Full Text of SB0665 102nd General Assembly
SB0665sam001 102ND GENERAL ASSEMBLY | Sen. Bill Cunningham Filed: 3/23/2021
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| 1 | | AMENDMENT TO SENATE BILL 665
| 2 | | AMENDMENT NO. ______. Amend Senate Bill 665 by replacing | 3 | | everything after the enacting clause with the following:
| 4 | | "Section 5. The Property Tax Code is amended by adding | 5 | | Section 15-62 as follows: | 6 | | (35 ILCS 200/15-62 new) | 7 | | Sec. 15-62. Exemption for lease or sale of property for | 8 | | cultivation and sale of fresh fruits and vegetables or | 9 | | recreation. Property that is leased or conveyed to a nonprofit | 10 | | corporation or association for cultivation and sale of fresh | 11 | | fruits and vegetables or recreation under Section 11-11-4 of | 12 | | the Illinois Municipal Code is exempt when actually and | 13 | | exclusively used such purposes and not leased or otherwise | 14 | | used with a view to profit. | 15 | | The Department of Revenue shall, by rule, develop an | 16 | | application process for a nonprofit corporation or association |
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| 1 | | to prove it will be eligible for the property tax exemption | 2 | | under this Section once the property is leased or sold to it by | 3 | | the municipality. Once eligibility has been established, the | 4 | | Department shall issue an exemption certificate, contingent on | 5 | | the lease or conveyance, to the nonprofit corporation or | 6 | | association and, thereafter, an annual certificate of status | 7 | | upon proof of continued eligibility. | 8 | | Section 10. The Illinois Municipal Code is amended by | 9 | | adding Section 11-11-4 as follows: | 10 | | (65 ILCS 5/11-11-4 new) | 11 | | Sec. 11-11-4. Lease or sale of property for cultivation | 12 | | and sale of fresh fruits and vegetables or recreation. | 13 | | (a) The General Assembly finds: | 14 | | (1) There exists in certain older, urban | 15 | | municipalities an excess of vacant property that is not | 16 | | needed for public use. | 17 | | (2) Vacant properties present numerous problems for | 18 | | these municipalities, such as: presenting the opportunity | 19 | | for criminal activity; deterring neighboring property | 20 | | owners from improving their properties and prospective | 21 | | purchasers and renters from locating into these areas; and | 22 | | serving as a location to dispose of unwanted items. | 23 | | (3) These municipalities are often centers of high and | 24 | | increasing populations and population densities comprised, |
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| 1 | | in part, of lower-income families. | 2 | | (4) Due, in part, to increasing population densities, | 3 | | the deterioration of infrastructure, such as parks, and | 4 | | fiscal constraints, these municipalities have been | 5 | | challenged to offer residents opportunities to enhance the | 6 | | quality of their lives. | 7 | | (5) Due to the scarcity of full service supermarkets | 8 | | and farmer's markets within these municipalities, | 9 | | municipal residents often suffer from a shortage of fresh | 10 | | fruits and vegetables. | 11 | | (6) The shortages of recreational opportunities and | 12 | | sources of fresh fruits and vegetables have contributed to | 13 | | alarming increases in childhood obesity and other adverse | 14 | | health consequences for municipal residents. | 15 | | (7) It would be beneficial to enlist nonprofit | 16 | | corporation or associations to develop these properties | 17 | | for a range of public purposes that could enhance the | 18 | | recreational, educational, and nutritional needs of local | 19 | | residents. | 20 | | (8) Authorization for municipalities to lease and sell | 21 | | vacant land to nonprofit entities to cultivate these lands | 22 | | can provide both recreational opportunities and a source | 23 | | of fresh, locally-grown fruits and vegetables for local | 24 | | residents. | 25 | | (9) The nonprofit cultivation of previously vacant | 26 | | land by nonprofit entities is a public purpose for which |
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| 1 | | the long term lease and sale of these properties, and | 2 | | exemption from property taxation, is warranted, even in | 3 | | those instances when produce is sold to further the | 4 | | mission of these nonprofit corporations or associations. | 5 | | (b) A leasehold for a term not in excess of 50 years may be | 6 | | made with a nonprofit corporation or association and extended | 7 | | for an additional 25 years by ordinance or resolution | 8 | | thereafter for any purpose described under subsection (a), | 9 | | including, but not limited to: | 10 | | (1) The cultivation or use of vacant lots for | 11 | | gardening or recreational purposes. | 12 | | (2) The lease of a tract of land of less than 5 acres | 13 | | to sell fresh fruits and vegetables. Any lease entered | 14 | | into pursuant to this paragraph may permit the nonprofit | 15 | | corporation or association to sell fresh fruits and | 16 | | vegetables on the leased land, off the leased land, or | 17 | | both, provided, that the sales are related and incidental | 18 | | to the nonprofit purposes of the corporation or | 19 | | association and the net proceeds received by the nonprofit | 20 | | corporation or association are used to further the | 21 | | nonprofit purposes of the corporation or association. | 22 | | (c) When the city council of a municipality determines | 23 | | that all or any part of a municipal-owned tract of land, with | 24 | | or without improvements, is not then needed for municipal | 25 | | purposes, the city council may, by resolution or ordinance, | 26 | | authorize a private sale and conveyance of the same, or any |
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| 1 | | part thereof, for nominal consideration without compliance | 2 | | with any other law governing disposal of lands by | 3 | | municipalities requiring adequate consideration. Such | 4 | | conveyance shall contain a limitation that the lands or | 5 | | buildings shall be used only for the purposes of such | 6 | | organization or association, and to render such services or to | 7 | | provide such facilities as may be agreed upon and, if said | 8 | | lands or buildings are not used in accordance with the | 9 | | limitation, title shall revert back to the municipality | 10 | | without any entry or reentry made on the property on behalf of | 11 | | the municipality. | 12 | | Whenever a sale of property is proposed pursuant to this | 13 | | subsection, the municipality shall give at least 10 days' | 14 | | notice of such sale prior to a public hearing where an | 15 | | ordinance or resolution approving the sale is adopted. | 16 | | (d) If the nonprofit organization or association uses the | 17 | | property leased or purchased under this Section for the | 18 | | cultivation and sale of fresh fruits and vegetables on a tract | 19 | | of land of less than 5 acres, the nonprofit organization or | 20 | | association may not be controlled, directly or indirectly, by | 21 | | any agricultural, commercial, or other business. The nonprofit | 22 | | organization or association is authorized to sell fresh fruits | 23 | | and vegetables either on the land that was leased or conveyed, | 24 | | off that land, or both, and the sales must be related and | 25 | | incidental to the nonprofit purposes of the organization or | 26 | | association and the net proceeds received by the nonprofit |
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| 1 | | organization or association must be used to further the | 2 | | nonprofit purposes of the organization or association. | 3 | | (e) Property leased or conveyed under this Section is | 4 | | exempt from property taxation under under the Property Tax | 5 | | Code if the property is actually used for the cultivation and | 6 | | sale of fresh fruits and vegetables and owned by a nonprofit | 7 | | organization or association that includes among its principal | 8 | | purposes the cultivation and sale of fresh fruits and | 9 | | vegetables. Before property may be leased or conveyed under | 10 | | this Section, the nonprofit organization or association shall | 11 | | provide to the municipality an exemption certificate issued | 12 | | under Section 15-62 of the Property Tax Code. ".
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