Illinois General Assembly - Full Text of HB3330
Illinois General Assembly

Previous General Assemblies

Full Text of HB3330  102nd General Assembly




State of Illinois
2021 and 2022


Introduced 2/19/2021, by Rep. Jeff Keicher


35 ILCS 31/20

    Amends the Historic Preservation Tax Credit Act. Provides that the annual credit limit is $30,000,000 (currently, $15,000,000). Provides that projects receiving credits under the Act are subject to the Prevailing Wage Act.

LRB102 14962 HLH 20317 b






HB3330LRB102 14962 HLH 20317 b

1    AN ACT concerning revenue.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Historic Preservation Tax Credit Act is
5amended by changing Section 20 as follows:
6    (35 ILCS 31/20)
7    Sec. 20. Limitations, reporting, and monitoring.
8    (a) The Division shall award not more than an aggregate of
9$30,000,000 $15,000,000 in total annual tax credits pursuant
10to qualified rehabilitation plans for qualified historic
11structures. The Division shall award not more than $3,000,000
12in tax credits with regard to a single qualified
13rehabilitation plan. In awarding tax credits under this Act,
14the Division must prioritize projects that meet one or more of
15the following:
16        (1) the qualified historic structure is located in a
17    county that borders a State with a historic property
18    rehabilitation credit;
19        (2) the qualified historic structure was previously
20    owned by a federal, state, or local governmental entity;
21        (3) the qualified historic structure is located in a
22    census tract that has a median family income at or below
23    the State median family income; data from the most recent



HB3330- 2 -LRB102 14962 HLH 20317 b

1    5-year estimate from the American Community Survey (ACS),
2    published by the U.S. Census Bureau, shall be used to
3    determine eligibility;
4        (4) the qualified rehabilitation plan includes in the
5    development partnership a Community Development Entity or
6    a low-profit (B Corporation) or not-for-profit
7    organization, as defined by Section 501(c)(3) of the
8    Internal Revenue Code; or
9        (5) the qualified historic structure is located in an
10    area declared under an Emergency Declaration or Major
11    Disaster Declaration under the federal Robert T. Stafford
12    Disaster Relief and Emergency Assistance Act.
13    (b) The annual aggregate program allocation of $15,000,000
14set forth in subsection (a) shall be allocated by the
15Division, in such proportion as determined by the Department,
16on a per calendar basis twice in each year that the program is
17in effect, provided that: (i) the amount initially allocated
18by the Division for any one calendar application period shall
19not exceed 65% of the total allowable amount and (ii) any
20portion of the allocated allowable amount remaining unused as
21of the end of any of the second calendar application period of
22a given calendar year shall be rolled into and added to the
23total allocated amount for the next available calendar year.
24The qualified rehabilitation plan must meet a readiness test,
25as defined in the rules created by the Division, in order for
26the Applicant to qualify. Applicants that qualify under this



HB3330- 3 -LRB102 14962 HLH 20317 b

1Act will be placed in a queue based on the date and time the
2application is received until such time as the application
3period total allowable amount is reached. Applicants must
4reapply for each application period.
5    (c) On or before December 31, 2019, and on or before
6December 31 of each odd-numbered year thereafter through 2023,
7subject to appropriation and prior to equal disbursement to
8the Division, moneys in the Historic Property Administrative
9Fund shall be used, beginning at the end of the first fiscal
10year after the effective date of this Act, to hire a qualified
11third party to prepare a biennial report to assess the overall
12effectiveness of this Act from the qualified rehabilitation
13projects under this Act completed in that year and in previous
14years. Baseline data of the metrics in the report shall be
15collected at the initiation of a qualified rehabilitation
16project. The overall economic impact shall include at least:
17        (1) the number of applications, project locations, and
18    proposed use of qualified historic structures;
19        (2) the amount of credits awarded and the number and
20    location of projects receiving credit allocations;
21        (3) the status of ongoing projects and projected
22    qualifying expenditures for ongoing projects;
23        (4) for completed projects, the total amount of
24    qualifying rehabilitation expenditures and non-qualifying
25    expenditures, the number of housing units created and the
26    number of housing units that qualify as affordable, and



HB3330- 4 -LRB102 14962 HLH 20317 b

1    the total square footage rehabilitated and developed;
2        (5) direct, indirect, and induced economic impacts;
3        (6) temporary, permanent, and construction jobs
4    created; and
5        (7) sales, income, and property tax generation before
6    construction, during construction, and after completion.
7    The report to the General Assembly shall be filed with the
8Clerk of the House of Representatives and the Secretary of the
9Senate in electronic form only, in the manner that the Clerk
10and the Secretary shall direct.
11    (d) Any time prior to issuance of a tax credit
12certificate, the Director of the Division, the State Historic
13Preservation Officer, or staff of the Division may, upon
14reasonable notice to the project owner of not less than 3
15business days, conduct a site visit to the project to inspect
16and evaluate the project.
17    (e) Any time prior to the issuance of a tax credit
18certificate and for a period of 4 years following the
19effective date of a project tax credit certificate, the
20Director may, upon reasonable notice of not less than 30
21calendar days, request a status report from the Applicant
22consisting of information and updates relevant to the status
23of the project. Status reports shall not be requested more
24than twice yearly.
25    (f) In order to demonstrate sufficient evidence of
26reviewable progress within 12 months after the date the



HB3330- 5 -LRB102 14962 HLH 20317 b

1Applicant received notification of approval from the Division,
2the Applicant shall provide all of the following:
3        (1) a viable financial plan which demonstrates by way
4    of an executed agreement that all financing has been
5    secured for the project; such financing shall include, but
6    not be limited to, equity investment as demonstrated by
7    letters of commitment from the owner of the property,
8    investment partners, and equity investors;
9        (2) final construction drawings or approved building
10    permits that demonstrate the complete rehabilitation of
11    the full scope of the application; and
12        (3) all historic approvals, including all federal and
13    State rehabilitation documents required by the Division.
14    The Director shall review the submitted evidence and may
15request additional documentation from the Applicant if
16necessary. The Applicant will have 30 calendar days to provide
17the information requested, otherwise the approval may be
18rescinded at the discretion of the Director.
19    (g) In order to demonstrate sufficient evidence of
20reviewable progress within 18 months after the date the
21application received notification of approval from the
22Division, the Applicant is required to provide detailed
23evidence that the Applicant has secured and closed on
24financing for the complete scope of rehabilitation for the
25project. To demonstrate evidence that the Applicant has
26secured and closed on financing, the Applicant will need to



HB3330- 6 -LRB102 14962 HLH 20317 b

1provide signed and processed loan agreements, bank financing
2documents or other legal and contractual evidence to
3demonstrate that adequate financing is available to complete
4the project. The Director shall review the submitted evidence
5and may request additional documentation from the Applicant if
6necessary. The Applicant will have 30 calendar days to provide
7the information requested, otherwise the approval may be
8rescinded at the discretion of the Director.
9    If the Applicant fails to document reviewable progress
10within 18 months of approval, the Director may notify the
11Applicant that the application is rescinded. However, should
12financing and construction be imminent, the Director may elect
13to grant the Applicant no more than 5 months to close on
14financing and commence construction. If the Applicant fails to
15meet these conditions in the required timeframe, the Director
16shall notify the Applicant that the application is rescinded.
17Any such rescinded allocation shall be added to the aggregate
18amount of credits available for allocation for the year in
19which the forfeiture occurred.
20    The amount of the qualified expenditures identified in the
21Applicant's certification of completion and reflected on the
22Historic Preservation Tax Credit certificate issued by the
23Director is subject to inspection, examination, and audit by
24the Department of Revenue.
25    The Applicant shall establish and maintain for a period of
264 years following the effective date on a project tax credit



HB3330- 7 -LRB102 14962 HLH 20317 b

1certificate such records as required by the Director. Such
2records include, but are not limited to, records documenting
3project expenditures and compliance with the U.S. Secretary of
4the Interior's Standards. The Applicant shall make such
5records available for review and verification by the Director,
6the State Historic Preservation Officer, the Department of
7Revenue, or appropriate staff, as well as other appropriate
8State agencies. In the event the Director determines an
9Applicant has submitted an annual report containing erroneous
10information or data not supported by records established and
11maintained under this Act, the Director may, after providing
12notice, require the Applicant to resubmit corrected reports.
13    (h) Projects receiving credits under this Act are subject
14to the Prevailing Wage Act.
15(Source: P.A. 100-629, eff. 1-1-19.)