Full Text of SB0836 94th General Assembly
SB0836sam002 94TH GENERAL ASSEMBLY
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Sen. James F. Clayborne Jr.
Filed: 11/15/2006
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| AMENDMENT TO SENATE BILL 836
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| AMENDMENT NO. ______. Amend Senate Bill 836 by replacing | 3 |
| everything after the enacting clause with the following:
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| "Section 5. The Illinois Municipal Code is amended by | 5 |
| changing Sections 8-4-1, 11-74.3-1, 11-74.3-2, 11-74.3-3, | 6 |
| 11-74.3-4, and 11-74.3-5, by changing and renumbering the | 7 |
| existing Section 11-74.3-6 (now 11-74.3-11), and by adding new | 8 |
| Sections 11-74.3-6, 11-74.3-7, 11-74.3-8, 11-74.3-9, | 9 |
| 11-74.3-10, and 11-74.3-12 as follows:
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| (65 ILCS 5/8-4-1) (from Ch. 24, par. 8-4-1)
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| Sec. 8-4-1. No bonds shall be issued by the corporate | 12 |
| authorities
of any municipality until the question of | 13 |
| authorizing such bonds has
been submitted to the electors of | 14 |
| that municipality
provided that notice of the bond referendum, | 15 |
| if
held before July 1, 1999,
has been given in accordance with | 16 |
| the provisions of Section
12-5
of the Election Code in effect | 17 |
| at the time of the bond referendum, at least
10 and not more | 18 |
| than 45 days before the date of
the election, notwithstanding | 19 |
| the time for publication otherwise imposed by
Section 12-5,
and | 20 |
| approved by a
majority of the electors voting upon that | 21 |
| question.
Notices required in connection with the submission of | 22 |
| public questions
on or after July 1, 1999 shall be as set forth | 23 |
| in Section 12-5 of the Election
Code.
The clerk shall certify
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| the proposition of the corporate authorities to the proper |
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| election
authority who shall submit the question at an election | 2 |
| in accordance with
the general election law, subject to the | 3 |
| notice provisions set forth in this
Section.
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| Notice of any such election shall contain the amount of the | 5 |
| bond
issue, purpose for which issued, and maximum rate of | 6 |
| interest.
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| However, without the submission of the question of issuing | 8 |
| bonds to the
electors, the corporate authorities of any | 9 |
| municipality may authorize the
issuance of any of the following | 10 |
| bonds:
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| (1) Bonds to refund any existing bonded indebtedness;
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| (2) Bonds to fund or refund any existing judgment | 13 |
| indebtedness;
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| (3) In any municipality of less than 500,000 population, | 15 |
| bonds to
anticipate the collection of installments of special | 16 |
| assessments and
special taxes against property owned by the | 17 |
| municipality and to
anticipate the collection of the amount | 18 |
| apportioned to the municipality
as public benefits under | 19 |
| Article 9;
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| (4) Bonds issued by any municipality under Sections 8-4-15 | 21 |
| through
8-4-23, 11-23-1 through 11-23-12, 11-25-1 through | 22 |
| 11-26-6, 11-71-1
through 11-71-10, 11-74.3-1 through | 23 |
| 11-74.3-12, 11-74.4-1 through 11-74.4-11, 11-74.5-1 through
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| 11-74.5-15,
11-94-1 through 11-94-7, 11-102-1 through | 25 |
| 11-102-10,
11-103-11 through 11-103-15, 11-118-1 through | 26 |
| 11-118-6, 11-119-1 through
11-119-5, 11-129-1 through | 27 |
| 11-129-7, 11-133-1 through 11-133-4, 11-139-1
through | 28 |
| 11-139-12, 11-141-1 through 11-141-18 of this Code or 10-801
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| through 10-808 of the Illinois Highway Code, as amended;
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| (5) Bonds issued by the board of education of any school | 31 |
| district
under the provisions of Sections 34-30 through 34-36 | 32 |
| of The School Code,
as amended;
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| (6) Bonds issued by any municipality under the provisions | 34 |
| of
Division 6 of this Article 8; and by any municipality under |
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| the
provisions of Division 7 of this Article 8; or under the | 2 |
| provisions of
Sections 11-121-4 and 11-121-5;
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| (7) Bonds to pay for the purchase of voting machines by any
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| municipality that has adopted Article 24 of The Election Code, | 5 |
| approved
May 11, 1943, as amended;
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| (8) Bonds issued by any municipality under Sections 15 and | 7 |
| 46 of the
"Environmental Protection Act", approved June 29, | 8 |
| 1970;
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| (9) Bonds issued by the corporate authorities of any | 10 |
| municipality
under the provisions of Section 8-4-25 of this | 11 |
| Article 8;
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| (10) Bonds issued under Section 8-4-26 of this Article 8 by | 13 |
| any
municipality having a board of election commissioners;
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| (11) Bonds issued under the provisions of "An Act to | 15 |
| provide the
manner of levying or imposing taxes for the | 16 |
| provision of special
services to areas within the boundaries of | 17 |
| home rule units and nonhome
rule municipalities and counties", | 18 |
| approved September 21, 1973;
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| (12) Bonds issued under Section 8-5-16 of this Code;
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| (13) Bonds to finance the cost of the acquisition, | 21 |
| construction or
improvement of water or wastewater treatment | 22 |
| facilities mandated by an
enforceable compliance schedule | 23 |
| developed in connection with the federal
Clean Water Act or a | 24 |
| compliance order issued by the United States
Environmental | 25 |
| Protection Agency or the Illinois Pollution Control Board;
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| provided that such bonds are authorized by an ordinance adopted | 27 |
| by a
three-fifths majority of the corporate authorities of the | 28 |
| municipality
issuing the bonds which ordinance shall specify | 29 |
| that the construction or
improvement of such facilities is | 30 |
| necessary to alleviate an emergency
condition in such | 31 |
| municipality;
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| (14) Bonds issued by any municipality pursuant to Section
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| 11-113.1-1;
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| (15) Bonds issued under Sections 11-74.6-1 through |
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| 11-74.6-45, the
Industrial Jobs Recovery Law of this Code.
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| (Source: P.A. 90-706, eff. 8-7-98; 90-812, eff. 1-26-99; 91-57, | 3 |
| eff. 6-30-99.)
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| (65 ILCS 5/11-74.3-1) (from Ch. 24, par. 11-74.3-1)
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| Sec. 11-74.3-1. Declaration of public purpose.
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| It is hereby found and declared: | 7 |
| (1) It may be considered essential to the economic and | 8 |
| social welfare of
each municipality that business districts be | 9 |
| developed, improved, maintained and revitalized , that jobs and | 10 |
| opportunity for employment be created within the municipality, | 11 |
| and that, if blighting conditions are present, blighting | 12 |
| conditions be eradicated by
assuring opportunities for | 13 |
| development or redevelopment and attracting
sound and stable | 14 |
| commercial growth.
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| (2) Such a result should conform with a comprehensive plan | 16 |
| of the
municipality and a specific plan for business districts | 17 |
| officially approved
by the corporate authorities of the | 18 |
| municipality after a public hearing
hearings .
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| (3) The exercise of the powers provided in this Division is | 20 |
| dedicated to
the promotion of the public interest ,
and to the | 21 |
| enhancement of the tax base
within
of business districts, the | 22 |
| creation of employment, and/or the eradication of blight, if | 23 |
| present within the business district, and the use of such | 24 |
| powers for the development and
redevelopment of business | 25 |
| districts of a municipality is hereby declared to
be a public | 26 |
| use essential to the public interest.
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| (Source: P.A. 78-793 .)
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| (65 ILCS 5/11-74.3-2) (from Ch. 24, par. 11-74.3-2)
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| Sec. 11-74.3-2. The corporate authorities of a | 30 |
| municipality may designate, after
public hearing
hearings , an | 31 |
| area of the municipality as a Business District.
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| (Source: P.A. 78-793.)
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| (65 ILCS 5/11-74.3-3)
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| Sec.
11-74.3-3. With respect to districts created pursuant | 3 |
| to Section 11-74.3-2, in
In carrying out a business district | 4 |
| development or redevelopment plan,
the corporate authorities | 5 |
| of each municipality shall have the following
powers:
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| (1) To approve all development and redevelopment | 7 |
| proposals for a
business district.
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| (2) To exercise the use of eminent domain for the | 9 |
| acquisition of real
and personal property for the purpose | 10 |
| of a development or redevelopment
project.
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| (3) To acquire, manage, convey or otherwise dispose of | 12 |
| real and personal
property
according to the provisions of a | 13 |
| development or
redevelopment plan.
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| (4) To apply for and accept capital grants and loans | 15 |
| from the United
States and the State of Illinois, or any | 16 |
| instrumentality of the United
States or the State, for | 17 |
| business district development and redevelopment.
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| (5) To borrow funds as it may be deemed necessary for | 19 |
| the purpose of
business district development and | 20 |
| redevelopment, and in this connection
issue such | 21 |
| obligation or revenue bonds as it shall be deemed | 22 |
| necessary,
subject to applicable statutory limitations.
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| (6) To enter into contracts with any public or private | 24 |
| agency or person.
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| (7) To sell, lease, trade or improve real property in | 26 |
| connection with business district development and | 27 |
| redevelopment
plans.
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| (8) To employ all such persons as may be necessary for | 29 |
| the planning,
administration and implementation of | 30 |
| business district plans.
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| (9) To expend such public funds as may be necessary for | 32 |
| the planning,
execution and implementation of the business | 33 |
| district plans.
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| (10) To establish by ordinance or resolution | 2 |
| procedures for the
planning, execution and implementation | 3 |
| of business district plans.
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| (11) To create a Business District Development and | 5 |
| Redevelopment
Commission to act as agent for the | 6 |
| municipality for the purposes of
business district | 7 |
| development and redevelopment.
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| (12) To impose a retailers' occupation tax and a | 9 |
| service occupation tax in the business district for the | 10 |
| planning, execution, and implementation of business | 11 |
| district plans and to pay for business district project | 12 |
| costs as set forth in the business district plan approved | 13 |
| by the municipality. | 14 |
| (13) To impose a hotel operators' occupation tax in the | 15 |
| business district for the planning, execution, and | 16 |
| implementation of business district plans and to pay for | 17 |
| the business district project costs as set forth in the | 18 |
| business district plan approved by the municipality. | 19 |
| (14) To issue obligations in one or more series bearing | 20 |
| interest at rates determined by the corporate authorities | 21 |
| of the municipality by ordinance and secured by the | 22 |
| business district tax allocation fund set forth in Section | 23 |
| 11-74.3-6 for the business district to provide for the | 24 |
| payment of business district project costs. | 25 |
| (15) To utilize revenues received under this Division | 26 |
| from one district area for eligible business district | 27 |
| project costs in another business district area that is | 28 |
| contiguous to, or is separated only by a public right of | 29 |
| way, the district area from which the revenues are | 30 |
| received, provided that any transfer or loan of revenues | 31 |
| from one district area to another area shall have first | 32 |
| been approved in the business district plan approved for | 33 |
| each district area.
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| This amendatory Act of the 91st General Assembly is |
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| declarative of existing
law and is not a new enactment.
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| (Source: P.A. 93-1053, eff. 1-1-05.)
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| (65 ILCS 5/11-74.3-4) (from Ch. 24, par. 11-74.3-4)
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| Sec. 11-74.3-4. The powers granted to municipalities in | 5 |
| this Division shall not be
construed as a limitation on the | 6 |
| powers of a home rule municipality granted
by Article VII of | 7 |
| the Illinois Constitution.
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| (Source: P.A. 78-793.)
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| (65 ILCS 5/11-74.3-5) | 10 |
| Sec. 11-74.3-5. Business district; additional procedures | 11 |
| for designation of district and approval of development or | 12 |
| redevelopment plan with respect to business districts | 13 |
| established pursuant to Section 11-74.3.2 . If the corporate | 14 |
| authorities of a municipality desire to impose a tax by | 15 |
| ordinance pursuant to subsection (12) or (13) of Section | 16 |
| 11-74.3-3, the following additional procedures shall apply to | 17 |
| the designation of the business district and the approval of | 18 |
| the business district development or redevelopment plan: | 19 |
| (1) The corporate authorities of the municipality | 20 |
| shall hold a public hearing
hearings at least one week | 21 |
| prior to designation of the business district and approval | 22 |
| of the business district development or redevelopment | 23 |
| plan. | 24 |
| (2) The area proposed to be designated as a business | 25 |
| district must be contiguous and must include only parcels | 26 |
| of real property directly and substantially benefited by | 27 |
| the proposed business district development or | 28 |
| redevelopment plan. | 29 |
| (3) The corporate authorities of the municipality | 30 |
| shall make a formal finding of the following: (i) the | 31 |
| business district is a blighted area that, by reason of the | 32 |
| predominance of defective or inadequate street layout, |
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| unsanitary or unsafe conditions, deterioration of site | 2 |
| improvements, improper subdivision or obsolete platting, | 3 |
| or the existence of conditions which endanger life or | 4 |
| property by fire or other causes, or any combination of | 5 |
| those factors, retards the provision of housing | 6 |
| accommodations or constitutes an economic or social | 7 |
| liability or a menace to the public health, safety, morals, | 8 |
| or welfare in its present condition and use; and (ii) the | 9 |
| business district on the whole has not been subject to | 10 |
| growth and development through investment by private | 11 |
| enterprises or would not reasonably be anticipated to be | 12 |
| developed or redeveloped without the adoption of the | 13 |
| business district development or redevelopment plan.
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| (4) The proposed business district development or | 15 |
| redevelopment plan shall set forth in writing: (i) a | 16 |
| specific description of the proposed boundaries of the | 17 |
| district, including a map illustrating the boundaries; | 18 |
| (ii) a general description of each project proposed to be | 19 |
| undertaken within the business district, including a | 20 |
| description of the approximate location of each project; | 21 |
| (iii) the name of the proposed business district; (iv) the | 22 |
| estimated business district project costs; (v) the | 23 |
| anticipated source of funds to pay business district | 24 |
| project costs; (vi) the anticipated type and terms of any | 25 |
| obligations to be issued; and (vii) the rate of any tax to | 26 |
| be imposed pursuant to subsection (12) or (13) of Section | 27 |
| 11-74.3-3 and the period of time for which the tax shall be | 28 |
| imposed.
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| (Source: P.A. 93-1053, eff. 1-1-05.) | 30 |
| (65 ILCS 5/11-74.3-6 new)
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| Sec. 11-74.3-6. Establishment of districts. The corporate | 32 |
| authorities of a municipality may establish one or more | 33 |
| districts that are separate political subdivisions of the |
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| State. The provisions of this Section 11-74.3-6 through Section | 2 |
| 11-74.3-10 shall govern the formation, governance and powers of | 3 |
| such a district. | 4 |
| (65 ILCS 5/11-74.3-7 new)
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| Sec. 11-74.3-7. Definitions. The following terms used in | 6 |
| Sections 3-6 through 3-10 of this Division 74.3 and not | 7 |
| otherwise defined in this Division 74.3 shall have the | 8 |
| following meanings: | 9 |
| "Blighted area" means an area that, (a) by reason of the | 10 |
| predominance of defective or inadequate street layout, | 11 |
| unsanitary or unsafe conditions, deterioration of site | 12 |
| improvements, improper subdivision or obsolete platting, or | 13 |
| the existence of conditions that endanger life or property by | 14 |
| fire or other causes, or any combination of those factors, | 15 |
| retards the provision of housing accommodations or constitutes | 16 |
| an economic or social liability or a menace to the public | 17 |
| health, safety, morals, or welfare in its present condition and | 18 |
| use, or (b) has been declared blighted or found to be a | 19 |
| blighted area pursuant to the Tax Increment Allocation | 20 |
| Redevelopment Act, 65 ILCS 5/11-74.4-1 et seq or the Industrial | 21 |
| Jobs Recovery Law, 65 ILCS 5/11-74.61 et seq; or (c) is | 22 |
| blighted pursuant to the definition of "blight" as contained in | 23 |
| the Tax Increment Allocation Redevelopment Act, 65 ILCS | 24 |
| 5/11-74.4-1 or the Industrial Jobs Recovery Law, 65 ILCS | 25 |
| 5/11-74.6-1 et seq. | 26 |
| "Board" means the board of directors of the district. | 27 |
| "Business district plan" shall mean the written plan for | 28 |
| the development or redevelopment and the construction of | 29 |
| various physical improvements to or benefiting the district | 30 |
| area, through the payment of business district project costs, | 31 |
| which plan is in accordance with the requirements of this | 32 |
| Division 74.3. | 33 |
| "Business district project costs" shall mean and include |
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| the sum total of all costs incurred by a district, other | 2 |
| governmental entity or nongovernmental person in the | 3 |
| furtherance of a business district plan or incidental to | 4 |
| development or redevelopment within or for the benefit of the | 5 |
| district area, including, without limitation, the following: | 6 |
| (1) costs of studies, surveys, development of plans and | 7 |
| specifications, implementation and administration of a | 8 |
| business district plan, and personnel and professional | 9 |
| service costs for architectural, engineering, legal, | 10 |
| marketing, financial, planning, police, fire, public | 11 |
| works, or other services, provided that no charges for | 12 |
| professional services may be based on a percentage of tax | 13 |
| revenues; | 14 |
| (2) property assembly costs, including but not limited | 15 |
| to, acquisition of land and other real or personal property | 16 |
| or rights or interests therein, and specifically including | 17 |
| payments to developers or other nongovernmental persons as | 18 |
| reimbursement for property assembly costs incurred by that | 19 |
| developer or other nongovernmental person; | 20 |
| (3) site preparation costs, including but not limited | 21 |
| to clearance, demolition or removal of any existing | 22 |
| buildings, structures, fixtures, utilities and | 23 |
| improvements and clearing and grading; and including | 24 |
| installation, repair, construction, reconstruction, | 25 |
| extension, or relocation of public streets, public | 26 |
| utilities, and other public site improvements within or | 27 |
| without the district area which are essential to the | 28 |
| preparation of the district area for the use in accordance | 29 |
| with the business district plan, and specifically | 30 |
| including payments to developers or other nongovernmental | 31 |
| persons as reimbursement for site preparation costs | 32 |
| incurred by the developer or nongovernmental person; | 33 |
| (4) costs of renovation, rehabilitation, | 34 |
| reconstruction, relocation, repair or remodeling of any |
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| existing buildings, improvements, and fixtures within the | 2 |
| district area, and specifically including payments to | 3 |
| developers or other nongovernmental persons as | 4 |
| reimbursement for costs incurred by those developers or | 5 |
| nongovernmental persons; | 6 |
| (5) costs of installation or construction within the | 7 |
| district area of buildings, structures, works, streets, | 8 |
| improvements, equipment, utilities, or fixtures, and | 9 |
| specifically including payments to developers or other | 10 |
| nongovernmental persons as reimbursements for such costs | 11 |
| incurred by such developer or nongovernmental person; | 12 |
| (6) financing costs, including but not limited to all | 13 |
| necessary and incidental expenses related to the issuance | 14 |
| of obligations, payment of any interest on any obligations | 15 |
| issued under this Division 74.3 that accrues during the | 16 |
| estimated period of construction of any development or | 17 |
| redevelopment project for which those obligations are | 18 |
| issued and for not exceeding 36 months thereafter, and any | 19 |
| reasonable reserves related to the issuance of those | 20 |
| obligations; and | 21 |
| (7) relocation costs to the extent that a district | 22 |
| determines that relocation costs shall be paid or is | 23 |
| required to make payment of relocation costs by federal or | 24 |
| State law. | 25 |
| "Director" means a duly appointed director on the board of | 26 |
| a district. | 27 |
| "District" shall mean a political subdivision of the State | 28 |
| and body politic, having the district area as its corporate | 29 |
| limits, as designated in the Development Plan and as created by | 30 |
| a municipality in accordance with this Division 74.3. | 31 |
| "District area" means an improved or vacant area within a | 32 |
| municipality and that has been established by that municipality | 33 |
| in accordance with this Division 74.3. | 34 |
| "Municipality" means any city, village or incorporated |
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| town within the State. | 2 |
| "Municipal clerk" means the office within any municipality | 3 |
| designated as the office with the duty and authority for | 4 |
| keeping, maintaining, and recording the records and | 5 |
| proceedings of that municipality. | 6 |
| (65 ILCS 5/11-74.3-8 new)
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| Sec. 11-74.3-8. Powers of Districts that are Political | 8 |
| Subdivisions. If the business district plan provides and the | 9 |
| district is created as a political subdivision of the State, | 10 |
| the district shall have all powers, except to the extent any | 11 |
| such power has been limited by the business district plan for | 12 |
| such district approved by the municipality, to carry out and | 13 |
| effectuate the purposes and provisions of such business | 14 |
| district plan and this Division 74.3, including but not limited | 15 |
| to, the following: | 16 |
| (1) To adopt by-laws for the district in the form | 17 |
| provided for in the business district plan; | 18 |
| (2) To sue and be sued; | 19 |
| (3) To exercise the use of eminent domain for the | 20 |
| acquisition of real and personal property for the purpose of | 21 |
| implementing development or redevelopment within the district | 22 |
| area or which benefits the district area; | 23 |
| (4) To acquire, manage, convey or otherwise dispose of | 24 |
| real and personal property according to the provisions of a | 25 |
| business district plan; | 26 |
| (5) To apply for and accept capital grants and loans | 27 |
| from the United States and the state, or any instrumentality of | 28 |
| the United States or the state, for business district | 29 |
| development and redevelopment; | 30 |
| (6) To borrow funds as it may be deemed necessary to | 31 |
| pay business district project costs, and in this connection | 32 |
| issue one or more series of obligations or revenue bonds, | 33 |
| bearing interest at a rate determined by the board of the |
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| district, secured by the business district tax allocation fund | 2 |
| set forth in Section 11-74.3-11, and as it shall be deemed | 3 |
| necessary, subject to applicable statutory limitations, | 4 |
| including the pledge of its revenues to another authority in | 5 |
| connection with the issuance of obligations to finance | 6 |
| development within or for the benefit of the district area; | 7 |
| (7) To enter into contracts with any public or private | 8 |
| agency or person; | 9 |
| (8) To sell, lease, trade or improve real property; | 10 |
| (9) To employ all such persons as may be necessary for | 11 |
| the planning, administration and implementation of the | 12 |
| business district plan; | 13 |
| (10) To expend such public funds as may be necessary | 14 |
| for the planning, execution and implementation of the business | 15 |
| district plan; | 16 |
| (11) To levy by resolution of the board, a retailers' | 17 |
| occupation tax and a service occupation tax in the district | 18 |
| area for the planning, execution, and implementation of the | 19 |
| business district plan, to pay for business district project | 20 |
| costs, and to pay any obligations issued to finance business | 21 |
| district project costs, to the extent such taxes are authorized | 22 |
| by the business district plan approved by the municipality; | 23 |
| (12) To impose by resolution a hotel operators' | 24 |
| occupation tax within the business district for the planning, | 25 |
| execution, and implementation of business district plans and to | 26 |
| pay for the business district project costs as set forth in the | 27 |
| business district plan approved by the municipality; | 28 |
| (13) To utilize revenues received under this Division | 29 |
| from one district area for eligible business district project | 30 |
| costs in another district area that is contiguous to, or is | 31 |
| separated only by a public right of way from, the district area | 32 |
| from which the revenues are received, provided that any | 33 |
| transfer or loan of revenues received from one district area to | 34 |
| another district area shall have first been approved in the |
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| business district plan approved for each district area. | 2 |
| In addition to the foregoing, each district area which is | 3 |
| located within a blighted area or includes a blighted area, | 4 |
| shall have the additional power to expend its revenues or loan | 5 |
| its revenues pursuant to a contract with any private property | 6 |
| owner to improve such private property, provided that such | 7 |
| improvements are reasonably anticipated to remediate some or | 8 |
| all of the blighting conditions and are in the furtherance of | 9 |
| the objectives of the business district plan. | 10 |
| (65 ILCS 5/11-74.3-9 new)
| 11 |
| Sec. 11-74.3-9. The following procedures apply to the | 12 |
| establishment of a district: | 13 |
| (1) Business district plan. The corporate authorities | 14 |
| of the municipality shall cause to be prepared a business | 15 |
| district plan, which shall: | 16 |
| (a) designate the district as a separate political | 17 |
| subdivision of the State;
| 18 |
| (b) set forth a specific description of the | 19 |
| boundaries of the proposed district area; | 20 |
| (c) contain a map illustrating the boundaries of | 21 |
| the proposed district area; | 22 |
| (d) contain a general description of each project | 23 |
| proposed to be undertaken within or for the benefit of | 24 |
| the district area, including a description of the | 25 |
| approximate location of each project; | 26 |
| (e) set forth the name of the proposed district; | 27 |
| (f) set forth the number of directors to be on the | 28 |
| district's board; | 29 |
| (g) set forth an estimate of business district | 30 |
| project costs reasonably anticipated to be paid or | 31 |
| incurred; | 32 |
| (h) set forth the anticipated source of funds to | 33 |
| pay business district project costs; |
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| (i) set forth the anticipated nature and term of | 2 |
| any obligations to be issued; and | 3 |
| (j) the form of the proposed by-laws by which the | 4 |
| board shall govern the district. | 5 |
| The business district plan shall be placed on file with | 6 |
| the municipal clerk and available for review by any | 7 |
| interested party on or before the date notice of the public | 8 |
| hearing is first published or mailed. | 9 |
| (2) Amendments to the plan. | 10 |
| (a) Amendments to a business district plan may be | 11 |
| made that do not change the proposed boundaries of the | 12 |
| proposed district area if the following times and the | 13 |
| following requirements have been met: | 14 |
| (i) At any time prior to the close of the | 15 |
| public hearing required pursuant to subdivision | 16 |
| (3) of this Section; provided that, notice of the | 17 |
| contents of the amendment to the business district | 18 |
| plan is given at the public hearing. | 19 |
| (ii) At any time after the public hearing and | 20 |
| prior to the adoption of an ordinance adopting the | 21 |
| proposed district; provided that, notice of the | 22 |
| amendments to the business district plan is given | 23 |
| by publishing the notice in a newspaper of general | 24 |
| circulation within the municipality and by sending | 25 |
| the notice by registered or certified United | 26 |
| States mail with a return receipt attached to the | 27 |
| address of record of each owner of record of real | 28 |
| property within the boundaries of the proposed | 29 |
| district area per the tax records of the county | 30 |
| clerk. Such notice shall be published and mailed | 31 |
| not less than 10 days prior to the adoption of the | 32 |
| ordinance establishing the district. | 33 |
| (b) Amendments to a business district plan that | 34 |
| change the proposed boundaries of the proposed |
|
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| district area and amendments to the business district | 2 |
| plan made at any time after the adoption of any | 3 |
| ordinance establishing the district, may be made by | 4 |
| adoption by the governing body of the municipality in | 5 |
| which the district is located of an ordinance approving | 6 |
| the amendment to the business district plan, after a | 7 |
| public hearing on the amendment to the business | 8 |
| district plan is held and notice of the public hearing | 9 |
| is given in the manner provided in subdivision (3) of | 10 |
| this Section. | 11 |
| (3) Public hearing. The corporate authorities of the | 12 |
| municipality shall conduct a public hearing at which | 13 |
| members of the general public shall be given an opportunity | 14 |
| to be heard regarding the terms of the business district | 15 |
| plan and the establishment of the district. All reasonable | 16 |
| protests, objections and endorsements shall be heard at the | 17 |
| public hearing; provided, however, that the corporate | 18 |
| authorities of the municipality may establish reasonable | 19 |
| rules regarding the length of time provided to members of | 20 |
| the general public. The public hearing may be continued to | 21 |
| another date without further notice other than a motion to | 22 |
| be entered upon the minutes fixing the date, time, and | 23 |
| place of the continuance of the public hearing. Notice of | 24 |
| the public hearing shall be given as follows: | 25 |
| (a) Notice by publication shall be given in a | 26 |
| newspaper of general circulation within the | 27 |
| municipality, published twice, the first publication | 28 |
| to be not more than 30 days and the last publication to | 29 |
| not be less than 10 days prior to the date of the | 30 |
| public hearing. | 31 |
| (b) Notice by mail shall be given to the record | 32 |
| owner, based on the assessor's records as of the date | 33 |
| that is not more than 30 days and not less than 15 days | 34 |
| prior to the date of the public hearing, of fee simple |
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| title to all real property located within the proposed | 2 |
| district area, which notices shall be sent by certified | 3 |
| United States mail, return receipt requested. | 4 |
| (c) Each notice shall contain the following | 5 |
| information: | 6 |
| (i) the date, time, and place of the public | 7 |
| hearing; | 8 |
| (ii) a statement that the business district | 9 |
| plan has been filed with the municipal clerk of the | 10 |
| municipality and is available for review at the | 11 |
| office of the municipal clerk during the | 12 |
| municipality's regular business hours; | 13 |
| (iii) the boundaries and map of the proposed | 14 |
| district, as contained in the business district | 15 |
| plan, provided that a map shall not be required | 16 |
| with respect to any published notice; and | 17 |
| (iv) a statement that all interested persons | 18 |
| shall be given an opportunity to be heard at the | 19 |
| public hearing. | 20 |
| (4) Establishment of district by ordinance. After the | 21 |
| final adjournment of the public hearing required by | 22 |
| subdivision (3) of this Section, the corporate authorities | 23 |
| of the municipality may establish the district by adopting | 24 |
| an ordinance approving the business district plan, | 25 |
| establishing the district, and making the following | 26 |
| findings: | 27 |
| (a) the proposed district area is contiguous; and | 28 |
| (b) the proposed business district plan conforms | 29 |
| to the comprehensive plan of the municipality as a | 30 |
| whole. | 31 |
| The establishment ordinance may include the finding that | 32 |
| the district is a blighted area. Within sixty (60) days after | 33 |
| the adoption of said approving ordinance, the municipal clerk | 34 |
| shall cause a certified copy of said ordinance to be filed in |
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| the officer of the recorder of deeds in and for the county in | 2 |
| which the municipality is located. Upon such filing with the | 3 |
| office of the recorder of deeds the district shall be deemed to | 4 |
| be organized as a political subdivision of the State and a body | 5 |
| politic. | 6 |
| (65 ILCS 5/11-74.3-10 new)
| 7 |
| Sec. 11-74.3-10. Governance by Board of directors; | 8 |
| election; qualifications.
| 9 |
| (1) The district shall be governed by a board consisting of | 10 |
| the number of directors as set forth in the business district | 11 |
| plan, of which there shall be at least 5 but not more than 10 | 12 |
| directors. Each director shall, during his or her entire term: | 13 |
| (a) be at least 18 years of age; | 14 |
| (b) be a resident of the municipality; and
| 15 |
| (c) have any other qualifications that may be set forth | 16 |
| in the business district plan. | 17 |
| (2) Directors shall be appointed by the chief elected | 18 |
| officer of the municipality with the consent of the corporate | 19 |
| authorities of the municipality. One-half of the initial | 20 |
| directors shall be appointed to serve a 3-year term, one-half | 21 |
| shall be appointed to serve for a 2-year term, and if an odd | 22 |
| number of directors are to be initially appointed, the odd | 23 |
| Director shall serve for a 2-year term; provided that each | 24 |
| director shall serve until that director's successor is | 25 |
| appointed. Each successor director shall serve a term of 2 | 26 |
| years; provided that the term shall continue until the | 27 |
| director's successor is appointed. In the event of a vacancy on | 28 |
| the board of directors, the municipality shall appoint, in the | 29 |
| manner described in this subdivision (2), an interim director | 30 |
| to fill the vacancy for the unexpired term. | 31 |
| (3) Any director may be removed for cause by a two-thirds | 32 |
| affirmative vote of the directors of the board. Written notice | 33 |
| of the proposed removal shall be given to all directors prior |
|
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| to action thereon. A director may not be removed by the | 2 |
| municipality or the board without cause. | 3 |
| (4) The board shall possess and exercise all of the | 4 |
| district's legislative and executive powers. A simple majority | 5 |
| of the board shall constitute a quorum. If a quorum exists, a | 6 |
| majority of those voting shall have the authority to act in the | 7 |
| name of the board and to approve any resolution. Each director | 8 |
| shall devote such time to the duties of the office as the | 9 |
| faithful discharge thereof may require and may be reimbursed | 10 |
| for his or her actual expenditures in the performance of duties | 11 |
| on behalf of the district. Meetings and actions of the board | 12 |
| shall otherwise be governed by the terms of the district's | 13 |
| by-laws. The board may appoint officers and delegate its | 14 |
| executive power to such officer to the extent provided for in | 15 |
| the by-laws, the form of which is to be contained in the | 16 |
| business district plan. | 17 |
| (5) The district shall comply and operate in accordance | 18 |
| with the State Officials and Employees Ethics Act (5 ILCS 430/) | 19 |
| and all other laws of the State applicable to political | 20 |
| subdivisions or units of local government. | 21 |
| (65 ILCS 5/11-74.3-11) (was 65 ILCS 5/11-74.3-6) | 22 |
| Sec. 11-74.3-11
11-74.3-6 . Business district revenue and | 23 |
| obligations. | 24 |
| (a) If the corporate authorities of a municipality have | 25 |
| approved a business district development or redevelopment plan | 26 |
| and have elected to impose a tax by ordinance pursuant to | 27 |
| subsections (b), (c), or (d) of this Section, or the board of a | 28 |
| district has elected to impose a tax by resolution pursuant to | 29 |
| subsection (b), (c), or (d), then each year after the date of | 30 |
| the approval of the ordinance but terminating upon the date
and | 31 |
| until all business district project costs and all municipal | 32 |
| obligations financing the business district project costs, if | 33 |
| any, have been paid in accordance with the business district |
|
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| development or redevelopment plan, but in no event longer than | 2 |
| 23 years after the date of adoption of the ordinance or | 3 |
| resolution approving the tax
business district development or | 4 |
| redevelopment plan , all amounts generated by the retailers' | 5 |
| occupation tax and service occupation tax shall be collected | 6 |
| and the tax shall be enforced by the Department of Revenue in | 7 |
| the same manner as all retailers' occupation taxes and service | 8 |
| occupation taxes imposed in the municipality imposing the tax | 9 |
| or the municipality in which the district is located, and all | 10 |
| amounts generated by the hotel operators' occupation tax shall | 11 |
| be collected and the tax shall be enforced by the municipality | 12 |
| or the district in the same manner as all hotel operators' | 13 |
| occupation taxes imposed in the municipality imposing the tax | 14 |
| or the municipality in which the district is located . The | 15 |
| corporate authorities of the municipality shall deposit the | 16 |
| proceeds of the taxes imposed under subsections (b), (c), and | 17 |
| (d) into a special fund held by the corporate authorities of | 18 |
| the municipality called the Business District Tax Allocation | 19 |
| Fund for the purpose of paying business district project costs | 20 |
| and obligations incurred in the payment of those costs. A | 21 |
| municipality or district may not repeal any of said taxes if | 22 |
| the repeal will impact the municipality's or district's ability | 23 |
| to repay any liabilities incurred, or owed, or obligation | 24 |
| issued to finance any costs incurred in the furtherance of the | 25 |
| plan.
| 26 |
| (b) The corporate authorities of a municipality that has | 27 |
| established a business district under this Division 74.3 or a | 28 |
| district which is established by a municipality as a political | 29 |
| subdivision of the State may, by ordinance or resolution, | 30 |
| impose a Business District Retailers' Occupation Tax upon all | 31 |
| persons engaged in the business of selling tangible personal | 32 |
| property, other than an item of tangible personal property | 33 |
| titled or registered with an agency of this State's government, | 34 |
| at retail in the business district at a rate not to exceed 1% |
|
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| of the gross receipts from the sales made in the course of such | 2 |
| business, to be imposed only in 0.25% increments. The tax may | 3 |
| not be imposed on food for human consumption that is to be | 4 |
| consumed off the premises where it is sold (other than | 5 |
| alcoholic beverages, soft drinks, and food that has been | 6 |
| prepared for immediate consumption),
prescription and | 7 |
| nonprescription medicines, drugs, medical appliances, | 8 |
| modifications to a motor vehicle for the purpose of rendering | 9 |
| it usable by a disabled person, and insulin, urine testing | 10 |
| materials, syringes, and needles used by diabetics, for human | 11 |
| use. | 12 |
| The tax imposed under this subsection and all civil | 13 |
| penalties that may be assessed as an incident thereof shall be | 14 |
| collected and enforced by the Department of Revenue. The | 15 |
| certificate of registration that is issued by the Department to | 16 |
| a retailer under the Retailers' Occupation Tax Act shall permit | 17 |
| the retailer to engage in a business that is taxable under any | 18 |
| ordinance or resolution enacted pursuant to this subsection | 19 |
| without registering separately with the Department under such | 20 |
| ordinance or resolution or under this subsection. The | 21 |
| Department of Revenue shall have full power to administer and | 22 |
| enforce this subsection; to collect all taxes and penalties due | 23 |
| under this subsection in the manner hereinafter provided; and | 24 |
| to determine all rights to credit memoranda arising on account | 25 |
| of the erroneous payment of tax or penalty under this | 26 |
| subsection. In the administration of, and compliance with, this | 27 |
| subsection, the Department and persons who are subject to this | 28 |
| subsection shall have the same rights, remedies, privileges, | 29 |
| immunities, powers and duties, and be subject to the same | 30 |
| conditions, restrictions, limitations, penalties, exclusions, | 31 |
| exemptions, and definitions of terms and employ the same modes | 32 |
| of procedure, as are prescribed in Sections 1, 1a through 1o, 2 | 33 |
| through 2-65 (in respect to all provisions therein other than | 34 |
| the State rate of tax), 2c through 2h, 3 (except as to the |
|
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| disposition of taxes and penalties collected), 4, 5, 5a, 5c, | 2 |
| 5d, 5e, 5f, 5g, 5i, 5j, 5k, 5l, 6, 6a, 6b, 6c, 7, 8, 9, 10, 11, | 3 |
| 12, 13, and 14 of the Retailers' Occupation Tax Act and all | 4 |
| provisions of the Uniform Penalty and Interest Act, as fully as | 5 |
| if those provisions were set forth herein. | 6 |
| Persons subject to any tax imposed under this subsection | 7 |
| may reimburse themselves for their seller's tax liability under | 8 |
| this subsection by separately stating the tax as an additional | 9 |
| charge, which charge may be stated in combination, in a single | 10 |
| amount, with State taxes that sellers are required to collect | 11 |
| under the Use Tax Act, in accordance with such bracket | 12 |
| schedules as the Department may prescribe. | 13 |
| Whenever the Department determines that a refund should be | 14 |
| made under this subsection to a claimant instead of issuing a | 15 |
| credit memorandum, the Department shall notify the State | 16 |
| Comptroller, who shall cause the order to be drawn for the | 17 |
| amount specified and to the person named in the notification | 18 |
| from the Department. The refund shall be paid by the State | 19 |
| Treasurer out of the business district retailers' occupation | 20 |
| tax fund. | 21 |
| The Department shall immediately pay over to the State | 22 |
| Treasurer, ex officio, as trustee, all taxes, penalties, and | 23 |
| interest collected under this subsection for deposit into the | 24 |
| business district retailers' occupation tax fund. On or before | 25 |
| the 25th day of each calendar month, the Department shall | 26 |
| prepare and certify to the Comptroller the disbursement of | 27 |
| stated sums of money to named municipalities or district, as | 28 |
| applicable, from the business district retailers' occupation | 29 |
| tax fund, the municipalities or districts to be those from | 30 |
| which retailers have paid taxes or penalties under this | 31 |
| subsection to the Department during the second preceding | 32 |
| calendar month. The amount to be paid to each municipality or | 33 |
| district shall be the amount (not including credit memoranda) | 34 |
| collected under this subsection during the second preceding |
|
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| calendar month by the Department plus an amount the Department | 2 |
| determines is necessary to offset any amounts that were | 3 |
| erroneously paid to a different taxing body, and not including | 4 |
| an amount equal to the amount of refunds made during the second | 5 |
| preceding calendar month by the Department, less 2% of that | 6 |
| amount, which shall be deposited into the Tax Compliance and | 7 |
| Administration Fund and shall be used by the Department, | 8 |
| subject to appropriation, to cover the costs of the Department | 9 |
| in administering and enforcing the provisions of this | 10 |
| subsection, on behalf of such municipality or district , and not | 11 |
| including any amount that the Department determines is | 12 |
| necessary to offset any amounts that were payable to a | 13 |
| different taxing body but were erroneously paid to the | 14 |
| municipality or district . Within 10 days after receipt by the | 15 |
| Comptroller of the disbursement certification to the | 16 |
| municipalities or district provided for in this subsection to | 17 |
| be given to the Comptroller by the Department, the Comptroller | 18 |
| shall cause the orders to be drawn for the respective amounts | 19 |
| in accordance with the directions contained in the | 20 |
| certification. The proceeds of the tax paid to municipalities | 21 |
| or districts under this subsection shall be deposited into the | 22 |
| Business District Tax Allocation Fund by the municipality or | 23 |
| district, as applicable .
| 24 |
| An ordinance or resolution imposing or discontinuing the | 25 |
| tax under this subsection or effecting a change in the rate | 26 |
| thereof shall either (i) be adopted and a certified copy | 27 |
| thereof filed with the Department on or before the first day of | 28 |
| April, whereupon the Department, if all other requirements of | 29 |
| this subsection are met, shall proceed to administer and | 30 |
| enforce this subsection as of the first day of July next | 31 |
| following the adoption and filing; or (ii) be adopted and a | 32 |
| certified copy thereof filed with the Department on or before | 33 |
| the first day of October, whereupon, if all other requirements | 34 |
| of this subsection are met, the Department shall proceed to |
|
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| administer and enforce this subsection as of the first day of | 2 |
| January next following the adoption and filing. | 3 |
| The Department of Revenue shall not administer or enforce a | 4 |
| resolution or an ordinance imposing, discontinuing, or | 5 |
| changing the rate of the tax under this subsection, until the | 6 |
| municipality or district also provides, in the manner | 7 |
| prescribed by the Department, the boundaries of the business
| 8 |
| district area in such a way that the Department can determine | 9 |
| by its address whether a business is located in the business
| 10 |
| district area . The municipality or district must provide this | 11 |
| boundary information to the Department on or before April 1 for | 12 |
| administration and enforcement of the tax under this subsection | 13 |
| by the Department beginning on the following July 1 and on or | 14 |
| before October 1 for administration and enforcement of the tax | 15 |
| under this subsection by the Department beginning on the | 16 |
| following January 1. The Department of Revenue shall not | 17 |
| administer or enforce any change made to the boundaries of the
| 18 |
| a business district area until the municipality or district, as | 19 |
| applicable, reports the boundary change to the Department in | 20 |
| the manner prescribed by the Department. The municipality or | 21 |
| district, as applicable, must provide this boundary change | 22 |
| information to the Department on or before April 1 for | 23 |
| administration and enforcement by the Department of the change | 24 |
| beginning on the following July 1 and on or before October 1 | 25 |
| for administration and enforcement by the Department of the | 26 |
| change beginning on the following January 1. The retailers in | 27 |
| the business district area shall be responsible for charging | 28 |
| the tax imposed under this subsection. If a retailer is | 29 |
| incorrectly included or excluded from the list of those | 30 |
| required to collect the tax under this subsection, both the | 31 |
| Department of Revenue and the retailer shall be held harmless | 32 |
| if they reasonably relied on information provided by the | 33 |
| municipality or district . | 34 |
| A municipality or district that imposes the tax under this |
|
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| subsection must submit to the Department of Revenue any other | 2 |
| information as the Department may require for the | 3 |
| administration and enforcement of the tax.
| 4 |
| When certifying the amount of a monthly disbursement to a | 5 |
| municipality or district under this subsection, the Department | 6 |
| shall increase or decrease the amount by an amount necessary to | 7 |
| offset any misallocation of previous disbursements. The offset | 8 |
| amount shall be the amount erroneously disbursed within the | 9 |
| previous 6 months from the time a misallocation is discovered. | 10 |
| Nothing in this subsection shall be construed to authorize | 11 |
| the municipality or the district to impose a tax upon the | 12 |
| privilege of engaging in any business which under the | 13 |
| Constitution of the United States may not be made the subject | 14 |
| of taxation by this State. | 15 |
| If a tax is imposed under this subsection (b), a tax shall | 16 |
| also be imposed under subsection (c) of this Section. | 17 |
| (c) If a tax has been imposed under subsection (b), a | 18 |
| Business District Service Occupation Tax shall also be imposed | 19 |
| upon all persons engaged, within
in the business district area , | 20 |
| in the business of making sales of service, who, as an incident | 21 |
| to making those sales of service, transfer tangible personal | 22 |
| property within the business district area , either in the form | 23 |
| of tangible personal property or in the form of real estate as | 24 |
| an incident to a sale of service. The tax shall be imposed at | 25 |
| the same rate as the tax imposed in subsection (b) and shall | 26 |
| not exceed 1% of the selling price of tangible personal | 27 |
| property so transferred within the business district area , to | 28 |
| be imposed only in 0.25% increments. The tax may not be imposed | 29 |
| on food for human consumption that is to be consumed off the | 30 |
| premises where it is sold (other than alcoholic beverages, soft | 31 |
| drinks, and food that has been prepared for immediate | 32 |
| consumption),
prescription and nonprescription medicines, | 33 |
| drugs, medical appliances, modifications to a motor vehicle for | 34 |
| the purpose of rendering it usable by a disabled person, and |
|
|
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| 1 |
| insulin, urine testing materials, syringes, and needles used by | 2 |
| diabetics, for human use. | 3 |
| The tax imposed under this subsection and all civil | 4 |
| penalties that may be assessed as an incident thereof shall be | 5 |
| collected and enforced by the Department of Revenue. The | 6 |
| certificate of registration which is issued by the Department | 7 |
| to a retailer under the Retailers' Occupation Tax Act or under | 8 |
| the Service Occupation Tax Act shall permit such registrant to | 9 |
| engage in a business which is taxable under any ordinance or | 10 |
| resolution enacted pursuant to this subsection without | 11 |
| registering separately with the Department under such | 12 |
| ordinance or resolution or under this subsection. The | 13 |
| Department of Revenue shall have full power to administer and | 14 |
| enforce this subsection; to collect all taxes and penalties due | 15 |
| under this subsection; to dispose of taxes and penalties so | 16 |
| collected in the manner hereinafter provided; and to determine | 17 |
| all rights to credit memoranda arising on account of the | 18 |
| erroneous payment of tax or penalty under this subsection. In | 19 |
| the administration of, and compliance with this subsection, the | 20 |
| Department and persons who are subject to this subsection shall | 21 |
| have the same rights, remedies, privileges, immunities, powers | 22 |
| and duties, and be subject to the same conditions, | 23 |
| restrictions, limitations, penalties, exclusions, exemptions, | 24 |
| and definitions of terms and employ the same modes of procedure | 25 |
| as are prescribed in Sections 2, 2a through 2d, 3 through 3-50 | 26 |
| (in respect to all provisions therein other than the State rate | 27 |
| of tax), 4 (except that the reference to the State shall be to | 28 |
| the business district), 5, 7, 8 (except that the jurisdiction | 29 |
| to which the tax shall be a debt to the extent indicated in | 30 |
| that Section 8 shall be the municipality or the district as | 31 |
| applicable ), 9 (except as to the disposition of taxes and | 32 |
| penalties collected, and except that the returned merchandise | 33 |
| credit for this tax may not be taken against any State tax), | 34 |
| 10, 11, 12 (except the reference therein to Section 2b of the |
|
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| Retailers' Occupation Tax Act), 13 (except that any reference | 2 |
| to the State shall mean the municipality or district, as | 3 |
| applicable ), the first paragraph of Section 15, and Sections | 4 |
| 16, 17, 18, 19 and 20 of the Service Occupation Tax Act and all | 5 |
| provisions of the Uniform Penalty and Interest Act, as fully as | 6 |
| if those provisions were set forth herein. | 7 |
| Persons subject to any tax imposed under the authority | 8 |
| granted in this subsection may reimburse themselves for their | 9 |
| serviceman's tax liability hereunder by separately stating the | 10 |
| tax as an additional charge, which charge may be stated in | 11 |
| combination, in a single amount, with State tax that servicemen | 12 |
| are authorized to collect under the Service Use Tax Act, in | 13 |
| accordance with such bracket schedules as the Department may | 14 |
| prescribe. | 15 |
| Whenever the Department determines that a refund should be | 16 |
| made under this subsection to a claimant instead of issuing | 17 |
| credit memorandum, the Department shall notify the State | 18 |
| Comptroller, who shall cause the order to be drawn for the | 19 |
| amount specified, and to the person named, in such notification | 20 |
| from the Department. Such refund shall be paid by the State | 21 |
| Treasurer out of the business district retailers' occupation | 22 |
| tax fund. | 23 |
| The Department shall forthwith pay over to the State | 24 |
| Treasurer, ex-officio, as trustee, all taxes, penalties, and | 25 |
| interest collected under this subsection for deposit into the | 26 |
| business district retailers' occupation tax fund. On or before | 27 |
| the 25th day of each calendar month, the Department shall | 28 |
| prepare and certify to the Comptroller the disbursement of | 29 |
| stated sums of money to named municipalities and districts from | 30 |
| the business district retailers' occupation tax fund, the | 31 |
| municipalities and districts to be those from which suppliers | 32 |
| and servicemen have paid taxes or penalties under this | 33 |
| subsection to the Department during the second preceding | 34 |
| calendar month. The amount to be paid to each municipality or |
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| district shall be the amount (not including credit memoranda) | 2 |
| collected under this subsection during the second preceding | 3 |
| calendar month by the Department, less 2% of that amount, which | 4 |
| shall be deposited into the Tax Compliance and Administration | 5 |
| Fund and shall be used by the Department, subject to | 6 |
| appropriation, to cover the costs of the Department in | 7 |
| administering and enforcing the provisions of this subsection, | 8 |
| and not including an amount equal to the amount of refunds made | 9 |
| during the second preceding calendar month by the Department on | 10 |
| behalf of such municipality or district . Within 10 days after | 11 |
| receipt, by the Comptroller, of the disbursement certification | 12 |
| to the municipalities and districts , provided for in this | 13 |
| subsection to be given to the Comptroller by the Department, | 14 |
| the Comptroller shall cause the orders to be drawn for the | 15 |
| respective amounts in accordance with the directions contained | 16 |
| in such certification. The proceeds of the tax paid to | 17 |
| municipalities or districts under this subsection shall be | 18 |
| deposited into the Business District Tax Allocation Fund by the | 19 |
| municipality. | 20 |
| An ordinance or resolution imposing or discontinuing the | 21 |
| tax under this subsection or effecting a change in the rate | 22 |
| thereof shall either (i) be adopted and a certified copy | 23 |
| thereof filed with the Department on or before the first day of | 24 |
| April, whereupon the Department, if all other requirements of | 25 |
| this subsection are met, shall proceed to administer and | 26 |
| enforce this subsection as of the first day of July next | 27 |
| following the adoption and filing; or (ii) be adopted and a | 28 |
| certified copy thereof filed with the Department on or before | 29 |
| the first day of October, whereupon, if all other conditions of | 30 |
| this subsection are met, the Department shall proceed to | 31 |
| administer and enforce this subsection as of the first day of | 32 |
| January next following the adoption and filing. | 33 |
| The Department of Revenue shall not administer or enforce | 34 |
| an ordinance imposing, discontinuing, or changing the rate of |
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| the tax under this subsection, until the municipality or | 2 |
| districts, as applicable, also provides, in the manner | 3 |
| prescribed by the Department, the boundaries of the business
| 4 |
| district area in such a way that the Department can determine | 5 |
| by its address whether a business is located in the business
| 6 |
| district area . The municipality or district, as applicable,
| 7 |
| must provide this boundary information to the Department on or | 8 |
| before April 1 for administration and enforcement of the tax | 9 |
| under this subsection by the Department beginning on the | 10 |
| following July 1 and on or before October 1 for administration | 11 |
| and enforcement of the tax under this subsection by the | 12 |
| Department beginning on the following January 1. The Department | 13 |
| of Revenue shall not administer or enforce any change made to | 14 |
| the boundaries of a business district area until the | 15 |
| municipality or district, as applicable, reports the boundary | 16 |
| change to the Department in the manner prescribed by the | 17 |
| Department. The municipality must provide this boundary change | 18 |
| information to the Department on or before April 1 for | 19 |
| administration and enforcement by the Department of the change | 20 |
| beginning on the following July 1 and on or before October 1 | 21 |
| for administration and enforcement by the Department of the | 22 |
| change beginning on the following January 1. The retailers in | 23 |
| the business district area shall be responsible for charging | 24 |
| the tax imposed under this subsection. If a retailer is | 25 |
| incorrectly included or excluded from the list of those | 26 |
| required to collect the tax under this subsection, both the | 27 |
| Department of Revenue and the retailer shall be held harmless | 28 |
| if they reasonably relied on information provided by the | 29 |
| municipality or district . | 30 |
| A municipality or district, as applicable, that imposes the | 31 |
| tax under this subsection must submit to the Department of | 32 |
| Revenue any other information as the Department may require for | 33 |
| the administration and enforcement of the tax.
| 34 |
| Nothing in this subsection shall be construed to authorize |
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| the municipality to impose a tax upon the privilege of engaging | 2 |
| in any business which under the Constitution of the United | 3 |
| States may not be made the subject of taxation by the State. | 4 |
| If a tax is imposed under this subsection (c), a tax shall | 5 |
| also be imposed under subsection (b) of this Section. | 6 |
| (d) By ordinance, a municipality that has established a | 7 |
| business district under this Division 74.3 , or, by resolution, | 8 |
| a district established as a political subdivision in accordance | 9 |
| with this Division 74.3, may impose an occupation tax upon all | 10 |
| persons engaged in the business district area in the business | 11 |
| of renting, leasing, or letting rooms in a hotel, as defined in | 12 |
| the Hotel Operators' Occupation Tax Act, at a rate not to | 13 |
| exceed 1% of the gross rental receipts from the renting, | 14 |
| leasing, or letting of hotel rooms within the business | 15 |
| district, to be imposed only in 0.25% increments, excluding, | 16 |
| however, from gross rental receipts the proceeds of renting, | 17 |
| leasing, or letting to permanent residents of a hotel, as | 18 |
| defined in the Hotel Operators' Occupation Tax Act, and | 19 |
| proceeds from the tax imposed under subsection (c) of Section | 20 |
| 13 of the Metropolitan Pier and Exposition Authority Act. | 21 |
| The tax imposed by the municipality or district, as | 22 |
| applicable, under this subsection and all civil penalties that | 23 |
| may be assessed as an incident to that tax shall be collected | 24 |
| and enforced by the municipality or district imposing the tax. | 25 |
| The municipality or district, as applicable, shall have full | 26 |
| power to administer and enforce this subsection, to collect all | 27 |
| taxes and penalties due under this subsection, to dispose of | 28 |
| taxes and penalties so collected in the manner provided in this | 29 |
| subsection, and to determine all rights to credit memoranda | 30 |
| arising on account of the erroneous payment of tax or penalty | 31 |
| under this subsection. In the administration of and compliance | 32 |
| with this subsection, the municipality , district and persons | 33 |
| who are subject to this subsection shall have the same rights, | 34 |
| remedies, privileges, immunities, powers, and duties, shall be |
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| subject to the same conditions, restrictions, limitations, | 2 |
| penalties, and definitions of terms, and shall employ the same | 3 |
| modes of procedure as are employed with respect to a tax | 4 |
| adopted by the municipality under Section 8-3-14 of this Code. | 5 |
| Persons subject to any tax imposed under the authority | 6 |
| granted in this subsection may reimburse themselves for their | 7 |
| tax liability for that tax by separately stating that tax as an | 8 |
| additional charge, which charge may be stated in combination, | 9 |
| in a single amount, with State taxes imposed under the Hotel | 10 |
| Operators' Occupation Tax Act, and with any other tax. | 11 |
| Nothing in this subsection shall be construed to authorize | 12 |
| a municipality to impose a tax upon the privilege of engaging | 13 |
| in any business which under the Constitution of the United | 14 |
| States may not be made the subject of taxation by this State. | 15 |
| The proceeds of the tax imposed under this subsection shall | 16 |
| be deposited into the Business District Tax Allocation Fund.
| 17 |
| (e) Obligations secured by the district allocation fund | 18 |
| pursuant to subsection (6) of Section 11-74.3-3 or subsection | 19 |
| (6) of Section 11-74.3-8 may be issued by the district, the | 20 |
| municipality, or other issuing authority to pay for the | 21 |
| business district project costs. These obligations shall be | 22 |
| retired from
issued pursuant to subsection (14) of Section | 23 |
| 11-74.3-3 shall be retired in the manner provided in the | 24 |
| ordinance authorizing the issuance of those obligations by the | 25 |
| receipts of taxes levied as authorized in subsections (11) and | 26 |
| (12) of Section 11-74.3-3 or subsections (11) and (12) of | 27 |
| Section 11-74.3-8 in the manner provided in the resolution of | 28 |
| the district authorizing the pledge of such funds to be | 29 |
| deposited in the district tax allocation fund. The district or | 30 |
| municipality, as applicable, may pledge all or any part of the | 31 |
| amounts in and to be deposited into the Business District | 32 |
| Allocation Fund to the payment of business district project | 33 |
| costs and obligations.
subsections (12) and (13) of Section | 34 |
| 11-74.3-3. The ordinance shall pledge all of the amounts in and |
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| to be deposited in the Business District Tax Allocation Fund to | 2 |
| the payment of business district project costs and obligations. | 3 |
| Obligations issued pursuant to subsection (14) of Section | 4 |
| 11-74.3-3 may be sold at public or private sale at a price | 5 |
| determined by the corporate authorities of the municipality and | 6 |
| no referendum approval of the electors shall be required as a | 7 |
| condition to the issuance of those obligations. The resolution | 8 |
| or ordinance authorizing the obligations may include
require | 9 |
| that the obligations contain a recital that they are issued | 10 |
| pursuant to either Section 11-74.3-3 or Section 11-74.3-8, as | 11 |
| applicable,
subsection (14) of Section 11-74.3-3 and this | 12 |
| recital shall be conclusive evidence of their validity and of | 13 |
| the regularity of their issuance. These obligations shall bear | 14 |
| such date or dates and mature at such time or times not later | 15 |
| than 23 years from the date the resolution of the district | 16 |
| imposed the taxes authorized under this Division. No referendum | 17 |
| approval of the electors shall be required as a condition | 18 |
| precedent to the issuance of obligations pursuant to this | 19 |
| Division. The district, municipality, or other issuing | 20 |
| authority
The corporate authorities of the municipality may | 21 |
| also issue its obligations to refund, in whole or in part, | 22 |
| obligations previously issued by the district, municipality , | 23 |
| or other issuing authority under the authority of this Code , | 24 |
| whether at or prior to maturity , provided that the last of the | 25 |
| refunding obligations shall not mature later than 23 years from | 26 |
| the date the resolution of the district imposed the taxes | 27 |
| authorized under this Division. In the event a municipality | 28 |
| issues obligations under home rule powers or other legislative | 29 |
| authority, or another issuing authority issues obligations | 30 |
| under other legislative authority, and the proceeds of those | 31 |
| obligations are pledged to pay business district project costs, | 32 |
| the municipality or other issuing authority may, if it has | 33 |
| followed the procedures set forth in this Division, retire | 34 |
| those obligations from funds in the district tax allocation |
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| fund in amount and in such manner as if those obligations had | 2 |
| been issued pursuant to the provisions of this Division. No | 3 |
| obligations issued pursuant to this Division shall . All | 4 |
| obligations issued pursuant to subsection (14) of Section | 5 |
| 11-74.3-3 shall not be regarded as indebtedness of the | 6 |
| district, municipality , or other issuing authority issuing | 7 |
| those
the obligations for the purpose of any limitation imposed | 8 |
| by law. | 9 |
| (f) When business district project costs
business district | 10 |
| costs , including, without limitation, all district
municipal
| 11 |
| obligations financing business district project costs incurred | 12 |
| under either Section 11-74.3-3 or Section 11-74.3-8, as | 13 |
| applicable,
Section 11-74.3-3 have been paid, any surplus funds | 14 |
| then remaining in the Business District Tax Allocation Fund | 15 |
| shall be distributed to the municipal treasurer for deposit | 16 |
| into the municipal general corporate fund. Upon payment of all | 17 |
| business district project costs and retirement of obligations, | 18 |
| but in no event more than 23 years after the date of adoption | 19 |
| of the ordinance or resolution approving the taxes imposed | 20 |
| pursuant to subsections (11) and (12) of Section 11-74.3-3 or | 21 |
| subsections (11) and (12) of Section 11-74.3-8, as applicable, | 22 |
| the district or municipality shall adopt a resolution
ordinance | 23 |
| approving the business district development or redevelopment | 24 |
| plan, the municipality shall adopt an ordinance immediately | 25 |
| rescinding the taxes imposed pursuant to subsections (11) and | 26 |
| (12) of Section 11-74.3-3 or subsections (11) and (12) and (13)
| 27 |
| of Section 11-74.3-8, as applicable
11-74.3-3 .
| 28 |
| (Source: P.A. 93-1053, eff. 1-1-05; 93-1089, eff. 3-7-05.) | 29 |
| (65 ILCS 5/11-74.3-12 new) | 30 |
| Sec. 11-74.3-12. Existing districts. Districts that were | 31 |
| established prior to the effective date of this amendatory Act | 32 |
| of the 94th General Assembly shall continue to operate and be | 33 |
| governed by the terms of this Division in effect prior to the |
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| effective date of this amendatory Act of the 94th General | 2 |
| Assembly. A district established prior to the effective date of | 3 |
| this amendatory Act of the 94th General Assembly may become a | 4 |
| separate political subdivision of the State in accordance with | 5 |
| the terms of this amendatory Act of the 94th General Assembly | 6 |
| by the municipality by causing an amendment to be made to its | 7 |
| business district plan in accordance with the process provided | 8 |
| for in this amendatory Act of the 94th General Assembly, in | 9 |
| which case any taxes levied by the municipality within the | 10 |
| district prior to the district becoming a separate political | 11 |
| subdivision, shall automatically be rescinded, subject to | 12 |
| levying by the district of the taxes contemplated by this | 13 |
| Division in accordance with the procedures provided for in this | 14 |
| amendatory Act.
| 15 |
| Section 99. Effective date. This Act takes effect upon | 16 |
| becoming law.".
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|