98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
HB2901

 

Introduced , by Rep. Michael J. Zalewski

 

SYNOPSIS AS INTRODUCED:
 
See Index

    Amends the Property Tax Code. Provides that a taxing district may adopt a levy to recapture revenue lost due to refunds issued pursuant to a decision of the Property Tax Appeal Board, an assessment or exemption decision of the Department of Revenue, a court order, or an administrative decision of a local assessment official. Provides that those recapture levies are not included in the taxing district's aggregate extension base under the Property Tax Extension Limitation Law. Provides that any taxpayer who has received a refund that has been included in a recapture levy by one or more taxing districts has the right to an abatement in an amount equal to a portion of that refund amount, subject to certain limitations. Repeals a Section of the School Code requiring the State Board of Education to incorporate and deduct the total aggregate adjustments to assessments made by the State Property Tax Appeal Board or Cook County Board of Appeals from the equalized assessed valuation of the district when calculating the amount of State aid to be apportioned to school districts. Provides that commercial or industrial taxpayers who (i) receive a final assessment that exceeds the final assessment of the immediate past year by $100,000 or more in assessed valuation, and (ii) intend to seek further review of the assessment shall give notice of their intent to seek a review to the governing body of any municipality, school district, and community college district in which the property is situated.


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FISCAL NOTE ACT MAY APPLY
HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB2901LRB098 09538 HLH 41310 b

1    AN ACT concerning revenue.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Property Tax Code is amended by changing
5Sections 18-185 and 30-10 and by adding Section 18-53 as
6follows:
 
7    (35 ILCS 200/18-53 new)
8    Sec. 18-53. Recovery of revenue lost due to tax refunds.
9    (a) When a taxing district is required to refund a portion
10of the property tax revenue distributed to that taxing district
11because of a decision of the Property Tax Appeal Board, an
12assessment or exemption decision of the Department of Revenue,
13a court order issued pursuant to an assessment valuation
14complaint under item (3) of subsection (b) of Section 23-15, or
15an administrative decision of a local assessment official
16reducing the assessed value of a property within the district,
17that taxing district may, without referendum, adopt a levy to
18recapture the revenue lost by the refund or refunds.
19    (b) The recapture levy must not exceed an amount equal to
20the aggregate refunds of principal taxes (excluding any
21interest) paid by the district for the prior calendar year. At
22the district's option, the total amount to be recaptured for
23the prior calendar year may be levied and extended in up to 3

 

 

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1successive annual installments, but the total of all
2installments shall not exceed the amount allowed under this
3Section for a single levy. Each single levy or installment of a
4recapture levy must be included as a separate line item in the
5district's regular levy ordinance, and the ordinance must
6specify for each item the year of recapture and whether the
7item is the first, second, or third installment of the total
8recapture for that year. The total amount of all recapture line
9items in any one levy ordinance shall not exceed 5% of the
10aggregate amount of all other items included in that ordinance
11except for debt service. Within 45 days after a request by a
12taxing district, the county treasurer must certify the
13aggregate refunds paid by a taxing district for purposes of
14this Section. For purposes of the Property Tax Extension
15Limitation Law, the taxing district's aggregate extension base
16does not include the recapture levy authorized under this
17Section.
18    (c) Whenever the county treasurer certifies aggregate
19refunds at the request of a taxing district under this Section,
20the treasurer shall keep records of the individual refunds
21included in the aggregate. That information shall be provided
22to the county clerk. The county clerk shall keep a record of
23that information and of any recapture levy that may thereafter
24be extended, so that the amount of that extension may be
25distinguished from any other levies and extensions for that
26district. The county treasurer's and the county clerk's records

 

 

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1under this Section must be made available to the public upon
2request.
3    (d) Any taxpayer who has received a refund of taxes paid on
4his or her property that has been included in a recapture levy
5or levies by one or more taxing districts under this Section
6has the right to have a portion of the refund amount included
7in the extension of each district's recapture levy against his
8or her property abated to the extent that the refund amount
9included in each district's recapture levy exceeds $1,000. The
10abatement may be granted only upon application as provided in
11this Section, and submission of the application shall not delay
12or otherwise affect the normal tax extension and billing
13process. For purposes of this Section, the property for which
14the recapture extension may be abated is defined as one or more
15parcels that were the subject of a consolidated refund. If the
16taxing district's recapture levy and extension was made in a
17lesser amount than the aggregate of all refunds certified by
18the treasurer for that district, each abatement shall reflect
19that same proportionate reduction.
20    (e) A taxpayer seeking an abatement under this Section
21shall apply to the county treasurer after the issuance of the
22second installment of the tax bill that includes the amount
23sought to be abated, but no later than the due date under
24Section 23-10 for tax objection complaints regarding tax levies
25of the year for which the recapture levy was extended. The
26county treasurer may prescribe the form in which the

 

 

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1application shall be made. The application shall include a copy
2of the decision or order giving rise to the refund and must
3specify the abatement claimed. The treasurer, assisted if
4necessary by the county clerk, shall confirm (i) whether the
5refund identified in the application was included within the
6appropriate treasurer's certification of aggregate refunds and
7(ii) the percentage that the refund represents of the total
8recapture levy, and, upon such confirmation, the abatement must
9be allowed as provided in this Section. If the taxes abated
10have been paid, the abatement amount must be refunded. The
11treasurer shall determine whether to allow or deny the
12application and shall advise the applicant of the determination
13within 90 days after its submission, and a failure to make an
14express determination within that time shall be deemed a
15denial. If the treasurer cannot determine whether the
16application should be allowed, or otherwise denies the
17application, any taxpayer who has paid the tax subject to the
18claimed abatement may petition the circuit court for a refund
19in the time and manner provided in Section 20-175. Any refund
20granted pursuant to an abatement may not be included in a
21recapture levy under this Section.
22    (f) The county treasurer and county clerk shall mark their
23records to reflect that any taxes abated under this Section and
24any lien with respect to those taxes shall be null and void.
 
25    (35 ILCS 200/18-185)

 

 

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1    Sec. 18-185. Short title; definitions. This Division 5 may
2be cited as the Property Tax Extension Limitation Law. As used
3in this Division 5:
4    "Consumer Price Index" means the Consumer Price Index for
5All Urban Consumers for all items published by the United
6States Department of Labor.
7    "Extension limitation" means (a) the lesser of 5% or the
8percentage increase in the Consumer Price Index during the
912-month calendar year preceding the levy year or (b) the rate
10of increase approved by voters under Section 18-205.
11    "Affected county" means a county of 3,000,000 or more
12inhabitants or a county contiguous to a county of 3,000,000 or
13more inhabitants.
14    "Taxing district" has the same meaning provided in Section
151-150, except as otherwise provided in this Section. For the
161991 through 1994 levy years only, "taxing district" includes
17only each non-home rule taxing district having the majority of
18its 1990 equalized assessed value within any county or counties
19contiguous to a county with 3,000,000 or more inhabitants.
20Beginning with the 1995 levy year, "taxing district" includes
21only each non-home rule taxing district subject to this Law
22before the 1995 levy year and each non-home rule taxing
23district not subject to this Law before the 1995 levy year
24having the majority of its 1994 equalized assessed value in an
25affected county or counties. Beginning with the levy year in
26which this Law becomes applicable to a taxing district as

 

 

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1provided in Section 18-213, "taxing district" also includes
2those taxing districts made subject to this Law as provided in
3Section 18-213.
4    "Aggregate extension" for taxing districts to which this
5Law applied before the 1995 levy year means the annual
6corporate extension for the taxing district and those special
7purpose extensions that are made annually for the taxing
8district, excluding special purpose extensions: (a) made for
9the taxing district to pay interest or principal on general
10obligation bonds that were approved by referendum; (b) made for
11any taxing district to pay interest or principal on general
12obligation bonds issued before October 1, 1991; (c) made for
13any taxing district to pay interest or principal on bonds
14issued to refund or continue to refund those bonds issued
15before October 1, 1991; (d) made for any taxing district to pay
16interest or principal on bonds issued to refund or continue to
17refund bonds issued after October 1, 1991 that were approved by
18referendum; (e) made for any taxing district to pay interest or
19principal on revenue bonds issued before October 1, 1991 for
20payment of which a property tax levy or the full faith and
21credit of the unit of local government is pledged; however, a
22tax for the payment of interest or principal on those bonds
23shall be made only after the governing body of the unit of
24local government finds that all other sources for payment are
25insufficient to make those payments; (f) made for payments
26under a building commission lease when the lease payments are

 

 

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1for the retirement of bonds issued by the commission before
2October 1, 1991, to pay for the building project; (g) made for
3payments due under installment contracts entered into before
4October 1, 1991; (h) made for payments of principal and
5interest on bonds issued under the Metropolitan Water
6Reclamation District Act to finance construction projects
7initiated before October 1, 1991; (i) made for payments of
8principal and interest on limited bonds, as defined in Section
93 of the Local Government Debt Reform Act, in an amount not to
10exceed the debt service extension base less the amount in items
11(b), (c), (e), and (h) of this definition for non-referendum
12obligations, except obligations initially issued pursuant to
13referendum; (j) made for payments of principal and interest on
14bonds issued under Section 15 of the Local Government Debt
15Reform Act; (k) made by a school district that participates in
16the Special Education District of Lake County, created by
17special education joint agreement under Section 10-22.31 of the
18School Code, for payment of the school district's share of the
19amounts required to be contributed by the Special Education
20District of Lake County to the Illinois Municipal Retirement
21Fund under Article 7 of the Illinois Pension Code; the amount
22of any extension under this item (k) shall be certified by the
23school district to the county clerk; (l) made to fund expenses
24of providing joint recreational programs for the handicapped
25under Section 5-8 of the Park District Code or Section 11-95-14
26of the Illinois Municipal Code; (m) made for temporary

 

 

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1relocation loan repayment purposes pursuant to Sections 2-3.77
2and 17-2.2d of the School Code; (n) made for payment of
3principal and interest on any bonds issued under the authority
4of Section 17-2.2d of the School Code; (o) made for
5contributions to a firefighter's pension fund created under
6Article 4 of the Illinois Pension Code, to the extent of the
7amount certified under item (5) of Section 4-134 of the
8Illinois Pension Code; and (p) made for road purposes in the
9first year after a township assumes the rights, powers, duties,
10assets, property, liabilities, obligations, and
11responsibilities of a road district abolished under the
12provisions of Section 6-133 of the Illinois Highway Code; and
13(q) made as a recapture levy under Section 18-53 of the
14Property Tax Code.
15    "Aggregate extension" for the taxing districts to which
16this Law did not apply before the 1995 levy year (except taxing
17districts subject to this Law in accordance with Section
1818-213) means the annual corporate extension for the taxing
19district and those special purpose extensions that are made
20annually for the taxing district, excluding special purpose
21extensions: (a) made for the taxing district to pay interest or
22principal on general obligation bonds that were approved by
23referendum; (b) made for any taxing district to pay interest or
24principal on general obligation bonds issued before March 1,
251995; (c) made for any taxing district to pay interest or
26principal on bonds issued to refund or continue to refund those

 

 

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1bonds issued before March 1, 1995; (d) made for any taxing
2district to pay interest or principal on bonds issued to refund
3or continue to refund bonds issued after March 1, 1995 that
4were approved by referendum; (e) made for any taxing district
5to pay interest or principal on revenue bonds issued before
6March 1, 1995 for payment of which a property tax levy or the
7full faith and credit of the unit of local government is
8pledged; however, a tax for the payment of interest or
9principal on those bonds shall be made only after the governing
10body of the unit of local government finds that all other
11sources for payment are insufficient to make those payments;
12(f) made for payments under a building commission lease when
13the lease payments are for the retirement of bonds issued by
14the commission before March 1, 1995 to pay for the building
15project; (g) made for payments due under installment contracts
16entered into before March 1, 1995; (h) made for payments of
17principal and interest on bonds issued under the Metropolitan
18Water Reclamation District Act to finance construction
19projects initiated before October 1, 1991; (h-4) made for
20stormwater management purposes by the Metropolitan Water
21Reclamation District of Greater Chicago under Section 12 of the
22Metropolitan Water Reclamation District Act; (i) made for
23payments of principal and interest on limited bonds, as defined
24in Section 3 of the Local Government Debt Reform Act, in an
25amount not to exceed the debt service extension base less the
26amount in items (b), (c), and (e) of this definition for

 

 

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1non-referendum obligations, except obligations initially
2issued pursuant to referendum and bonds described in subsection
3(h) of this definition; (j) made for payments of principal and
4interest on bonds issued under Section 15 of the Local
5Government Debt Reform Act; (k) made for payments of principal
6and interest on bonds authorized by Public Act 88-503 and
7issued under Section 20a of the Chicago Park District Act for
8aquarium or museum projects; (l) made for payments of principal
9and interest on bonds authorized by Public Act 87-1191 or
1093-601 and (i) issued pursuant to Section 21.2 of the Cook
11County Forest Preserve District Act, (ii) issued under Section
1242 of the Cook County Forest Preserve District Act for
13zoological park projects, or (iii) issued under Section 44.1 of
14the Cook County Forest Preserve District Act for botanical
15gardens projects; (m) made pursuant to Section 34-53.5 of the
16School Code, whether levied annually or not; (n) made to fund
17expenses of providing joint recreational programs for the
18handicapped under Section 5-8 of the Park District Code or
19Section 11-95-14 of the Illinois Municipal Code; (o) made by
20the Chicago Park District for recreational programs for the
21handicapped under subsection (c) of Section 7.06 of the Chicago
22Park District Act; (p) made for contributions to a
23firefighter's pension fund created under Article 4 of the
24Illinois Pension Code, to the extent of the amount certified
25under item (5) of Section 4-134 of the Illinois Pension Code;
26and (q) made by Ford Heights School District 169 under Section

 

 

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117-9.02 of the School Code; and (r) made as a recapture levy
2under Section 18-53 of the Property Tax Code.
3    "Aggregate extension" for all taxing districts to which
4this Law applies in accordance with Section 18-213, except for
5those taxing districts subject to paragraph (2) of subsection
6(e) of Section 18-213, means the annual corporate extension for
7the taxing district and those special purpose extensions that
8are made annually for the taxing district, excluding special
9purpose extensions: (a) made for the taxing district to pay
10interest or principal on general obligation bonds that were
11approved by referendum; (b) made for any taxing district to pay
12interest or principal on general obligation bonds issued before
13the date on which the referendum making this Law applicable to
14the taxing district is held; (c) made for any taxing district
15to pay interest or principal on bonds issued to refund or
16continue to refund those bonds issued before the date on which
17the referendum making this Law applicable to the taxing
18district is held; (d) made for any taxing district to pay
19interest or principal on bonds issued to refund or continue to
20refund bonds issued after the date on which the referendum
21making this Law applicable to the taxing district is held if
22the bonds were approved by referendum after the date on which
23the referendum making this Law applicable to the taxing
24district is held; (e) made for any taxing district to pay
25interest or principal on revenue bonds issued before the date
26on which the referendum making this Law applicable to the

 

 

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1taxing district is held for payment of which a property tax
2levy or the full faith and credit of the unit of local
3government is pledged; however, a tax for the payment of
4interest or principal on those bonds shall be made only after
5the governing body of the unit of local government finds that
6all other sources for payment are insufficient to make those
7payments; (f) made for payments under a building commission
8lease when the lease payments are for the retirement of bonds
9issued by the commission before the date on which the
10referendum making this Law applicable to the taxing district is
11held to pay for the building project; (g) made for payments due
12under installment contracts entered into before the date on
13which the referendum making this Law applicable to the taxing
14district is held; (h) made for payments of principal and
15interest on limited bonds, as defined in Section 3 of the Local
16Government Debt Reform Act, in an amount not to exceed the debt
17service extension base less the amount in items (b), (c), and
18(e) of this definition for non-referendum obligations, except
19obligations initially issued pursuant to referendum; (i) made
20for payments of principal and interest on bonds issued under
21Section 15 of the Local Government Debt Reform Act; (j) made
22for a qualified airport authority to pay interest or principal
23on general obligation bonds issued for the purpose of paying
24obligations due under, or financing airport facilities
25required to be acquired, constructed, installed or equipped
26pursuant to, contracts entered into before March 1, 1996 (but

 

 

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1not including any amendments to such a contract taking effect
2on or after that date); (k) made to fund expenses of providing
3joint recreational programs for the handicapped under Section
45-8 of the Park District Code or Section 11-95-14 of the
5Illinois Municipal Code; (l) made for contributions to a
6firefighter's pension fund created under Article 4 of the
7Illinois Pension Code, to the extent of the amount certified
8under item (5) of Section 4-134 of the Illinois Pension Code;
9and (m) made for the taxing district to pay interest or
10principal on general obligation bonds issued pursuant to
11Section 19-3.10 of the School Code; and (n) made as a recapture
12levy under Section 18-53 of the Property Tax Code.
13    "Aggregate extension" for all taxing districts to which
14this Law applies in accordance with paragraph (2) of subsection
15(e) of Section 18-213 means the annual corporate extension for
16the taxing district and those special purpose extensions that
17are made annually for the taxing district, excluding special
18purpose extensions: (a) made for the taxing district to pay
19interest or principal on general obligation bonds that were
20approved by referendum; (b) made for any taxing district to pay
21interest or principal on general obligation bonds issued before
22the effective date of this amendatory Act of 1997; (c) made for
23any taxing district to pay interest or principal on bonds
24issued to refund or continue to refund those bonds issued
25before the effective date of this amendatory Act of 1997; (d)
26made for any taxing district to pay interest or principal on

 

 

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1bonds issued to refund or continue to refund bonds issued after
2the effective date of this amendatory Act of 1997 if the bonds
3were approved by referendum after the effective date of this
4amendatory Act of 1997; (e) made for any taxing district to pay
5interest or principal on revenue bonds issued before the
6effective date of this amendatory Act of 1997 for payment of
7which a property tax levy or the full faith and credit of the
8unit of local government is pledged; however, a tax for the
9payment of interest or principal on those bonds shall be made
10only after the governing body of the unit of local government
11finds that all other sources for payment are insufficient to
12make those payments; (f) made for payments under a building
13commission lease when the lease payments are for the retirement
14of bonds issued by the commission before the effective date of
15this amendatory Act of 1997 to pay for the building project;
16(g) made for payments due under installment contracts entered
17into before the effective date of this amendatory Act of 1997;
18(h) made for payments of principal and interest on limited
19bonds, as defined in Section 3 of the Local Government Debt
20Reform Act, in an amount not to exceed the debt service
21extension base less the amount in items (b), (c), and (e) of
22this definition for non-referendum obligations, except
23obligations initially issued pursuant to referendum; (i) made
24for payments of principal and interest on bonds issued under
25Section 15 of the Local Government Debt Reform Act; (j) made
26for a qualified airport authority to pay interest or principal

 

 

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1on general obligation bonds issued for the purpose of paying
2obligations due under, or financing airport facilities
3required to be acquired, constructed, installed or equipped
4pursuant to, contracts entered into before March 1, 1996 (but
5not including any amendments to such a contract taking effect
6on or after that date); (k) made to fund expenses of providing
7joint recreational programs for the handicapped under Section
85-8 of the Park District Code or Section 11-95-14 of the
9Illinois Municipal Code; and (l) made for contributions to a
10firefighter's pension fund created under Article 4 of the
11Illinois Pension Code, to the extent of the amount certified
12under item (5) of Section 4-134 of the Illinois Pension Code;
13and (m) made as a recapture levy under Section 18-53 of the
14Property Tax Code.
15    "Debt service extension base" means an amount equal to that
16portion of the extension for a taxing district for the 1994
17levy year, or for those taxing districts subject to this Law in
18accordance with Section 18-213, except for those subject to
19paragraph (2) of subsection (e) of Section 18-213, for the levy
20year in which the referendum making this Law applicable to the
21taxing district is held, or for those taxing districts subject
22to this Law in accordance with paragraph (2) of subsection (e)
23of Section 18-213 for the 1996 levy year, constituting an
24extension for payment of principal and interest on bonds issued
25by the taxing district without referendum, but not including
26excluded non-referendum bonds. For park districts (i) that were

 

 

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1first subject to this Law in 1991 or 1995 and (ii) whose
2extension for the 1994 levy year for the payment of principal
3and interest on bonds issued by the park district without
4referendum (but not including excluded non-referendum bonds)
5was less than 51% of the amount for the 1991 levy year
6constituting an extension for payment of principal and interest
7on bonds issued by the park district without referendum (but
8not including excluded non-referendum bonds), "debt service
9extension base" means an amount equal to that portion of the
10extension for the 1991 levy year constituting an extension for
11payment of principal and interest on bonds issued by the park
12district without referendum (but not including excluded
13non-referendum bonds). A debt service extension base
14established or increased at any time pursuant to any provision
15of this Law, except Section 18-212, shall be increased each
16year commencing with the later of (i) the 2009 levy year or
17(ii) the first levy year in which this Law becomes applicable
18to the taxing district, by the lesser of 5% or the percentage
19increase in the Consumer Price Index during the 12-month
20calendar year preceding the levy year. The debt service
21extension base may be established or increased as provided
22under Section 18-212. "Excluded non-referendum bonds" means
23(i) bonds authorized by Public Act 88-503 and issued under
24Section 20a of the Chicago Park District Act for aquarium and
25museum projects; (ii) bonds issued under Section 15 of the
26Local Government Debt Reform Act; or (iii) refunding

 

 

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1obligations issued to refund or to continue to refund
2obligations initially issued pursuant to referendum.
3    "Special purpose extensions" include, but are not limited
4to, extensions for levies made on an annual basis for
5unemployment and workers' compensation, self-insurance,
6contributions to pension plans, and extensions made pursuant to
7Section 6-601 of the Illinois Highway Code for a road
8district's permanent road fund whether levied annually or not.
9The extension for a special service area is not included in the
10aggregate extension.
11    "Aggregate extension base" means the taxing district's
12last preceding aggregate extension as adjusted under Sections
1318-135, 18-215, and 18-230. An adjustment under Section 18-135
14shall be made for the 2007 levy year and all subsequent levy
15years whenever one or more counties within which a taxing
16district is located (i) used estimated valuations or rates when
17extending taxes in the taxing district for the last preceding
18levy year that resulted in the over or under extension of
19taxes, or (ii) increased or decreased the tax extension for the
20last preceding levy year as required by Section 18-135(c).
21Whenever an adjustment is required under Section 18-135, the
22aggregate extension base of the taxing district shall be equal
23to the amount that the aggregate extension of the taxing
24district would have been for the last preceding levy year if
25either or both (i) actual, rather than estimated, valuations or
26rates had been used to calculate the extension of taxes for the

 

 

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1last levy year, or (ii) the tax extension for the last
2preceding levy year had not been adjusted as required by
3subsection (c) of Section 18-135.
4    Notwithstanding any other provision of law, for levy year
52012, the aggregate extension base for West Northfield School
6District No. 31 in Cook County shall be $12,654,592.
7    "Levy year" has the same meaning as "year" under Section
81-155.
9    "New property" means (i) the assessed value, after final
10board of review or board of appeals action, of new improvements
11or additions to existing improvements on any parcel of real
12property that increase the assessed value of that real property
13during the levy year multiplied by the equalization factor
14issued by the Department under Section 17-30, (ii) the assessed
15value, after final board of review or board of appeals action,
16of real property not exempt from real estate taxation, which
17real property was exempt from real estate taxation for any
18portion of the immediately preceding levy year, multiplied by
19the equalization factor issued by the Department under Section
2017-30, including the assessed value, upon final stabilization
21of occupancy after new construction is complete, of any real
22property located within the boundaries of an otherwise or
23previously exempt military reservation that is intended for
24residential use and owned by or leased to a private corporation
25or other entity, and (iii) in counties that classify in
26accordance with Section 4 of Article IX of the Illinois

 

 

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1Constitution, an incentive property's additional assessed
2value resulting from a scheduled increase in the level of
3assessment as applied to the first year final board of review
4market value. In addition, the county clerk in a county
5containing a population of 3,000,000 or more shall include in
6the 1997 recovered tax increment value for any school district,
7any recovered tax increment value that was applicable to the
81995 tax year calculations.
9    "Qualified airport authority" means an airport authority
10organized under the Airport Authorities Act and located in a
11county bordering on the State of Wisconsin and having a
12population in excess of 200,000 and not greater than 500,000.
13    "Recovered tax increment value" means, except as otherwise
14provided in this paragraph, the amount of the current year's
15equalized assessed value, in the first year after a
16municipality terminates the designation of an area as a
17redevelopment project area previously established under the
18Tax Increment Allocation Development Act in the Illinois
19Municipal Code, previously established under the Industrial
20Jobs Recovery Law in the Illinois Municipal Code, previously
21established under the Economic Development Project Area Tax
22Increment Act of 1995, or previously established under the
23Economic Development Area Tax Increment Allocation Act, of each
24taxable lot, block, tract, or parcel of real property in the
25redevelopment project area over and above the initial equalized
26assessed value of each property in the redevelopment project

 

 

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1area. For the taxes which are extended for the 1997 levy year,
2the recovered tax increment value for a non-home rule taxing
3district that first became subject to this Law for the 1995
4levy year because a majority of its 1994 equalized assessed
5value was in an affected county or counties shall be increased
6if a municipality terminated the designation of an area in 1993
7as a redevelopment project area previously established under
8the Tax Increment Allocation Development Act in the Illinois
9Municipal Code, previously established under the Industrial
10Jobs Recovery Law in the Illinois Municipal Code, or previously
11established under the Economic Development Area Tax Increment
12Allocation Act, by an amount equal to the 1994 equalized
13assessed value of each taxable lot, block, tract, or parcel of
14real property in the redevelopment project area over and above
15the initial equalized assessed value of each property in the
16redevelopment project area. In the first year after a
17municipality removes a taxable lot, block, tract, or parcel of
18real property from a redevelopment project area established
19under the Tax Increment Allocation Development Act in the
20Illinois Municipal Code, the Industrial Jobs Recovery Law in
21the Illinois Municipal Code, or the Economic Development Area
22Tax Increment Allocation Act, "recovered tax increment value"
23means the amount of the current year's equalized assessed value
24of each taxable lot, block, tract, or parcel of real property
25removed from the redevelopment project area over and above the
26initial equalized assessed value of that real property before

 

 

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1removal from the redevelopment project area.
2    Except as otherwise provided in this Section, "limiting
3rate" means a fraction the numerator of which is the last
4preceding aggregate extension base times an amount equal to one
5plus the extension limitation defined in this Section and the
6denominator of which is the current year's equalized assessed
7value of all real property in the territory under the
8jurisdiction of the taxing district during the prior levy year.
9For those taxing districts that reduced their aggregate
10extension for the last preceding levy year, the highest
11aggregate extension in any of the last 3 preceding levy years
12shall be used for the purpose of computing the limiting rate.
13The denominator shall not include new property or the recovered
14tax increment value. If a new rate, a rate decrease, or a
15limiting rate increase has been approved at an election held
16after March 21, 2006, then (i) the otherwise applicable
17limiting rate shall be increased by the amount of the new rate
18or shall be reduced by the amount of the rate decrease, as the
19case may be, or (ii) in the case of a limiting rate increase,
20the limiting rate shall be equal to the rate set forth in the
21proposition approved by the voters for each of the years
22specified in the proposition, after which the limiting rate of
23the taxing district shall be calculated as otherwise provided.
24(Source: P.A. 96-501, eff. 8-14-09; 96-517, eff. 8-14-09;
2596-1000, eff. 7-2-10; 96-1202, eff. 7-22-10; 97-611, eff.
261-1-12; 97-1154, eff. 1-25-13.)
 

 

 

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1    (35 ILCS 200/30-10)
2    Sec. 30-10. Special reserve fund.
3    (a) The governing body of any taxing district may, by
4ordinance or resolution, establish a special reserve fund for
5the purpose of accumulating monies to pay refunds of
6erroneously or illegally collected taxes. A taxing district
7establishing a special fund may transfer into the fund each
8year taxes or monies from the general corporate fund to be used
9solely for the payment of tax refunds and expenses incident to
10refunds. The balance of the fund shall not exceed 1/2 of 1% of
11the equalized assessed valuation of property in the taxing
12district, exclusive of any amounts paid into the fund under
13subsection (b) of this Section.
14    (b) Commercial or industrial taxpayers who (i) receive a
15final assessment as certified under Section 16-85 or 16-150 of
16this Act that exceeds the final assessment of the immediate
17past year by $100,000 or more in assessed valuation, and (ii)
18intend to seek further review of the assessment shall give
19notice of their intent to seek a review to the governing body
20of any municipality, school district, and community college
21district in which the property is situated. Notice shall be
22sent by mail within 30 days after filing an appeal petition
23with the Property Tax Appeal Board pursuant to Section 16-160
24of this Code or of filing a tax objection complaint in circuit
25court pursuant to Section 23-10. The governing body of any

 

 

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1taxing district receiving this notice from a commercial or
2industrial taxpayer may transfer into the special reserve fund
3authorized by subsection (a) of this Section all amounts
4received from the taxpayer exceeding the amounts received from
5that taxpayer for the immediate prior tax year. The transfer
6may be made at any time during the pendency of the appeal or
7tax objection proceedings. These amounts may remain in the
8reserve fund until the taxpayer has exhausted all further
9rights to administrative or judicial review of the matter and
10shall be disbursed in accordance with the final resolution of
11the matter. Amounts refunded to the taxpayer are subject to the
12provisions of Section 18-53 of this Act. Failure of a
13municipality, school district, or community college district
14to receive the notice shall not invalidate any existing
15proceedings by the taxpayer for review in either the Property
16Tax Appeal Board or in the courts.
17(Source: P.A. 84-205; 88-455.)
 
18    Section 10. The School Code is amended by changing Section
192-3.33 as follows:
 
20    (105 ILCS 5/2-3.33)  (from Ch. 122, par. 2-3.33)
21    Sec. 2-3.33. Recomputation of claims. To recompute within
223 years from the final date for filing of a claim any claim for
23reimbursement to any school district if the claim has been
24found to be incorrect and to adjust subsequent claims

 

 

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1accordingly, and to recompute and adjust any such claims within
26 years from the final date for filing when there has been an
3adverse court or administrative agency decision on the merits
4affecting the tax revenues of the school district, but
5excluding revenue recovered under Section 18-53 of the Property
6Tax Code. However, no such adjustment shall be made regarding
7equalized assessed valuation unless the district's equalized
8assessed valuation is changed by greater than $250,000 or 2%.
9    Except in the case of an adverse court or administrative
10agency decision no recomputation of a State aid claim shall be
11made pursuant to this Section as a result of a reduction in the
12assessed valuation of a school district from the assessed
13valuation of the district reported to the State Board of
14Education by the Department of Revenue under Section 18-8.05
15unless the requirements of Section 16-15 of the Property Tax
16Code and Section 2-3.84 of this Code are complied with in all
17respects.
18    This paragraph applies to all requests for recomputation of
19a general State aid claim received after June 30, 2003. In
20recomputing a general State aid claim that was originally
21calculated using an extension limitation equalized assessed
22valuation under paragraph (3) of subsection (G) of Section
2318-8.05 of this Code, a qualifying reduction in equalized
24assessed valuation shall be deducted from the extension
25limitation equalized assessed valuation that was used in
26calculating the original claim.

 

 

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1    From the total amount of general State aid to be provided
2to districts, adjustments as a result of recomputation under
3this Section together with adjustments under Section 2-3.84
4must not exceed $25 million, in the aggregate for all districts
5under both Sections combined, of the general State aid
6appropriation in any fiscal year; if necessary, amounts shall
7be prorated among districts. If it is necessary to prorate
8claims under this paragraph, then that portion of each prorated
9claim that is approved but not paid in the current fiscal year
10may be resubmitted as a valid claim in the following fiscal
11year.
12(Source: P.A. 93-845, eff. 7-30-04.)
 
13    (105 ILCS 5/2-3.84 rep.)
14    Section 15. The School Code is amended by repealing Section
152-3.84.

 

 

HB2901- 26 -LRB098 09538 HLH 41310 b

1 INDEX
2 Statutes amended in order of appearance
3    35 ILCS 200/18-53 new
4    35 ILCS 200/18-185
5    35 ILCS 200/30-10
6    105 ILCS 5/2-3.33from Ch. 122, par. 2-3.33
7    105 ILCS 5/2-3.84 rep.