Full Text of HB2613 100th General Assembly
HB2613ham001 100TH GENERAL ASSEMBLY | Rep. Margo McDermed Filed: 3/20/2017
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| 1 | | AMENDMENT TO HOUSE BILL 2613
| 2 | | AMENDMENT NO. ______. Amend House Bill 2613 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The State Finance Act is amended by changing | 5 | | Section 6z-59 as follows: | 6 | | (30 ILCS 105/6z-59)
| 7 | | Sec. 6z-59. The Tax Recovery Fund. There is created in the
| 8 | | State treasury the Tax Recovery Fund. Through December 31, 2027 | 9 | | 2020 , all moneys received from
the
rental, authorized under | 10 | | Section 2705-555 of the Department of Transportation
Law of
the | 11 | | Civil Administrative Code of Illinois, of land, buildings, or | 12 | | improvements
on property
held for development of an airport in | 13 | | Will County by the Department of
Transportation
shall be | 14 | | remitted to the State Treasurer for payment into the Tax
| 15 | | Recovery Fund. Subject to appropriation, the moneys in the Fund | 16 | | shall be
expended with
the following priority: (1)
to |
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| 1 | | compensate taxing districts for leasehold taxes
then (2) to the | 2 | | General Revenue Fund less any money
necessary to pay | 3 | | maintenance and repair
costs for that real property.
The tax | 4 | | compensation shall be determined in accordance with Sections | 5 | | 9-195 and
15-55 of
the
Property Tax Code.
Expenditures for | 6 | | these purposes may be made by
Department of Transportation | 7 | | without regard to the fiscal year in which tax
compensation
| 8 | | liability and property maintenance and repair costs
were | 9 | | incurred. Unexpended moneys in the Fund shall not be | 10 | | transferred or
allocated by
the Comptroller or Treasurer to any | 11 | | other fund nor shall the Governor authorize
the
transfer or | 12 | | allocation of those moneys to any other fund. After December | 13 | | 31, 2027 2020 , all
moneys received from the rental, authorized | 14 | | under Section 2705-555 of the
Department
of Transportation Law | 15 | | of the Civil Administrative Code of Illinois, of land,
| 16 | | buildings, or
improvements on property held for the development | 17 | | of an airport in Will County
by the
Department of | 18 | | Transportation shall not be remitted to the Tax
Recovery
Fund | 19 | | but shall instead be paid to the General Revenue Fund. The | 20 | | balance
remaining in
the Tax Recovery Fund on December 31, 2027 | 21 | | 2020 shall first be
expended to
compensate taxing districts for | 22 | | leasehold taxes for the 2027 2020
tax
assessment year, and
then | 23 | | transferred to
the
General Revenue Fund for the purpose of debt | 24 | | service on State bonds issued to
provide
funds for airport land | 25 | | acquisition in Will County.
| 26 | | (Source: P.A. 96-192, eff. 8-10-09.) |
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| 1 | | Section 10. The Property Tax Code is amended by changing | 2 | | Section 15-55 as follows: | 3 | | (35 ILCS 200/15-55)
| 4 | | Sec. 15-55. State property.
| 5 | | (a) All property belonging to the State of Illinois
is | 6 | | exempt. However, the State agency holding title shall file the | 7 | | certificate
of ownership and use required by Section 15-10, | 8 | | together with a copy of any
written lease or agreement, in | 9 | | effect on March 30 of the assessment year,
concerning parcels | 10 | | of 1 acre or more, or an explanation of the terms of any
oral | 11 | | agreement under which the property is leased, subleased or | 12 | | rented.
| 13 | | The leased property shall be assessed to the lessee and the | 14 | | taxes thereon
extended and billed to the lessee, and collected | 15 | | in the same manner as
for property which is not exempt. The | 16 | | lessee shall be liable
for the taxes and no lien shall attach | 17 | | to the property of the State.
| 18 | | For the purposes of this Section, the word "leases" | 19 | | includes
licenses, franchises, operating agreements and other | 20 | | arrangements under which
private individuals, associations or | 21 | | corporations are granted the right to use
property of the | 22 | | Illinois State Toll Highway Authority and includes all property
| 23 | | of the Authority used by others without regard to the size of | 24 | | the leased
parcel.
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| 1 | | (b) However, all property of every kind belonging to the | 2 | | State of
Illinois, which
is or may hereafter be leased to the | 3 | | Illinois Prairie Path Corporation, shall
be exempt from all | 4 | | assessments, taxation or collection, despite the making of
any | 5 | | such lease, if it is used for:
| 6 | | (1) conservation, nature trail or any other | 7 | | charitable,
scientific,
educational or recreational | 8 | | purposes with public benefit, including the
preserving and | 9 | | aiding in the preservation of natural areas, objects, | 10 | | flora,
fauna or biotic communities;
| 11 | | (2) the establishment of footpaths, trails and other | 12 | | protected
areas;
| 13 | | (3) the conservation of the proper use of natural
| 14 | | resources or the promotion of the study of plant and animal | 15 | | communities and
of other phases of ecology, natural history | 16 | | and conservation;
| 17 | | (4) the promotion of education in the fields of nature,
| 18 | | preservation and
conservation; or
| 19 | | (5) similar public recreational activities conducted | 20 | | by the
Illinois
Prairie
Path Corporation.
| 21 | | No lien shall attach to the property of the State. No tax | 22 | | liability shall
become the obligation of or be enforceable | 23 | | against Illinois Prairie Path
Corporation.
| 24 | | (c) If the State sells the
James R.
Thompson Center
or the | 25 | | Elgin Mental Health Center and surrounding land located at 750 | 26 | | S.
State Street,
Elgin, Illinois, as provided in subdivision |
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| 1 | | (a)(2) of Section 7.4 of
the State Property Control Act,
to
| 2 | | another entity whose property is not exempt and immediately | 3 | | thereafter enters
into a
leaseback or other agreement that | 4 | | directly or indirectly gives the State a
right to use,
control, | 5 | | and possess the property, that portion of the property leased | 6 | | and
occupied exclusively by the State shall remain exempt under | 7 | | this
Section.
For the property to remain exempt under this | 8 | | subsection (c), the State must
retain an
option to purchase the | 9 | | property at a future date or, within the limitations
period for
| 10 | | reverters, the property must revert back to the State.
| 11 | | If the property has been conveyed as described in this | 12 | | subsection (c), the
property
is no longer exempt pursuant to | 13 | | this Section as of the date when:
| 14 | | (1) the right of the State to use, control, and possess | 15 | | the property has
been
terminated; or
| 16 | | (2) the State no longer has an option to
purchase or | 17 | | otherwise acquire the property and
there is no provision | 18 | | for a reverter of the property to the State
within the | 19 | | limitations period for reverters.
| 20 | | Pursuant to Sections 15-15 and 15-20 of this Code, the | 21 | | State shall notify the
chief
county assessment officer of any | 22 | | transaction under this subsection (c). The
chief county
| 23 | | assessment officer shall determine initial and continuing | 24 | | compliance with the
requirements of this Section for tax | 25 | | exemption. Failure to notify the chief
county
assessment | 26 | | officer of a transaction under this subsection (c) or to |
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| 1 | | otherwise
comply with
the requirements of Sections 15-15 and | 2 | | 15-20 of this Code shall, in the
discretion of the
chief county | 3 | | assessment officer, constitute cause to terminate the | 4 | | exemption,
notwithstanding any other provision of this Code.
| 5 | | (c-1) If the Illinois State Toll Highway Authority sells | 6 | | the
Illinois State Toll Highway Authority headquarters | 7 | | building and surrounding
land,
located at 2700 Ogden Avenue, | 8 | | Downers Grove, Illinois
as provided in subdivision (a)(2) of | 9 | | Section 7.5 of
the State Property Control Act,
to
another | 10 | | entity whose property is not exempt and immediately thereafter | 11 | | enters
into a
leaseback or other agreement that directly or | 12 | | indirectly gives the State or the
Illinois State Toll Highway | 13 | | Authority a
right to use,
control, and possess the property, | 14 | | that portion of the property leased and
occupied exclusively by | 15 | | the State or the Authority shall remain exempt under
this
| 16 | | Section.
For the property to remain exempt under this | 17 | | subsection (c), the Authority must
retain an
option to purchase | 18 | | the property at a future date or, within the limitations
period | 19 | | for
reverters, the property must revert back to the Authority.
| 20 | | If the property has been conveyed as described in this | 21 | | subsection (c), the
property
is no longer exempt pursuant to | 22 | | this Section as of the date when:
| 23 | | (1) the right of the State or the Authority to use, | 24 | | control, and possess
the
property has
been
terminated; or
| 25 | | (2) the Authority no longer has an option to
purchase | 26 | | or otherwise acquire the property and
there is no provision |
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| 1 | | for a reverter of the property to the Authority
within the | 2 | | limitations period for reverters.
| 3 | | Pursuant to Sections 15-15 and 15-20 of this Code, the | 4 | | Authority
shall notify the
chief
county assessment officer of | 5 | | any transaction under this subsection (c). The
chief county
| 6 | | assessment officer shall determine initial and continuing | 7 | | compliance with the
requirements of this Section for tax | 8 | | exemption. Failure to notify the chief
county
assessment | 9 | | officer of a transaction under this subsection (c) or to | 10 | | otherwise
comply with
the requirements of Sections 15-15 and | 11 | | 15-20 of this Code shall, in the
discretion of the
chief county | 12 | | assessment officer, constitute cause to terminate the | 13 | | exemption,
notwithstanding any other provision of this Code.
| 14 | | (d) The fair market rent of each parcel of real property in | 15 | | Will
County owned by the State of Illinois for the purpose of | 16 | | developing an airport
by the Department of Transportation and | 17 | | leased by a third party or third parties shall include the | 18 | | assessed value of
leasehold tax. The lessee of each parcel of | 19 | | real property in Will
County owned by
the
State of Illinois for | 20 | | the purpose of developing an airport by the Department of
| 21 | | Transportation shall not be liable for the taxes thereon. In | 22 | | order for the
State to
compensate taxing districts , including, | 23 | | without limitation, drainage districts organized under the | 24 | | Illinois Drainage Code, for
the leasehold tax under this | 25 | | paragraph
the Will County Supervisor of Assessments shall
| 26 | | certify, in
writing, to the
Department of Transportation : (i) |
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| 1 | | for payments occurring on or before July 1, 2017 , the amount of | 2 | | leasehold taxes
extended for the 2002 property tax
year for
| 3 | | each such exempt parcel ; and (ii) for payments after July 1, | 4 | | 2017, the amount of leasehold taxes that would have been | 5 | | extended for the 2017 property tax year for each such exempt | 6 | | parcel .
The Department of Transportation shall pay to the Will
| 7 | | County
Treasurer, from the Tax Recovery Fund, on or before July | 8 | | 1 of each
year, the amount of leasehold taxes for each such | 9 | | exempt parcel as certified
by the Will County Supervisor of | 10 | | Assessments under item (i) of this subsection (d) for payments | 11 | | on or before July 1, 2017 and under item (ii) of this | 12 | | subsection (d) for payments after July 1, 2017 . The tax | 13 | | compensation shall
terminate
on
December 31, 2027 2020 . It is | 14 | | the duty of the Department of Transportation to file
with the
| 15 | | Office of the Will County Supervisor of Assessments an | 16 | | affidavit stating the
termination
date for rental of each such | 17 | | parcel due to airport construction. The affidavit
shall include
| 18 | | the property identification number for each such parcel. In no | 19 | | instance shall
tax
compensation for property owned by the State | 20 | | be deemed delinquent or bear
interest. In
no instance shall a | 21 | | lien attach to the property of the State. In no instance
shall | 22 | | the State
be required to pay leasehold tax compensation in | 23 | | excess of the Tax
Recovery Fund's balance.
| 24 | | (e) Public Act 81-1026 applies to all leases or agreements | 25 | | entered into
or
renewed on or after September 24, 1979.
| 26 | | (f) Notwithstanding anything to the contrary in this Code, |
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| 1 | | all property owned by the State that is the Illiana Expressway, | 2 | | as defined in the Public Private Agreements for the Illiana | 3 | | Expressway Act, and that is used for transportation purposes | 4 | | and that is leased for those purposes to another entity whose | 5 | | property is not exempt shall remain exempt, and any leasehold | 6 | | interest in the property shall not be subject to taxation under | 7 | | Section 9-195 of this Act. | 8 | | (g) Notwithstanding anything to the contrary in this | 9 | | Section, all property owned by the State or the Illinois State | 10 | | Toll Highway Authority that is defined as a transportation | 11 | | project under the Public-Private Partnerships for | 12 | | Transportation Act and that is used for transportation purposes | 13 | | and that is leased for those purposes to another entity whose | 14 | | property is not exempt shall remain exempt, and any leasehold | 15 | | interest in the property shall not be subject to taxation under | 16 | | Section 9-195 of this Act. | 17 | | (h) Notwithstanding anything to the contrary in this Code, | 18 | | all property owned by the State that is the South Suburban | 19 | | Airport, as defined in the Public-Private Agreements for the | 20 | | South Suburban Airport Act, and that is used for airport | 21 | | purposes and that is leased for those purposes to another | 22 | | entity whose property is not exempt shall remain exempt, and | 23 | | any leasehold interest in the property shall not be subject to | 24 | | taxation under Section 9-195 of this Act. | 25 | | (Source: P.A. 97-502, eff. 8-23-11; 98-109, eff. 7-25-13.)
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| 1 | | Section 15. The Illinois Drainage Code is amended by | 2 | | changing Section 5-2 as follows:
| 3 | | (70 ILCS 605/5-2) (from Ch. 42, par. 5-2)
| 4 | | Sec. 5-2.
Original
assessments - Property subject to | 5 | | assessment.
Upon the Organization of the district, the | 6 | | commissioners shall proceed
to make out their assessment roll | 7 | | of benefits, damages and compensation,
and they shall include | 8 | | therein all lands, lots, railroads, and other property
within | 9 | | the district , including leasehold parcels in Will County owned | 10 | | by the State of Illinois as provided for under subsection (d) | 11 | | of Section 15-55 of the Property Tax Code, other than
public | 12 | | highways, streets and alleys, which, in their
opinion, will be | 13 | | benefited, taken or damaged by the proposed work. Whenever
| 14 | | another district or a municipal corporation exercising | 15 | | drainage powers has
been made a party to the proceedings to | 16 | | organize the district, then the
commissioners shall also | 17 | | include such other district or municipal
corporation in their | 18 | | assessment roll.
| 19 | | (Source: P.A. 83-726.)
| 20 | | Section 99. Effective date. This Act takes effect upon | 21 | | becoming law.".
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