Illinois General Assembly - Full Text of SB0509
Illinois General Assembly

Previous General Assemblies

Full Text of SB0509  98th General Assembly

SB0509eng 98TH GENERAL ASSEMBLY



 


 
SB0509 EngrossedLRB098 04702 OMW 34730 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Municipal Code is amended by
5changing Section 11-74.4-4 as follows:
 
6    (65 ILCS 5/11-74.4-4)  (from Ch. 24, par. 11-74.4-4)
7    Sec. 11-74.4-4. Municipal powers and duties; redevelopment
8project areas. The changes made by this amendatory Act of the
991st General Assembly do not apply to a municipality that, (i)
10before the effective date of this amendatory Act of the 91st
11General Assembly, has adopted an ordinance or resolution fixing
12a time and place for a public hearing under Section 11-74.4-5
13or (ii) before July 1, 1999, has adopted an ordinance or
14resolution providing for a feasibility study under Section
1511-74.4-4.1, but has not yet adopted an ordinance approving
16redevelopment plans and redevelopment projects or designating
17redevelopment project areas under this Section, until after
18that municipality adopts an ordinance approving redevelopment
19plans and redevelopment projects or designating redevelopment
20project areas under this Section; thereafter the changes made
21by this amendatory Act of the 91st General Assembly apply to
22the same extent that they apply to redevelopment plans and
23redevelopment projects that were approved and redevelopment

 

 

SB0509 Engrossed- 2 -LRB098 04702 OMW 34730 b

1projects that were designated before the effective date of this
2amendatory Act of the 91st General Assembly.
3    A municipality may:
4    (a) By ordinance introduced in the governing body of the
5municipality within 14 to 90 days from the completion of the
6hearing specified in Section 11-74.4-5 approve redevelopment
7plans and redevelopment projects, and designate redevelopment
8project areas pursuant to notice and hearing required by this
9Act. No redevelopment project area shall be designated unless a
10plan and project are approved prior to the designation of such
11area and such area shall include only those contiguous parcels
12of real property and improvements thereon substantially
13benefited by the proposed redevelopment project improvements.
14Upon adoption of the ordinances, the municipality shall
15forthwith transmit to the county clerk of the county or
16counties within which the redevelopment project area is located
17a certified copy of the ordinances, a legal description of the
18redevelopment project area, a map of the redevelopment project
19area, identification of the year that the county clerk shall
20use for determining the total initial equalized assessed value
21of the redevelopment project area consistent with subsection
22(a) of Section 11-74.4-9, and a list of the parcel or tax
23identification number of each parcel of property included in
24the redevelopment project area.
25    (b) Make and enter into all contracts with property owners,
26developers, tenants, overlapping taxing bodies, and others

 

 

SB0509 Engrossed- 3 -LRB098 04702 OMW 34730 b

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

 

 

SB0509 Engrossed- 4 -LRB098 04702 OMW 34730 b

1municipal property shall be made except upon the adoption of an
2ordinance by the corporate authorities of the municipality.
3Furthermore, no conveyance, lease, mortgage, or other
4disposition of land owned by a municipality or agreement
5relating to the development of such municipal property shall be
6made without making public disclosure of the terms of the
7disposition and all bids and proposals made in response to the
8municipality's request. The procedures for obtaining such bids
9and proposals shall provide reasonable opportunity for any
10person to submit alternative proposals or bids.
11    (d) Within a redevelopment project area, clear any area by
12demolition or removal of any existing buildings and structures.
13    (e) Within a redevelopment project area, renovate or
14rehabilitate or construct any structure or building, as
15permitted under this Act.
16    (f) Install, repair, construct, reconstruct or relocate
17streets, utilities and site improvements essential to the
18preparation of the redevelopment area for use in accordance
19with a redevelopment plan.
20    (g) Within a redevelopment project area, fix, charge and
21collect fees, rents and charges for the use of any building or
22property owned or leased by it or any part thereof, or facility
23therein.
24    (h) Accept grants, guarantees and donations of property,
25labor, or other things of value from a public or private source
26for use within a project redevelopment area.

 

 

SB0509 Engrossed- 5 -LRB098 04702 OMW 34730 b

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

 

 

SB0509 Engrossed- 6 -LRB098 04702 OMW 34730 b

1authorities may exercise the powers enumerated in this Section.
2The commission shall also have the power to hold the public
3hearings required by this division and make recommendations to
4the corporate authorities concerning the adoption of
5redevelopment plans, redevelopment projects and designation of
6redevelopment project areas.
7    (l) Make payment in lieu of taxes or a portion thereof to
8taxing districts. If payments in lieu of taxes or a portion
9thereof are made to taxing districts, those payments shall be
10made to all districts within a project redevelopment area on a
11basis which is proportional to the current collections of
12revenue which each taxing district receives from real property
13in the redevelopment project area.
14    (m) Exercise any and all other powers necessary to
15effectuate the purposes of this Act.
16    (n) If any member of the corporate authority, a member of a
17commission established pursuant to Section 11-74.4-4(k) of
18this Act, or an employee or consultant of the municipality
19involved in the planning and preparation of a redevelopment
20plan, or project for a redevelopment project area or proposed
21redevelopment project area, as defined in Sections
2211-74.4-3(i) through (k) of this Act, owns or controls an
23interest, direct or indirect, in any property included in any
24redevelopment area, or proposed redevelopment area, he or she
25shall disclose the same in writing to the clerk of the
26municipality, and shall also so disclose the dates and terms

 

 

SB0509 Engrossed- 7 -LRB098 04702 OMW 34730 b

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

 

 

SB0509 Engrossed- 8 -LRB098 04702 OMW 34730 b

1amendatory Act of the 94th General Assembly or 2 years after
2the effective date of this amendatory Act of the 95th General
3Assembly by a member of the corporate authority does not
4constitute an interest in any property included in any
5redevelopment area or proposed redevelopment area, regardless
6of when the redevelopment area was established, if (i) the
7property is used exclusively as the member's primary residence,
8(ii) the member discloses the acquisition to the municipal
9clerk under the provisions of this subsection, (iii) the
10acquisition is for fair market value, (iv) the member acquires
11the property as a result of the property being publicly
12advertised for sale, and (v) the member refrains from voting
13on, and communicating with other members concerning, any matter
14when the benefits to the redevelopment project or area would be
15significantly greater than the benefits to the municipality as
16a whole. For the purposes of this subsection, a month-to-month
17leasehold interest in a single parcel of property by a member
18of the corporate authority shall not be deemed to constitute an
19interest in any property included in any redevelopment area or
20proposed redevelopment area, but the member must disclose the
21interest to the municipal clerk under the provisions of this
22subsection.
23    (o) Create a Tax Increment Economic Development Advisory
24Committee to be appointed by the Mayor or President of the
25municipality with the consent of the majority of the governing
26board of the municipality, the members of which Committee shall

 

 

SB0509 Engrossed- 9 -LRB098 04702 OMW 34730 b

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

 

 

SB0509 Engrossed- 10 -LRB098 04702 OMW 34730 b

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

 

 

SB0509 Engrossed- 11 -LRB098 04702 OMW 34730 b

1within a municipality with a population of more than 100,000,
2utilize revenues or proceeds of obligations authorized by
3Section 11-74.4-7 of this Act, other than use or occupation tax
4revenues, to pay for any redevelopment project costs as defined
5by subsection (q) of Section 11-74.4-3 to the extent that the
6redevelopment project costs involve public property that is
7either contiguous to, or separated only by a public right of
8way from, a redevelopment project area whether or not
9redevelopment project costs or the source of payment for the
10costs are specifically set forth in the redevelopment plan for
11the redevelopment project area.
12    (q-5) Utilize revenues, other than the State sales tax
13increment revenues, received under this Act from one
14redevelopment project area located within the City of Waukegan
15for eligible costs in another redevelopment project area
16located within the City of Waukegan.
17    (r) If no redevelopment project has been initiated in a
18redevelopment project area within 7 years after the area was
19designated by ordinance under subsection (a), the municipality
20shall adopt an ordinance repealing the area's designation as a
21redevelopment project area; provided, however, that if an area
22received its designation more than 3 years before the effective
23date of this amendatory Act of 1994 and no redevelopment
24project has been initiated within 4 years after the effective
25date of this amendatory Act of 1994, the municipality shall
26adopt an ordinance repealing its designation as a redevelopment

 

 

SB0509 Engrossed- 12 -LRB098 04702 OMW 34730 b

1project area. Initiation of a redevelopment project shall be
2evidenced by either a signed redevelopment agreement or
3expenditures on eligible redevelopment project costs
4associated with a redevelopment project.
5    Notwithstanding any other provision of this Section to the
6contrary, with respect to a redevelopment project area
7designated by an ordinance that was adopted on July 29, 1998 by
8the City of Chicago, the City of Chicago shall adopt an
9ordinance repealing the area's designation as a redevelopment
10project area if no redevelopment project has been initiated in
11the redevelopment project area within 15 years after the
12designation of the area. The City of Chicago may retroactively
13repeal any ordinance adopted by the City of Chicago, pursuant
14to this subsection (r), that repealed the designation of a
15redevelopment project area designated by an ordinance that was
16adopted by the City of Chicago on July 29, 1998. The City of
17Chicago has 90 days after the effective date of this amendatory
18Act to repeal the ordinance. The changes to this Section made
19by this amendatory Act of the 96th General Assembly apply
20retroactively to July 27, 2005.
21(Source: P.A. 96-1555, eff. 3-18-11; 97-333, eff. 8-12-11.)
 
22    Section 99. Effective date. This Act takes effect upon
23becoming law.