Full Text of HB5722 100th General Assembly
HB5722ham001 100TH GENERAL ASSEMBLY | Rep. Sonya M. Harper Filed: 4/6/2018
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| 1 | | AMENDMENT TO HOUSE BILL 5722
| 2 | | AMENDMENT NO. ______. Amend House Bill 5722 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The State Property Control Act is amended by | 5 | | changing Section 7.1 as follows:
| 6 | | (30 ILCS 605/7.1) (from Ch. 127, par. 133b10.1)
| 7 | | Sec. 7.1.
(a) Except as otherwise provided by law, all | 8 | | surplus real
property held by the State of Illinois shall be | 9 | | disposed of by the
administrator as provided in this Section. | 10 | | "Surplus real property," as
used in this Section, means any | 11 | | real property to which the State holds fee
simple title or
| 12 | | lesser interest, and is vacant, unoccupied or unused and which | 13 | | has no
foreseeable use by the owning agency.
| 14 | | (b) All responsible officers shall submit an Annual Real | 15 | | Property
Utilization Report to the Administrator, or annual | 16 | | update of such
report, on forms required by the Administrator, |
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| 1 | | by July 31 of each year.
The Administrator may require such | 2 | | documentation as he deems reasonably
necessary in connection | 3 | | with this Report, and shall require that such
Report include | 4 | | the following information:
| 5 | | (1) A legal description of all real property owned by the | 6 | | State
under the control of the responsible officer.
| 7 | | (2) A description of the use of the real property listed | 8 | | under (1).
| 9 | | (3) A list of any improvements made to such real property | 10 | | during the
previous year.
| 11 | | (4) The dates on which the State first acquired its | 12 | | interest in such
real property, and the purchase price and | 13 | | source of the funds used to
acquire the property.
| 14 | | (5) Plans for the future use of currently unused real | 15 | | property.
| 16 | | (6) A declaration of any surplus real property.
On or | 17 | | before October 31 of each year the Administrator shall furnish
| 18 | | copies of each responsible officer's report along with a list | 19 | | of surplus
property indexed by legislative district to the | 20 | | General Assembly.
| 21 | | This report shall be filed with the Speaker, the Minority | 22 | | Leader and the
Clerk of the House of Representatives and the | 23 | | President, the Minority
Leader and the Secretary of the Senate | 24 | | and shall be duplicated and made
available to the members of | 25 | | the General Assembly for evaluation by such
members for | 26 | | possible liquidation of unused public property at public sale.
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| 1 | | (c) Following receipt of the Annual Real Property | 2 | | Utilization Report
required under paragraph (b), the | 3 | | Administrator shall notify all State
agencies by October 31 of | 4 | | all declared surplus real
property. Any State
agency may submit | 5 | | a written request to the Administrator, within 60 days
of the | 6 | | date of such notification, to have control of surplus real
| 7 | | property transferred to that agency. Such request must indicate | 8 | | the
reason for the transfer and the intended use to be made of | 9 | | such surplus
real property. The Administrator may deny any or | 10 | | all such requests by a
State agency or agencies if the | 11 | | Administrator determines that it is more
advantageous to the | 12 | | State to dispose of the surplus real property under
paragraph | 13 | | (d). In case requests for the same surplus real property are
| 14 | | received from more than one State agency, the Administrator | 15 | | shall weigh
the benefits to the State and determine to which | 16 | | agency, if any, to
transfer control of such property. The | 17 | | Administrator shall coordinate
the use and disposal of State | 18 | | surplus real property with any State space
utilization program.
| 19 | | (d) Any surplus real property which is not transferred to | 20 | | the
control of another State agency under paragraph (c) shall | 21 | | be disposed of
by the Administrator. No appraisal is required | 22 | | if during his initial
survey of surplus real property the | 23 | | Administrator determines such
property has a fair market value | 24 | | of less than $5,000. If the value of
such property is | 25 | | determined by the Administrator in his initial survey
to be | 26 | | $5,000 or more, then the Administrator shall obtain 3 |
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| 1 | | appraisals
of such real property, one of which shall be | 2 | | performed by an appraiser
residing in the county in which said | 3 | | surplus real property is located.
The average of these 3 | 4 | | appraisals, plus the costs of obtaining the
appraisals, shall | 5 | | represent the fair market value of the surplus real
property. | 6 | | No surplus real property may be conveyed by the Administrator
| 7 | | for less than the fair market value. Prior to offering the | 8 | | surplus real
property for sale to the public the Administrator | 9 | | shall give notice in
writing of the existence and fair market | 10 | | value of the surplus real
property to the governing bodies of | 11 | | the county and of all cities,
villages and incorporated towns | 12 | | in the county in which such real
property is located. Any such | 13 | | governing body may exercise its option to
acquire the surplus | 14 | | real property for the fair market value within 60
days of the | 15 | | notice. After the 60 day period has passed, the
Administrator | 16 | | may sell the surplus real property by public auction
following | 17 | | notice of such sale by publication on 3 separate days not less
| 18 | | than 15 nor more than 30 days prior to the sale in the State | 19 | | newspaper
and in a newspaper having general circulation in the | 20 | | county in which the
surplus real property is located. The | 21 | | Administrator shall post "For
Sale" signs of a conspicuous | 22 | | nature on such surplus real property
offered for sale to the | 23 | | public. If no acceptable offers for the surplus
real property | 24 | | are received, the Administrator may have new appraisals of
such | 25 | | property made. The Administrator shall have all power necessary | 26 | | to
convey surplus real property under this Section. All moneys |
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| 1 | | received
for the sale of surplus real property shall be | 2 | | deposited in the General
Revenue Fund, except that: | 3 | | (1) Where moneys expended for the acquisition of such
| 4 | | real property were from a special fund which is still a | 5 | | special fund in
the State treasury, this special fund shall | 6 | | be reimbursed in the amount
of the original expenditure and | 7 | | any amount in excess thereof shall be
deposited in the | 8 | | General Revenue Fund. | 9 | | (2) Whenever a State mental health facility operated by | 10 | | the Department of Human Services is closed and the real | 11 | | estate on which the facility is located is sold by the | 12 | | State, the net proceeds of the sale of the real estate | 13 | | shall be deposited into the Community Mental Health | 14 | | Medicaid Trust Fund. | 15 | | (3) Whenever a State developmental disabilities | 16 | | facility operated by the Department of Human Services is | 17 | | closed and the real estate on which the facility is located | 18 | | is sold by the State, the net proceeds of the sale of the | 19 | | real estate shall be deposited into the Community | 20 | | Developmental Disability Services Medicaid Trust Fund.
| 21 | | The Administrator shall have authority to order such | 22 | | surveys, abstracts
of title, or commitments for title insurance | 23 | | as may, in his reasonable
discretion, be deemed necessary to | 24 | | demonstrate to prospective purchasers or
bidders good and | 25 | | marketable title in any property offered for sale pursuant
to | 26 | | this Section. Unless otherwise specifically authorized by the |
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| 1 | | General
Assembly, all conveyances of property made by the | 2 | | Administrator shall be by
quit claim deed.
| 3 | | (d-5) Notwithstanding any other provision of this Act, the | 4 | | Administrator may convey any surplus real property covered by | 5 | | this Act, by sale or lease, to a duly incorporated, charitable, | 6 | | non-profit organization or association for the cultivation and | 7 | | sale of fresh fruits and vegetables on a tract of land of less | 8 | | than 5 acres within any local governmental unit, provided that | 9 | | the non-profit organization or association is not controlled, | 10 | | directly or indirectly, by any agricultural, commercial, or | 11 | | other business. The non-profit organization or association | 12 | | under this subsection (d-5) shall be authorized to sell fresh | 13 | | fruits and vegetables either on the land that was conveyed, off | 14 | | that land, or both, provided, that the sales are related or | 15 | | incidental to the non-profit purposes of the organization or | 16 | | association, and the net proceeds received by the non-profit | 17 | | organization or association are used to further the non-profit | 18 | | purposes of the organization or association. The lease of any | 19 | | real property to any duly incorporated non-profit organization | 20 | | or association shall be in accordance with the Illinois | 21 | | Procurement Code. | 22 | | (e) The Administrator shall submit an annual report on or | 23 | | before
February 1 to the Governor and the General Assembly | 24 | | containing a
detailed statement of surplus real property either | 25 | | transferred or
conveyed under this Section.
| 26 | | (Source: P.A. 96-527, eff. 1-1-10; 96-660, eff. 8-25-09; |
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| 1 | | 96-1000, eff. 7-2-10.)
| 2 | | Section 10. The Property Tax Code is amended by changing | 3 | | Section 15-55 as follows: | 4 | | (35 ILCS 200/15-55)
| 5 | | Sec. 15-55. State property.
| 6 | | (a) All property belonging to the State of Illinois
is | 7 | | exempt. However, the State agency holding title shall file the | 8 | | certificate
of ownership and use required by Section 15-10, | 9 | | together with a copy of any
written lease or agreement, in | 10 | | effect on March 30 of the assessment year,
concerning parcels | 11 | | of 1 acre or more, or an explanation of the terms of any
oral | 12 | | agreement under which the property is leased, subleased or | 13 | | rented.
| 14 | | The leased property shall be assessed to the lessee and the | 15 | | taxes thereon
extended and billed to the lessee, and collected | 16 | | in the same manner as
for property which is not exempt. The | 17 | | lessee shall be liable
for the taxes and no lien shall attach | 18 | | to the property of the State.
| 19 | | For the purposes of this Section, the word "leases" | 20 | | includes
licenses, franchises, operating agreements and other | 21 | | arrangements under which
private individuals, associations or | 22 | | corporations are granted the right to use
property of the | 23 | | Illinois State Toll Highway Authority and includes all property
| 24 | | of the Authority used by others without regard to the size of |
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| 1 | | the leased
parcel.
| 2 | | (b) However, all property of every kind belonging to the | 3 | | State of
Illinois, which
is or may hereafter be leased to the | 4 | | Illinois Prairie Path Corporation, shall
be exempt from all | 5 | | assessments, taxation or collection, despite the making of
any | 6 | | such lease, if it is used for:
| 7 | | (1) conservation, nature trail or any other | 8 | | charitable,
scientific,
educational or recreational | 9 | | purposes with public benefit, including the
preserving and | 10 | | aiding in the preservation of natural areas, objects, | 11 | | flora,
fauna or biotic communities;
| 12 | | (2) the establishment of footpaths, trails and other | 13 | | protected
areas;
| 14 | | (3) the conservation of the proper use of natural
| 15 | | resources or the promotion of the study of plant and animal | 16 | | communities and
of other phases of ecology, natural history | 17 | | and conservation;
| 18 | | (4) the promotion of education in the fields of nature,
| 19 | | preservation and
conservation; or
| 20 | | (5) similar public recreational activities conducted | 21 | | by the
Illinois
Prairie
Path Corporation.
| 22 | | No lien shall attach to the property of the State. No tax | 23 | | liability shall
become the obligation of or be enforceable | 24 | | against Illinois Prairie Path
Corporation.
| 25 | | (b-5) However, all property of every kind belonging to the | 26 | | State of Illinois, which is or may be sold or leased to a |
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| 1 | | non-profit organization specified under subsection (d-5) of | 2 | | Section 7.1 of the State Property Control Act, shall be exempt | 3 | | from all assessments, taxation, or collection, despite the | 4 | | making of any such sale or lease, if it is used for the | 5 | | cultivation and sale of fresh fruits and vegetables, and the | 6 | | net proceeds received by the non-profit organization or | 7 | | association are used to further the non-profit purposes of the | 8 | | organization or association. | 9 | | (c) If the State sells the
James R.
Thompson Center
or the | 10 | | Elgin Mental Health Center and surrounding land located at 750 | 11 | | S.
State Street,
Elgin, Illinois, as provided in subdivision | 12 | | (a)(2) of Section 7.4 of
the State Property Control Act,
to
| 13 | | another entity whose property is not exempt and immediately | 14 | | thereafter enters
into a
leaseback or other agreement that | 15 | | directly or indirectly gives the State a
right to use,
control, | 16 | | and possess the property, that portion of the property leased | 17 | | and
occupied exclusively by the State shall remain exempt under | 18 | | this
Section.
For the property to remain exempt under this | 19 | | subsection (c), the State must
retain an
option to purchase the | 20 | | property at a future date or, within the limitations
period for
| 21 | | reverters, the property must revert back to the State.
| 22 | | If the property has been conveyed as described in this | 23 | | subsection (c), the
property
is no longer exempt pursuant to | 24 | | this Section as of the date when:
| 25 | | (1) the right of the State to use, control, and possess | 26 | | the property has
been
terminated; or
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| 1 | | (2) the State no longer has an option to
purchase or | 2 | | otherwise acquire the property and
there is no provision | 3 | | for a reverter of the property to the State
within the | 4 | | limitations period for reverters.
| 5 | | Pursuant to Sections 15-15 and 15-20 of this Code, the | 6 | | State shall notify the
chief
county assessment officer of any | 7 | | transaction under this subsection (c). The
chief county
| 8 | | assessment officer shall determine initial and continuing | 9 | | compliance with the
requirements of this Section for tax | 10 | | exemption. Failure to notify the chief
county
assessment | 11 | | officer of a transaction under this subsection (c) or to | 12 | | otherwise
comply with
the requirements of Sections 15-15 and | 13 | | 15-20 of this Code shall, in the
discretion of the
chief county | 14 | | assessment officer, constitute cause to terminate the | 15 | | exemption,
notwithstanding any other provision of this Code.
| 16 | | (c-1) If the Illinois State Toll Highway Authority sells | 17 | | the
Illinois State Toll Highway Authority headquarters | 18 | | building and surrounding
land,
located at 2700 Ogden Avenue, | 19 | | Downers Grove, Illinois
as provided in subdivision (a)(2) of | 20 | | Section 7.5 of
the State Property Control Act,
to
another | 21 | | entity whose property is not exempt and immediately thereafter | 22 | | enters
into a
leaseback or other agreement that directly or | 23 | | indirectly gives the State or the
Illinois State Toll Highway | 24 | | Authority a
right to use,
control, and possess the property, | 25 | | that portion of the property leased and
occupied exclusively by | 26 | | the State or the Authority shall remain exempt under
this
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| 1 | | Section.
For the property to remain exempt under this | 2 | | subsection (c), the Authority must
retain an
option to purchase | 3 | | the property at a future date or, within the limitations
period | 4 | | for
reverters, the property must revert back to the Authority.
| 5 | | If the property has been conveyed as described in this | 6 | | subsection (c), the
property
is no longer exempt pursuant to | 7 | | this Section as of the date when:
| 8 | | (1) the right of the State or the Authority to use, | 9 | | control, and possess
the
property has
been
terminated; or
| 10 | | (2) the Authority no longer has an option to
purchase | 11 | | or otherwise acquire the property and
there is no provision | 12 | | for a reverter of the property to the Authority
within the | 13 | | limitations period for reverters.
| 14 | | Pursuant to Sections 15-15 and 15-20 of this Code, the | 15 | | Authority
shall notify the
chief
county assessment officer of | 16 | | any transaction under this subsection (c). The
chief county
| 17 | | assessment officer shall determine initial and continuing | 18 | | compliance with the
requirements of this Section for tax | 19 | | exemption. Failure to notify the chief
county
assessment | 20 | | officer of a transaction under this subsection (c) or to | 21 | | otherwise
comply with
the requirements of Sections 15-15 and | 22 | | 15-20 of this Code shall, in the
discretion of the
chief county | 23 | | assessment officer, constitute cause to terminate the | 24 | | exemption,
notwithstanding any other provision of this Code.
| 25 | | (d) The fair market rent of each parcel of real property in | 26 | | Will
County owned by the State of Illinois for the purpose of |
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| 1 | | developing an airport
by the Department of Transportation shall | 2 | | include the assessed value of
leasehold tax. The lessee of each | 3 | | parcel of real property in Will
County owned by
the
State of | 4 | | Illinois for the purpose of developing an airport by the | 5 | | Department of
Transportation shall not be liable for the taxes | 6 | | thereon. In order for the
State to
compensate taxing districts | 7 | | for
the leasehold tax under this paragraph
the Will County | 8 | | Supervisor of Assessments shall
certify, in
writing, to the
| 9 | | Department of Transportation, the amount of leasehold taxes
| 10 | | extended for the 2002 property tax
year for
each such exempt | 11 | | parcel.
The Department of Transportation shall pay to the Will
| 12 | | County
Treasurer, from the Tax Recovery Fund, on or before July | 13 | | 1 of each
year, the amount of leasehold taxes for each such | 14 | | exempt parcel as certified
by the Will County Supervisor of | 15 | | Assessments. The tax compensation shall
terminate
on
December | 16 | | 31, 2020. It is the duty of the Department of Transportation to | 17 | | file
with the
Office of the Will County Supervisor of | 18 | | Assessments an affidavit stating the
termination
date for | 19 | | rental of each such parcel due to airport construction. The | 20 | | affidavit
shall include
the property identification number for | 21 | | each such parcel. In no instance shall
tax
compensation for | 22 | | property owned by the State be deemed delinquent or bear
| 23 | | interest. In
no instance shall a lien attach to the property of | 24 | | the State. In no instance
shall the State
be required to pay | 25 | | leasehold tax compensation in excess of the Tax
Recovery Fund's | 26 | | balance.
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| 1 | | (e) Public Act 81-1026 applies to all leases or agreements | 2 | | entered into
or
renewed on or after September 24, 1979.
| 3 | | (f) Notwithstanding anything to the contrary in this Code, | 4 | | all property owned by the State that is the Illiana Expressway, | 5 | | as defined in the Public Private Agreements for the Illiana | 6 | | Expressway Act, and that is used for transportation purposes | 7 | | and that is leased for those purposes to another entity whose | 8 | | property is not exempt shall remain exempt, and any leasehold | 9 | | interest in the property shall not be subject to taxation under | 10 | | Section 9-195 of this Act. | 11 | | (g) Notwithstanding anything to the contrary in this | 12 | | Section, all property owned by the State or the Illinois State | 13 | | Toll Highway Authority that is defined as a transportation | 14 | | project under the Public-Private Partnerships for | 15 | | Transportation Act and that is used for transportation purposes | 16 | | and that is leased for those purposes to another entity whose | 17 | | property is not exempt shall remain exempt, and any leasehold | 18 | | interest in the property shall not be subject to taxation under | 19 | | Section 9-195 of this Act. | 20 | | (h) Notwithstanding anything to the contrary in this Code, | 21 | | all property owned by the State that is the South Suburban | 22 | | Airport, as defined in the Public-Private Agreements for the | 23 | | South Suburban Airport Act, and that is used for airport | 24 | | purposes and that is leased for those purposes to another | 25 | | entity whose property is not exempt shall remain exempt, and | 26 | | any leasehold interest in the property shall not be subject to |
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| 1 | | taxation under Section 9-195 of this Act. | 2 | | (Source: P.A. 97-502, eff. 8-23-11; 98-109, eff. 7-25-13.)".
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