Full Text of HB4179 93rd General Assembly
HB4179 93RD GENERAL ASSEMBLY
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93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004 HB4179
Introduced 1/22/2004, by Lovana Jones SYNOPSIS AS INTRODUCED: |
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New Act |
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35 ILCS 200/18-167 new |
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Creates the Banking Development District Act. Creates a
program to encourage the establishment of banking branches in locations where
there is the greatest need for banking services. Requires the State
Treasurer, in consultation with the Office of Banks and Real Estate, to adopt
rules that set forth criteria for the establishment of banking development
districts. Provides that a municipality or a county, in conjunction with a
bank, may apply to the State Treasurer to have property designated as a banking
development district. Amends the Property Tax Code. Provides that a taxing
district may abate a portion of
the property taxes on
a banking
branch in an area designated as a banking development district.
Places restrictions on granting an abatement to a bank that makes contributions to the Governor or the Treasurer. Effective immediately.
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A BILL FOR
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HB4179 |
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LRB093 18708 SJM 44437 b |
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| AN ACT concerning banking.
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| Be it enacted by the People of the State of Illinois, | 3 |
| represented in the General Assembly:
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| Section 1. Short title. This Act may be cited as the | 5 |
| Banking Development
District Act.
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| Section 5. Banking development district program. There is | 7 |
| hereby created a
banking development district program, the | 8 |
| purpose of which is to encourage the
establishment of banking | 9 |
| branches in geographic locations where there is
the greatest | 10 |
| need for banking services. The State Treasurer shall, in
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| consultation with the Office of Banks and Real Estate, adopt | 12 |
| rules in
accordance with the Administrative Procedure Act that | 13 |
| set forth the criteria
for the establishment of banking | 14 |
| development districts. The criteria shall
include, but not be | 15 |
| limited to, the following:
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| (1) the location, number, and proximity of sites where | 17 |
| banking services
are available within the district;
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| (2) the identification of consumer needs for banking | 19 |
| services within the
district;
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| (3) the economic viability and local credit needs of | 21 |
| the community within
the district;
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| (4) the existing commercial development within the | 23 |
| district;
and
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| (5) the impact additional banking services would have | 25 |
| on potential
economic development in the district.
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| Section 10. Definitions. As used in this Act:
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| "Improvement" does not include ordinary maintenance and | 28 |
| repairs.
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| "Bank" means a state bank, national bank, savings bank, | 30 |
| federal savings bank,
savings and loan association, federal | 31 |
| savings and loan association, credit
union, or trust
company.
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LRB093 18708 SJM 44437 b |
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| "Local government" means a county if the proposed banking | 2 |
| branch is in an
unincorporated area or a municipality if the | 3 |
| proposed banking branch is in an
incorporated area.
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| Section 15. Application. The governing board of a local | 5 |
| government, in
conjunction with a bank, may submit an | 6 |
| application to the State Treasurer for
the designation of a | 7 |
| banking development district. The boundaries of the
proposed | 8 |
| banking development district shall include property on which | 9 |
| the bank
plans to make improvements to establish a banking | 10 |
| branch. The application shall
include the legal description of | 11 |
| the property to be designated.
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| The State Treasurer shall issue a determination on the | 13 |
| application within 60
days after receiving the application. If | 14 |
| an application is approved, the State
Treasurer shall transmit | 15 |
| notification of the approval and a copy of all
application | 16 |
| materials to the applicants, the Commissioner of the Office of
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| Banks and Real Estate, the Governor, the State Comptroller, the | 18 |
| Director of
Commerce and Community Affairs, the President of | 19 |
| the Senate, the Speaker of the
House of Representatives, and | 20 |
| the clerk of the county in which the property is
located.
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| Section 20. Existing facilities. Notwithstanding any | 22 |
| other provision of law,
an application may be submitted by a | 23 |
| local government in conjunction with a
bank that has already | 24 |
| opened a branch within the area of the proposed district.
In | 25 |
| considering the criteria authorized under Section 5, the State | 26 |
| Treasurer
must also take into account the importance and | 27 |
| benefits of preserving the
banking services offered by the | 28 |
| existing branch.
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| Section 25. Abatement under the Property Tax Code. Upon | 30 |
| designation of the
banking development district by the State | 31 |
| Treasurer, the property of a bank
located within a banking | 32 |
| development district may be eligible for a tax
abatement under | 33 |
| Section 18-167 of the Property Tax Code.
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LRB093 18708 SJM 44437 b |
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| Section 905. The Property Tax Code is amended by adding | 2 |
| Section 18-167 as
follows:
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| (35 ILCS 200/18-167 new)
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| Sec. 18-167. Abatement of taxes in a banking district.
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| (a) Definitions. For purposes of this Section, "bank"
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| that term as defined in the Banking Development District Act.
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| (b) Any taxing district, upon a majority vote of its | 8 |
| governing
authority, may, after the determination of the | 9 |
| assessed valuation of its
property, adopt an ordinance or | 10 |
| resolution ordering the clerk of the county or
counties in | 11 |
| which the taxing district is located to abate a portion of the
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| taxing district's taxes on property of a bank that is used as a | 13 |
| banking branch
in an area designated as a banking development | 14 |
| district under the Banking
Development District Act. Before | 15 |
| ordering the abatement, the taxing district
must hold a public | 16 |
| hearing regarding the proposed abatement.
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| (i) The base amount of the abatement shall be the taxes | 18 |
| arising from the
new improvements or the renovation or | 19 |
| rehabilitation of existing improvements
since the | 20 |
| designation of the banking development district, based on | 21 |
| the
equalized
assessed value attributable to the new | 22 |
| improvements or the renovation or
rehabilitation of | 23 |
| existing improvements for the first year they were assessed
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| as completed as of January 1 of that tax year. Taxes | 25 |
| attributable to increases
in assessment due to ordinary | 26 |
| maintenance and repair shall not be abated under
this | 27 |
| Section.
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| A copy of an abatement order adopted under this Section | 29 |
| shall be delivered
to the county clerk and to the board of | 30 |
| review not later than July 1 of the
assessment year to be | 31 |
| first affected by the order. If it is delivered on or
after | 32 |
| that date, it will first affect the taxes extended on the | 33 |
| assessment of
the following year. The board of review | 34 |
| shall, in the first year of the
abatement, notify the bank |
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| to be affected and the taxing district granting the
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| abatement of the list of parcels affected by an abatement | 3 |
| under this Section
and the assessed value attributable to | 4 |
| the new improvements or the renovation
or rehabilitation of | 5 |
| existing improvements for the first year they were
assessed | 6 |
| as completed as of January 1 of that tax year. The affected | 7 |
| bank or
taxing district may file a complaint regarding the | 8 |
| list of parcels and
computation within 15 days after the | 9 |
| mailing of the notification, and shall be
given an | 10 |
| opportunity to be heard. The board of review shall, in the | 11 |
| first year
of the abatement, upon delivering the assessment | 12 |
| books to the county clerk,
also deliver a list of parcels | 13 |
| affected by an abatement under this Section and
the | 14 |
| assessed value attributable to new improvements or to the | 15 |
| renovation or
rehabilitation of existing improvements for | 16 |
| the first year they were assessed
as completed as of | 17 |
| January 1 of that tax year.
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| The county clerk shall abate the base amount as | 19 |
| follows:
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20 | | YEAR OF | PERCENTAGE OF BASE |
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21 | | ABATEMENT | AMOUNT ABATED |
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22 | | 1 | 50% |
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23 | | 2 | 45% |
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24 | | 3 | 40% |
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25 | | 4 | 35% |
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26 | | 5 | 30% |
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27 | | 6 | 25% |
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28 | | 7 | 20% |
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29 | | 8 | 15% |
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30 | | 9 | 10% |
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31 | | 10 |
5% |
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| (ii) The governing authority of a taxing district may | 33 |
| abate the
property taxes on a banking branch that was | 34 |
| already in existence when the
banking development district | 35 |
| was created under the Banking Development District
Act. The | 36 |
| county clerk shall abate the taxes in an amount that shall |
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LRB093 18708 SJM 44437 b |
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| be
determined by the governing authority of the taxing | 2 |
| district. The abatement
shall not exceed a period of 10 | 3 |
| years in duration and 50% of the taxes
attributable to the | 4 |
| improvements in amount.
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| (c) If property approved for an abatement under this | 6 |
| Section
ceases to be used as a banking branch, that property is | 7 |
| no longer eligible for
abatement of taxes. If an abatement is | 8 |
| discontinued under this Section, the
taxing district shall | 9 |
| notify the county clerk of the discontinuation in writing
no | 10 |
| later than July 1 of the assessment year to be first affected | 11 |
| by the change.
If an abatement of taxes is again allowed under | 12 |
| this Section for the same
property, the property shall be | 13 |
| eligible for only that portion of the abatement
not already | 14 |
| used.
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| (d) Any bank that receives an abatement of taxes under this | 16 |
| Section for a banking branch is prohibited from making a | 17 |
| contribution, as defined in Section 9-1.4 of the Election Code, | 18 |
| to the Governor or the Treasurer in any year in which a banking | 19 |
| branch receives an abatement under this Section. | 20 |
| (e) No bank may be approved for an abatement if the bank | 21 |
| made a contribution to either the Governor or the Treasurer | 22 |
| during the 4 years preceding the taxable year for which the | 23 |
| abatement would be granted.
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| Section 999. Effective date. This Act takes effect upon | 25 |
| becoming law. |
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