ensure that this affordable housing is
14    located in or near the redevelopment project area within
15    the municipality.
16        (8) On and after November 1, 1999, if, after the
17    adoption of the redevelopment plan for the redevelopment
18    project area, any municipality desires to amend its
19    redevelopment plan to remove more inhabited residential
20    units than specified in its original redevelopment plan,
21    that change shall be made in accordance with the procedures
22    in subsection (c) of Section 11-74.4-5.
23        (9) For redevelopment project areas designated prior
24    to November 1, 1999, the redevelopment plan may be amended
25    without further joint review board meeting or hearing,
26    provided that the municipality shall give notice of any

 

 

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1    such changes by mail to each affected taxing district and
2    registrant on the interested party registry, to authorize
3    the municipality to expend tax increment revenues for
4    redevelopment project costs defined by paragraphs (5) and
5    (7.5), subparagraphs (E) and (F) of paragraph (11), and
6    paragraph (11.5) of subsection (q) of Section 11-74.4-3, so
7    long as the changes do not increase the total estimated
8    redevelopment project costs set out in the redevelopment
9    plan by more than 5% after adjustment for inflation from
10    the date the plan was adopted.
11    (o) "Redevelopment project" means any public and private
12development project in furtherance of the objectives of a
13redevelopment plan. On and after November 1, 1999 (the
14effective date of Public Act 91-478), no redevelopment plan may
15be approved or amended that includes the development of vacant
16land (i) with a golf course and related clubhouse and other
17facilities or (ii) designated by federal, State, county, or
18municipal government as public land for outdoor recreational
19activities or for nature preserves and used for that purpose
20within 5 years prior to the adoption of the redevelopment plan.
21For the purpose of this subsection, "recreational activities"
22is limited to mean camping and hunting.
23    (p) "Redevelopment project area" means an area designated
24by the municipality, which is not less in the aggregate than 1
251/2 acres and in respect to which the municipality has made a
26finding that there exist conditions which cause the area to be

 

 

09700HB1976ham001- 32 -LRB097 09108 KMW 51502 a

1classified as an industrial park conservation area or a
2blighted area or a conservation area, or a combination of both
3blighted areas and conservation areas.
4    (p-1) Notwithstanding any provision of this Act to the
5contrary, on and after August 25, 2009 (the effective date of
6Public Act 96-680), a redevelopment project area may include
7areas within a one-half mile radius of an existing or proposed
8Regional Transportation Authority Suburban Transit Access
9Route (STAR Line) station without a finding that the area is
10classified as an industrial park conservation area, a blighted
11area, a conservation area, or a combination thereof, but only
12if the municipality receives unanimous consent from the joint
13review board created to review the proposed redevelopment
14project area.
15    (q) "Redevelopment project costs", except for
16redevelopment project areas created pursuant to subsection
17(p-1), means and includes the sum total of all reasonable or
18necessary costs incurred or estimated to be incurred, and any
19such costs incidental to a redevelopment plan and a
20redevelopment project. Such costs include, without limitation,
21the following:
22        (1) Costs of studies, surveys, development of plans,
23    and specifications, implementation and administration of
24    the redevelopment plan including but not limited to staff
25    and professional service costs for architectural,
26    engineering, legal, financial, planning or other services,

 

 

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1    provided however that no charges for professional services
2    may be based on a percentage of the tax increment
3    collected; except that on and after November 1, 1999 (the
4    effective date of Public Act 91-478), no contracts for
5    professional services, excluding architectural and
6    engineering services, may be entered into if the terms of
7    the contract extend beyond a period of 3 years. In
8    addition, "redevelopment project costs" shall not include
9    lobbying expenses. After consultation with the
10    municipality, each tax increment consultant or advisor to a
11    municipality that plans to designate or has designated a
12    redevelopment project area shall inform the municipality
13    in writing of any contracts that the consultant or advisor
14    has entered into with entities or individuals that have
15    received, or are receiving, payments financed by tax
16    increment revenues produced by the redevelopment project
17    area with respect to which the consultant or advisor has
18    performed, or will be performing, service for the
19    municipality. This requirement shall be satisfied by the
20    consultant or advisor before the commencement of services
21    for the municipality and thereafter whenever any other
22    contracts with those individuals or entities are executed
23    by the consultant or advisor;
24        (1.5) After July 1, 1999, annual administrative costs
25    shall not include general overhead or administrative costs
26    of the municipality that would still have been incurred by

 

 

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1    the municipality if the municipality had not designated a
2    redevelopment project area or approved a redevelopment
3    plan;
4        (1.6) The cost of marketing sites within the
5    redevelopment project area to prospective businesses,
6    developers, and investors;
7        (2) Property assembly costs, including but not limited
8    to acquisition of land and other property, real or
9    personal, or rights or interests therein, demolition of
10    buildings, site preparation, site improvements that serve
11    as an engineered barrier addressing ground level or below
12    ground environmental contamination, including, but not
13    limited to parking lots and other concrete or asphalt
14    barriers, and the clearing and grading of land;
15        (3) Costs of rehabilitation, reconstruction or repair
16    or remodeling of existing public or private buildings,
17    fixtures, and leasehold improvements; and the cost of
18    replacing an existing public building if pursuant to the
19    implementation of a redevelopment project the existing
20    public building is to be demolished to use the site for
21    private investment or devoted to a different use requiring
22    private investment; including any direct or indirect costs
23    relating to Green Globes or LEED certified construction
24    elements or construction elements with an equivalent
25    certification;
26        (4) Costs of the construction of public works or

 

 

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1    improvements, including any direct or indirect costs
2    relating to Green Globes or LEED certified construction
3    elements or construction elements with an equivalent
4    certification, except that on and after November 1, 1999,
5    redevelopment project costs shall not include the cost of
6    constructing a new municipal public building principally
7    used to provide offices, storage space, or conference
8    facilities or vehicle storage, maintenance, or repair for
9    administrative, public safety, or public works personnel
10    and that is not intended to replace an existing public
11    building as provided under paragraph (3) of subsection (q)
12    of Section 11-74.4-3 unless either (i) the construction of
13    the new municipal building implements a redevelopment
14    project that was included in a redevelopment plan that was
15    adopted by the municipality prior to November 1, 1999 or
16    (ii) the municipality makes a reasonable determination in
17    the redevelopment plan, supported by information that
18    provides the basis for that determination, that the new
19    municipal building is required to meet an increase in the
20    need for public safety purposes anticipated to result from
21    the implementation of the redevelopment plan;
22        (5) Costs of job training and retraining projects,
23    including the cost of "welfare to work" programs
24    implemented by businesses located within the redevelopment
25    project area;
26        (6) Financing costs, including but not limited to all

 

 

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1    necessary and incidental expenses related to the issuance
2    of obligations and which may include payment of interest on
3    any obligations issued hereunder including interest
4    accruing during the estimated period of construction of any
5    redevelopment project for which such obligations are
6    issued and for not exceeding 36 months thereafter and
7    including reasonable reserves related thereto;
8        (7) To the extent the municipality by written agreement
9    accepts and approves the same, all or a portion of a taxing
10    district's capital costs resulting from the redevelopment
11    project necessarily incurred or to be incurred within a
12    taxing district in furtherance of the objectives of the
13    redevelopment plan and project.
14        (7.5) For redevelopment project areas designated (or
15    redevelopment project areas amended to add or increase the
16    number of tax-increment-financing assisted housing units)
17    on or after November 1, 1999, an elementary, secondary, or
18    unit school district's increased costs attributable to
19    assisted housing units located within the redevelopment
20    project area for which the developer or redeveloper
21    receives financial assistance through an agreement with
22    the municipality or because the municipality incurs the
23    cost of necessary infrastructure improvements within the
24    boundaries of the assisted housing sites necessary for the
25    completion of that housing as authorized by this Act, and
26    which costs shall be paid by the municipality from the

 

 

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

 

 

09700HB1976ham001- 39 -LRB097 09108 KMW 51502 a

1        completion of that housing as authorized by this Act
2        since the designation of the redevelopment project
3        area by the most recently available per capita tuition
4        cost as defined in Section 10-20.12a of the School Code
5        less any increase in general state aid as defined in
6        Section 18-8.05 of the School Code attributable to
7        these added new students subject to the following
8        annual limitations:
9                (i) for unit school districts, no more than 40%
10            of the total amount of property tax increment
11            revenue produced by those housing units that have
12            received tax increment finance assistance under
13            this Act;
14                (ii) for elementary school districts, no more
15            than 27% of the total amount of property tax
16            increment revenue produced by those housing units
17            that have received tax increment finance
18            assistance under this Act; and
19                (iii) for secondary school districts, no more
20            than 13% of the total amount of property tax
21            increment revenue produced by those housing units
22            that have received tax increment finance
23            assistance under this Act.
24            (C) For any school district in a municipality with
25        a population in excess of 1,000,000, the following
26        restrictions shall apply to the reimbursement of

 

 

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1        increased costs under this paragraph (7.5):
2                (i) no increased costs shall be reimbursed
3            unless the school district certifies that each of
4            the schools affected by the assisted housing
5            project is at or over its student capacity;
6                (ii) the amount reimbursable shall be reduced
7            by the value of any land donated to the school
8            district by the municipality or developer, and by
9            the value of any physical improvements made to the
10            schools by the municipality or developer; and
11                (iii) the amount reimbursed may not affect
12            amounts otherwise obligated by the terms of any
13            bonds, notes, or other funding instruments, or the
14            terms of any redevelopment agreement.
15        Any school district seeking payment under this
16        paragraph (7.5) shall, after July 1 and before
17        September 30 of each year, provide the municipality
18        with reasonable evidence to support its claim for
19        reimbursement before the municipality shall be
20        required to approve or make the payment to the school
21        district. If the school district fails to provide the
22        information during this period in any year, it shall
23        forfeit any claim to reimbursement for that year.
24        School districts may adopt a resolution waiving the
25        right to all or a portion of the reimbursement
26        otherwise required by this paragraph (7.5). By

 

 

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1        acceptance of this reimbursement the school district
2        waives the right to directly or indirectly set aside,
3        modify, or contest in any manner the establishment of
4        the redevelopment project area or projects;
5        (7.7) For redevelopment project areas designated (or
6    redevelopment project areas amended to add or increase the
7    number of tax-increment-financing assisted housing units)
8    on or after January 1, 2005 (the effective date of Public
9    Act 93-961), a public library district's increased costs
10    attributable to assisted housing units located within the
11    redevelopment project area for which the developer or
12    redeveloper receives financial assistance through an
13    agreement with the municipality or because the
14    municipality incurs the cost of necessary infrastructure
15    improvements within the boundaries of the assisted housing
16    sites necessary for the completion of that housing as
17    authorized by this Act shall be paid to the library
18    district by the municipality from the Special Tax
19    Allocation Fund when the tax increment revenue is received
20    as a result of the assisted housing units. This paragraph
21    (7.7) applies only if (i) the library district is located
22    in a county that is subject to the Property Tax Extension
23    Limitation Law or (ii) the library district is not located
24    in a county that is subject to the Property Tax Extension
25    Limitation Law but the district is prohibited by any other
26    law from increasing its tax levy rate without a prior voter

 

 

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1    referendum.
2        The amount paid to a library district under this
3    paragraph (7.7) shall be calculated by multiplying (i) the
4    net increase in the number of persons eligible to obtain a
5    library card in that district who reside in housing units
6    within the redevelopment project area that have received
7    financial assistance through an agreement with the
8    municipality or because the municipality incurs the cost of
9    necessary infrastructure improvements within the
10    boundaries of the housing sites necessary for the
11    completion of that housing as authorized by this Act since
12    the designation of the redevelopment project area by (ii)
13    the per-patron cost of providing library services so long
14    as it does not exceed $120. The per-patron cost shall be
15    the Total Operating Expenditures Per Capita as stated in
16    the most recent Illinois Public Library Statistics
17    produced by the Library Research Center at the University
18    of Illinois. The municipality may deduct from the amount
19    that it must pay to a library district under this paragraph
20    any amount that it has voluntarily paid to the library
21    district from the tax increment revenue. The amount paid to
22    a library district under this paragraph (7.7) shall be no
23    more than 2% of the amount produced by the assisted housing
24    units and deposited into the Special Tax Allocation Fund.
25        A library district is not eligible for any payment
26    under this paragraph (7.7) unless the library district has

 

 

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1    experienced an increase in the number of patrons from the
2    municipality that created the tax-increment-financing
3    district since the designation of the redevelopment
4    project area.
5        Any library district seeking payment under this
6    paragraph (7.7) shall, after July 1 and before September 30
7    of each year, provide the municipality with convincing
8    evidence to support its claim for reimbursement before the
9    municipality shall be required to approve or make the
10    payment to the library district. If the library district
11    fails to provide the information during this period in any
12    year, it shall forfeit any claim to reimbursement for that
13    year. Library districts may adopt a resolution waiving the
14    right to all or a portion of the reimbursement otherwise
15    required by this paragraph (7.7). By acceptance of such
16    reimbursement, the library district shall forfeit any
17    right to directly or indirectly set aside, modify, or
18    contest in any manner whatsoever the establishment of the
19    redevelopment project area or projects;
20        (8) Relocation costs to the extent that a municipality
21    determines that relocation costs shall be paid or is
22    required to make payment of relocation costs by federal or
23    State law or in order to satisfy subparagraph (7) of
24    subsection (n);
25        (9) Payment in lieu of taxes;
26        (10) Costs of job training, retraining, advanced

 

 

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1    vocational education or career education, including but
2    not limited to courses in occupational, semi-technical or
3    technical fields leading directly to employment, incurred
4    by one or more taxing districts, provided that such costs
5    (i) are related to the establishment and maintenance of
6    additional job training, advanced vocational education or
7    career education programs for persons employed or to be
8    employed by employers located in a redevelopment project
9    area; and (ii) when incurred by a taxing district or taxing
10    districts other than the municipality, are set forth in a
11    written agreement by or among the municipality and the
12    taxing district or taxing districts, which agreement
13    describes the program to be undertaken, including but not
14    limited to the number of employees to be trained, a
15    description of the training and services to be provided,
16    the number and type of positions available or to be
17    available, itemized costs of the program and sources of
18    funds to pay for the same, and the term of the agreement.
19    Such costs include, specifically, the payment by community
20    college districts of costs pursuant to Sections 3-37, 3-38,
21    3-40 and 3-40.1 of the Public Community College Act and by
22    school districts of costs pursuant to Sections 10-22.20a
23    and 10-23.3a of The School Code;
24        (11) Interest cost incurred by a redeveloper related to
25    the construction, renovation or rehabilitation of a
26    redevelopment project provided that:

 

 

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1            (A) such costs are to be paid directly from the
2        special tax allocation fund established pursuant to
3        this Act;
4            (B) such payments in any one year may not exceed
5        30% of the annual interest costs incurred by the
6        redeveloper with regard to the redevelopment project
7        during that year;
8            (C) if there are not sufficient funds available in
9        the special tax allocation fund to make the payment
10        pursuant to this paragraph (11) then the amounts so due
11        shall accrue and be payable when sufficient funds are
12        available in the special tax allocation fund;
13            (D) the total of such interest payments paid
14        pursuant to this Act may not exceed 30% of the total
15        (i) cost paid or incurred by the redeveloper for the
16        redevelopment project plus (ii) redevelopment project
17        costs excluding any property assembly costs and any
18        relocation costs incurred by a municipality pursuant
19        to this Act; and
20            (E) the cost limits set forth in subparagraphs (B)
21        and (D) of paragraph (11) shall be modified for the
22        financing of rehabilitated or new housing units for
23        low-income households and very low-income households,
24        as defined in Section 3 of the Illinois Affordable
25        Housing Act. The percentage of 75% shall be substituted
26        for 30% in subparagraphs (B) and (D) of paragraph

 

 

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1        (11); .
2            (E-5) the cost limits set forth in subparagraphs
3        (B) and (D) of paragraph (11) shall be modified for the
4        financing of rehabilitated or new housing units for
5        extremely low-income households, as defined in Section
6        3 of the Illinois Affordable Housing Act. The
7        percentage of 100% shall be substituted for 30% in
8        subparagraphs (B) and (D) of paragraph (11); and
9            (F) instead Instead of the eligible costs provided
10        by subparagraphs (B) and (D) of paragraph (11), as
11        modified by this subparagraph, and notwithstanding any
12        other provisions of this Act to the contrary, the
13        municipality may pay from tax increment revenues up to
14        50% of the cost of construction of new housing units to
15        be occupied by low-income households and very
16        low-income households as defined in Section 3 of the
17        Illinois Affordable Housing Act. In addition, the
18        municipality may pay from tax increment revenues up to
19        100% of the cost of construction of new housing units
20        to be occupied by extremely low-income households as
21        defined in Section 3 of the Illinois Affordable Housing
22        Act. The cost of construction of those units may be
23        derived from the proceeds of bonds issued by the
24        municipality under this Act or other constitutional or
25        statutory authority or from other sources of municipal
26        revenue that may be reimbursed from tax increment

 

 

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1        revenues or the proceeds of bonds issued to finance the
2        construction of that housing.
3            The eligible costs provided under this
4        subparagraph (F) of paragraph (11) shall be an eligible
5        cost for the construction, renovation, and
6        rehabilitation of all low and very low-income housing
7        units, as defined in Section 3 of the Illinois
8        Affordable Housing Act, within the redevelopment
9        project area. If the low and very low-income units are
10        part of a residential redevelopment project that
11        includes units not affordable to low and very
12        low-income households, only the low and very
13        low-income units shall be eligible for benefits under
14        subparagraph (F) of paragraph (11). The standards for
15        maintaining the occupancy by low-income households and
16        very low-income households, as defined in Section 3 of
17        the Illinois Affordable Housing Act, of those units
18        constructed with eligible costs made available under
19        the provisions of this subparagraph (F) of paragraph
20        (11) shall be established by guidelines adopted by the
21        municipality. The responsibility for annually
22        documenting the initial occupancy of the units by
23        low-income households and very low-income households,
24        as defined in Section 3 of the Illinois Affordable
25        Housing Act, shall be that of the then current owner of
26        the property. For ownership units, the guidelines will

 

 

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1        provide, at a minimum, for a reasonable recapture of
2        funds, or other appropriate methods designed to
3        preserve the original affordability of the ownership
4        units. For rental units, the guidelines will provide,
5        at a minimum, for the affordability of rent to low and
6        very low-income households. As units become available,
7        they shall be rented to income-eligible tenants. The
8        municipality may modify these guidelines from time to
9        time; the guidelines, however, shall be in effect for
10        as long as tax increment revenue is being used to pay
11        for costs associated with the units or for the
12        retirement of bonds issued to finance the units or for
13        the life of the redevelopment project area, whichever
14        is later.
15        (11.5) If the redevelopment project area is located
16    within a municipality with a population of more than
17    100,000, the cost of day care services for children of
18    employees from low-income families working for businesses
19    located within the redevelopment project area and all or a
20    portion of the cost of operation of day care centers
21    established by redevelopment project area businesses to
22    serve employees from low-income families working in
23    businesses located in the redevelopment project area. For
24    the purposes of this paragraph, "low-income families"
25    means families whose annual income does not exceed 80% of
26    the municipal, county, or regional median income, adjusted

 

 

09700HB1976ham001- 49 -LRB097 09108 KMW 51502 a

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

 

 

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1    for the retailer or serviceman.
2        (14) No cost shall be a redevelopment project cost in a
3    redevelopment project area if used to demolish, remove, or
4    substantially modify a historic resource, after August 26,
5    2008 (the effective date of Public Act 95-934), unless no
6    prudent and feasible alternative exists. "Historic
7    resource" for the purpose of this item (14) means (i) a
8    place or structure that is included or eligible for
9    inclusion on the National Register of Historic Places or
10    (ii) a contributing structure in a district on the National
11    Register of Historic Places. This item (14) does not apply
12    to a place or structure for which demolition, removal, or
13    modification is subject to review by the preservation
14    agency of a Certified Local Government designated as such
15    by the National Park Service of the United States
16    Department of the Interior.
17    If a special service area has been established pursuant to
18the Special Service Area Tax Act or Special Service Area Tax
19Law, then any tax increment revenues derived from the tax
20imposed pursuant to the Special Service Area Tax Act or Special
21Service Area Tax Law may be used within the redevelopment
22project area for the purposes permitted by that Act or Law as
23well as the purposes permitted by this Act.
24    (q-1) For redevelopment project areas created pursuant to
25subsection (p-1), redevelopment project costs are limited to
26those costs in paragraph (q) that are related to the existing

 

 

09700HB1976ham001- 51 -LRB097 09108 KMW 51502 a

1or proposed Regional Transportation Authority Suburban Transit
2Access Route (STAR Line) station.
3    (r) "State Sales Tax Boundary" means the redevelopment
4project area or the amended redevelopment project area
5boundaries which are determined pursuant to subsection (9) of
6Section 11-74.4-8a of this Act. The Department of Revenue shall
7certify pursuant to subsection (9) of Section 11-74.4-8a the
8appropriate boundaries eligible for the determination of State
9Sales Tax Increment.
10    (s) "State Sales Tax Increment" means an amount equal to
11the increase in the aggregate amount of taxes paid by retailers
12and servicemen, other than retailers and servicemen subject to
13the Public Utilities Act, on transactions at places of business
14located within a State Sales Tax Boundary pursuant to the
15Retailers' Occupation Tax Act, the Use Tax Act, the Service Use
16Tax Act, and the Service Occupation Tax Act, except such
17portion of such increase that is paid into the State and Local
18Sales Tax Reform Fund, the Local Government Distributive Fund,
19the Local Government Tax Fund and the County and Mass Transit
20District Fund, for as long as State participation exists, over
21and above the Initial Sales Tax Amounts, Adjusted Initial Sales
22Tax Amounts or the Revised Initial Sales Tax Amounts for such
23taxes as certified by the Department of Revenue and paid under
24those Acts by retailers and servicemen on transactions at
25places of business located within the State Sales Tax Boundary
26during the base year which shall be the calendar year

 

 

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1immediately prior to the year in which the municipality adopted
2tax increment allocation financing, less 3.0% of such amounts
3generated under the Retailers' Occupation Tax Act, Use Tax Act
4and Service Use Tax Act and the Service Occupation Tax Act,
5which sum shall be appropriated to the Department of Revenue to
6cover its costs of administering and enforcing this Section.
7For purposes of computing the aggregate amount of such taxes
8for base years occurring prior to 1985, the Department of
9Revenue shall compute the Initial Sales Tax Amount for such
10taxes and deduct therefrom an amount equal to 4% of the
11aggregate amount of taxes per year for each year the base year
12is prior to 1985, but not to exceed a total deduction of 12%.
13The amount so determined shall be known as the "Adjusted
14Initial Sales Tax Amount". For purposes of determining the
15State Sales Tax Increment the Department of Revenue shall for
16each period subtract from the tax amounts received from
17retailers and servicemen on transactions located in the State
18Sales Tax Boundary, the certified Initial Sales Tax Amounts,
19Adjusted Initial Sales Tax Amounts or Revised Initial Sales Tax
20Amounts for the Retailers' Occupation Tax Act, the Use Tax Act,
21the Service Use Tax Act and the Service Occupation Tax Act. For
22the State Fiscal Year 1989 this calculation shall be made by
23utilizing the calendar year 1987 to determine the tax amounts
24received. For the State Fiscal Year 1990, this calculation
25shall be made by utilizing the period from January 1, 1988,
26until September 30, 1988, to determine the tax amounts received

 

 

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1from retailers and servicemen, which shall have deducted
2therefrom nine-twelfths of the certified Initial Sales Tax
3Amounts, Adjusted Initial Sales Tax Amounts or the Revised
4Initial Sales Tax Amounts as appropriate. For the State Fiscal
5Year 1991, this calculation shall be made by utilizing the
6period from October 1, 1988, until June 30, 1989, to determine
7the tax amounts received from retailers and servicemen, which
8shall have deducted therefrom nine-twelfths of the certified
9Initial State Sales Tax Amounts, Adjusted Initial Sales Tax
10Amounts or the Revised Initial Sales Tax Amounts as
11appropriate. For every State Fiscal Year thereafter, the
12applicable period shall be the 12 months beginning July 1 and
13ending on June 30, to determine the tax amounts received which
14shall have deducted therefrom the certified Initial Sales Tax
15Amounts, Adjusted Initial Sales Tax Amounts or the Revised
16Initial Sales Tax Amounts. Municipalities intending to receive
17a distribution of State Sales Tax Increment must report a list
18of retailers to the Department of Revenue by October 31, 1988
19and by July 31, of each year thereafter.
20    (t) "Taxing districts" means counties, townships, cities
21and incorporated towns and villages, school, road, park,
22sanitary, mosquito abatement, forest preserve, public health,
23fire protection, river conservancy, tuberculosis sanitarium
24and any other municipal corporations or districts with the
25power to levy taxes.
26    (u) "Taxing districts' capital costs" means those costs of

 

 

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1taxing districts for capital improvements that are found by the
2municipal corporate authorities to be necessary and directly
3result from the redevelopment project.
4    (v) As used in subsection (a) of Section 11-74.4-3 of this
5Act, "vacant land" means any parcel or combination of parcels
6of real property without industrial, commercial, and
7residential buildings which has not been used for commercial
8agricultural purposes within 5 years prior to the designation
9of the redevelopment project area, unless the parcel is
10included in an industrial park conservation area or the parcel
11has been subdivided; provided that if the parcel was part of a
12larger tract that has been divided into 3 or more smaller
13tracts that were accepted for recording during the period from
141950 to 1990, then the parcel shall be deemed to have been
15subdivided, and all proceedings and actions of the municipality
16taken in that connection with respect to any previously
17approved or designated redevelopment project area or amended
18redevelopment project area are hereby validated and hereby
19declared to be legally sufficient for all purposes of this Act.
20For purposes of this Section and only for land subject to the
21subdivision requirements of the Plat Act, land is subdivided
22when the original plat of the proposed Redevelopment Project
23Area or relevant portion thereof has been properly certified,
24acknowledged, approved, and recorded or filed in accordance
25with the Plat Act and a preliminary plat, if any, for any
26subsequent phases of the proposed Redevelopment Project Area or

 

 

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1relevant portion thereof has been properly approved and filed
2in accordance with the applicable ordinance of the
3municipality.
4    (w) "Annual Total Increment" means the sum of each
5municipality's annual Net Sales Tax Increment and each
6municipality's annual Net Utility Tax Increment. The ratio of
7the Annual Total Increment of each municipality to the Annual
8Total Increment for all municipalities, as most recently
9calculated by the Department, shall determine the proportional
10shares of the Illinois Tax Increment Fund to be distributed to
11each municipality.
12    (x) "LEED certified" means any certification level of
13construction elements by a qualified Leadership in Energy and
14Environmental Design Accredited Professional as determined by
15the U.S. Green Building Council.
16    (y) "Green Globes certified" means any certification level
17of construction elements by a qualified Green Globes
18Professional as determined by the Green Building Initiative.
19(Source: P.A. 95-15, eff. 7-16-07; 95-164, eff. 1-1-08; 95-331,
20eff. 8-21-07; 95-346, eff. 8-21-07; 95-459, eff. 8-27-07;
2195-653, eff. 1-1-08; 95-662, eff. 10-11-07; 95-683, eff.
2210-19-07; 95-709, eff. 1-29-08; 95-876, eff. 8-21-08; 95-932,
23eff. 8-26-08; 95-934, eff. 8-26-08; 95-964, eff. 9-23-08;
2495-977, eff. 9-22-08; 95-1028, eff. 8-25-09 (see Section 5 of
25P.A. 96-717 for the effective date of changes made by P.A.
2695-1028); 96-328, eff. 8-11-09; 96-630, eff. 1-1-10; 96-680,

 

 

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1eff. 8-25-09; 96-1000, eff. 7-2-10.)
 
2    (65 ILCS 5/11-74.4-4)  (from Ch. 24, par. 11-74.4-4)
3    Sec. 11-74.4-4. Municipal powers and duties; redevelopment
4project areas. A municipality may:(a) The changes made by this
5amendatory Act of the 91st General Assembly do not apply to a
6municipality that, (i) before the effective date of this
7amendatory Act of the 91st General Assembly, has adopted an
8ordinance or resolution fixing a time and place for a public
9hearing under Section 11-74.4-5 or (ii) before July 1, 1999,
10has adopted an ordinance or resolution providing for a
11feasibility study under Section 11-74.4-4.1, but has not yet
12adopted an ordinance approving redevelopment plans and
13redevelopment projects or designating redevelopment project
14areas under this Section, until after that municipality adopts
15an ordinance approving redevelopment plans and redevelopment
16projects or designating redevelopment project areas under this
17Section; thereafter the changes made by this amendatory Act of
18the 91st General Assembly apply to the same extent that they
19apply to redevelopment plans and redevelopment projects that
20were approved and redevelopment projects that were designated
21before the effective date of this amendatory Act of the 91st
22General Assembly.
23    A municipality may:
24    (a) By ordinance introduced in the governing body of the
25municipality within 14 to 90 days from the completion of the

 

 

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

 

 

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1last to occur of the estimated dates of completion of the
2redevelopment project and retirement of the obligations issued
3to finance redevelopment project costs as required by item (3)
4of subsection (n) of Section 11-74.4-3. Payments received under
5contracts entered into by the municipality prior to the
6effective date of this amendatory Act of the 93rd General
7Assembly that are received after the redevelopment project area
8has been terminated by municipal ordinance shall be deposited
9into a special fund of the municipality to be used for other
10community redevelopment needs within the redevelopment project
11area.
12    (c) Within a redevelopment project area, acquire by
13purchase, donation, lease or eminent domain; own, convey,
14lease, mortgage or dispose of land and other property, real or
15personal, or rights or interests therein, and grant or acquire
16licenses, easements and options with respect thereto, all in
17the manner and at such price the municipality determines is
18reasonably necessary to achieve the objectives of the
19redevelopment plan and project. No conveyance, lease,
20mortgage, disposition of land or other property owned by a
21municipality, or agreement relating to the development of such
22municipal property shall be made except upon the adoption of an
23ordinance by the corporate authorities of the municipality.
24Furthermore, no conveyance, lease, mortgage, or other
25disposition of land owned by a municipality or agreement
26relating to the development of such municipal property shall be

 

 

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1made without making public disclosure of the terms of the
2disposition and all bids and proposals made in response to the
3municipality's request. The procedures for obtaining such bids
4and proposals shall provide reasonable opportunity for any
5person to submit alternative proposals or bids.
6    (d) Within a redevelopment project area, clear any area by
7demolition or removal of any existing buildings and structures.
8    (e) Within a redevelopment project area, renovate or
9rehabilitate or construct any structure or building, as
10permitted under this Act.
11    (f) Install, repair, construct, reconstruct or relocate
12streets, utilities and site improvements essential to the
13preparation of the redevelopment area for use in accordance
14with a redevelopment plan.
15    (g) Within a redevelopment project area, fix, charge and
16collect fees, rents and charges for the use of any building or
17property owned or leased by it or any part thereof, or facility
18therein.
19    (h) Accept grants, guarantees and donations of property,
20labor, or other things of value from a public or private source
21for use within a project redevelopment area.
22    (i) Acquire and construct public facilities within a
23redevelopment project area, as permitted under this Act.
24    (j) Incur project redevelopment costs and reimburse
25developers who incur redevelopment project costs, or reimburse
26an affiliate of a developer, including an entity that controls

 

 

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1a developer that is a limited partnership or limited liability
2company, authorized by a redevelopment agreement, and the
3reimbursement may take the form of a loan to the developer;
4provided, however, that on and after the effective date of this
5amendatory Act of the 91st General Assembly, no municipality
6shall incur redevelopment project costs (except for planning
7costs and any other eligible costs authorized by municipal
8ordinance or resolution that are subsequently included in the
9redevelopment plan for the area and are incurred by the
10municipality after the ordinance or resolution is adopted) that
11are not consistent with the program for accomplishing the
12objectives of the redevelopment plan as included in that plan
13and approved by the municipality until the municipality has
14amended the redevelopment plan as provided elsewhere in this
15Act.
16    (k) Create a commission of not less than 5 or more than 15
17persons to be appointed by the mayor or president of the
18municipality with the consent of the majority of the governing
19board of the municipality. Members of a commission appointed
20after the effective date of this amendatory Act of 1987 shall
21be appointed for initial terms of 1, 2, 3, 4 and 5 years,
22respectively, in such numbers as to provide that the terms of
23not more than 1/3 of all such members shall expire in any one
24year. Their successors shall be appointed for a term of 5
25years. The commission, subject to approval of the corporate
26authorities may exercise the powers enumerated in this Section.

 

 

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1The commission shall also have the power to hold the public
2hearings required by this division and make recommendations to
3the corporate authorities concerning the adoption of
4redevelopment plans, redevelopment projects and designation of
5redevelopment project areas.
6    (l) Make payment in lieu of taxes or a portion thereof to
7taxing districts. If payments in lieu of taxes or a portion
8thereof are made to taxing districts, those payments shall be
9made to all districts within a project redevelopment area on a
10basis which is proportional to the current collections of
11revenue which each taxing district receives from real property
12in the redevelopment project area.
13    (m) Exercise any and all other powers necessary to
14effectuate the purposes of this Act.
15    (n) If any member of the corporate authority, a member of a
16commission established pursuant to Section 11-74.4-4(k) of
17this Act, or an employee or consultant of the municipality
18involved in the planning and preparation of a redevelopment
19plan, or project for a redevelopment project area or proposed
20redevelopment project area, as defined in Sections
2111-74.4-3(i) through (k) of this Act, owns or controls an
22interest, direct or indirect, in any property included in any
23redevelopment area, or proposed redevelopment area, he or she
24shall disclose the same in writing to the clerk of the
25municipality, and shall also so disclose the dates and terms
26and conditions of any disposition of any such interest, which

 

 

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1disclosures shall be acknowledged by the corporate authorities
2and entered upon the minute books of the corporate authorities.
3If an individual holds such an interest then that individual
4shall refrain from any further official involvement in regard
5to such redevelopment plan, project or area, from voting on any
6matter pertaining to such redevelopment plan, project or area,
7or communicating with other members concerning corporate
8authorities, commission or employees concerning any matter
9pertaining to said redevelopment plan, project or area.
10Furthermore, no such member or employee shall acquire of any
11interest direct, or indirect, in any property in a
12redevelopment area or proposed redevelopment area after either
13(a) such individual obtains knowledge of such plan, project or
14area or (b) first public notice of such plan, project or area
15pursuant to Section 11-74.4-6 of this Division, whichever
16occurs first. For the purposes of this subsection, a property
17interest acquired in a single parcel of property by a member of
18the corporate authority, which property is used exclusively as
19the member's primary residence, shall not be deemed to
20constitute an interest in any property included in a
21redevelopment area or proposed redevelopment area that was
22established before December 31, 1989, but the member must
23disclose the acquisition to the municipal clerk under the
24provisions of this subsection. A single property interest
25acquired within one year after the effective date of this
26amendatory Act of the 94th General Assembly or 2 years after

 

 

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1the effective date of this amendatory Act of the 95th General
2Assembly by a member of the corporate authority does not
3constitute an interest in any property included in any
4redevelopment area or proposed redevelopment area, regardless
5of when the redevelopment area was established, if (i) the
6property is used exclusively as the member's primary residence,
7(ii) the member discloses the acquisition to the municipal
8clerk under the provisions of this subsection, (iii) the
9acquisition is for fair market value, (iv) the member acquires
10the property as a result of the property being publicly
11advertised for sale, and (v) the member refrains from voting
12on, and communicating with other members concerning, any matter
13when the benefits to the redevelopment project or area would be
14significantly greater than the benefits to the municipality as
15a whole. For the purposes of this subsection, a month-to-month
16leasehold interest in a single parcel of property by a member
17of the corporate authority shall not be deemed to constitute an
18interest in any property included in any redevelopment area or
19proposed redevelopment area, but the member must disclose the
20interest to the municipal clerk under the provisions of this
21subsection.
22    (o) Create a Tax Increment Economic Development Advisory
23Committee to be appointed by the Mayor or President of the
24municipality with the consent of the majority of the governing
25board of the municipality, the members of which Committee shall
26be appointed for initial terms of 1, 2, 3, 4 and 5 years

 

 

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1respectively, in such numbers as to provide that the terms of
2not more than 1/3 of all such members shall expire in any one
3year. Their successors shall be appointed for a term of 5
4years. The Committee shall have none of the powers enumerated
5in this Section. The Committee shall serve in an advisory
6capacity only. The Committee may advise the governing Board of
7the municipality and other municipal officials regarding
8development issues and opportunities within the redevelopment
9project area or the area within the State Sales Tax Boundary.
10The Committee may also promote and publicize development
11opportunities in the redevelopment project area or the area
12within the State Sales Tax Boundary.
13    (p) Municipalities may jointly undertake and perform
14redevelopment plans and projects and utilize the provisions of
15the Act wherever they have contiguous redevelopment project
16areas or they determine to adopt tax increment financing with
17respect to a redevelopment project area which includes
18contiguous real property within the boundaries of the
19municipalities, and in doing so, they may, by agreement between
20municipalities, issue obligations, separately or jointly, and
21expend revenues received under the Act for eligible expenses
22anywhere within contiguous redevelopment project areas or as
23otherwise permitted in the Act.
24    (q) Utilize revenues, other than State sales tax increment
25revenues, received under this Act from one redevelopment
26project area for eligible costs in another redevelopment

 

 

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1project area that is:
2        (i) contiguous to the redevelopment project area from
3    which the revenues are received;
4        (ii) separated only by a public right of way from the
5    redevelopment project area from which the revenues are
6    received; or
7        (iii) separated only by forest preserve property from
8    the redevelopment project area from which the revenues are
9    received if the closest boundaries of the redevelopment
10    project areas that are separated by the forest preserve
11    property are less than one mile apart.
12    Utilize tax increment revenues for eligible costs that are
13received from a redevelopment project area created under the
14Industrial Jobs Recovery Law that is either contiguous to, or
15is separated only by a public right of way from, the
16redevelopment project area created under this Act which
17initially receives these revenues. Utilize revenues, other
18than State sales tax increment revenues, by transferring or
19loaning such revenues to a redevelopment project area created
20under the Industrial Jobs Recovery Law that is either
21contiguous to, or separated only by a public right of way from
22the redevelopment project area that initially produced and
23received those revenues; and, if the redevelopment project area
24(i) was established before the effective date of this
25amendatory Act of the 91st General Assembly and (ii) is located
26within a municipality with a population of more than 100,000,

 

 

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1utilize revenues or proceeds of obligations authorized by
2Section 11-74.4-7 of this Act, other than use or occupation tax
3revenues, to pay for any redevelopment project costs as defined
4by subsection (q) of Section 11-74.4-3 to the extent that the
5redevelopment project costs involve public property that is
6either contiguous to, or separated only by a public right of
7way from, a redevelopment project area whether or not
8redevelopment project costs or the source of payment for the
9costs are specifically set forth in the redevelopment plan for
10the redevelopment project area.
11    (r) If no redevelopment project has been initiated in a
12redevelopment project area within 7 years after the area was
13designated by ordinance under subsection (a), the municipality
14shall adopt an ordinance repealing the area's designation as a
15redevelopment project area; provided, however, that if an area
16received its designation more than 3 years before the effective
17date of this amendatory Act of 1994 and no redevelopment
18project has been initiated within 4 years after the effective
19date of this amendatory Act of 1994, the municipality shall
20adopt an ordinance repealing its designation as a redevelopment
21project area. Initiation of a redevelopment project shall be
22evidenced by either a signed redevelopment agreement or
23expenditures on eligible redevelopment project costs
24associated with a redevelopment project.
25(Source: P.A. 94-1013, eff. 1-1-07; 95-1054, eff. 1-1-10;
26revised 9-16-10.)
 

 

 

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1    Section 10. The Illinois Affordable Housing Act is amended
2by changing Section 3 as follows:
 
3    (310 ILCS 65/3)  (from Ch. 67 1/2, par. 1253)
4    Sec. 3. Definitions. As used in this Act:
5    (a) "Program" means the Illinois Affordable Housing
6Program.
7    (b) "Trust Fund" means the Illinois Affordable Housing
8Trust Fund.
9    (b-5) "Capital Fund" means the Illinois Affordable Housing
10Capital Fund.
11    (c) "Low-income household" means a single person, family or
12unrelated persons living together whose adjusted income is more
13than 50%, but less than 80%, of the median income of the area
14of residence, adjusted for family size, as such adjusted income
15and median income for the area are determined from time to time
16by the United States Department of Housing and Urban
17Development for purposes of Section 8 of the United States
18Housing Act of 1937.
19    (d) "Very low-income household" means a single person,
20family or unrelated persons living together whose adjusted
21income is not more than 50% of the median income of the area of
22residence, adjusted for family size, as such adjusted income
23and median income for the area are determined from time to time
24by the United States Department of Housing and Urban

 

 

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1Development for purposes of Section 8 of the United States
2Housing Act of 1937.
3    (e) "Affordable housing" means residential housing that,
4so long as the same is occupied by low-income households or
5very low-income households, requires payment of monthly
6housing costs, including utilities other than telephone, of no
7more than 30% of the maximum allowable income as stated for
8such households as defined in this Section.
9    (f) "Multi-family housing" means a building or buildings
10providing housing to 5 or more households.
11    (g) "Single-family housing" means a building containing
12one to 4 dwelling units, including a mobile home as defined in
13subsection (b) of Section 3 of the Mobile Home Landlord and
14Tenant Rights Act, as amended.
15    (h) "Community-based organization" means a not-for-profit
16entity whose governing body includes a majority of members who
17reside in the community served by the organization.
18    (i) "Advocacy organization" means a not-for-profit
19organization which conducts, in part or in whole, activities to
20influence public policy on behalf of low-income or very
21low-income households.
22    (j) "Program Administrator" means the Illinois Housing
23Development Authority.
24    (k) "Funding Agent" means the Illinois Department of
25Revenue.
26    (l) "Commission" means the Affordable Housing Advisory

 

 

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1Commission.
2    (m) "Congregate housing" means a building or structure in
3which 2 or more households, inclusive, share common living
4areas and may share child care, cleaning, cooking and other
5household responsibilities.
6    (n) "Eligible applicant" means a proprietorship,
7partnership, for-profit corporation, not-for-profit
8corporation or unit of local government which seeks to use fund
9assets as provided in this Article.
10    (o) "Moderate income household" means a single person,
11family or unrelated persons living together whose adjusted
12income is more than 80% but less than 120% of the median income
13of the area of residence, adjusted for family size, as such
14adjusted income and median income for the area are determined
15from time to time by the United States Department of Housing
16and Urban Development for purposes of Section 8 of the United
17States Housing Act of 1937.
18    (p) "Affordable Housing Program Trust Fund Bonds or Notes"
19means the bonds or notes issued by the Program Administrator
20under the Illinois Housing Development Act to further the
21purposes of this Act.
22    (q) "Trust Fund Moneys" means all moneys, deposits,
23revenues, income, interest, dividends, receipts, taxes,
24proceeds and other amounts or funds deposited or to be
25deposited in the Trust Fund pursuant to Section 5(b) of this
26Act and any proceeds, investments or increase thereof.

 

 

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1    (r) "Program Escrow" means accounts, except those accounts
2relating to any Affordable Housing Program Trust Fund Bonds or
3Notes, designated by the Program Administrator, into which
4Trust Fund Moneys are deposited.
5    (s) "Extremely low-income household" means a single
6person, family, or unrelated persons living together whose
7adjusted income is not more than 30% of the median income of
8the area of residence, adjusted for family size, as such
9adjusted income and median income for the area are determined
10from time to time by the United States Department of Housing
11and Urban Development for purposes of Section 8 of the United
12States Housing Act of 1937.
13(Source: P.A. 95-710, eff. 6-1-08.)
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law".