Full Text of HB0250 101st General Assembly
HB0250sam001 101ST GENERAL ASSEMBLY | Sen. Jason A. Barickman Filed: 5/2/2019
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| 1 | | AMENDMENT TO HOUSE BILL 250
| 2 | | AMENDMENT NO. ______. Amend House Bill 250 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Property Tax Code is amended by changing | 5 | | Sections 21-310 and 22-35 as follows:
| 6 | | (35 ILCS 200/21-310)
| 7 | | Sec. 21-310. Sales in error.
| 8 | | (a) When, upon application of the county collector, the | 9 | | owner of the
certificate of purchase, or a
municipality which | 10 | | owns or has owned the property ordered sold, it appears to
the | 11 | | satisfaction of the court which ordered the property sold that | 12 | | any of the
following subsections are applicable, the court | 13 | | shall declare the sale to be a
sale in error:
| 14 | | (1) the property was not subject to taxation, or all or | 15 | | any part of the
lien of taxes sold has become null and void | 16 | | pursuant to Section 21-95
or unenforceable pursuant to |
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| 1 | | subsection (c) of Section 18-250 or subsection
(b) of | 2 | | Section 22-40,
| 3 | | (2) the taxes or special assessments had been paid | 4 | | prior to the sale of
the property,
| 5 | | (3) there is a double assessment,
| 6 | | (4) the description is void for uncertainty,
| 7 | | (5) the assessor, chief county assessment officer, | 8 | | board of review,
board of appeals, or other county official | 9 | | has made an error (other than an
error of judgment as to
| 10 | | the value of any property),
| 11 | | (5.5) the owner of the homestead property had tendered | 12 | | timely and full
payment to the county collector that the | 13 | | owner reasonably believed was due and
owing on the | 14 | | homestead property, and the county collector did not apply | 15 | | the
payment to the homestead property; provided that this | 16 | | provision applies only to
homeowners, not their agents or | 17 | | third-party payors,
| 18 | | (6) prior to the tax sale a voluntary or involuntary | 19 | | petition has been
filed by or against the legal or | 20 | | beneficial owner of the property requesting
relief under | 21 | | the provisions of 11 U.S.C. Chapter 7, 11, 12, or 13,
| 22 | | (7) the property is owned by the United States, the | 23 | | State of Illinois,
a municipality, or a
taxing district, or | 24 | | (8) the owner of the property is a reservist or | 25 | | guardsperson who is granted an extension of his or her due | 26 | | date under Sections 21-15, 21-20, and 21-25 of this Act.
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| 1 | | (b) When, upon application of the owner of the certificate | 2 | | of purchase
only, it appears to the satisfaction of the court | 3 | | which ordered the property
sold that any of the following | 4 | | subsections are applicable, the court shall
declare the sale to | 5 | | be a sale in error:
| 6 | | (1) A voluntary or involuntary petition under the | 7 | | provisions of 11
U.S.C. Chapter 7, 11, 12, or 13 has been | 8 | | filed
subsequent to the tax sale and prior to the issuance | 9 | | of the tax deed.
| 10 | | (2) The improvements upon the property sold have been | 11 | | substantially
destroyed or rendered uninhabitable or | 12 | | otherwise unfit for occupancy subsequent
to the tax sale | 13 | | and prior to the issuance of the tax deed; however, if the | 14 | | court declares a sale in error under this paragraph (2), | 15 | | the court may order the holder of the certificate of | 16 | | purchase to assign the certificate to the county collector | 17 | | if requested by the county collector. The county collector | 18 | | may, upon request of the county, as trustee, or upon | 19 | | request of a taxing district having an interest in the | 20 | | taxes sold, further assign any certificate of purchase | 21 | | received pursuant to this paragraph (2) to the county | 22 | | acting as trustee for taxing districts pursuant to Section | 23 | | 21-90 of this Code or to the taxing district having an | 24 | | interest in the taxes sold.
| 25 | | (3) There is an interest held by the United States in | 26 | | the property sold
which could not be extinguished by the |
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| 1 | | tax deed.
| 2 | | (4) The real property contains a hazardous
substance, | 3 | | hazardous waste, or underground storage tank that would
| 4 | | require cleanup or other removal under any federal,
State, | 5 | | or local law, ordinance, or regulation, only if the tax | 6 | | purchaser
purchased the property without actual knowledge | 7 | | of the hazardous substance,
hazardous waste, or | 8 | | underground storage tank. This paragraph (4) applies only | 9 | | if the owner of the
certificate of purchase has made | 10 | | application for a sale in error at any time
before the | 11 | | issuance of a tax deed. If the court declares a sale in | 12 | | error under this paragraph (4), the court may order the | 13 | | holder of the certificate of purchase to assign the | 14 | | certificate to the county collector if requested by the | 15 | | county collector. The county collector may, upon request of | 16 | | the county, as trustee, or upon request of a taxing | 17 | | district having an interest in the taxes sold, further | 18 | | assign any certificate of purchase received pursuant to | 19 | | this paragraph (4) to the county acting as trustee for | 20 | | taxing districts pursuant to Section 21-90 of this Code or | 21 | | to the taxing district having an interest in the taxes | 22 | | sold.
| 23 | | Whenever a court declares a sale in error under this | 24 | | subsection (b), the court shall promptly notify the county | 25 | | collector in writing. Every such declaration pursuant to any | 26 | | provision of this subsection (b) shall be made within the |
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| 1 | | proceeding in which the tax sale was authorized. | 2 | | (c) When the county collector discovers, prior to the | 3 | | expiration of the period of redemption, that a tax sale
should | 4 | | not have occurred for one or more of the reasons set forth in
| 5 | | subdivision (a)(1), (a)(2), (a)(6), or (a)(7) of this Section, | 6 | | the county
collector shall notify the last known owner of the | 7 | | certificate of purchase by
certified and regular mail, or other | 8 | | means reasonably calculated to provide
actual notice, that the | 9 | | county collector intends to declare an administrative
sale in | 10 | | error and of the reasons therefor, including documentation | 11 | | sufficient
to establish the reason why the sale should not have | 12 | | occurred. The owner of the
certificate of purchase may object | 13 | | in writing within 28 days after the date of
the mailing by the | 14 | | county collector. If an objection is filed, the county
| 15 | | collector shall not administratively declare a sale in error, | 16 | | but may apply to
the circuit court for a sale in error as | 17 | | provided in subsection (a) of this
Section. Thirty days | 18 | | following the receipt of notice by the last known owner of
the | 19 | | certificate of purchase, or within a reasonable time | 20 | | thereafter, the county
collector shall make a written | 21 | | declaration, based upon clear and convincing
evidence, that the | 22 | | taxes were sold in error and shall deliver a copy thereof to
| 23 | | the county clerk within 30 days after the date the declaration | 24 | | is made for
entry in the tax judgment, sale, redemption, and | 25 | | forfeiture record pursuant to
subsection (d) of this Section. | 26 | | The county collector shall promptly notify the
last known owner |
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| 1 | | of the certificate of purchase of the declaration by regular
| 2 | | mail and shall promptly pay the amount of the tax sale, | 3 | | together with interest
and costs as provided in Section 21-315, | 4 | | upon surrender of the original
certificate of purchase.
| 5 | | (d) If a sale is declared to be a sale in error, the county
| 6 | | clerk shall make entry in the tax judgment, sale, redemption | 7 | | and
forfeiture record, that the property was erroneously sold, | 8 | | and the county
collector shall, on demand of the owner of the | 9 | | certificate of purchase, refund
the amount paid, pay any | 10 | | interest and costs as may be ordered under Sections
21-315 | 11 | | through 21-335, and cancel the certificate so far as it relates | 12 | | to the
property. The county collector shall deduct from the | 13 | | accounts of the
appropriate taxing bodies their pro rata | 14 | | amounts paid. Alternatively, for sales in error declared under | 15 | | subsection (b)(2) or (b)(4) , the county collector may request | 16 | | the circuit court to direct the county clerk to record any | 17 | | assignment of the tax certificate to or from the county | 18 | | collector without charging a fee for the assignment. The owner | 19 | | of the certificate of purchase shall receive all statutory | 20 | | refunds and payments. The county collector shall deduct costs | 21 | | and payments in the same manner as if a sale in error had | 22 | | occurred.
| 23 | | (Source: P.A. 100-890, eff. 1-1-19 .)
| 24 | | (35 ILCS 200/22-35)
| 25 | | Sec. 22-35. Reimbursement of a county or municipality |
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| 1 | | before issuance of tax deed.
Except in any proceeding in which | 2 | | the tax purchaser is a county acting as a
trustee for
taxing | 3 | | districts as provided in Section 21-90,
an order for the | 4 | | issuance of a tax deed under this Code shall not be entered
| 5 | | affecting the title to or interest in any property in which a | 6 | | county, city, village or
incorporated town has an interest | 7 | | under the police and welfare power by
advancements made from | 8 | | public funds, until the purchaser or assignee makes
| 9 | | reimbursement to the county, city, village or incorporated town | 10 | | of the money so
advanced or the county, city, village, or town | 11 | | waives its lien on the property for
the money so advanced. | 12 | | However, in lieu of reimbursement or waiver, the
purchaser or
| 13 | | his or her
assignee may make application for and the court | 14 | | shall order that the tax
purchase be set aside as a sale in | 15 | | error. A sale in error may not be granted under this Section if | 16 | | the lien has been released, satisfied, discharged, or waived. A | 17 | | filing or appearance fee shall not
be required of a county, | 18 | | city, village or incorporated town seeking to enforce its
claim | 19 | | under this Section in a tax deed proceeding.
| 20 | | (Source: P.A. 98-1162, eff. 6-1-15 .)".
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